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Again, I hate to keep apologizing, but I’ve had a devil of a time with my “new” lap-top computer recently, and I couldn’t even get a proper “boot” last night.  This is extremley distressing as the damn thing is only about a month out of Best Buy.  I am running the diagnostic tests on it now, and am hoping that it’s just a Microshaft glitch and not something more serious.

Anyway, I’d promised yesterday to take a look at Fly’s OPEN, which I was persusing via chart-service last night.  

First, a caveat: I know nothing about this business, save for having used it a number of times, and thinking it’s a nice niche for “first mover” exploitation.  I rely on Fly to do all that Graham-Dodd like analysis on these things.    That said, the chart is very promising — especially if we get a pullback from this recent parabolic spike.

Note that I’ve identified three zones of purchase, the first of which is “most likely” and the second and third descending in likelihood while ascending in desireability.  

The first zone is actually a target line as opposed to a “zone,” and it’s merely set at the retrace of the original breakout point on March 22nd at $96.00.

The next two zones are based on the two past largest “price-volume” bars, which tend to connote resistance and support areas for the charted stocks.  Obviously, that second PV bar down is the stronger of the two, and in my mind, the “all in-zone.”

My strategy here is to go in one third at level one ($96.00), one third at level two ($90-93.00),  and then the last third on a break back above level one again. 

If we break down to that second “all-in zone” of support (unlikely, I think),  I will not only put the last third on then, but will likely add some leverage to the position.   As a matter of risk management, I would then take the leverage off after a break of that key $100 zone again.

Best to you all.

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