Momentum Trader Report: 07/22/08

The market was under pressure this morning as expected, due to bad news by American Express, Apple, Wachovia and others. But another sharp decline in oil prices in the afternoon sent stocks soaring higher into the close. The 3 major indexes all closed up over 1% on heavier volume.

I didn’t have time to update the Watchlist, but the two stocks I posted in last nights report triggered today. One was QCOR.

It didn’t have the volume I wanted to see, but it moved nicely above the trendline toward the end of the day. The entry price should have been lower than the one in the Watchlist but I didn’t update it for today.

I mentioned that GENZ would be a good day trade if it breaks out on heavy volume. It broke out at the open, volume was good and it provided an opportunity for a profitable day trade, but then sold off in the afternoon.

NDSN, which barely triggered yesterday, followed through today.

There was continued action in CYBX, a trigger from last week.

Not sure yet if today’s action counts as a follow through day, but don’t see why it wouldn’t. The fact that the market is now shrugging off bad news and moving higher is a bullish sign. For now, it looks like the market has priced in bad news from the financial sector, and buyers could start coming in, looking for deals.

Trade Ideas for 07/23/08:

Good luck and good trading!