Bed Bath & Beyond (BBBY)

[Justin]

Bed Bath & Beyond Inc. and subsidiaries is a nationwide chain of retail stores, operating under the names Bed Bath & Beyond (BBB), Christmas Tree Shops (CTS) and Harmon. The Company sells an assortment of merchandise, which includes domestics merchandise and home furnishings, as well as food, giftware and health and beauty care items. Domestics merchandize includes categories, such as bed linens and related items, bath items and kitchen textiles. Home furnishings include categories, such as kitchen and tabletop items, fine tabletop, basic housewares and general home furnishings.

[Mira]

I am paper trading BBBY. Today the three tools are touching or close to touching on the way down. Will this be the moment to sell? Please share your expiriance with me.

[ingo]

Hi Mira,

I would not sell at this point, because there are no 3reds and very important it's still going up. But I would watch it very closely and sell instantly when the situation gets worse. Normally you can't sell at the highest price. The graph is really steep - so watch closely.

[Mira]

Hi ingo,

Can you explain why you say the price is still going up? I see price going down in the last two market days, no?

[npg]

Originally Posted by Mira

Hi ingo,

Can you explain why you say the price is still going up? I see price going down in the last two market days, no?

watch for the crossover on the Slow stoch, MACD and most importantly, the 30 day MA and not the 10 day MA like I did and got bummed out of a fantastic position which shot up massively thereafter!

Right now. the MACD gives u a sell signal. The slow stoch is still ok. The price is still way above the 30 day MA.

Hold.

[krypticide]

I agree. I haven't researched BBBY, but if you believe it is a good company, the long-term trendlines (30 day SMA) has been positive for some time now. If you've held the stock for a while now, then don't worry about being too trigger happy. Sure, you're never going to sell right at the peak, but waiting for the 30 day to start trending downward (disclaimer: I don't follow Phil's indicators exactly) will make sure you get out when it's really starting to go down, rather than the short-term, roughly 2 week volatility.

[Mira]

Hi krypticide,

A few things you say I don't understand:

What is "too triger happy"?

What is "2 week volatility"?

I see all three of you agree. What make you think it will go up? (If it keeps going down I'll be better selling now)

[krypticide]

Trigger happy implies selling or buying too soon. In other words, you pull the trigger too much. I've found that buying/selling too much often causes you to bleed to death from a thousand paper cuts. It's very likely that you'll get in, watch it go up a little, but by the time sell indicators are there, the price will actually drop down below your buy price.

So the 2 week volatility I'm referring to is when a stock is going up overall (one example is INFY or CAKE) but if you ignore the overall trend there's a lot of ups and downs along the way. Again, I've personally found that following the indicators Phil gives causes you to buy and sell too late, so instead of making money on the overall trend you lose money. So now I look at the 30 day SMA as a guide for when to buy and when to sell. There's a lot less trading, a lot less emotion, and while you may lose money on the sideways movements, you'll make a lot on the big uptrends and avoid the big downtrends.

[txholdm]

I agree with krypticide. I got out of BBY way too early. I got in when it was around $32s. Made a few $100s and got out late August when got 3Reds. MA RED was on 10day.. Had I waited for 30day MA Red, I could have made few $Gs instead . But the early signals got me out.

I think the two day selling was mostly profit taking after market rally last week.

of course, I don't complain about the profits but it really hurts to see stock jump after you get arrowed out.

[ingo]

Hi Mira,

If you look at the chart you can see, that the 10 and 50 day MA are still going up. So the upwards trend is intact. Of course the current price can go down but when the trend is intact the price will go up again. Look at the following chart. I hope you see what I want to tell you!
BBBY - Stock chart, Index chart - MSN Money

:biggrin: