Thursday, October 13, 2011

Watchers for the 10-14-11 trading session


First red day Supernovae. Finished unchanged last time, off a big gap up, so more down side might be realistic. If it had fallen much more than 10% then less 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 nominally likely given the flat result of Thursday. No A/H quote change. 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 too. Neutral-like signals for new shorts.


Another 1st (real) red day Supernovae, this one has similar analysis as for the above equity, with some particulars. First, it fell less than 3.5% today, which also means decent odds for more down side. Also, the range and the selling volume especially, were small. That means prospects for more reddening accelerate. A stop a bit above 1.01 might come in handy, by the way.


Clearly still a potential short on move sub-1.60 moves or panic dumps, see my previous comments on this-since it closed lower than the open in a pseudo Red floater like pattern. But since this is a promotion that does not really mean much, as it could rebound and green on more junk going out today and early tomorrow to suckers. Use a stop a bit over the 1.70 high of Thursday and honor it. I would check for new spam, too.


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 (4.17) and holds. No A/H quote. Avoid shorts, keep flat on true weakness. Nice daily chart with price correction fill. Volume medium today, a neutral sign for new buys. Float a bit light. Needs to keep above the Thursday close or at minimum over 4 on pull backs to remain viable as a long, aside from any early noise.


Bullish Engulfing. I like this long over 1.87 ideally or above the close today. Medium volume on the rise, which is a neutral sign for new buyers. Keep flat on real weakness aside from a typical red to green move, etc. Stops just under the low last time or the initial 30 minute one on Friday. More conservatively a stop placed under Thursday's close, too. The low on that day is probably too far away to use for risk management via stops. Must keep above 1.70 to remain viable as a long. No big gaps or shorts. No A/H quote.


B/O scan. I like it long above 10 and holds after the noise candle. Perhaps a 1/2 position in over the close today. Ideal to stay over that on tests aside from early noise if it triggers. Stops also possible just under the close on Thursday or the 1st 30 minute low of Friday. Avoid all shorts and all big gaps. The low on Thursday is likely too far away to use for risk managing stops. Also a long on spiking up at or near the gun as a scalp. Modest volume on the rise, a fair sign for new buys. Up somewhat over 0.5% A/H.


Low float short squeezer that I want to scalp long on early spiking up at or near the bell. Possible early red to green long cautious hold on a weak debut or a fast weak willed drop soon after the gun. News blurb catalyst with possible short term legs. Some resistance around 3.71 but could push to 4 before sanity resumes. Keep flat on at open real dumping or sustained weak price action, etc.

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