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!