Tuesdays Game Plan

Gold was the strongest sector yesterday closing way ahead of any other sector. I will continue to focus on gold stocks today and pay particular attention to the financials sector. The XLF ( financial sector ETF) is at a key resistance level that was tested yesterday without really breaching it and without really closing below it. The SPY's chart is similar to the XLF chart and a breach and hold above the 125.85 level could be very bullish for the market however, if we open higher and come back in then I expect the market to go down.

Longs:

Gold stocks ( ABX, SLW, AU, NEM)
AKS
JPM
STI
COST
DD


Breakouts:

DOW>34.50
Shorts:

EBAY
MCD

KGC Volatility Breakout

Heres a chart of KGC, a stock in play for today.

Mondays Stocks In Play

With it being the end of the year few stocks if any are in play at this time of the year. OIH is hovering right under a key resistance area and if it breaks out it should should shoot up. Other then that energy seems to be the sector that is catching my attention at the moment.

Longs:

VLO
CVX
CHK
NUE
ALTR
COST
JPM

Breakouts:

KGC: Volatility breakout in either direction. On the daily timeframe this stock has been forming a triangle and on the hourly timeframe its in a box.

ABX> 52.20
DOW>34.50
NOV>66.00

Shorts:

EBAY
AKAM
UAL

2011

I am finaly back from my vacation to Thailand, had an excellent time there and was able to recharge my batteries. I am in the process of preparing for 2011 while also reviewing 2010. I have taken the time off to prepare myself for the up coming year. 2011 will be a very interesting year as I believe its going to be my year. In 2009 I made huge leaps forward and by the end of 2009 I could only hope that 2010 be like 2009 but to my surprise, 2010 far any expectations I had. In 2011 I believe that I will make even further leaps in my trading performance, I will work hard in tackling key issues that hindered my trading performance in 2010. After extensively reviewing my work, I have come to the conclusion that in 2011 I need to focus on the following goals:

1- Learn how manage and trade better during slow market conditions when volatility slows down.

2- Learn how to recognize and master different market conditions for both the FX and equities markets and develop new methods for trading those different conditions.

3- Discover and learn new market edges from different sources and form my own edge.

4- Master reading the tape in both the equities and FX markets.

In 2011 my main objective is to learn how to treat the market differently during different conditions, I believe that by doing so my executions would improve and that in return would reduce my risk which would increase my win rate and ultimately make me more profitable.

All the best in 2011!

Tuesday's Game Plan

Longs:

HAL
AXP
SLB
XOM
BRCM
ALTR

Breakouts:

BHI>51.10
STI<23.30
INTU<44.20
LLTC>33.25
TJX<44.90

Shorts:

MET
ABT
BA
T

Monday's Game Plan

The SPY is stuck in a range at the moment between 120.40 and 117.60. Unless the market breaks out of this range, price is currently in no mans land. Price has to break out and hold above either direction to set the tone for the next move. The QQQQ and DIA are both similar to the SPY as the both are stuck in their own ranges. The strongest two sectors being the RTH and SMH and the weakest being gold and commodity stocks as the USD rallied on Friday. The open will be crucial in assessing the upcoming day and how the market absorbed the news releases that took part this weakend.

Longs:

AKAM
SNDK
HON
BRCM
JNPR
SBUX
ALTR

Shorts:

ZION
CSCO
ABT
BMY
BA
MRK
ALL
PRU

Breakouts:

JCG>38.00
BBY>35.50
EBAY>31.20
INTU<44.20
SUN>40.60
AVP<28.40
AMGN<53.40
LLTC>33.30
AET<29.60
T<27.90
ADM<29.00
BHI>51.10

Finaly Am Back!

I am finaly back after Omantel fixed my connection issues, so thanks to them. During my time out, I had all the time in the world to analyze my offline FX charts and heres one that I analyzed.

Tuesday's Game Plan

Well not much has changed the SPY as its still in its range 120.40 - 119.40. The market attemped to go below 119.40 but the market rejected lower prices sending prices back into the range. This false breakout was bullish. If the market open inside this range, the market will be choppy. However, if we breakout of this level I expect to see some volatility. SMH as it a key level of resistance at 31.30 and a break could send the entire tech sector up. This being said, XLF was the weakest sector yesterday signaling a disconnect between tech and financials. When ever these two are not in sync, the market tends to become choppy.

Longs:

SNDK
HUM
JCG
BBY
BRCM
ALTR
COST
SLB
KO
USB
HAL

Breakouts:

MCD>79.90
TRV<54.50
ALL<29.60
EXPE<25.40

Shorts:

ABT
ZION

Monday's Game Plan

Another inside day for the SPY on Friday means that little has changed. The market is still rebounding after the weak down move and could go either way. The open will be crucial to determine the intraday direction on Monday.


Longs:

BRCM

KSS

UAL

ALTR

TXN

SLB

HAL

XOM

HON

Breakouts

WLP> 59.00

URBN> 37.50

JCG> 37.50

MCD> 79.90

ABT< 47.40

BK> 28.20

Shorts:

CSCO

BA

Friday's Game Plan

The market was strong yesterday in the morning where we saw a burst in price, to then retrace most of that most of that move during the day. The market is mixed today, with options expiration being today. I expect it to be a slow day today after the morning session. EUR/USD is weak today and that might reflect on the markets.

Longs:

HAL
BHI
VLO
KO
HON
XOM
COH
JNPR

Breakouts:

BK> 28.25
TXN>31.60
KSS>54.30

Shorts:

CSCO
HD

Thursday's Game Plan

The market is at the same position that it was before yesterday, nothing much has changed as we had a neutral inside day yesterday. The market is unclear at the moment and its best to step aside until it clears up or take out yesterdays inside day as a minimum. We are still in a bull market and any short trades will be countertrend trades.

Longs:

JCG: A long after the massive breakout yesterday.

SLW: A long that formed a swing low on the daily.

TGT: A long after its key resistance level of 55.50 was taken out with price closing at 55.62.

NOV: A long on this very strong stock. Key level at 59.80

COST: A long after yesterday strong up move. Price held really well.

URBN: A long with IPT at 38.10

SLB: A long after price bounced at the day befores low to hold at the 2 day lows. Looks like a bullish flag on the daily.

EBAY: A long that formed a bullish U-Turn yesterday even though the market saw some weakness come out of the tech sector.

TXN: A long that is forming a pennant.

Shorts:

MRK: A sell short after the weak day it had yesterday.

ABT: A sell short that had an inside day yesterday. Looks really clean on the hourly.

GLW: A sell short with room to go. IPT at 17.00

CSCO: A sell short that continues to demonstrate weakness.

Breakouts:

TJX: In a range, could break either way.

ALL < 29.60

CVX < 81.90

Wednesday's Game Plan

The market declined yesterday with most major ETF's declining and testing the 50 SMA. The weakest sector yesterday was gold as it demonstrated relative weakness compared to the market. We are in transition mode and could go either way. However I remain bullish till proven otherwise and even though most of my stocks sold off yesterday I remain careful anticipating the buyers to come back. In markets like these its best to either take the most obvious trades or do nothing.

Longs:

BK: A long that has been strong for a while now and is forming a bullish flag on the daily. 28.00 is the level to watch on this stock along with the XLF which is its sector.

USB: Strong stock that held at support yesterday .



Breakouts:

LLTC< 31.00

AVP< 28.40 , AVP> 29.00

ALL < 29.60

WLP < 55.90

Shorts:

KSS: 1-2-3 top on this A sell short that has been forming consistent lower highs and lower lows.

