Tuesday, October 27, 2015

Watchers for the 10-28-15 trading session


First red day Supernovae. Finished red almost 54% last time, so more down side might not be in the cards. If it had fallen much less 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 very given the huge red result of 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 after the noise candle. Avoid spike up long scalps, too. Selling volume was big, range even bigger. Poor short signals at best on those counts, but watch it.


In play both ways. As a long on continuation of momentum above 8.74/holds. Or as a scalp up at or near the gun for a scalp buy. Or, as a short on a fall fail of 8/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 8.50 The fade is more likely given the price action on Tuesday, but keep an open mind.


B/O scan. I like it long back over 1.40 and holds. 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 too far away to use for risk managing stops. Also a long on spiking up at or near the gun as a scalp. Moderate volume on the rise, a fair sign for new buys. Exiting below 1.20 on fails after trigger entry is possibly advisable. Early r/g buy?


Bullish Engulfing. I like this long over 21.42/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 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 20.85 on pull backs to remain viable as a long if it triggers. No big gaps or shorts.


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 14.33/holds. Avoid all big gaps, especially down ones. If it gaps over the trigger or 13.97 let it test/hold/perk 1st before entering. No shorts, keep flat on redness. Low sell volume, which may mean overt buy interest is still developing, suggesting reversal upwards is unclear.


I like this long on a break out over 15.15/holds. Or on a spike up at or near the gun as a scalp buy. Keep flat on after the noise candle bearish price action or on morning panic dumps. Watch for a early pseudo weakness with a a red to green move to purchase into. Avoid all big gaps and shorts. Possible short squeeze over the trigger.  Large volume gap up solid rise on Tuesday. Requires constant monitoring. Stops just under 14.50 is one risk managing approach, since a fail back under indicates failure on the buy. 


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 2.08) and holds. Avoid shorts, keep flat on true weakness. Nice move above 11.90. Needs to keep above the Tuesday close, or at least above 1.90 on pull backs to remain viable as a long, aside from any early noise. Early sustained prices over 1.99 are ideal for aggressive entry.

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