Wednesdays Game Plan

Breakouts: DPS>41.20 (HBO), MCD>83.00, KO>66.25 (HBO), BBY>33.00, C>39.50 (HBO), D>48.50,


Shorts: HPQ (SAT@35.50), DIS (SAT@39.00), HD (SAT@35.50), QCOM (SAT@55.00), COF (SAT@51.00 & 20DMA), M (SAT@28.50), TXN (SAT@32.00), JDSU (SAT@16.50), ABX (SAT@44.50)

Notes:

Two up days in the SPY could indicate saturation here, I am however careful as the buying has been on accelerating volume, we could see a third up day in a row before ths market saturates.

I only have saturation shorts and breakouts long today. If this market goes up for a third day in a row, my breakouts should put me in the right direction. However, should the market sink in and saturate, my game plan will help me take advantage of the situation.

Premarket the FX market didnt rally as signs of saturation from the 2 day rally seems to be present. We also have the FOMC statement after at 8:30 (GMT+4) which is after the open by 3 hours. Choppy action is also expected on such days, which could invalidate breakouts.