Friday, July 19, 2013

Watchers for the 7-22-13 trading session


Supernovae, still maturing. See my previous comments for details on how to proceed generally. Rose again Friday on large but lessening volume.


First red day Supernovae. Finished down almost 7% last time, so more down side might be in the cards. 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 moderately likely given the decent red result of  Friday. 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 modest, range bigger. At best, mixed short signals.


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 17.51) and holds. Avoid shorts, keep flat on true weakness. Nice move above 16. Needs to keep above the Friday close, or at least above 15.50 on pull backs to remain viable as a long, aside from any early noise. Up A/H over 0.50%.


B/O scan. I like it long back over 3.77 and holds. Ideal to stay over that on tests aside from early noise if it triggers. Stops also possible just under the close on Friday or the 1st 30 minute low of Monday. Avoid all shorts and all big gaps. The low on Friday is arguably too far away to use for risk managing stops. Also a long on spiking up at or near the gun as a scalp. Decent volume on the rise, a medicore sign for new buys. No A/H quote. Exiting below 3.70 on fails after trigger entry is possibly advisable. Early r/g?


Bullish Engulfing. I like this long over 9.25/holds. Low 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 Monday. More conservatively a stop placed under Friday's close, too. The low on that day is not too far away to use for stops. Ideally stays above 9.16 on pull backs to remain viable as a long if it triggers. No big gaps or shorts. No A/H quote.


In play both ways. As a long on continuation of momentum above 6.12/holds. Or as a scalp up at or near the gun for a scalp buy. Or, as a short on a fall fail of 6 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 6. The fade is more likely given the price action on Friday, but keep an open mind. No A/H quote. Low float mover.


Hammer scan long. The tail is not too long to use the low as a stop level unless the position is very large. Use the previous session open alternatively instead. Trigger is above the high of last time, here above 5.35/holds. Avoid all big gaps, especially up ones. If it gaps over the trigger or 5.30 let it test/hold/perk 1st before entering. No shorts, keep flat on redness. Moderate buy volume, which could mean overt sell interest has fully waned, suggesting reversal may be about at hand. No A/H quote.

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