Friday, the SPX closed above important support (1432) & near this longer term rising trend line. Even when things are looking their ugliest it’s hard for me to swing any positions short with impeding QE Infinity & possibility of Iran nuclear talks. I scanned about 3000 charts this weekend & I did find a few good short & long setups.
*NOTE* Don’t forget to check your earnings dates before you get in.
SHORTS
NKE – Daily chart is a descending triangle. Short entry is as close to the descending trend line as possible. Stop is a close over the 200ema, currently $98.18. First Target is $92.72.
SHLD – Stochastics are over bought and it put in a lower high this week. I would like to start a short position on the failure of the rising trend line. On the otherside, if SHLD finds support and clears above the volume resistance with conviction it could be worth a few points on a long position.
LONGS
ABX – Keep this one on your watchlists — could be developing an inverted head & shoulders bottom.
EBAY – Cleared previous resistance on heavy volume. I am looking to start a long position off the 10ema on the weekly chart. Looking for roughly $48.46 or as close to it as I can get.
SHW – Similar chart to EBAY. Going to keep an eye on this one and look to go long on a test off the 50ema and/or the rising trend line.
EOG – Started building this position on Friday. Cup & handle pattern developing. First target is recent highs near $120.
MCP – Cleared this two year descending trend line and putting in a nice technical base. Started in some January calls on Friday.
HON – Cleared long term resistance of $62.00 with heavy volume. Watch how it handles this coming week. A lot of failed breakouts lately.
PCLN – I see no real edge either way here but I am watching these levels.
We live and die in a world of lies,
@AffluenzaVirus
