Is there a way to time share entries when its had a long run up?

at11

But as you can see from the 6 month chart it has recently (2 weeks ago) had a rally, with a slight pullback on profit-taking the last few days.

- as a new user im not allowed to post images or links, so if you check the 6 month chart for XCH you can see

my question is, when it comes to timing entry into a share like this (rallied last 2 weeks with slight pullback for 3 days) how do you judge when to enter?

as the SP is reaching new recent highs, there is no support mark to monitor as its been in an upward trend.

So is there any way to time an entry with a stock moving the way it is, or is it simply 'you either luckily time in right and get in at the bottom, or your unlucky and buy in at the top'?

Buzby

You would real-time trading access to do this. Most of the execution services I use are considerably cheaper, but ride on the coat-tails of the service signed up to. This means my trades are queued and are not real-time.

Being cynical, I always detect when I need a fast transaction, don't get it! But it usually gets done before the markets close.

at11

thanks for the reply but that's not what i asked

at11

So how would others time buying a share when its had such a recent rally?

is there a method to buying in when the SP has recently rallied?
do you wait for a pullback? but how do you know the support line/area if its reached new highs recently?

im starting to think it must be down to luck

Carpi09

You are asking an impossible question to answer accurately.

You can't time the market, it's down to luck. Some people "time" it right and are lucky and claim they knew something was going to happen when in fact they didn't have a clue!

at11

Ok thanks,

besides support and resistance lines/areas, are there any of things i can look for in a chart when determining timing an entry

brasso

If you are day trading, or going for very short term gains, then you need to monitor the volatility of the stock over a period and you might just see a pattern emerge e.g. you might see resistance when a share price reaches a certain level, followed by a fall. And there might be patterns even intra-day.

But it's a semi-mug's game in that even if you spot what appears to be a pattern, there is no guarantee it will be repeated becasue circumstances are never perfectly replicated.

If you're talking about longer term investments, say of 2-5+ years or more then volatility matters less as it has time to recover. That said, if the stock you are interested in appears to be at a high, and possibly overvalued, then you might want to hang back.

The short answer is no, you can't time the market -- but you can improve your chances of benefiting by putting some research in.

Carpi09

I don't look at graphs so much, graphs mean nothing to me. It's what happens around the world with good and bad news that effects the economy.

If you are in it for the long run, just forget about lines on a graph and keep drip feeding amounts. When there is a correction, put a lump sum in but don't freak out if it falls again because you believe it was the "right time"

at11

thank you for the replies, this has cleared things up for me,
and as i am more medium-long term, i wont fuss too much about small fluctuations when entering