Keeping an Eye on Energy

I have been keeping a close eye on the Direxion Daily Energy Bull 3x ETF (ERX) as of late. Below is a weekly chart of ERX, showing whats commonly referred to as a massive cup & handle formation.  On Friday, I bot ERX 1/2 position at 53.93  – however, I would really like to get long a full position on a move above 62. A move above 62 would confirm the cup & handle breakout.

Also, The PPT stats for this ETF are impressive. When ERX flags TechOS (1.74) in the last 3 months, it has returned an average of 10.14% on a 10 day hold, 2-2 (or 100%) times.  When reaching TechOS on the 6 month indicator, ERX has been up an average of 14.47% on a 10 day hold, 8-8 (or 100%) times.  Finally the 12 month time frame shows an average return of 12.5% on a 10 day hold, 10-10 (or 100%) times.   November is also a bullish month for this ETF – Its safe to say The PPT has this one nailed.

Keeping with the energy theme, I am also interested in the Market Vectors Coal ETF (KOL).  As you can see, KOL, may be trying to put in a bearish to bullish reversal here, carving out what looks to be an inverse head and shoulders pattern.  We are at a fairly critical juncture here with KOL approaching the neckline of the pattern.  Watch for a CLOSE above 26.40 with a substantial uptick in volume (for bottoming patterns, one should see a noticeable inflow of capital on the neckline breakout).  Even if this isn’t a long term bearish to bullish reversal, it should shift the short/intermediate term trend in favor of the bulls.

The election should play a large roll in the future of KOL as well.  There are two scenarios that may unfold, that is — 1) R-Money wins and KOL rips, 2) Obama wins and KOL resumes its death spiral to an almost certain regulatory purgatory or death.

UPDATE: Talking My Book

 

Time to talk my book!  I had a number of plays on my watch list these last two weeks, yet I have only made a couple purchases during this pullback.  My last post here was on Sept. 24 – for that I apologize.   As a number of astute traders and gentlemen throughout the inner halls of iBC say, “I was too busy banking coin, living the life of a distinguished gentleman.”  To be honest, I was not partaking in the life of a gentleman — though, I was banking the shit out of coin.

 

As of my last post I had just recently BOT two utility plays and was looking at two potential longs, that is — $AEP $OKE (utilities) as well as $SBAC $TWTC (potential longs).  I BOT both $SBAC $TWTC and will continue to hold all four of these lovely plays, watching for a secondary breakout in all names.  All my current holdings are flagging high and tight close to 52 week highs.  As for $SBAC and $TWTC — both are higher than my entry points (see PPT notes for all my buys.  For those individuals who are too stubborn and frivolous to join iBC, my buys were 61.92 and 26.20) and continue to look like they will BTFO soon.  I’m looking for at least 10% on $SBAC from my entry,  $TWTC is also in buyout talks with $CTL, which should result in a move to the 30s in that name.

 

This last week I also BOT $WMT $PVH $SHW and continue to hold $PM as well as $COST.  72% of my cash is tied up into these nine names and I am looking to allocate the rest of my capital this week -  especially with the $DJT improving.

 

 

A Message to the Youth

I don’t think I need to say much.

In other words grow up, stop being a cry baby, get out of your dream world and develop a backbone not a wishbone. –  the truth.

Side Note: Utilities ETF ($XLU) bounced today and I would expect this bounce to last a couple more days.  With that being said, $AEP and $OKE are BTFO (long the pair).  My guess is we will be green tomorrow,  $SBAC and $TWTC will be breaking out, and I will be buying the pair.  Simply put — we are going higher, buy some shit.

On to the Next One

Last week I did some buying.  I bought $HFC $SWHC and $ALL.  I really like the property and casualty insurance sector, $HFC is an oil and gas refiner, and $SWHC makes arguably some of the best handguns and knives on the market right now.  The stocks on my watchlist I posted last week saw some tough luck, and that is part of the game we play. This is why it is important to stick to your plan and execute with precision. I don’t give a shit about tough luck.  I’m buying this consolidation we are seeing in the market for another move to the upside.  I have added some new stocks to my watchlist and with the snap of a finger, I’m on to the next one.