ABT: A sell short thats clearly making new lows every day and has room to go before a major support level.

GE: A sell short after the 1-2-3 top on the daily and the moving averages demonstrating weakness.

PRU: A sell short after yesterdays price action. IPT at 52.10 then at 51.00

CSCO: A sell short that is still weak and took out major support yesterday on above average volume and held.

GLW: A sell short with room to go. IPT at 16.90

Tuesday's Game Plan Happy Eid!

My bias is kinda neutral at the moment, with the SPY forming an inside day yesterday after it went no where. The trend is still up and this small down move is nothing but a pullback on the higher timeframe. I am in stand aside mode at the moment unless the market becomes clear as its not worth the risk. In times of uncertainty it is to do nothing.

Longs:

SBUX: A long with room to go. Price has to go above 31.00

Breakouts:

COST> 66.00 long.

LLTC < 31.00

MO< 24.50

KSS< 50.80

Shorts:

ABT: A sell short that is obvious with room to go.

UNH: Weak stock that formed a top the became range bound for about a month before it broke down on above average volume. Price also managed to close below the 50 SMA which further emphasises UNH's weakness

Thats it! Short list today is the market isn't obvious!

Monday's Game Plan

The market on Friday was weak with the SPY closing down. On the daily time frame the SPY failed to take out its key resistance level at 122.00. and came right back in. The XLK closed at its key level and is yet to breach it. XLF on the other hand has already sunk back into its previous range on average volume. Technically speaking, we are still in a bull market and this short term decline could only be a pull back in the big picture. The SPY and QQQQ are still comfortably above the 50 and 200 SMA and the volume on the down days have been either average or below average signaling that a top is yet to form.

Longs:

DIS: A long that saw some massive volume right below its key resistance level at 38.00

JNPR: One of the strongest stocks from the tech sector on Friday after it closed at the highs and taking out its former range on above average volume,

VLO: A long the a demonstrated relative strength compared to the market on Friday.

XOM: A long that is still going strong.

HAL: A long that should only be looked at if its above 36:00
Breakouts:

TJX> 46.00

LLTC< 31.00

AMGN<54.00

JNJ<63.30

USB< 24.50

Shorts:

BMY: A sell short, this stock is also a stock in the weak XLV sector. IPT at 25.65

ABT: A sell short that sold off on decent volume on Friday.

Friday's Game Plan

Yesterday the SPY, QQQQ and DIA started the day off weakly and came right back up, typical price action of a bullish market, Price actin over the past 5 days had been really choppy but in the big picture, its nothing but a pullback after momentum. 112.50 Is the key level to watch in the DIA and 120:00 in the SPY. If prices come back into that range and close for the day then thats a bearish sign that things might be changing, so far shorts havent been working out due to the strong market but that might change soon. Commodities were the strongest sectors yesterday lifting the market a little bit with Tech and Financials starting the day weak but recovering into the day. I will keep an eye on commodities today as they led the market up yesterday.

Longs:

HAL: A long after taking out key levels in the afternoon session yesterday.

VLO: Another A long on above average volume in this energy stock.

CVX: Took out key resistance at 86.00 and closed above it. I expect some follow through if prices hold above 86.00

XOM: A long that is almost vertical on the daily charts which demonstrates the strong order flow in this stock.

Breakouts:

UNH>37.50

SLB>76.40

NUE>40.95

JNPR>35.00

ADM<30.50

Thursday's Game Plan

Gold and commodities sort of rebounded yesterday after the sell off the day before signaling that the market isnt clear on a direction yet. I expect the market to consolidate and chop around before it sets a new direction. The SPY also failed to go below the day before and came back up to close at the highs, signaling that the buyers wont let go of this market easily. I expect a choppy day today as its a holiday in the US and banks will be closed.

Longs:

VLO: A long after breaking out of its key levels.IPT 19.96

WLP: Has been showing consistent relative strength in a relatively weak sector (XLV healthcare) Should XLV bounce then WLP is my play in the sector.

COP:  A long on this energy stock that followed commodities up yesterday. It is also strong on every timeframe.

WFC: Bullish flag on the daily chart after a momentum push. XLF has been strong in the past few days and WFC has been demonstrating that strength, should the XLF sector act strong again, Ill look at WFC.

USB: Another strong financial stock that is almost identical to WFC.

JNPR: Strong stock in the tech sector. It had been consolidating for the past few days, should this stock go above yesterdays range then that would give it alot of room to the upside.

ALTR: Strong stock and almost identical to ALTR.

XOM: Strong stock in the XLE sector that has room to go above yesterdays range. IPT at 72.10


Breakouts:

INTU > 49.00
Shorts:

MRK: Weak stock in a weak sector. IPT at 34.50

AMGN: A sell short that probably saw some short covering yesterday after it came back to close in the highs on average volume. Should we get some sort of continuation then the low of yesterday is a nice profit target.

Wednesday's Game Plan

The market sold of on Tuesday and came right back into the key levels it broke out from, it also looks like a double top in the SPY. Sellers were active in gold and commodities with GDX selling off hard and possibly forming a buying climax, they say price precedes news and that a top is in sight when sentiment is at its most positive, that might be the case in GDX as demonstrated in the chart above. Today I'll be cautious as we are still in a bullish market and a significant move in one candle or day in the opposite direction doesnt invalidate the trend. Other then gold, silver the sell off yesterday might have signaled a top in those markets but the other sectors are still intact, it remains to be seen whether those commodities drag down the market.

Longs:

XOM: A long even after yesterdays sell of, price is still holding above 70.00.

TXN: A long that has been pausing on very small candles after the push up

ALTR: A long that has been one of my favorite stocks so far, very readable and tradable

 Breakouts:

LLTC > 33.25

ADM < 30.50
Shorts:

AMGN: A sell short with room to go after it took out support. IPT 54.00

ABT: A sell short with some room to go. IPT 49.71 - 49.00

HGSI: A sell short that has room to go. IPT 23.25

NEM: My short play in gold, had a massive sell off yesterday. IPT 57.85.
MRK: A sell short that sold off on massive volume yesterday . IPT 34.50

Tuesday's Game Plan

Yesterday was another narrow day on low volume, the SPY closed up for the day on a melted candle on below average volume and thats bullish. Gold was the strongest sector yesterday followed by commodities and oil stocks. Should the market and SPY hold above 122.50 level today then I'd consider that really bullish. However, if we fail to hold above and start coming in then that would signal some weakness, and next support is at 120.00. I wont short this market aggressively if I sense some weakness as we are still in a bullish market.

* After going through my entire list, I came to the conclusion that the weak day in the financials sector was probably due to profit taking after the massive day on Friday as most declining stocks in the sector were on below average volume.

Longs:

ABX: A long that out performed yesterday and demonstrated relative strength in the market after it reflected the strength in gold.

GG: Same as ABX

WLP: A long that broke out of its key level at 58.50 with its next IPT at 60.00. WLP reacted rather strong even though its in a weak sector at the moment which is the healthcare sector XLV, and that relative strength could provide a good opporutnity to go long today.

ALTR: A long and one of the strongest stocks from the SMH and technology sectors.

NEM: A long after the 1-2-3 bottom on the daily chart. yesterday this stock broke out on decent volume and I expect to see some follow through today. IPT 63.60

MS: A long after yesterday price action and even after the relative weakness from the XLF and financial sector this stock closed strong. IPT at 27.80

TXN: A long and a very strong stock that had an inside day.

BK: A long that held relatively well compared to the XLF sector after the massive breakout on Friday that could have been profit taking.

WFC: Same as BK.



