I scanned a few thousand charts over this weekend and found quite a few interesting setups.  The bearish/bullish ratio was 75/25 % but I’m not interested in counter trend trades. I’ll focus on the bullish patterns when the market shows some buying conviction. Don’t be fooled by low volume rallies — they will pull the rug.

Going to start off with the $SPX. Bounces are to be shorted until buyers step in.  Next support level is just above the 2011 closing price of 1257.60. 1268ish may show support.  I would be surprised if the market didn’t bounce this week so I am not going to have many specific sell triggers for these shorts.  Consider them all worthy shorts on bounces. I will watch the price action as they test the moving averages and as long as the buy volume is below average I expect them to get rejected and fail.

AAPL – Next support level to watch $516.22.

CMG – Support at $386.45.

TIF – Multiple bottom range $57.23

FDX – Will short this support failure on confirmation Monday.

IBM – Watching the $194.90 support.

ALXN – I expect this one to test support at $81 sooner than later.

MCD – Should test $88.13.

PCLN – This one may gap fill at $597.

LNKD – Has some gaps below. The first one is $92.65 & the loweer one is $77.70.

BIDU – Support at $111.25.

GS – Support at the $86.97 level.

CVX – Support at $98.05.

Longs:

WMT – Watch for a breakout above $62.65.

On another note, VHC is still showing some nice relative strength. The call premium I mentioned a few weeks ago is still running strong. I am looking into buy-writes, weeklies or Junes — they both look good.  As always, I post live trades on twitter.

 

Safe trading,

@AffluenzaVirus

3 Responses to “Watchlist 5.21.12”

1. 

   The Fly

   May 20, 2012 at 10:48 pm

   I know you are a creature of habit, having scanned 1,000 charts like a lunatic. You tell me what you are looking for and I can digitize it for you, making your life sane.

   • 

     AffluenzaVirus

     May 20, 2012 at 11:09 pm

     I’m looking for support and resistance levels, volume greater than 1m shares a day, average daily volume greater than 100%, and average true range greater than 1.2. And the approval of my parents.

     • 

       zenhunter

       May 20, 2012 at 11:15 pm

       “And the approval of my parents.”

       ROFLMAO! Thanks for the laugh! I hadn’t have a laugh like this for awhile. You’re funny!

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