Wednesday, May 15, 2013

Watchers for the 5-16-13 trading session


First red day Supernovae. Finished down 20%+ last time, so more down side might not be in the cards. 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 rather likely given the big red result of Wednesday. 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 after the noise candle. Avoid spike up long scalps, too. Selling volume was medium, range was too. At best weak signals for new shorts here.


New 52's. Short term, these yearly high stocks often 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 16.80) and holds. Avoid shorts, keep flat on true weakness. Nice move above 15.71. Needs to keep above the Wednesday close, or at least above 16 on pull backs to remain viable as a long, aside from any early noise. Down a tiny tad A/H.


Red floater scan return. Idea is to play for more down side on day 2. Closed red on Wednesday off a gap up open that ended below the debut. Stop just above the Wednesday session high (6.13) to cap losses on head fake fade entries. 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 means it might have suspect chances to work. A 5.50 fail would be ideal or one at 5.68. Avoid big gaps/longs. Panic dump?


B/O scan. I like it long back over 9.10 and holds. Ideal to stay over that on tests aside from early noise if it triggers. Stops also possible just under the close on Wednesday or the 1st 30 minute low of Thursday. Avoid all shorts and all big gaps. The low on Wednesday 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. Low volume on the rise, a good sign for new buys. No A/H quote change. Exiting below 8.80 on fails after trigger entry is possibly advisable. Early r/g?


Bullish Engulfing. I like this long over 4.38/holds. Moderate 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 Thursday. More conservatively a stop placed under Wednesday's close, too. The low on that day is too far away to use for stops. Ideally stays above 4.25 on pull backs to remain viable as a long if it triggers. No big gaps or shorts. Down A/H a bit more than 0.50%.


In play both ways. As a long on continuation of momentum above 3.09/holds. Or as a scalp up at or near the gun for a scalp buy. Or, as a short on a fall fail of 3 and holds. Or as a scalp sell on a pop down at or near the bell. Avoid all big gaps. Be careful maintaining a short on a reversal back over 3. No A/H quote. The fade is more likely given the price action on Wednesday.


Hammer scan long. The tail is not too long to use the low as a stop level unless the position is fairly large. Use the previous session close alternatively instead. Trigger is above the high of last time, here above 11.69/holds. Avoid all big gaps, especially up ones. 11.60+ is the ticket. No A/H quote. If it gaps over the trigger or 11.70 let it test/hold/perk 1st before entering. No shorts, keep flat on redness.

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