Breakouts:

HAL > 33.50

HPQ > 44.60, IPT 46.30

COP> 62.60

DD> 48.50

Shorts:

MRK: A sell short that had an inside day after it broke out of its key level at 36.00 and another weak stock from the XLV sector.

HGSI: A sell short that sold off on Friday and yesterday after it followed the weakness in the XLV sector.

LVS top?

Heres a chart of a stock that I never traded as it is involved in the Casino Industry. Its a stock that many professionals had been trading , and had jumped from $16 to $55 since the begining of the year. I have been monitoring this stocks progress daily and on Friday I noticed a potential short term or long term top in the stock.

Monday's Game Plan

On friday the market held above the key levels it broke out from, at first sight this would indicate that the market has accepted prices above resistance however, volume was low on the day the market held above the key level and whether prices remain above 122.00 in the SPY remains to be seen. That being said, the financials and its ETF the XLF were the strongest sector on Friday, that is positive for this market as the market usually follows the financials. XLK along with the QQQQ's on the other hand had an inside day on Friday and that might have curbed the bullish momentum a little bit. I remain bullish till proven otherwise.

Longs:

WFC: Finaly cleared its key levels and breezed passed its 200 SMA with ease. If prices hold above 29.50 then thats exceptionally strong for WFC.

BK: A long that cleared some key levels and took out its 200 SMA with ease on Friday, this stock also followed WFC footsteps and the XLF in general.

USB: A long with room to go after doing the same as BK and WFC. IPT at 27.00

ALTR: A long that is exceptionally strong in the XLK sector.

TXN: A long which and another very strong sector from the XLK sector.

XOM: A long that as long as it holds convinsingly above 70.00 has alot of room to go. XLE.

HON: Held up really well above its 49.00 key level, the volume was also very impressive on the breakout even though the candle is small. XLI.

TRV: A long on this XLF stock that also held well above its key levels, this stock has also been one of the strongest stocks in the sector.



Breakouts:

NUE > 40.90

NEM> 62.00

LLTC>33.00

Shorts:

MRK: A sell short after clearing some significant levels, 36.00 to be precise.

HGSI: A sell short that reacted pretty weak on Friday as this it sold of hard.

Friday's Game Plan

We finaly had our broadbased move yesterday after the market took out key levels and held. XLF finaly broke out yesterday, and it did so on above average volume! XLK also gapped up and held convinsigly and XLE had a bullish fuel candle day on above average volume. I am only looking to the long side today and I'll be looking to trade my plan.

Longs:

M: Finaly took its 25.25 level with above average volume. RTH also has a strong day, I expect follow through today.

AU: A long on this gold stock that had a strong up day yesterday as it followed the strong gold sector and GDX.

SLB: Took out resistance at 74:00 without looking back on a bullish fuel candle on above average volume. My play in XLE.

ALTR : A long coming into the day with another strong day yesterday. Strong stock in the SMH sector.

USB: A long after a massive breakout of 24.50 which had been resistance since May. The stock followed the strong XLF sector.

DOW: A long in this stock that followed the XLB sector, its also another stock that finaly took out its pre flash crash highs.

COST: A long with room to go after taking out its key 65.40 level.

HON: A long that broke out of its key resistance level on above average volume.

Breakouts:

VLO > 19.00

AXP> 44.00

HD> 32.10

Shorts:

ABT: A sell short that despite the broad based rally, ABT still declined on above average volume. Weak stock that demonstrated relative weakness.

AMGN < 55.40

Broad Based Baby

We finaly got a broadbased move in the markets today after weeks of choppy action. The charts above speak a thousand words!

Thursday's Game Plan

The market was pretty volatile yesterday with many reports that came out towards the end of the day. However, the SPY managed to close above its key 119 level with conviction and on above average volume. The SPY closed at 119.95, 5 cents off of 120.00.The financials particularly caught my eye as they demonstrated strength. I am expecting to have an bullish market today and I will be paying extra attention to my longs.

Longs:

JNPR: A long

BK

HPQ

TWC

WFC

TXN

CHK

SLB

ALTR

AXP

Breakouts:

VZ > 33.00

Shorts:

ABT

Wednesday's Game Plan

Agian the market trader in a very tight range but managed to close above 119.00, the SPY closed at 119.47 above previous consolidation. The QQQQ's and DIA also closed in similar fashion however, it is important to note that volume was very low and the spread was narrow. We need to take out 119.85 in the SPY convincingly before we can safely say that this market is strong again. XLF also needs to break out of its range as the market won't go anywhere if the financials are consolidating.

Longs:

HUM

LOW

UNH

EBAY

*AXP

*ABX

*UAL

Breakouts:

MGM

VZ > 33

WMT> 54.85

ALL < 30

* KSS < 51.00

Shorts:

ABT

Tuesday's Game Plan

Little has changed as the market is still trading in its range and is unable to break away. The market is neutral at the moment with no clear bias. The big picture remains bullish but seems to be running out of steam.

Longs:

TXN

STT

ALTR

Shorts:

AET

CVS

Breakouts:

AXP

DOW

TJX

Monday's Game Plan

On Friday we had rather quite day, with the SPY forming an inside day along with the QQQQ's, XLK and XLF. A volatility breakout is imminent. Whether we get that volatile breakout today though doesn’t seem likely as the EUR has been choppy all day along with the fact that the only news catalyst coming out today is the ISM report. Unless we clear some significant levels, I won’t be that active today as the market is in balance and isn't demonstrating any clear direction. Gold is the only sector that showed relative strength on Friday and could be the only sector that’s in play today.

Longs:

ABX: A long in this gold stock thats reflecting the strength in the gold sector.

AA: A long after a major bullish candle on this slow moving stock.

ALTR: A long that broke ot of its key 31.00 level on Friday and held.

LLTC: A long after breaking out on Friday and clearing some significant levels.

TXN: A long

Breakouts:

AUY> 11.00

SLB > 70.00

Shorts:

SKX: A sell short that held well after the massive gap down

BK: A sell short again after yesterday. This stock also has room to go if it takes out its lows.

WLP: A sell short with room to go. IPT at 53.00

AET: A sell short after the weak price action on Friday.

Breakdowns:

CSCO < 22.80

Friday's Game Plan

Yesterday the SPY attempted to open above its previous two days high and key resistance at 119.00 and failed to hold. That resulted in a down move back into the previous range and that made the market unclear. EUR/USD showed some weakness today in the london session as shown in the chart above and I also attached a chart of the GDX and how gold followed through yesterday after my analysis. 

Today ill be waiting to see the open and I will be waiting for the US GDP report number to come out. We should get some volatility today.

Longs:

ORCL: A long after we took out resistance at 29.30 yesterday.

DIS: A long with room to go. IPT 37.50

INTU: Took out resistance at 48.00 and held yesterday

TXN: A long that formed a bullish flag intraday.

UAL: Bullish flag on the hourly.

Breakouts:

ABX> 47.00

TWC: 58.45

LLTC> 31.85

USB>45.60

Shorts:

HGSI: A sell short that had some short covering for the past weak, notice the volume though as it has been below average on the updays reflecting the short covering, price then attempted to go above its resistance level of the past 8 days and got rejected on above average volume. This stock should resume down.

WLP < 54.20

LEN: A sell short again after the short covering dried out.

TGT: Short selling dried up and now has to take out key support before moving down.vxx

Gold to resume rally?

Above we have two charts, one of the GDX which is the gold sector ETF and AUY which is a gold stock.

Yesterday we got an intraday reversal in the gold sector after it failed to take out support. Prices formed an intraday bullish U-Turn. This could signal that gold is headed higher.

