Paul J Singh

Category: short setup

  • 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.

  • X Short Setup

    A few more days of bounce would cause X to seup as a nice bear flag short candidate:

  • Covering the Commodity Shorts For Nice Profits

    I could not have asked for more from the PCX, FWLT and POT trades. I covered my entire positions and may short again on strength. Note on the charts below that there is still room to fall. Those of you who have been with me for a while know I…

  • The SPY Failed Breakout Trade

    On August 12th I went short SPY around $131 (actually used SDS) based on the “failed breakout scenario” I noted in the trade report. While it’s been a bumpy ride, the trade is really starting to take off now. This is a good example of how important it is not…

  • Commodity Game Plan

    I know a few people who are using this morning’s bounce to deploy more energy shorts. However, I’m going to wait for a few more points to add to my existing short positions. While I agree we may get a quick drop here, risk/reward is not great until we get…

  • MOS Trade

    I’ve decided to increase my short position in MOS, with 200 shares at $89.61 (update: sorry about the typo–that’s 108.61).

  • Stalking U.S. Steel

    I am currently stalking X (US Steel), waiting for some low volume strength to get short. I’d like to enter as close to the 200 day MA as possible.

  • Trade Update: QLD and MOS

    I went short 400 shares of MOS at $109.11. I highlighted this stock in the blog last night as one of my favorite commidity related shorts. See my last post for the setup. My stop is around $115 with my initial target at $95. This is where I would take…

  • It’s Time To Short Commodities

    Over the past week I have been watching for the commodity bounce to reach resistance and begin to fade. We are nearing that point in many commodity stocks. I will likely stay away from energy, as I do see more room to the upside for oil. This could boost energy…

  • SPY Breaches Key Support Level

    As I noted in the member only Trade Report two days ago, I took an early entry short position in SPY (via short ETF SDS)based on the idea that a failed breakout could lead to big gains, while continued up move would stop me out for only a small loss.…

  • Trade Update: JRCC

    I took a small short position today in JRCC. The stock has been in a strong topping downtrend and has pulled back up to the 50 day MA. Stochastics are near overbought levels and volume has been average on the pullback. This is a low risk entry with stop placed…

  • Short Entry: COH

    This morning I went short 200 shares COH at $28.10. Poor OBV and overbought stochastic reading during what looks to be a short covering rally make this entry attractive. The stock seems to be failing at the 20 day MA. I will place my stop above the recent highs (above…

  • The Line

    I could not have imagined the QLD trade working better than it has. I took partial profits at $72.88 today (entered at $67.88, as noted in the free trial of the Trade Report) for a $1250 gain (+7.3%). I’ve moved my stop on the remaining position up to my entry…

  • The New Edition of the Trade Report (July 16)

    In the free Wednesday edition of the Trade Report, I discuss: My QLD entry, this crazy market and relative strength A few recent positions, X, ILMN and JOYG Bearish engulfing and flag setups The Weekly Watchlist Diversification by way of setups. Tuesday Report Monday Report Yes guys, I do know…

  • Anatomy of a Trade: WYNN

    I shorted 500 shares of WYNN 8 days ago at $85.03 based on a “dirty bear flag” setup. While technically not a bear flag, the stock had broken support on was pulling back up to the resistance point. Volume distribution pattern was bearish, meaning heavy down days with low volume…

  • Today’s Trade Entries

    As noted this morning, I went short coal, natural gas and steel stocks this morning. Here are the trades: Short 200 shares of ACI at $65.24 (closed at $62.23). Short 100 shares of APA at $123.37 (closed at 116.96). Short 100 shares of X at $163.56 (158.17) Short 200 shares…

  • A Short on the Bounce

    If we get a bounce, as I have been setting up for, the market will take some crappy stocks with it. Once these stocks near resistance levels, that’s when I will switch from my short term long bias and establish more shorts. This chart of WYNN is a good example…

  • Trade: WYNN Short

    I went short WYNN today at $85.03. I only took a small position because I could a move up to the 20 day moving average. I would likely take a full position at that level.

  • After the Bounce: What’s in Store for the S&P

    As noted at the end of last week, I have positioned myself for a bounce. However, these plays are short term and I will use the bounce to deploy a number of short play. Here is the plan for the S&P. This chart annotes SDS, the inverse S&P short ETF.…

  • PCX: High Risk and High Reward

    PCX has been the killer momo play for 2008. The stock has more than tripled, and has been relentless since breaking out in April, going from $50 to $150 in about two months. When I say relentless, I mean relentless. In that span, there was not even one high volume…

  • TBSI Still Looks Like an Attractive Short

    TBSI, and other dry bulk shippers, have put in topping formations and dropped enough that it’s tough to enter short right now. However, there still is room for further downside. I expect to see a bounce soon and may enter short if it’s of the “dead cat” variety. The March…