Slip ‘N Slide Breakouts

With weakness in leaders like NFLX PCLN TSLA today, I am seeing slippery breakout attempts by and large, such as last night’s JD long idea over $30.70.

GOOG is showing solid action, while CMG is still basing high and tight. UA had a nice open but gave it all up, while FB is working on a slow-motion breakout.

In commodity land, silver and crude oil are still unable to hold bids, while natural gas is working on a bounce off recent support. Watch to see how those guys close today.

As we speak, the small caps in the Russell are contending with their declining 50-day moving average.

With China name SOHU breaking higher from a long base bottom, keep an eye on SINA, another China stock, to see if it follows suit with a move over $50 for its own potential bottom.

Even if not bottoms, they may very well be offering up quick counter-trend trades.

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The heavily-shorted recent IPO GoPro has been basing quite well since it went public.

I went long the stock yesterday inside 12631, playing for a squeeze breakout higher.

Now, I typically wait longer after ban IPO before swinging it, perhaps four or six months. But in this case I thought the risk was worth it as the stock had been consolidating impressively and seems to have its fair share of skeptics.

In the face of a late-August melt higher, if the bulls don’t fumble I would expect this one to perform well.

My stop-loss is under $40 but I am looking to raise it up.

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The New York Stock Exchange Advance / Decline Line, or NYAD, is approaching an interesting juncture, as the NYSE (NYA) bounces back up to its recent breakdown.

For reference, the NYAD captures the net difference between advancing and declining issues, or a type of breadth measure. It is usually compared to a major index, where a divergence from that average would be an early indication of a possible trend reversal.

Applied to the current market, what we are looking to see is whether the NYAD confirms or diverges from a potential new price breakout, should the NYSE follow the Nasdaq Composite Index higher, in terms of gauging the sustainability of any further strength from here.

What are you trading this morning?

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In the event we see a further rally this week, here are some actionable long ideas which are heavily-shorted.

Please click the screen shot below for a larger view of my “12631 FINISH HIM! SHORT KILLER SCREEN” inside The PPT. Obviously these stocks are going to have the highest percentage of shorts and, according to the algorithm, are set up well to squeeze further.

If this bull goes buck wild, this is a great idea screen.

Members can click here to view and save it.

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The heavily-shorted China stock JD looks ripe as a long idea to squeeze over $30.70 from the well-defined consolidation, below. Note the lower highs as price bases out sideways, creative pressure on sellers for an upside breakout.

And on the short side, i am still eying large integrated energy firms such as COP CVX. And the large telco firm T is also a short idea down out of a bear flag on weakness.

Drop me your top tickers overnight.

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