Thursday's Game Plan

The market continued to trade in its range yesterday without any significant movement. The strongest sector remains to be technology. Nothing much has changed, we will remain in a stock specific environment until we clear the 116-119 levels in the SPY and that wont happen unless we get a catalyst. Tomorrow's GDP report could be the catalyst everyone has been waiting for.

Longs:

BRCM: A long that blased off after its earning yesterday. The gap up was on ultra high volume and the stock managed to close on its highs.

UAL: A long.

DAL: A long with room to go. IPT 14.40

ALTR: A long that took out its key resistance level. at 31.00.

TXN: A long after yesterdays price action.

DIS: A long with room to go after taking out its range for the past 5 months.

DOW: A long that had an inside day before yesterday then had a bullish u turn pattern day yesterday. Strong stock with room to go.

Breakouts:

LLTC > 31.80

MS: < 24.00

MET>40.90

Shorts:

Non as gold stocks showed intraday strength yesterday after they failed in their attempt to take out support.

Wednesday's Game Plan

The market again traded in the range yesterday on below average volume. Little has changed as the SPY closed right at where it closed off the day before.

Longs:

EBAY: A long after taking out multi year highs.

UAL: A long.

TJX: IPT 46.75.

PM: A long that had an inside day yesterday.

DD: A long that formed a bullush U turn intraday yesterday on above average volume.

DOW: A long that formed an inside day yesterday.

Breakouts:

DIS> 36.22

SBUX>28.60

Shorts:

CHK: A sell short that showed some short selling yesterday.

WLP: Weak stock with room to go. IPT at 54.83

COF: A sell short.

MS: A sell short, has to go below 24:00 and hold to confirm weakness.

Breakdowns:

KGC < 17.40.

Tuesday's Game Plan

The market yesterday gapped above its key levels but found little interest at those prices as prices slowly drifted downwards. The QQQQ's managed to close above yesterday but on low volume. The low conviction to the upside after all the good news that came out is negative. Should the market come back into its previous price action area. Then I expect the chop and lack of direction to continue.

Longs:

DOW: A long after yesterdays price action.

PM: Broke out yesterday after above average volume.

AKAM: Finally turned into an A long yesterday. Has room to go with IPT being 50.50.

TJX: A long. IPT at 46.30.

Shorts:

AXP: A sell short with room to go.

BK: A sell short. IPT 24.45

CHK: A sell short. IPT 20.75.

NEM: Weak stock with room to go after it gapped up yesterday and failed to hold. Came right back into Fridays range.

Monday's Game Plan

The SPY is still trading in a range, the levels to watch in the SPY are 119 -116. A break in either direction could signal momentum. If the markets open above, ill be waiting for it to hold above and if it opens inside yesterday ill look at the 119 level to act as resistance and depending on market internals I might enter my trades if we pause right below the level. If we start going down on the day Ill look at the low of Friday to act as support at 117.20. If we fail then we have alot of resistance to the downside, ill have to access the potential of my trades playing out to the short side before entering.

Longs:

SLB: A long that gapped up and held on news of positive earnings.

SBUX: A long and formed a bullish fuel candle on the daily, it slightly took out resistance of Friday and ill be looking for it to hold above 28.50.

BHI: A long that broke out of its range. Next resistance and IPT is at 47.40.

UNH: A long that has room to go after taking out its 52 week highs.

HON: A long that took out resistance yesterday. IPT 48.00

HUM: A long with alot of room to go.

Breakouts:

TXN: A long that has been pausing above resistance on the daily time frame, the pause looks like a bullish flag. 29 is the level to watch.

COST > 64

CVS > 85.00

Shorts:

CHK: A sell short with room to go. IPT at 20.73

AXP: A sell short after short covering exhausted itself out. On friday we got a breaish fuel candle at the 50% retracement level. Next support is at 38.73then 37.90.

Breakdown:

KGC < 17.40

PRU < 52:10

AKS< 13.20 also had an inside day on Friday, if it break AKS can move fast.

BK< 25.12

Friday's Game Plan

The market tried to break out yesterday and opened strong but failed to hold up and came right back in to bounce back up again during the last two hours of the day simply stated, this market is choppy and rangebound. The levels of the range are 118.70- 116.70 then 116.00. A break in either direction could pave the way for momentum to kick in. XLK again tested resistance yesterday and failed, the more it tests the more likely it will go through so Ill keep an eye on it. XLF in no mans land, too choppy given all the news surrounding the financial sector at the moment regarding the foreclosures and the Bank of America (BAC). If we gap down today Ill watch how the market reacts at the levels mentioned above, if we hold Ill be looking to go long by trading the strongest stocks in my list and if we fail and go through it, I will cautiously trade the short side. If we gap above the previous resistance which is unlikely then I will look for the market to hold above 118.70 and if we fail to hold then Ill probably do nothing and just watch from the sidelines as the market will be re-entering no mans land again. Finaly if we open in the middle of no mans land then Ill do nothing till the picture clears up, or Ill trade a stock that is strong in a stock specific environment. Today is Friday and there aren't any major news reports coming so we might not have a catalyst to break the market out of its range .

Longs:

DAL: A long with room to go. IPT at 14.00

DOW: A long with room to go. IPT at 31.60

DD: A long that formed a bullish flag on the daily.

Breakouts:

HD> 42.15

COST> 64.00

MRK> 37.50

ADM> 33.60

AMGN>58.50

TJX>45.40

BBY> 42.70

Shorts:

NEM: Weak stock with room to go. IPT at 58.45 then at 57.00

SNDK: A sell short that clost below all its major moving averages. The volume on the down day was also above average signaling the weakness in SNDK

Breakdown:

CHK < 21.67

ABX < 44.80. IPT at 44.10 then at 43.85

AU< 45

KGC< 17.40

Technology Sector Possible Top

Heres a chart of the XLK the technology ETF.

Thursday's Game Plan

Rarely does a market go straight up or down, recently the SPY has been sporadic to say the least. The market has been chopping around on an daily basis and the question remains whether the market is begining to signal distribution? Or is it just pulling back? I wont speculate on the direction just yet as the chart is obviously telling me that we are still in a strong up move. Nothing has changed yet, but I'll keep an eye on the current range of 118.50 - 116.00 as I believe that its the extreme range of the the past 5 days of price action. 

UAL: A long that had a major upmove yesterday. IPT. 28.70.

UNH: A long that blasted right past resistance yesterday after it had been stalling for a while. Had a strong close and I expect strength to continue.

COP: A long that formed a bullish fuel candle on the daily.

Breakouts:

BBY> 42.80 again tested the level and failed to go higher but it didnt go much lower as well. Ill be waiting for price to blast through that level then look for a pause to enter.

TRV > 54.80 on the chart it looks like a triple top. If it goes through and holds then TRV is an agressive long.

CVX> 84.78

T> 28.70 IPT at 29 then at 29.40

Shorts:

NEM: Formed a bearish reversal candle on the daily charts yesterday after failing at resistance at 61.00. IPT 58.50

CHK: Inside day yesterday after declining for 6 continuous days. The inside day was a melted candle and might have been some profit taking in yesterdays rally. A break below yesterdays inside day could be a sweet trade.

BK: A sell short with room to go. IPT at 25.12.

LEN: A sell short after yesterdays price action. IPT at 13.85.

Wednesday's Game Plan

Longs:

KO: A long on a solid uptrend.

Breakouts:

NTAP > 51.50 Price has to hold above this level for NTAP to be considered.