 

Looking at the Utilities sector ETF $XLU:  I’m thinking we see a bounce around the 200ma in the $XLU – If this bounce does happen, I am looking at two utility plays in particular $AEP and $OKE

$AEP

$OKE

I’m also keeping an eye on the domestic telecom service sector.  $T, $S, and $TWTC all look great.  ChessNwine has already skinned $S, leaving traders slack-jawed with the gains he’s seen in that name, therefore I’m liking $TWTC over 26.20 the best.

$TWTC

 

I also like $SBAC over 61.90 level with volume.

Overall, I am betting we go higher.  If it takes a couple more days of consolidation, then so be it.  I am loading up into this pullback, just so long as we don’t see a nasty drop in the coming days.  Remember traders, do not recognize tough luck.  Ignore that shit, snap your fingers and move on to the next one.

 

Cleared for Action

 

With stocks grinding sideways here, presumably for the next day or so, I am looking to add new positions to my portfolio.  To put it short, this market is going higher and there is nothing you can do about it.   Stop the circle-jerk 6 Longs 8 Shorts bullshit and ride the trend.  My capital will be ready for action in these ship-shape setups.  Here are the potential plays I will be adding, just to name a few.

 

SHW -Looking to get long 145-146 area running a stop just below 140.

CRM – Weekly chart on CRM looks great here. Looking for a push over 162.5 level for a long starter position.


SRCL – Looking for a near term break of 94.06, should send this one to test 94.64.  94.64 is the nut to crack here.

PVH -  Weekly chart suggests a massive Cup and Handle forming here.  I like this one for a long over 96 with volume.

LULU – I think LULU is setting up for another squeeze.  I am liking the look of this one the more and more I look at it.

Keeping an Eye on Energy

I have been keeping a close eye on the Direxion Daily Energy Bull 3x ETF (ERX) as of late. Below is a weekly chart of ERX, showing whats commonly referred to as a massive cup & handle formation.  On Friday, I bot ERX 1/2 position at 53.93  – however, I would really like to get long a full position on a move above 62. A move above 62 would confirm the cup & handle breakout.

Also, The PPT stats for this ETF are impressive. When ERX flags TechOS (1.74) in the last 3 months, it has returned an average of 10.14% on a 10 day hold, 2-2 (or 100%) times.  When reaching TechOS on the 6 month indicator, ERX has been up an average of 14.47% on a 10 day hold, 8-8 (or 100%) times.  Finally the 12 month time frame shows an average return of 12.5% on a 10 day hold, 10-10 (or 100%) times.   November is also a bullish month for this ETF – Its safe to say The PPT has this one nailed.

Keeping with the energy theme, I am also interested in the Market Vectors Coal ETF (KOL).  As you can see, KOL, may be trying to put in a bearish to bullish reversal here, carving out what looks to be an inverse head and shoulders pattern.  We are at a fairly critical juncture here with KOL approaching the neckline of the pattern.  Watch for a CLOSE above 26.40 with a substantial uptick in volume (for bottoming patterns, one should see a noticeable inflow of capital on the neckline breakout).  Even if this isn’t a long term bearish to bullish reversal, it should shift the short/intermediate term trend in favor of the bulls.

The election should play a large roll in the future of KOL as well.  There are two scenarios that may unfold, that is — 1) R-Money wins and KOL rips, 2) Obama wins and KOL resumes its death spiral to an almost certain regulatory purgatory or death.

UPDATE: Talking My Book

 

Time to talk my book!  I had a number of plays on my watch list these last two weeks, yet I have only made a couple purchases during this pullback.  My last post here was on Sept. 24 – for that I apologize.   As a number of astute traders and gentlemen throughout the inner halls of iBC say, “I was too busy banking coin, living the life of a distinguished gentleman.”  To be honest, I was not partaking in the life of a gentleman — though, I was banking the shit out of coin.

