I went short MON as it pulled back to resistance levels via a bearish flag pattern.
Gold ETF GLD recently broke out over $100, an area that has provided major "round number resistance" the past two times GLD tried to breakout. When a "major" ETF or market leader breaks out over a number like $100 after basing around that area for a significant amount of time, I consider it an automatic... Continue Reading →
I posted the SPY chart that I sent to subscribers last night without any annotations and a few blog readers weren't quite sure what the chart meant. The key is the two line drawn and support and resistance. If SPY gets close to the top line (around $93-95), that sets up a great short entry.... Continue Reading →
I currently have only one positions (SPY at $84.03). The chart below show looming resistance levels, which correspond with my targets.
Following the recent breakdown, old support has become resistance. This offers a low risk short entry near R levels.
Reliance Steel (RS), reports earnings this week and has a nice looking earnings setup. The stock is basing just under resistance, so a positive earnings report could set the stage for a breakout move to new high territorry. I will likely place a buy stop just above resistance.
Based on the annotations to this chart of EWZ, I would be a buyer on a high volume break of $50, or a low volume pullback to $$47. The key to this chart is not only the support and resistance levels, but the pickup in volume. This indicates institutional interest. The stock has moved to... Continue Reading →
While my post after the market close reaffirmed my bearish stance, I am finding more and more solid long setups. The health care sector is smokin', with stocks like HRT and ROCM leading the way.In this market environment, the only longs I'm willing to trade are stocks with high volume breakouts over major resistance levels.... Continue Reading →
I've traded these stocks so much that past few days, they feel like family. I bought 500 shares of QID at $55.86. I've been trading in 1000 share blocks, but I'm not sure that there won't be more of a bounce in the Q's, so I'm keeping the position size small. If we see QID... Continue Reading →