| Feb 25, 2010 |
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Daily Insight - Feb 25, 2010 3:30pm Markets have rebounded from its morning lows as both the SPX and COMPX "supported and bounced" off major horizontal trendlines. But since prices are still not in the green in the last half hour and churning around their respective midpoints, how the indices finish will tell the tale. Patience is warranted. "Day Trader" scratched AT&T for a $0.19 cent profit after correctly keeping it overnight and had no trades on Agilent nor NSM. He will discuss his selections after the close. Swing Trading - Feb 25, 2010 3:30pm "Swing Trader" has no trades for the day. After 4:00pm - Feb 25, 2010 Broad market index SPX.X rallied back from its daily lows to close at the high of the day and early morning strength is expected for Friday. Illustrated below is how it "supported and bounced" off the horizontal 1086.00 trendline and should once again try to challenge the 1115.00 trendline.
Tech and bio-tech index COMPX has "supported and bounced" off the 2200.00 horizontal supporting line and is seen below "consolidating at the highs" of the current rally. As said this week, a decisive break of either the midpoints on the downside or the black-colored 50-day moving average to the upside should give us the next immediate direction.
"Day Trader" will buy PCLN at Thursday's high or higher as long as it opens below this price as well as buying Agilent [A] at Wednesday's high or higher as long as the opening is under this setup requirement. Shown below is how PCLN has exhibited a high probability "BUG" pattern on February 18, retreated back to its supporting midpoints, and is now ready to resume the uptrend while Agilent is in position to break into new 52-week highs if it can break Wednesday's high point. Noted is that "Swing Trader" will also take the PCLN trade and if the opening price is above today's high of 224.70, he will only be a buyer on a pullback to 224.70 or lower. For traders who find this stock high in price, buying odd lots is very efficient so if one bought 25 shares at 224.00 for$5600.00, a ten point move will yield $250.00 or 4.5%. If PCLN is executed, initial targets are set to 250.00 with stops at 211.50.
Trade Summary - Feb 2, 2010 No trades Week's Recap No trades |