 

As of my last post I had just recently BOT two utility plays and was looking at two potential longs, that is — $AEP $OKE (utilities) as well as $SBAC $TWTC (potential longs).  I BOT both $SBAC $TWTC and will continue to hold all four of these lovely plays, watching for a secondary breakout in all names.  All my current holdings are flagging high and tight close to 52 week highs.  As for $SBAC and $TWTC — both are higher than my entry points (see PPT notes for all my buys.  For those individuals who are too stubborn and frivolous to join iBC, my buys were 61.92 and 26.20) and continue to look like they will BTFO soon.  I’m looking for at least 10% on $SBAC from my entry,  $TWTC is also in buyout talks with $CTL, which should result in a move to the 30s in that name.

 

This last week I also BOT $WMT $PVH $SHW and continue to hold $PM as well as $COST.  72% of my cash is tied up into these nine names and I am looking to allocate the rest of my capital this week -  especially with the $DJT improving.

 

 

A Message to the Youth

I don’t think I need to say much.

In other words grow up, stop being a cry baby, get out of your dream world and develop a backbone not a wishbone. –  the truth.

Side Note: Utilities ETF ($XLU) bounced today and I would expect this bounce to last a couple more days.  With that being said, $AEP and $OKE are BTFO (long the pair).  My guess is we will be green tomorrow,  $SBAC and $TWTC will be breaking out, and I will be buying the pair.  Simply put — we are going higher, buy some shit.

On to the Next One

Last week I did some buying.  I bought $HFC $SWHC and $ALL.  I really like the property and casualty insurance sector, $HFC is an oil and gas refiner, and $SWHC makes arguably some of the best handguns and knives on the market right now.  The stocks on my watchlist I posted last week saw some tough luck, and that is part of the game we play. This is why it is important to stick to your plan and execute with precision. I don’t give a shit about tough luck.  I’m buying this consolidation we are seeing in the market for another move to the upside.  I have added some new stocks to my watchlist and with the snap of a finger, I’m on to the next one.

 

Looking at the Utilities sector ETF $XLU:  I’m thinking we see a bounce around the 200ma in the $XLU – If this bounce does happen, I am looking at two utility plays in particular $AEP and $OKE

$AEP

$OKE

I’m also keeping an eye on the domestic telecom service sector.  $T, $S, and $TWTC all look great.  ChessNwine has already skinned $S, leaving traders slack-jawed with the gains he’s seen in that name, therefore I’m liking $TWTC over 26.20 the best.

$TWTC

 

I also like $SBAC over 61.90 level with volume.

Overall, I am betting we go higher.  If it takes a couple more days of consolidation, then so be it.  I am loading up into this pullback, just so long as we don’t see a nasty drop in the coming days.  Remember traders, do not recognize tough luck.  Ignore that shit, snap your fingers and move on to the next one.

 

Cleared for Action

 

With stocks grinding sideways here, presumably for the next day or so, I am looking to add new positions to my portfolio.  To put it short, this market is going higher and there is nothing you can do about it.   Stop the circle-jerk 6 Longs 8 Shorts bullshit and ride the trend.  My capital will be ready for action in these ship-shape setups.  Here are the potential plays I will be adding, just to name a few.

 

SHW -Looking to get long 145-146 area running a stop just below 140.

CRM – Weekly chart on CRM looks great here. Looking for a push over 162.5 level for a long starter position.


SRCL – Looking for a near term break of 94.06, should send this one to test 94.64.  94.64 is the nut to crack here.

PVH -  Weekly chart suggests a massive Cup and Handle forming here.  I like this one for a long over 96 with volume.

LULU – I think LULU is setting up for another squeeze.  I am liking the look of this one the more and more I look at it.

2014 iBankCoin Investors Conference