Wednesday, July 28, 2010

Watchers for the 7-29-10 trading session

MBCI

Now a full fledged Supernovae, this is ripening and may pop tomorrow. Do not short strength, though. Learn to read live price action, and sell short into a clear early dump, or box this with multiple accounts. It could go another day, so you just have to be patient and act when it screams look out below and timber, etc.

EXAS

I want to see if this holds resistance at 4.30ish to fade the ceiling there. Over extended, this might yield some red for tomorrow. Volume never was all that spectacular during the run up, so any failure near 4.30 is tempting.

DNN

Now on my official list, this breakout play sported a daily doji, which suggests some distribution might lay ahead as soon as tomorrow. As this is not an inherently obvious short, be careful with profit taking ambulance chasing. Several up days are asking for some selling, but let live price action determine your fence position.

ISCO

It will be critical to see how this reacts to a test of the 1.40 level. Long above that on acceleration and volume with a hold of that price level, and short on a failed test of the same area. Thus far 1.39 has been the ceiling.

PTSC

Unchanged from last time, this has fade written all over it. Any negative net price (a fall beneath the close on Wednesday) or the opening price (below the open tomorrow) is a possible short. High wave stick relative to the close today indicates fading momentum.

Not on my official list are three fade candidates in the making: IOSA HABE CBWP

Each of these stocks have flaws of various kinds which made them unworthy for full selection, but are included as they showed up on my scans. All are short biased. Play any of them at your own risk. I seldom take too seriously any stock not on my main list.


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