Thursday, February 03, 2011

Watchers for the 2-4-11 trading session


Supernovae still maturing. Buy volume lessening, which is a good sign. Technically, the first red day on this was Wednesday, but it is acting more like one that is just beginning to tire out, rather than one that has been compromised already. If afraid, box and drop. Avoid trying to top fish. Chase bloody waters, not sharks. Big gaps again not ideal, especially as they tend to encourage top fishing. A fade on massive early sell dumps and confirmed weakness cues. Such plays often go on longer than is sane, but entering long now is a bit daring. Wait for the wheels to start coming off, then enter. No longs. It faked out naive shorts today, watch out!


New Supernovae scan return. Strongest volume yet on the rise, so it might not be over. Box and drop or wait for decay. Good news is that it closed lower than it opened, a sign of weakening. Ideal is a flat or barely green or red open, followed by a big move down on volume to short into. Avoid big gaps, especially downward ones. Fade on morning panic or conventional confirmed weakness cues. No longs, keep flat on early strength/greening. What a gap fill for this thing, it had been on scan for over extension originally.


Nice break out from a range to new 52's. Short term, these usually go higher. Down after hours, so a possible red to green long might arise. Long on that. Also long on immediate or near the bell spiking up or consistent trading above the opening price level. Avoid shorts, keep flat on consistently weak price action.


Low float number that is now starting to over extend. It might have a bit more, squeezing shorts, so top fish fading is tempting, though it might be helped it if gaps up and also spikes up from or near the gun. If those early candles begin to peter out, a fade entry might surface. Avoid longs at this point, keeping flat on consistently green price action. Also a fade on standard confirmed weakness cues. That is more likely on a nominal gap or down, or a flat debut. Basically, the plan here is to bide time waiting for the distribution print.


New 52's. Speculators liked the conference call it seems, coupled with earnings. Short term this might go higher. Possible early red to green long, or long scalp via spiking up at or near the bell. Long on consistent trading above the opening level tomorrow. Avoid shorts, keeping flat on enduring weak price action.


Also at new 52's with similar analysis as for CELL except no immediate earnings or conference call catalyst. Low short interest in this equity possibly means few investors are Bearish on the firm or the stock outlook.


Our last stock is also at new 52's. Huge volume and momentum, nice chart on the eyes. News not obvious but the money must think FDA approvals are in store for this biotech. I figure this might be at least good for a momentum scalp long on at or near bell spiking up. Similar analysis as for LMLP otherwise aside from not knowing the short interest.

Review my blog at Investimonials:

Follow me now on Twitter:

Watch my instructional trading videos on YouTube:

Subscribe to Big T by e-mail:

Subscribe to Big T in a news reader:

The blog has a terms of service. Be sure to read it at:

No comments: