Sunday, December 15, 2013

Watchers for the 12-16-13 trading session


First red day Supernovae. Finished down over 6.5% 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 somewhat likely given the kinda large 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 large, range fairly wide. Weak short signals, but watch.


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 3.47) and holds. Avoid shorts, keep flat on true weakness. Nice move above 3.30. Needs to keep above the Friday close, or at least above 3.30 on pull backs to remain viable as a long, aside from any early noise. Early sustained prices over 3.40 are ideal for aggressive entry.


Red floater scan return. Idea is to play for more, real down side on day 2. Closed up a bit less than 3.5% on Friday off a gap up open that ended below the debut. Stop just above the Friday session high (2.24) 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. Modest buy volume on Tuesday means it may have unclear chances to work. A 2.10 fail may be ideal. Avoid big gaps/longs. Panic dump?


B/O scan. I like it long back over 3.48 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 too far away to use for risk managing stops. Also a long on spiking up at or near the gun as a scalp. Strong volume on the rise, a weak sign for new buys. Exiting below 3.40 on fails after trigger entry is possibly advisable. Early r/g buy?


Bullish Engulfing. I like this long over 12.18/holds. Fairly modest volume on the rise, which is an OK 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 Monday. More conservatively a stop placed under Friday's close, too. The low on that day is too far away to use for stops. Ideally stays above 11.50 on pull backs to remain viable as a long if it triggers. No big gaps or shorts.


In play both ways. As a long on continuation of momentum above 1.32/holds. Or as a scalp up at or near the gun for a scalp buy. Or, as a short on a fall fail of 1.20 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 1.20. The fade is more likely given the price action on Friday, but keep an open mind.


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 close alternatively instead. Trigger is above the high of last time, here above 8.31/holds. Avoid all big gaps, especially up ones. If it gaps over the trigger or 8.20 let it test/hold/perk 1st before entering. No shorts, keep flat on redness. Modest buy volume, which could mean overt buy interest is still approaching, suggesting reversal upwards may soon be at hand.

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