Tuesday, June 05, 2012

Watchers for the 6-6-12 trading session


First red day Supernovae. Finished down over 7.5% last time, 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 a bit less likely given the medium degree of reddening Tuesday. 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 modest, range more considerable. Somewhat mixed signals to short.


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 (over 4.20) and holds. Avoid shorts/big gaps keep flat on true weakness. Volume large Tuesday, a poor sign for new buys. Needs to keep above the Tuesday close or at least over 4 on pull backs to remain viable as a long, aside from any early noise. No A/H quote.


B/O scan. I like it long above 1.59. Ideal to stay over that on tests aside from early noise if it triggers. Stops also possible just under the close on Tuesday or the 1st 30 minute low of Wednesday. Avoid all shorts and all big gaps. The low on Tuesday is arguably not too far away to use for risk managing stops. Also a long on spiking up at or near the gun as a scalp. Medium volume on the rise, a tepid sign for new buys. Up A/H almost 2%. If it does not spike up at the outset and retreats, letting it test/hold/perk off 1.50+ first is crucial.


Red floater scan return. Idea is to play for more down side on day 2. Closed down almost 4.5% on Tuesday off a flat open that ended below the debut. Stop above the previous day session high (7.09) 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. Decent sell volume on Tuesday means it might have suspect chances to work. A 6.50 fail would be ideal. No AH quote. Avoid all big gaps and longs.


Bullish Engulfing. I like this long over the high (20.14) of Tuesday. Modest volume on the rise, which is a fair 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 Wednesday. More conservatively a stop placed under Tuesday's close, too. The low on that day is not too far away to use for stops. Ideally stays above 19.72 on pull backs to remain viable as a long if it triggers. No big gaps/shorts. Down over 1% A/H.


In play both ways. Ideally, as a fall fail fade back under 2.50 If it gaps over, let it test/fail before shorting. A test from below that fails there works, too. Up over 1.5% A/H. Also a short on panic dumps at or near the bell or in the afternoon. No huge gaps. Long on more upside on a test/hold/perk off 2.50 If this maintains this it could have more. Also long on spiking up at or near the gun for a scalp. An over/under live price action call. Possible red to green long after a weak open and 2.50 test that prevails.


Nice sideways price action consolidation with a view towards a possible breakout above 10/holds. No shorts. Keep flat on real weak price action, not counting r/g. Long above today's high. Stops just under the low on Tuesday. Lowering volume the past few days may yield a strong move shortly, hopefully up. Past mover, modest float. No A/H quote. Also long on moves above the open post noise candle, or scalp spikes.

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