What a day for the market. We were due for a bounce, there was too much doom and gloom, but what a bounce it was! Shorts got absolutely clobbered today. A pick from last night broke out today, and broke out big. It was BZP.
I marked two buy points on this. One near 19.47 and the other near 19.90. Either one would have triggered as the stock finished +12.5%.
APA also triggered today. It was a pick from Sunday, and it technically triggered yesterday above 118, but pulled back. If you passed or got stopped out, it offered a reentry.
It’s too early to say whether we are in a new rally, or that the bottom is in. But today was a nice show of strength in the market. Big moves like we had today though are not uncommon in a bear market. Here’s an interesting fact from IBD:
The nine biggest up days in Wall Street history all occurred during the bear market of 2000-02 - Investors Business Daily
A lot of charts are still pretty broken right now. Here are a couple of charts to watch should the market rally.
These are trade ideas for educational purposes. Just because a stock is listed here, doesn’t mean it is necessarily a buy when it is triggered. Use your own due diligence. If you decide to trade these, watch volume and market action to determine if it is a good buy. Stops and targets are not listed. Use your own discretion.
ECA has built a nice symmetrical triangle.
HES is on the move after bouncing off the 50 MA, and could be a buy once it breaks the upper blue line.
WLT is a past pick from February that could break into new highs.
Good luck and good trading!
One Response
Momentum Trader Report: 05/11/08 by momentum-trader.com
May 11th, 2008 at 7:48 pm
1[…] Trigger Date: 3/11/08 Max Daily Move from Entry Point: […]
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