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One of the few times that I have ever seen Woodshedder act in a manner unbecoming of a southern gentleman was roughly two years ago, when he taunted poor Jason Treu in the comments section of his inaugural post that some of his party photos would wind up on the site: “Hot Chicks with Douchebags.” While it appears that the iBankCoin community (circa summer of 2009) deemed it appropriate to tar and feather Mr. Treu in town square, I suggest you all show alpha male Oracle CEO Larry Ellison a tad more respect.

You see, according to The PPT algorithm, ORCL is by far the most impressive stock in terms of June seasonality performance. With a huge data sample of the stock being up 19 out of the past 23 times in June, for a staggering average return of 10.15%, it would behoove you to understand why Mr. Ellison rides around in his yacht, sipping champagne.

Taking a look at the weekly chart for practical application, the bullish June thesis makes sense. We have a steady uptrend that remains intact and has consolidated in the form of a bull flag over the past month. I like Oracle on any strength here.

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With OVTI reporting earnings tonight after the market closes, now is a good time for me to declare another victory for The PPT. I pointed out OVTI was a high probability May seasonality play, based on The PPT algorithm’s findings about how the stock had performed in previous months of May. Even though the broad market has had a very choppy month, OVTI has outperformed well, opening the month on May 2nd at $33.98 and sitting north of $36 at the time of this writing. If you have been playing OVTI based on seasonlity, it might be a good idea to lock in some gains ahead of earnings tonight. All of this on the back of our MDVN success in April as a seasonality play, I might add.

Stay tuned for June Seasonality plays from The PPT.

Click on the photo below to see a full size version of the today’s results for my favorite custom screen in The PPT for short squeeze plays.

I made the following video last evening for members of The 12631 Trading Room inside The PPT service. I will follow up with a post of specific steel charts updated tonight.

The purpose of the video is two-fold:

1. To help walk you through how we identify Oversold issues as per The PPT algorithm and backtest the historical accuracy of such signals.
2. To apply that analysis to the current market to try to find actionable setups.

Direct Link Click Here

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With everyone focused on LNKD today, and a variety of other headlines of late, the airlines have been easy to overlook. I know that I have been discussing the airlines quite a bit recently, but they continue to be detected by The PPT algorithm for bullish improvements. In addition, their technical pictures are increasingly favorable. I am currently long LCC. Most of the major airlines look about as well set up as any sector out there right now, as indicated by the XAL Index above breaking out.

Click on the photo below to see the rapidly increasing daily hybrid score of the major airlines in The PPT. Note that they were ranked number one out of 202 industries in the entire market, with regard to a rapidly increasing daily hybrid score (combined score of a variety of technical and fundamental factors).

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The Fed minutes provided an excuse for the bulls to seize even more control of the tape this afternoon. As I discussed this morning, the longer the bulls were able to prevent a failed bounce today, the more likely it was that they would gain confidence as the session moved on. To be sure, we are seeing plenty of oversold bounces in the broken charts of commodity/materials stocks. However, we also have a fair amount of charts that are set up properly and are breaking out. Either way, shorts are on the run today, feeling the squeeze. I see plenty of traders out there who seem eager to short today’s pop. If they continue to get squeezed, one of my favorite custom screens in The PPT will come in handy.

Click on the pic below for full size view.