Tuesday, August 02, 2011

Watchers for the 8-3-11 trading session


First red day Supernovae. Finished down almost 20% last time, so more down side might not be realistic. If it had fallen much less than 10% then more could be expected as plausible. Always watch day 2 of a busted one. The plan is to play for more reddening on day 2. Conditional entry. A flat, nominally green or red open that immediately sells off on heavy volume or sports traditional confirmed weakness cues is a fade entry. Keep flat on high volume greening or strength, especially early. This is a lot more likely given the big degree of reddening today. Avoid entries as a short on big gaps up or down, but down is probably worse. Keep flat on consistently strong price action, like trading above the opening price level. Avoid spike up long scalps, too. Selling volume was medium, range much more imposing. Mixed signals for new shorts. OTC stock, caution.


New Supernovae scan return. A several day move up which closed below the open (-3.41%) and under the hod. Sell volume tiny today. Eventually this can be shorted since it is up so absurdly. I suspect like many such plays it can go further than anyone expects, though. Conditional entry. On a higher open, it might yield a rapid green to red on Wednesday and spike down for a short scalp. This might even be a gap and crap. A fade on confirmed weakness cues or heavy dumping on volume from or near the bell. 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. Do not short into initial strength or greening. Box and drop to wait for the distribution print, if desired and avoid top fish timing fades. Keep flat on positive price action, avoid scalping long. A Pink sheet stock with no clear float size info so it might not be done. If it reverses on you get out fast or risk being short squeezed.


Red floater scan return. Idea is to play for more, better down side on day 2. Closed below the open down 1.72% on Tuesday. Stop above the previous day session high (17.75) to cap losses on head fake fade entries. More conservatively, stop above the close on Tuesday if it starts off net negative. I'm only into the shorting possibility if it surfaces, keeping flat on strength. Also a short on heavy volume dumps/confirmed weakness cues. Big sell volume on Tuesday which is not ideal if it sets up to fade. Get out on 17.88+ ASAP.


B/O and Parabolic Sar scan. I like it long on a continuation play over the close of today, or possibly the high. Needs to stay above 1.00 on pull backs to remain viable for longs. Stops just under the close today or the 1st 30 minute low of tomorrow. Avoid all shorts and all big gaps. The low of today is too far away to use for risk managing stops. Also a long on spiking up at or near the gun as a scalp. Light buy volume is one plus here.


I like this long above 13.70 and holds. A gold stock with an annual high of a cent under that trigger. No A/H quote change. Also long on spiking up at or near the bell for a scalp. Once it hits 52's it's treated as such. Gold might continue to advance if the market in general keeps weakening. Is the Bull run finally over for real? Possible early red to green long if it gaps down or has token early weakness. Avoid all big gaps and shorts.


I like this short on a fall fail back under 2. If it holds 2 perks up/off, I am flat. Top fish fade on a weak spike up. A cent under 2 A/H. Wait for a test and fail if it ends up gapping over the trigger or just under it. Avoid all big gaps. Stops on shorts just above the entry or the initial 30 minute high of Wednesday. The high today is too far away to use as a stop. Also a short on confirmed weakness cues or morning panic like dumps with volume, possibly as a scalp if it drops out of or near the open. Volume big today but seems to be declining.


New 52's. Short term, these yearly high stocks usually go higher. Consistently strong price action, like trading above the opening price level after the first 5 minutes, is a long. Or, if it gaps down a bit to debut or opens flat and falls briefly, a red to green and hold with strong volume. Also long on spiking up at or near the gun as a scalp. This might be an EOD exit, depending on how it holds up. Also long on a break above to new yearly highs (1.51) and holds. Pink sheets, so caution. Avoid shorts, keep flat on true weakness. Nice chart/price correction to new yearly highs. Volume on the move up modest, which is not bad for new longs. Needs to keep above the Tuesday close or at minimum over 1.40 on pull backs to remain viable as a long, aside from any early noise. This has pretty low volume overall, not a plus usually so bear that in mind when considering.

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