EBAY: Held at support yesterday and bounced. Formed an intraday bullish U-Turn.

Shorts:

LOW: A sell short. IPT 20.45

WFC: Formed a bearsih U-Turn pattern yesterday intraday at resistance that was previous support. Has alot of room to the downside. IPT at 23.65

COST: Held below previous support which has now become resistance. Has alot of room to the downside after 20 SMA crossed over 10 EMA . IPT 61.50

NUE: A sell short after yesterdays price action.

NEM: Weak sotck that gapped below its range for the since September 14th. IPT 58.40.

BAC: A sell short with alot of room.

Tuesday's Game Plan

Yesterday the SPY had a strong day closing strong but the volume on the rise was below average with 141 million shares being traded. The rise came with the strong rebound in the XLF sector after it probably had some short covering. XLK also had a good day closing above its key resistance level. If the SPY opens above yesterday and holds ill be agressive with my entries entering after 9.45. However, if the market starts  coming in ill be cautious and ill look for a trade in my short list. If we open inside yesterday ill wait price to determine where it wants to go before entering, my target will be the high or the low of yesterday. My third scenario is if we open below yesterday, Ill be looking to buy if we come back into yesterdays range and Ill be looking to sell if we hold below yesterday targeting 116.80 as the next support then 115.65.

Longs:

AMGN: A long that again makes the long list today after a massive rally yesterday. IPT is at 58.35.

TRV: A long. IPT at 54.85.

HPQ: Strong stock that took out its key resistance level at 43.15 yesterday and held. IPT at 43.80 then at 46.00.

DD: A long that took out its range for the past 8 days.

BRCM: A long with room to go. IPT at 38.50

Breakouts:

ADM > 33.60

BBY> 42.65, IPT 44.20.

TJX> 45.40.

Shorts:

AKAM: Bearish flag on the daily and closed weak yesterday. A move below 45 could spark some selling.

LOW: A sell short with room to go. IPT at 20.45

WFC: A sell short as long as it remains below 25. Yesterday we might have seen some short covering in the rally but this stock is still weak and should be only be looked at as a short.

Monday's Game Plan

New week ahead with earning reports underway. On Friday we had a divergence in the market as the QQQQ closed 2% above the SPY and DIA. This was mainly due to the strong tech sector. XLK and SMH are both approaching key resistance areas but are strong. Meanwhile XLF tumbled on Friday which mainly caused the SPY to close way behind the QQQQ. Looking at the daily charts, the SPY formed a swing low after a momentum push and should prices go above 118.50 the next target is 119 then 120.70. To the down side, key support is at 116.75, the support of the SPY for the past two days. Should the market hold below this level then that would signal weakness. If we open below this level but fail to hold and come back above it then that would be an excellent opportunity to be long as we are still in a bull market.

Longs:

HAL: A long and following the strong XLE sector. XLE still has way to go to get to its key resistance area at 62.30 and that could also mean that HAL has alot of room as it has been outperforming the XLE.

ORCL: A long thats following the QQQQ and NASDAQ. This stock is strong and has room to go.

PM: Remains an A long its still in an obvious uptrend.

BRCM: A long with room to go. IPT at 38.50

COP: A long with room to go after it took out its key resistance level at 60.55.

MCD: A long above yesterdays close with room to go.

Breakouts:

AMGN> 56.90. IPT 58.30

BBY: > 42.70.IPT 44.20

HPQ> 43.15. IPT 43.90

DD> 47.00

SLB> 65.00

ADM> 33.50 IPT 43.10 with resistance going back to July 2008.

Shorts:

AXP: A sell short. It formed a bearish fuel candle after on its bullback. IPT at 38.75, second IPT at 37.90.

WFC: A sell short. IPT at 23.40, second IPT at 23.00

JPM: A sell short. IPT at 36.60, second IPT at 35.60.

BAC: A sell short with room to go. IPT at 11.30

COF: A sell short: IPT at 36.75, second IPT at 36.20.

Breakdowns:

AUY< 11.15, IPT 10.80.

LEN< 15.20. IPT 14.65.

JPM Short Covering

Here we have a chart of JPM and how to recognize short covering.

Friday's Game Plan

The SPY was choppy yesterday beginning the day with an up move then a down move with steep pullbacks and then proceeded to retrace 60% of its down move at 3:00. I expect a choppy day to develop if we trade within the 118.55-116.72 levels. If we trade outside of those ranges then I expect a trend day to develop. Today's is also options expiration's, another reason to believe the day will be choppy and should be avoided. Ill not be active today unless the market is clearly in one direction as I don't have an edge in choppy conditions. If I do trade then it will only be during the morning session.

Longs:

MCD: It broke out of long term resistance with conviction and volume. I expect it to continue today.

SBUX: A long with room to go.

Breakouts:

TRV: > 53.75. I need to see ti breakout and hold above that level before entering.

COST: < 62.75. IPT is at 61.90 after that level.

MGM: < 11.50 would be the breakdown level in MGM. The next level is at 11.10. The only problem here is that this sector has been really strong.

Shorts:

WFC: A sell short with room to go. IPT at 23.80

BAC: A sell short with support being at 12.18.

* Few stocks make my list today as there aren't many stock in my list that look obvious at the moment.

Thursday's Game Plan

The market took out key levels yesterday but didn't take then out with conviciton. The SPY barely breached its level then retraced forming a bearish u-turn. The QQQQ's also also acted in a similar way, slightly breaching the level then coming back in. The market seems like its running low on fuel. I dont expect to get a trend day today. We might be forming a short term top right here. Momentum shorts might be in play today.

Longs:

SLB: A long that acted strong yesterday after it followed the strong XLE sector. IPT 66.25.

AU: A long on this gold stock after it broke out of key resistance yesterday.

HAL: Gaped above long term resistance and held above it. It even close positive for the day, and like any other stock in the XLE sector this stock was strong yesterday and should follow through if we get strength today.

BRCM: A long with room to go with resistance being at 38.50, 1.15 dollars away.

INTU: A long making new highs. Has room to go.

SBUX: Rebounded yesterday to close strong a perform a bullish u turn. A long that has room to go with the next IPT at 27.55 then 28.50

Breakouts:

COST: A breakdown below 62.80 is the likely scenario in COST after it form an exhaustion on the 6th .

MET: Failed in its breakouts to the downside. All moving averages are consolidating and this stock is bracing itself for a breakout to the upside.

BAC: Break down below 13.05 on this stock that is about to become an A sell short.

Shorts:

AKAM: Failed to close above its range of the past 4 days and came back in. IPT at 43.70.

LOW: Weak stocked that declined yesterday. Has room to go and IPT at 21.30 which is the 50 DMA.

AMGN: Weak stock that has room to go. IPT 54.40.

Wednesday's Game Plan

The market performed a bullish tail intraday yesterday and reversed after it opened lower. Prices were rejected at lower levels and the SPY rallied and was strong yesterday, it closed right below its 117.50 resistance level. Price might stall at this level for a while before blasting right past through it. My conviction remains bullish till prover otherwise.


Longs:

SBUX: Blasted right past its key resistance for the past 3 months and closed strong for the day. A long on all time frames with the neext IPT being at: 28.50.

UAL: A long that performed well yesterday and closed strong. Has alot of room to go.

USB: Blasted right past its 22.50 key level and has room to go. IPT at 23.60.

INTU: A long that took out key resistance at 46.45 and closed strong. The stock has all the room in the world to the upside as it has taken out historical highs.

ALTR: A long that formed a bullish fuel candle at support on the daily. IPT at 30.60 then at 31.00.

SNDK: A long that took out key resistance and held yesterday. IPT at 40.70 then at 42.00.

NTAP: > 49 would be nice as the next IPT after would at 51.25.

ABT: A long that took out long term resistance levels at 53.25. The resistance goes back to April 20 2010.


DOW: Formed a bullish reversal candle right at the support level it broke out from. The level goes back to the flash crash. This indicates that the stock is still strong and is just taking a breather before moving again.



Breakouts:

QCOM: A long that has room to go above 45. IPT at 45.60.

PM: A long above 57.20. The stock also formed a cup and handle pattern on the hourly.

HAL: Again tested the 35.20 level and failed to get past it. This level wont hold forever if it gets tested time and time again.


Shorts:

LOW: Sold off pretty on some pretty high volume yesterday even as the market was rising. 22.00 is support and if its taken out this stock has some room to go. I mainly picked this stock due to its relative weakness compared to the market and if the market comes in, ill be looking at LOW.

Tuesday's Game Plan

On monday we got another griding up move. The day was really choppy on very low volume. We are yet to test the 117.50 in the SPY and it seems like its taking forever to get there. It also feels like the markets are running out of fuel, hence the choppy action. Overall the market is stalling, with no clear conviction in either direction. A correction might be on the horizon as bulls seem to be weakening. In addition, many stocks are begining to form 1-2-3 tops on the daily and the EUR/USD is also acting weak before the open today.

Longs:

DOW: A long even after the market formed a bullish flag on the daily right above the key 29.85 level. IPT at 30.80.

JNPR: A long that formed 2 daily bullish U turns prior to yesterday. Strong stock with yesterdays high being the first IPT at 32.00 then 42.80 as the next IPT.

LEN: A long that held yesterday above its key 16.00 level.

TWC: A long that took out its daily bullish flag. IPT at 57.00.

Shorts:

AKAM: A sell short. IPT at 43.00

PRU: A sell short below 53.20. IPT at 52.20

Breakouts:

DAL: the stock is an A sell short with major resistance at 11.15.

HAL: A long that is testing its 35.10 level for the third time. It can break through. IPT at 38.50 on the weekly charts.

HON: A long that has formed 3 inside days in a row.

USB: All moving averages withing 2 inside days. If it picks a direction expect it to explode.

BAC: < 13.05 is the level I am watching . IPT is at 12.60.

Monday's Game Plan

The SPY traded on another below average volume day on Friday which was the day of the NFP  report release. The day saw the NASDAQ or the QQQQ's ETF lag before the SPY and DIA. That sent the market slightly downward at the open as the divergence played its toll on the markets for about an hour until the market formed a bullish U turn intraday. What was notable was that when the QQQQ's caught  up the entire market followed as all the ETF's were in sync and pointing up, the market rallied as a result.
Looking at the daily SPY, theres still room to go with the next major resistance level being at 117.50, however the QQQQ is still in consolidation. Its 49.80 level was tested and rejected again. If we manage to take out this level then expect it to be a bullish day as the QQQQ's are the lagging ETF out of the three and if it rallies then the market should follow. Should it fail to take out the highs again expect it to drag the market down again which would result in choppy action.

Longs:

MGM: Major up day on Friday on this stock where it went up 15%. The stock has room to go and I expect follow through to the massive up day. My first IPT would be 14.15 then 15.

DOW: A long with room to go after it too out its 29,85 resistance level. IPT at 30.85

UAL: A long with room to go. Ill look for a preferable r/r entry in this stock.

SUN: A long and finally broke out with conviction on Friday. I expect follow through if the market is strong. IPT is at 40.80 which is a 1.57 dollars away.

TXN: A long and is another strong SMH stock that followed through. It took took out its pause on the daily timeframe after it broke out of a significant level. Looking at the weekly chart the stock took out its 27.50 level with above average volume and that's what you want to see in a breakout. Next IPT goes back to July 2008 at 29.40.

ABX: A long on this gold stock. Holding well so far after it broke out of its historical highs and has alot of potential. First IPT at 49.00. then it has alot of room after that level.

EMC: A long that formed both a swing low and bullish reversal at the same time. Has alot of room to the upside with the next IPT at 20.45.

ORCL: A long that closed at the highs after it broke out of its bullish flag. I cant find the next IPT on the daily and weekly so I used the monthly went back to 2002 where the IPT was at 30.60. ORCL has potential.

NTAP: A long that formed a swing low and a bullish U turn on the daily. IPT at 51.00 which is a long way from where it is right now.

DD: A long and a stock that has been showing consistent strength.

KLAC: A long that traded on ultra high volume on friday. The stock formed a massive daily bullish U turn.

ALTR: A long and another stock that formed a bullish U turn. ALTR bounced off of support which was previous resistance after it broke out and has alot of room to go to the upside if it can clear 29.60

Breakouts:

SNDK: > 39.90 is the level. Should it take it out the next IPT is at 42.00.

HAL: Another strong day for this strong XLE stock. The stock is already an A long with major resistance at 35.20.

KSS: > 54.40. The stock is already an A long and if it takes out that level its next resistance is at 56.65 which is 2.25 dollars away.

SLB: > 63.70 on this A long. IPT 64.50 then at 66.00.

HPQ: A breakout candidate as it has been in a tight range for 6 days now. An explosive move is expected. If it breaks up then 43.00 is the next IPT. If it breaks down then 39.00 is the next IPT.

HON: > 45.85 with the next IPT at 46.60.

MCD: > 76.25 on this A long.

BBY: > 41.30. A long with room to go.

Shorts:

MS: A sell short with the next IPT being at 24.55.
After analyzing my stocks I found that tech and SMH stocks are rather strong and if they continue to demonstrate strength on Monday then ill trade them. I have no shorts for Monday as the market is giving us a direction and most stock are either strong or about to break out and become strong. Ill be watching the QQQQ's early in the day to assess the tech sector's strength. Ill also keep an eye on SMH on XLK.

Friday's Game Plan

The SPY was choppy yesterday as it gapped up to close slightly below its open. In the big picture the SPY is in a bullish pause as volume on the two down days was below average, this lack of selling indicates that the bulls still believe in the upside. However todays NFP news release will surely mix things up. We should have some volatility today that should shed some light in the upcoming move. XLK is pausing right under its 23.40 level and is still in a bullish flag while XLF declined on below average volume yesterday. The QQQQ are similar to the XLK with it pausing right below a key level. Meanwhile the DIA is holding above its key 109.50 level. Ill be watch the reaction to the NFP today and wont trade till 10:00 a.m when the market settles in a little bit.

Longs:

DD: A long with room to go after taking out yearly highs yesterday and holding above resistance. Ill be looking for a continuation of the move we saw yesterday.

SUN: A long that is holding above its 38 key level. If XLE is strong ill consider SUN.

ALTR: A long that held at support again yesterday. Ill be looking for a preferable r/r in ALTR.

DOW: A long that tested its 28.50 level yesterday after it broke out the day before. Ill be looking for a continuation.

ORCL: A long that finaly held above it broke out yesterday. It formed a melted candle right above previous resistance on the daily. On the hourly that daily melted candle looks like a pause and a reason to be long ORCL.

TXN: Tested the day before yesterdays lows and bounced. It is forming a clean daily flag and should it bounce again then ill be looking long TXN as its an A long.

Shorts:

COF: A short if it goes below yesterdays close. Has room to the downside with the next resistance being at 38.50. This stock is also a financial and that reflects the XLF's weakness.

