Momentum Trader Report: 04/14/09

14 Apr

Posted by Momentum-Trader as Momentum-Trader Report

The S&P 500 and Dow both logged their 2nd distribution day, and the first for the NASDAQ since the rally confirmation. The NASDAQ has been on a steep rally since the March lows.

There was a trigger from the Watchlist. It was WYNN, which was moving lower in the morning, but then surged to break out, and then add another 13% to my entry point! It pulled back late morning though and I got out at 35.

There was continued action in a recent trigger, although I am out of this one. It is OTEX.

Today’s distribution day is no cause for panic. Technically, the indexes still look strong, as do many stocks, but we are due for a pullback, and momentum is declining. However, we are in earnings, and there are some big ones about to report, like GOOG. I wouldn’t go short here, but I am raising cash and getting defensive.

Trade Ideas for 04/15/09:

Here are a few stocks from the Watchlist that I will be watching for tomorrow, but I will need to see strong breakouts to consider them, and will likely keep them as day trades.