A pretty good rebound today in the market. It was on lower volume than yesterday, but that has been the story of the rally since March. Price trumps volume, so I don’t think that is a big issue. The indexes closed above their 50-day MA’s.  Also a good sign. However, an oversold bounce after Wednesday’s sell off is not unexpected. I want to see if these prices hold before jumping back in.

Of the indexes, I think the S&P had the best recovery today. This bullish engulfing candle looks like a pipe bottom. This is worth watching.

The NASDAQ though looks like it’s asking to be shorted here.

I don’t mind sitting on the sidelines. Most charts look plain ugly. I only have a couple “feeler” positions. One of them is RBY, which I posed last night. Seems like a low risk play that might be good for at least a few days.

My other trades today were day trades in the 3X leveraged ETF’s, FAS and ERX. I am working on a trading lesson which shows the setup I use for these. It has been working very well. I hop to have it done this weekend.

Trade Ideas for 10/30/09:

These stocks look pretty good here. I am very cautious right now, and have no desire to be a hero and call this a buyable dip, because at this point, I don’t feel it is. But, if the bounce continues Friday and these look good, I may try them for a quick trade. If the market is choppy or moves lower, I will likely pass on any new trades.




Good luck and good trading!