Quick update on my positions. I mentioned the bargain hunting theme early this week and that one should enter understanding the risks and rewards. While I have been lessening my interest on miners, nearly saying good bye to them, I bought again into BHP on Wednesday, when US ended higher but BHP still went lower. BHP is a widely held stock, and diversified well-positioned for growth and financially sound. I was in two minds on whether to buy since I usually wait for a confirmation at close but I saw that there was increasing volume and also slow pace of decline. All other things in my decision tree point to a price below 35.50 as a good entry point so I placed a buy order on 35.40.
After yesterday’s positive Payrolls increase , less jobless benefits claims and good earnings, BHP has rebounded above 36.00. I am monitoring the stock looking at the one-week high of 36.50 Resistance (the highest price for the week). Considering that it’s the reporting period for BHP, barring anymore “emerging market” dramas, I am looking at BHP to continue its uptrend with only a little bit of volatility (rise and fall in the price).
http://www.bloomberg.com/news/2014-02-07/asian-stocks-rise-third-day-on-jobless-claims-earnings.html
