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.