Monday, March 09, 2015

Watchers for the 3-10-15 trading session


It rose today but is basing above the price point following the initial red session of the Supernovae. Fade on weakness, still up tons.


First red day Supernovae. Finished red over 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 large red result of Monday. 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 big, range too. Rather weak short signals at best on those counts, but watch it.


In play both ways. As a long on continuation of momentum above 2.25/holds. Or as a scalp up at or near the gun for a scalp buy. Or, as a short on a fall fail of 2.10/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 2.10. The fade is more likely given the price action on Monday, but keep an open mind.


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 17.49) and holds. Avoid shorts, keep flat on true weakness. Nice move above 16. Needs to keep above the Monday close, or at least above 16.75 on pull backs to remain viable as a long, aside from any early noise. Early sustained prices over 17.25 are ideal for aggressive entry.


Bullish Engulfing. I like this long over 12.25/holds. 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 Tuesday. More conservatively a stop placed under Monday's close, too. The low on that day is not too far away to use for stops. Ideally stays above 12 on pull backs to remain viable as a long if it triggers. No big gaps or shorts.


B/O scan. I like it long back over 0.39 and holds. Ideal to stay over that on tests aside from early noise if it triggers. Stops also possible just under the close on Monday or the 1st 30 minute low of Tuesday. Avoid all shorts and all big gaps. The low on Monday is 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. Exiting below 0.38 on fails after trigger entry is possibly advisable. Early r/g buy?


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 7.92/holds. Avoid all big gaps, especially down ones. If it gaps over the trigger or 7.90 let it test/hold/perk 1st before entering. No shorts, keep flat on redness. Low buy volume, which could mean overt buy interest is just approaching, suggesting reversal upwards is still developing.

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