The Ambitious Trader: Stocks, Trading, Investing..My Ambitions as a Trader and Investor

This is a one way ticket that takes you on a wonderful journey into the vast world that is the stock market through my eyes, my point of view.

Saturday, September 03, 2005

I don't have to be a chemist to tell ya....

NL Industries Inc. (NL) is a great buy at 14.56. You gotta love the chart on this one. It seems as if its only a matter of time before the stock blasts thru the 50day MA and begins its new upward journey. NL Industries is in the Speciality Chemicals industry.

NL Industries (NL) 1yr chart

Besides a huge surge in daily volume this past Friday (9/2) approximately +152% (volume), I also noticed Insider buys have been on the upside as well. Insiders bought around 151,000 shares at an average price of 13.66. That's not that far off from 14. This translates to over $2,000,000 worth of stock. Not bad at all!

Approach: You can head in the next market day if you want. I would keep an eye on it, as it can dip to low 14's even high 13's before going back up. Regardless, it is still a safe buy at this point.

Time Frame: I would call this an Intermediate to long-term trade. Don't put all your money into it and shoot- first- and- ask-questions later when you get a decent run-up. Remember this is a trade, not an investment.

Target: First target should be filling in the smaller gap at 18.00 After that I think it go and complete the big base at 22.05

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