The market had a whippy, mixed day today. The Dow finished lower on heavier volume, making it a distribution day for the Dow. The S&P basically closed flat, while the Nasdaq did well in the close. Oil rallied again today, which meant energy stocks did very well.
It was actually a very good day for the Watchlist, although it didn’t look like it early on, when a couple of stocks took some heat after triggering. I have seen many gloomy mornings turn into sunny afternoons, so I left my stops alone, and saw these stocks turn around later in the day. Let’s look at the triggers from the Watchlist:
CNX had the biggest day today, as energy stocks performed strongly today.
WLT was the second best perfomer. I mentioned this would be a good day trade, but its actually still looking good here.
I didn’t post a chart of GDI last night, but it was in the Watchlist, and I had the chart here on Sunday night. It broke out early and finished strong.
KSU also triggered today.
Yesterdays trigger, FLS, put in a nice follow through day.
BZP is another recent pick that put in some nice gains today.
I meant to post this yesterday. A recent trigger from earlier this month has continued to do well. It looks like it could pull back a bit after todays action.
Good luck and good trading!
As mentioned in yesterdays post, the market was at a decision point, and today decided to move higher, much higher. The S&P 500 bounced off its trend line, and rallied nicely with the rest of the indexes, closing significantly higher. The move was driven by lower oil prices and a rising dollar. Volume was low, but buyers were pouring into the tech sector, which saw some nice moves today.
On a day like this, I expect to see some good breakouts from the Watchlist. There was only one stock that triggered. It was FLS. It broke out and held on to close above the entry point, but volume was not impressive.
RIMM was a pick I had that triggered on Friday. It also broke out on weak volume, but gapped up this morning and took off, making an incredible move.
Another stock that triggered recently was GNK, which was up over 8% today!
I tend to be a panic seller, but one technique that I’ve been using to keep me in some of these moves is trailing my stop just below the 10-day MA. Momentum moves typically stay above this average for the duration of the move.
This week is options expiration already. It could be a very volatile later in the week.
Good luck and good trading!
We are currently at a decision point in the market. The market will need to make a decision as to which direction it’s going to take. Many eyes will be watching the S&P 500.
It’s now sitting right at the trendline. It traded below it on Friday, but closed above it. This is a positive sign, but if this trendline is broken, we could be revisiting some previous lows. The chart for the Dow looks similar. The Nasdaq looks better, as it sits right above the 200-day MA. It wouldn’t be a bad idea to sit out and wait for a decision to be made. We could see a strong move either way.
There were two triggers from the Watchlist on Friday. One of them was BZP, which made a very strong move past the entry point.
This is the 3rd time this stock triggered from the Watchlist, and each time, it made impressive moves:
1st Trigger Date: 3/11/08
Max Daily Move from Entry Point: +7.86%
2nd Trigger Date: 5/2/08
Max Daily Move from Entry Point: +9.65%
3rd Trigger Date: 5/9/08
Max Daily Move from Entry Point: +7.14%
The other stock that triggered on Friday was RIMM. As mentioned, this stock has been a bit slippery meaning it can pullback, which it did on Friday, and closed below the entry point, but not before making a max move of $1.64 from the entry point.
Here are the stocks blackboxed in tomorrow’s edition of IBD:
CNQR, AAPL, CHL, KEX
As mentioned above, it wouldn’t be a bad idea to sit out of the market here and wait for it to make a decision. But I always like to have trade ideas ready, just in case. So here are some stocks I will be watching tomorrow, but these will depend on market action.
Good luck and good trading!