NUE: Double top on the daily. This stock will turn into an A sell short if it trades below yesterdays close which bounced right off the 50 SMA. We could see similar action to AKAM if we break.

MS: A short that formed a swing high on the daily. It has room to go to the downside with support being at 24.70 then 24.30.



Breakouts:

BBY: Again failed to take out 41.20 yesterday after it tested it for the forth time. If this level gets taken out ill be long BBY as long as RTH is strong.

HPQ: Another inside day yesterday. If the NFP has an impact on the market today we should see HPQ break violetly in one direction, or both.

MET: Another Inside Inside Day pattern in this stock.

Thursday's Game Plan

The SPY held well yesterday and formed a melted candle on the daily after a strong move up the day before. Yesterdays price action in the SPY was a sign of strength especial the action in the afternoon where Prices became well bid on all time frames furher emphasizing yesterdays price action as a pause in the pig picture. However, there have been some divergences among the ETF's as the QQQQ closed weaker then the SPY and the DIA closing stronger then the SPY. The QQQQ is yet to break out of its pause at 49.80, its lagging behind the leading ETF's. XLK seemed weak yesterday but the candle on the daily chart indicates that a different story is taking place as the XLK again tested its key level at 23.35 without breaching it, the more we test it the more likely we are to break it. I remain bullish after yesterdays price action, and wont consider any B shorts as the market is clearly bullish. The market would have to seriously roll over for me to look at bearish stocks.

Longs:

ABX: A long after yesterdays price action, ill be looking for a continuation at a preferable R/R area.

GE: Broke out of its daily resistance going back to May on good volume and an energy candle on the daily. IPT at 17.40.

DOW: A long with room to go. IPT at 29.90.

HON: A long with room to go after two strong up days. IPT at 46.50.

COP: A long with room to go. IPT at 60.50.

COST: A Long that fomr a major energy candle on the daily with ultra high volume after it gapped down. Buyers stepped in and hit the offers agressively This indicates strength and a clear direction and thats what I look for when trading an instrument.

Breakouts:

GG> 45.20 is the level to watch as this stock is clearly an A long. IPT at 46.

SLB> 64.70 it has room after that as the next IPT is at 66.

NTAP < 47.20 as the stock seems to have formed a 1-2-3 top on the daily. This stock should be trader though unless the XLK is weak which is the opposite of what it is right now.

Shorts:

AKAM: Another weak tech stoch that has declined even though the sectors isnt that weak when looking at the XLK. Before trading this stock it should be wise to wait for it to clear 43.20 first.

ADBE: A sell short that has some room to go. Again it should only be traded if markets roll over and XLK is weak.

AXP: A sell shor that seems to have bottomed out at 37.33. If I trade this stock ill target a retest of the 37.33 low as this stock is clearly weak and should only be considered short till it proves otherwise.

AXP American Express

Here we have a chart of American Express. The stock demonstrated climatic action yesterday after it trade 68.4 million shares. The stock declined even though the market closed strong yesterday. Has AXP bottomed out?

Wednesday's Game Plan

Almost the entire market went up yesterday after taking out key resistance levels. Today ill be looking for the SPY to hold above the key 115 level. If we open lower ill be looking for a test of the 115 level if we continue going down, yesterday low will be my next target. If we open higher ill be waiting for price to hold its new level at and take out its opening range. The market is bullish with alot of stocks in the list being either strong or are about to break out.

Longs:

JNPR: A long with room to go, next IPT on the weekly charts is at 34.90.

SUN: Broke out of its range yesterday and closed right back at where it broke out from. If it holds today then SUN is an A long.

TXN: A long with room to go IPT at 29.30

HON: A long that took out a key resistance level yesterday and has alot of room to go. IPT at 46.

HAL: Another A long with room to go. IPT at 35.25.

COP: A long with room to go. 60.50 being the next IPT

TWC: A long with room to go. IPT at 57.20

Breakouts:

NTAP: A long  which is forming a bullish flag on the daily. If the 51.30 level gets taken out theres alot of room for NTAP.

DD: A long that has also been forming a bullish flag on the daily. 45.85 is the level to watch.XLB was also strong yesterday and that demonstrates DD strength.

CVX: At a key resistance level at 83.40 if it takes it out then theres alot of room to the upside.

AU: A gold stock that is at key resistance at the moment. 47.50 being the line in the sand.


Shorts:

ADBE: A  short that didnt bounce yesterday with the rest of the market. If the market turns around today ADBE should be considered.

AXP: Climatic action yesterday after 68.4 million shares were traded. Still an A short but I would not trade this stock unless that market is showing obvious weakness.

Tuesday's Game Plan

The QQQQ's, DIA and SPY are all at key levels that that could send this entire market down in the case of these levels being breached. If the key 113.20 level in the SPY gets breached then 112 is the next level to watch. If prices test these levels and bounce then its bullish as we are in a bullish flag, but its also a reason to be cautious as these key levels have been tested a couple of times and thats a reason to believe that price will go through eventually. Markets aren't clear and its wise to wait for it to play its hand and show us the direction of the big players through order flow. Market internals will play a part in giving us hints on which side is stronger. I will be careful though as theres no way we can trade in one direction with conviction and that tells me that we have a mixed picture, again its wise to wait for the market to play itself out before trying to guess which side is stronger and jumping in.

Longs:

JNPR: A long which formed a bullish u turn on the daily, IPT is at 31.50

BRCM: 34.40 is the level that BRCM failed to breach for the past 4 days. My first IPT would be the 4 days high at 35.95. I also expect this level to be taken out if tested.

TWC: A long with an IPT at 55.70.

VZ: Again tested the 33.10 level and failed today. Ill be waiting for this level to be taken out as this stock is an A long.

WMT: Along that formed a bullish flag on the daily and failed to take out the 53.10 level on 5 different days where it tested the level and bounced.


Breakouts:

SUN: Remains a strong candidate to break out as it has been pausing for the 3 straight days at that 36.80 key level.

Shorts:

AMR: A sell short aproaching a key level at 5:85. If price pauses at this level or takes it out and pauses it should be an agressive sell short.

ADBE: A sell short with an 80 cent profit target.

UNH: B sell short that failed at resistance. This stock has room to go despite it being a B sell short. If market rolls over UNH should be considered.

INTC < 18.75 which is a key level for this A sell short.  The only problem with this stock is its sector. XLK has been strong and if XLK persists then INTC shouldnt drop that hard. On the other hand if XLK starts rolling over. INTC is an A sell short.

WLP: Formed a 1-2-3 top on the daily with room to go. Next support and IPT is at 54.

SNDK: A short below 36.

COF: A sell short with room to go with the next IPT being 38 then 37.50.

DIS: Formed a brearish flag on the daily and has been forming melted candles ever since. Possibly signaling a lack of buyers. This stock can easily be an A sell short with an IPT down at 32.70.

Monday's Game Plan

SPY: On friday closed off on friday almost exactly where it left off. Volume was low and the day was choppy. XLF closed strong and XLK closed slightly weak but its still holding under resistance. XLK has been holding the market up recently with XLF being rather weak, if XLF decides to join the party then we could be set for an up move. If the market fails to go up though the level that ill be watching is the 113 level in the SPY. Another important observation was that XLE and OIH were the strongest on friday indicating that money was going into that sector.


Longs:

BHI: Closed strong in fridays weak market. The stock and its sector OIH demonstrated relative strength on Friday. If the market permits, BHI is a strong stock to be considered long.

VZ: An A long that has formed a bullish flag on the daily with room to go.

UNH: Another strong stock on the daily that has formed a bullish flag that is an A long

COST: Has been very strong and is forming a daily flag on the hourly. This stock alot of room to the upside.

