Late Updates

After 1 week of no updates, because I've been busy with my other blog, I have finally some free time to make regular updates on nanotechstocks Blog.

For the next week I will continue with the quick fundamental analysis of the stocks were watching, and hoping to find the best setup for a middle term trade/investment. The Markets had quite an impressive rally and there is a risk we might not be at the right time to start some long term trades.

Looking at the nanotech index we still have some room to grow for this year's performance since the S&P and the NASDAQ are already on positive territory for this year and the nanotech sector might get some opportunities to keep up.


For the next couple of days we will continue to look for some good combinations of technicals+fundamentals in nanotech related companies.

Today I have found another interesting news site about nanotechnology: Nanotechnology Now
And I'm still trying to find good investment/trading sites that track and comment on the daily performance of the nanotech sector. Finding a good niche information site with updated analysis/news on this upcoming industry is still rare. Too much techstocks and biotech stocks and not much attention to the nano materials in particular.

More updates on Monday!

Looking for technicals

After deciding the entry point based on the nanotech index we must start looking into individual stocks.

Before fundamentals we want to make sure we are buying into Bullish looking stocks and not trying to guess a bottom on a falling stock. Considering how fragile the nanotechnology sector is, using technical methods before looking into the fundamental data is a much better method considering the fragile fundamentals of emerging technologies like this one.

I'm going to do a quick look at some individual stocks that belong to the Merrill Lynch Nanotechnology Index($NNZ)and the Lux Nanotech Index($LUXNI).

I've selected only the up trending stocks and later will remove any of these stocks that show poor fundamentals (based more on grow than value).

So here it goes, charts with small commentaries:


Nice uptrend on AFCO that shows how important the horizontal resistance is in the 28 Dollar line. Any move above that price should be a good reason to buy.



Seems to want to leave the downtrend of the last month, with a good rally in the last two months. Volume spikes seem to support this rising price.


Already on an uptrend after moving sideways on a trading range in late 2004 and the first months of 05.


I like the way this stock broke new highs. We should see support at $35 and the continuating of this midterm uptrend.


Nanometrics may be starting a new uptrend after making a top in last December. We must watch the $12.6 resistance price carefully.


SMMX is on a new uptrend and the current price must not be very far from the uptrend support line. The immediate target should be the highs of December.


The same here applies, TINY is in the same situation of SMMX but with more room to grow.


Great uptrend too, breaking the 20 Dollar mark, I would like to see breaking the highs of last month.

Tomorrow I will probably make some investment decisions by crossing the technicals with the fundamental information. Unless the markets start declining a lot and breaking support lines, we should see some buying opportunities on the nanotech sector in the next days.

See you soon!

Timing the Market

Since the start of this rally last week, some very good opportunities came along on the tech stocks, with the S&P and NASDAQ reaching new highs this year.

Since we are looking for the mid and long term performance, buying now could not be the answer. There are some interesting charts out there and for now we should look into technical factors to find a good entry point.
Using the Merrill Lynch Nanotech Index we get a better view of the nanotech industry and not of the general performance of the markets.

While I might wait for the end of August to start buying some mid term stocks there are some interesting stuff right now altough we might be in some short term top right now.

I will leave the NNZ chart here and later this weekend a more detailed analysis of some interesting nanotech companies and charts.

Merrill Lynch Nanotech Index

Considering that this Blog will only invest on the nanotechnology industry, trying to benchmark the performance against the S&P 500, Dow or other index would not be entirely appropriate. Unless the nanotech company's performance keeps following the S&P we should not have a problem with but maybe we should use another more useful benchmark for this Portfolio.

The Merrill Lynch Nanotech Index is composed of 25 companies. In each of these companies a significant portion of their future profits is tied to nanotechnology and because of that the "Big Boys" such as IBM, GE, 3M or Intel were excluded from this index.

We will keep tracking the performance of the Blog Portfolio against the performance of this index and the S&P 500. We will be trading companies that probably are not listed on the Merril Lynch's Index since there are many companies that profit from biotechnology and other types of nano materials that are not yet considered nanotechnology.

Here is a link to the 1 year chart of the nanotech index: Nanotech Index

Later when the US Markets open I will check some charts and make new updates.

Nano Tech Stocks is Back

After two months of no updates I’ve decided that it’s time to put this blog back to work.

Taking action now

Nanotechnology is still an emerging science/technology and there are plenty of websites/blogs about the nano world. Many are hyped and unrealistic but many are serious and contributing to the widespread of good information about nanotechnology. I recommend everyone to check the “nanolinks” and read plenty of information on these sites about the fundamentals of nanotechnology.

The objective of this blog is not to talk about nanotechnology and its utopian dreams, although we might link to places that do, because there are plenty of sites and hundreds of articles regarding this.
It is up to the investor to digest that information and take action!

The “nanotech stocks” blogs is about taking action in the markets, search for good valuation and technicals for entering in new trades/investments. The sooner we pick those companies, the better we can analyse and see what are the next ‘Coca-Colas’ and ‘IBMs’ of the nanotechnology industry.

There is already many companies to choose from, but I will check some rules before buying any company stock.

-The first is liquidity, and that means leaving some ‘nanocaps’ behind (for at least now). If a promising small/nano cap stocks starts really growing, volume will go up and only then we will pay attention to that ‘emerging’ stock.

-Good fundamentals might not be on the side of many new and small companies, but good expectations, new products and even speculation are good factors to consider in an investment.

-Technical factors. For the short term, technical analysis is the best method for timing a good entry point in a stock, and in the long terms its better to have a good mix with fundamental data and speculative data. After all what nanotech is today was just speculation one or two decades ago.

With all these in mind I will be making a Portfolio (or Blogfolio) of nanotech stocks this week and keep tracking the performance for at least once a week and check possible changes on the Portfolio since that are many IPO’s coming out, and we don’t want to miss some of them, even if it’s just hype. We should catch good market bubbles and leave when the alarm signs show up, by checking broken trends, sentiment or just stops. After all, that’s what good investors/traders did back in 1999 and 2000.

More updates on the stocks later this week.