Watching the Watchlist

When I first started this stock trading venture, I didn’t know which stocks to choose from. Nino told me that I should stick to things that I know. So I picked most of my stocks based on the things surrounding me.

I picked Time Warner Cable because my home internet is provided by them. I chose Fedex and UPS because of the shipping depot job. I picked WWE stock because I still watched wrestling. I had Electronic Arts and Take-Two Interactive because I always loved video games. I picked Sirius because I still love Howard Stern (though not as much). I have General Motors because I own the Jeep Cherokee. I had Wells Fargo because it holds the mortgage on Property 2 and Chase because I do most of my banking through them. And yet, of all the stock I track, I only make real money with the airline stocks. And, to be honest, I don’t care enough about these things like I once did. I like the old school video games like Super Mario and old D&D games that they don’t make anymore. I listen to Howard through Youtube, and even then it’s only once in a long while. Just because I like the product doesn’t mean I’ll like the stock.

Take Apple for example. I have no Apple products. I don’t even like Apple products. But they’re on my watchlist because I like their stock’s pattern. I barely ever fly anywhere, yet I made most of my money with airline stocks. Just recently I happened upon Groupon’s stock. I didn’t know what Groupon was or why they exist, but their stock pattern was extremely sexy and I quickly put them on my watchlist. I found their sweet spot and now I can just sit back and wait.

WWE was the only anomaly, where I liked both their stock and their product. But, after watching Wrestlemania 31 and a couple Monday Night Raws this year, I can honestly say that I have no faith in their product. It’s so boring and I couldn’t get through the shows without fast forwarding. Once their stock tanked, their pattern (which was weak to begin with) tanked with it. It’s currently off my watchlist, but I do check the stock from time to time.

I guess for some people it’s good to trade what you know. But for me, I pick stocks based on patterns I like. So I’m gonna do a list of my current watchlist, and any stock I see that I have no reason for, it’ll probably be off by the end of May. Doing this will also remind me of what stocks I should be paying more attention to.

Groupon (GRPN): Pattern

Tesla Motors Inc (TSLA): Pattern, Susceptible to news and planned announcements

Starwood Hotels and Resorts World (HOT): Pattern

Apple Inc (AAPL): Pattern

Twitter Inc (TWTR): No reason (had a pattern, but ruined after terrible earnings

Facebook Inc (FB): Susceptible to news and planned announcements

American Airlines Group Inc. (AAL): Weakest pattern of all my airline stocks

Hawaiian Holdings (HA): Airline stock; good pattern

Delta Airlines Inc (DAL): Airline stock; strong pattern

Jetblue Airways (JBLU): Airline stock; good pattern but quickly becoming unpredictable

Southwest Airlines (LUV): Airline stock; strong pattern

Microsoft Corporation (MSFT): No reason

Pandora Media (P): No reason; unreliable patterns

Sirius XM Holdings (SIRI): 2014 pattern was good; 2015’s pattern not known yet

Ford Motor Company (F): Very weak pattern; no reason

General Motors (GM): Same as Ford

Fedex Corporation (FDX): No reason; pattern based on too many factors; may keep based on relation to UPS

United Parcel Service Inc (UPS): Decent pattern

BP p.l.c (BP): Kept to signal Airline buys

Seadrill Limited (SDRL): Same as BP

Solarcity Corporation (SCTY): Great pattern in 2014; 2015 is still undetermined

Trina Solar Limited (TSL): No pattern; too high to buy; no reason

Wells Fargo & Company (WFC): Decent pattern

JP Morgan Chase & Co. (JPM): Decent pattern

Blackberry Limited (BBRY): No reason

Comcast Corporation (CMCSA): Movie stock

Walt Disney Company (DIS): Movie stock

Sony Corporation (SNE): Movie stock

Lions Gate Entertainment (LGF): Movie stock

Dreamworks Animation SKG (DWA): Movie stock

Target Corporation (TGT): Good 2014 pattern; 2015 undetermined

Best Buy Co. Inc. (BBY): Decent pattern

World Wrestling Entertainment (WWE): Erratic pattern; company in transition with WWE Network; no faith in the current product

It's important to note that the market can change a good pattern at any time, and then I have to decide whether to wait for the new pattern to develop or drop the stock altogether. Movie stocks are my new thing, and I’ll be focused on them along with my usual airline stocks. Let’s see how it all goes.