TXN: 27.50 is the level , it tested and failed to breach it on friday. It then recollected itself and closed above the lows indicating that the 27.50 could be tested and taken out again.

BBY: A long with room to the upside.


Shorts:

USB: Obviously below its 50 and 200 DMA's and is forming a bearish flag on the daily. Depending on market conditions and R/R an entry in USB short is good as long as markets decline.

PRU: A sell short with room to go to the downside. Stock formed a 1-2-3 top on the hourly and that only demonstrates the stocks weakness.If XLF declines this stock should be one of the first stocks to fall. As the volume was also pretty high on its last two down days.


Breakouts:

DAL: > 12 as its entire sector the FAA is about to breakout of its range since April.

AU: > 47.50 as that level would act as a launching pad for this stock to the upside.

ABX> 47.50 ascending triangle on the daily.

BAC < 13.10 would make this stock an A sell short.

TWC> 54.85

COP> 58 is the level with an IPT 58.40.It may be worthwhile to wait for 58.40 to be taken out first.

SUN> 36.90 is the line in the sand here for SUN. IPT being 38.

Friday's Game Plan

SPY: Formed an outside bearish bar with high volume. We could sell off today but one day of weakness in a bullmarket isnt a reason to go be long. We are back in the range we broke out of. We are in B territory here. Only A trades should be considered.

Longs:

QCOM: Held well in the face of yesterdays bearish market ill be looking for the stock to hold above 45.

BBY: A long stock with an IPT of 42.50.

TXN: > 27.40 Ill be waiting for a pause above or under this level to intiate a trade as a straight breakout isn't  worth it in this condition.

Shorts:

ADM: Below < 32. This stock formed a 1-2-3 top on the daily but is stil above the major moving average.

JPM: Below 38 with an IPT of 37.50 then 36.70

Thursday's Game Plan

SPY is clearly in a range with direction to be determined. Choppy action yesterday the levels ill be watching are 115 and 112.50. We are at the end of a quarter and fund managers wont be selling today so a choppy market is expected.




Longs:



GG: > 44.30 with an IPT being 45.



ALTR: A long coming into the day. Ill be looking for an entry with a preferable R/R as long as the market permits longs today.



SLW: > 27.10 it has all the room in the world.



HAL: A trade coming into the day with some room to go. IPT 34.10.



Shorts:

JPM > 38.30 level with an IPT being 37.60. This stock should only be considered when and if the market comes in.

Wednesday's Game Plan

SPY: SPY closed pretty strong yesterday after it bounced from the negative news. XLK bonced nicely yesterday and tech stocks followed. XLF also closed strong but ultimately closed right where it opened. QQQQ also showed strength and is likely to test the 50.50 resistance level sooner or later. Theres no major news coming out today except for the crude oil inventories.




Longs:



SLW: Closed strong yesterday after it reversed. Ill wait for the stock to test its resistance level and if it pauses there ill look for an entry.GDX closed really strong yesterday and gold stocks could shoot.



HAL: Another stock that closed strong yesterday after it reversed. Ill wait for the stock to test its resistance level and if it pauses there ill look for an entry. With IPT. 34.00.



GG: GDX closed really strong yesterday and if I get a good entry with preferable RR ill enter GG long with my IPT being resistance at 45.



ALTR: Strong stock with strong price action breaking up into multiyear highs. Ill moniter the price action on level 2 at the open to examine whether I should enter at the begining or wait for confirmation. When something is obvious it usually goes the other way and ill have to be cautious. SMH has a resistance level at 28.



Shorts:



JPM: Ill wait for the market to point its direction if its weak ill look for a favorable entry in JPM with a good R/R. My IPT would be 38.40 level.

Nawras IPO

Currently Nawras is undergoing an IPO, the question is whether its a good idea to participate. I believe it is, and my reasons are listed below:
1- This is the first major IPO since 2007 when Galfar was listed. Galfar rose 60% on its first day on an over optimistic market.

2- Small investors are still hurt and scared from what happened in 2008, people dont get over memories like that overnight. Professionals should not have any trouble owning this stock, which they will as the stock is fundamentally strong.

3- Nawras is the second major telecommunications here in Oman after Omantel, and given Omantels mediocre service. Nawras will overtake the company given that the obtain the sufficient funds.

4- Markets worldwide are poised for an up move that will probably end in December-Jan chart.

5- The MSM seems to have bottomed out (look at the first chart).

6- OTEL which is the only stock that competes with nawras seems to have formed a double bottom on the daily timeframe.

7- Buying Nawras would be going against the crowd, the crowd are wrong most of the time and professionals know that. The crowd thinks that this stock is too expensive. Given the market long term cycle I believe that we have bottomed out and now is the perfect time to buy and hold. I don’t believe this stock will explode to the upside after the IPO but I do believe it will go up slowly and steadily, it will pick up momentum as time passes as small investors come to the conclusion that they are missing out, they will enter and buy, till the stock is overbought. That’s when I intend to exit.

8- Nawras will be the trigger that sends the market higher after the IPO, I believe that IPO will do so well, that cash will come back into the MSM as the timing is perfect.

These are the reasons I expect Nawras to go up, but that doesn't mean it can't go down because it can. You have to plan for both sides as anything can happen.

QQQQ and SPY

Here we have two charts of the NADDAQ ETF (QQQQ) and the S&P500 ETF (SPY). Both charts are telling the same story that the coming days price action might help determine the market direction.

GDX

Here we have a chart of GDX, a gold ETF. As we cant see the stock broke out of its range and held above it. The the down move in the last hour could have been short covering. This stock is strong and unless it goes back below 54. I am bullish gold for now.

GLD Gold ETF

First off I would like to wish everyone a happy Eid, may god bless you all and your families.

Here we have a chart of GLD. This a technical look at the stock and how I am looking at it at the moment.

Technical Analysis Explained

Here we have a chart on DOW. This chart demonstrates my technical analysis on the stock.

QQQQ ETF

All the major ETF's closed strong on last friday, QQQQ in particular caught my eye. The ETF has closed above it 200 and 50 DMA and also closed above resistance which was at 46. I expect this major level to be restest then for the upward movie to continue as volume picks up in september after traders come back from their vacations.

Bullish Finviz Map

Heres what the finviz map looks like on a bullish day. It lights up green!

AUD/USD Will The News Move This

Here we have a trade setup in the AUD/CAD FX pair, this setup occured right before a major news release for the AUD.

SLW Uncharted Territory

I wanted to share with everyone this chart of SLW, it is currently in uncharted territory and making all time new highs after going sideways for months. Theres a high probability that this stock will continue to run upwards unless theres significant weakness in the market and the company itself. The ETF that correlates the most with SLW is GDX with a correlation of .9134 which is %91.34.

GG update

Heres a chart of GG and how it went up after the sign of strength in our previous chart. After todays strong close it seems like GG still has room to the upside.

GG (Gold Stock) Update

Heres a chart of GG . This is what followed after the chart I posted more then 2 weeks ago. I was right this time, but thats not always the case. The markets tells its own story!

A Reason to be Bearish (TLT) Update

Heres an update on the last post. The market did decline after that signal as demonstrated by the chart.

A Reason to be Bearish (TLT)

Here we have a chart of the 20 year bond ETF the TLT. Looking at this chart from a technical perspective, it is clear that the ETF had been in a range for a long time. A breakout above the range and the recent up gap represents demand for the bond ETF. Buyers are feeling the market and heading into safe haven investments such as the TLT, sending it up on an a gap.