Market really ruined a lot of the good looking charts I was watching this week. Going to post some thoughts for Tuesday (3.6.12).
I’m going to start with some of the embarrassing trades I made this morning. I grabbed some $SHLD at $78.03 – I got a little excited about the price action clearing that descending trendline and volume started to pick up. My joy was short lived as it quickly reversed and was trading $3-4 lower for the rest of the day. Overall, the chart still does look bullish, and is suggesting consolidation is necessary in this range before moving higher. On the other hand — Sears sucks shit. Just thinking about the last time I stood in a Sears makes me want to add to the short but if there is above average selling volume tomorrow I will cut my loss. I don’t want to give this one as much room because I don’t want my cash tied up in this for weeks while I wait for it to work off these levels. I am very light in this one, after all, it is Sears.
I shorted $ACC in the low $41’s. The daily chart was really ugly until it rallied all afternoon and closed at the highs above all moving averages. The volume was less than spectacular so I’m hoping we reverse lower tomorrow. I’m aware that I’m “hoping” and probably already lost. A continued move higher tomorrow will take me out of this one too.
Coming down from February (one of my best months ever) I have been struggling to get things rolling in March. The month is still young and I have lots of time to find my groove. Market action has been concerning to me & I have been keeping my position sizes much smaller than normal.
I have been in $LNKD since the last week of Feb (Again, very light). I think it has one of the best looking charts and is building a good looking cup & handle. I have a hunch that there will be a fast & violent shake out tomorrow morning to the lower trendline and I am hoping to add to my position below $85. I think the company is irrelevant and will go the way of $YHOO in time but as far as charts go, she grew on me like she was a colony of E. Coli, and I am room-temperature Canadian beef.
Also watching these stocks from my weekend list. These are the survivors:
$KIM – Nice relative strength today and am watching this one to clear $18.95 on above average volume. Preferably, $19. Make them prove themselves.
$FLIR – Continues to consolidate under this resistance. Extraneous action/volume.
$EMC – I think this one provided an opportunity today, we’ll see tomorrow.
Also NKE, CMG & AZO made new highs. It’s easy to get caught up with AAPL, but AAPL doesn’t make the market. Just an observation. Lots of irrational panic in the stream today. Bullish until it’s not.
@affluenzavirus
