Paul J Singh

Category: overbought

  • AAPL: Speculative Short Trade

    I went short AAPL today. Overbought and lots of space between price and moving average.

  • SPY Short Setup

    I like SPY as overbought short setup. Overbought and into resistance w/ little consolidtaion or pullback. http://chart.ly/qdyyrw

  • Trade Entry: ACI (short)

    I am short ACI at $28.05 based on the extreme overbought readings in stochastic, along with extended price action. This coal setup was featured in the Trade Report last night, for short on strength at the open.

  • FCX and PCU: Great Long and Short Setups

    PCU and FCX are on fire. Technically, they look great on a pullback to support for long entry. However, they are very extended. Take a look at the distance from the 50 day moving average. I think we are due for a snap back. I will likely short on more…

  • SKX Ready For Pullback

    I took a short position today in SKX. The stock is extended and today’s indecisive price movement on high volume leads me to believe a pullback is in order.

  • Speculative GOOG Short

    While GOOG is on the bullish focus list and I am high on the setup on pullback, it is very overbought. The two period RSI is off the charts extreme. I took a small speculative short position. My stop is at $526. Target is $510. This gives me 2:1 risk…

  • Low Risk AMZN Short

    AMZN has been a great “extremes” trade (stochastics 90+ and extended price) for the past few months, both as a long and short. The stock is again extended, and offers a low risk short opportunity. Entry here with a tight stop offers a favorable a reward to risk ratio. Allow…

  • My Current Postion: AAPL Short

    Last week I posted about APPL showing signs of pulling back, but still being a tough read. As Report members know, I decided to short on the once it made a thrust to $170. Overbought conditions, distance from the 50 day moving average and a negative divergence in RSI made…

  • Is This Breakout Sustainable?

    The market and leading stocks are breaking out after a short consolidation period and overbought readings that are still extreme. Due to the extreme overbought readings, I’m taking a few “speculative” shorts. However, they are done with caution and small positions size. The idea behind these trades is to expect…

  • Monday Game Plan and Free Trade Report

    Here is the strategy I laid out for subscribers to start the week: http://docs.google.com/View?id=d5z8q8w_1205gxt3rxp3 The market is in a very bullish made right now. As we can see on the SPY chart, RSI confirms the recent breakout over resistance, as it makes new highs along with the index. The volume…

  • Exiting Short Positions

    Here is an alert I sent subscribers this morning: I was stopped out of the SPY short (via SDS) for a small loss. Also exited most shorts. I am NOT taking on any short positions. This is not an orderly pullback. Instead, SPY is showing a strong breakout bar. We’ll…

  • Today’s Trade: SDS

    I am shorting SPY using inverse ETF SDS. SPY has reached resistance and is very overbought. This is a recipe for a pullback, as it is very hard to make meaningful advances after a big run up and extreme overbought conditions. The trade is low risk and offers a decent…

  • More on the Overbought Status of Apple

    Last night I talked about the “rubber band” short setup for Apple. If the stock heads into the close with the same candle pattern that has emerged this morning, I would expect a pullback based on an early “evening star” candle formation. My testing and experience tells me that this…

  • Against the Apple Trend

    AAPL is on my bullish watchlish. Why wouldn’t it be? It has a great price and volume pattern, and has shows relative strength versus the S&P 500. However, the stock is very overbought. Every one of the measures I use to find “rubber band” setups is off the charts. I…

  • The Simple SPY Strategy

    My strategy for trading SPY is about as simple as it gets right now: Short strength and buy weakness. I will look to enter long on a pullback to the 200 day moving average. My “rubber band” short setup triggers on continued strength close to $100.

  • Monday’s Game Plan and Market Notes

    Here is my plan for the market this week. The member only “Trade Report” also included my focus list, consisting of the stocks I plan to trade if we get a pullback. Market Notes: As I noted last night, the cup and handle pattern emerging from a bottom formation looks…

  • Game Plan for Friday

    Here is the game plan for Friday, taken from today’s Trade Report: (See this post for a free seven day trial and 30 minute private chat) Market Notes:   The market drifted up today on decent (but not great) volume, and is nearing the $85 resistance level.  Stochastics are very…

  • Trade: SDS

    I entered 400 shares of SDS today when my buy limit order was hit at $88.15. I don’t do this often, but I am using two different stops for this trade. Half the position has a stop just above $78, while the other half is above the 50 day moving…

  • SPY at a Glance

    The doji candle printed Friday, which follows a bounce on low volume with overbought stochastics, leads me to believe we’ll see a pullback this week.

  • Trade: GLD

    As noted in yesterday’s Trade Report, I went short GLD @90. My stop is around $93 with an initial target in the $84-86 range. The chart I posted Sunday night details the strategy for this trade. GLD has provided an excellent reversal trade the last 11 times stochastics have hit…

  • Oil Trade Exits

    I exited both of my oil trades today for nice gains. Whereas my entries were based on an extremely oversold oil market, today’s exits were based on overbought readings. Price is nearing resistance levels while stochastics are nearing extreme levels. More strength would provide a good short entry.