Tuesday, October 16, 2012


gapping up

Market Signals strong to start

up:  EWP, EWG on news,  fcx, euro up huge, /zb down big, SPY, aapl, amzn, xlf.

No reason to consider shorting early.

/cl is wild choppy.    /cl is a different beast altogether.    /cl can only be traded by monitoring the major sup/res areas -- then waiting for the big moves / extension and riding it back the other way.  Playing the middle is pointless.

CIG -- gapping up after a few days above 10 day MA -- daily MA rule in full effect.  (follow strength!)

9:19  sell signal   /tf      (unsure because Market Signals are mostly green)

/zb strengthening --

gap up -- then continuation.   signal was good for about 25 ticks.

Market Signals  trendup strong.

stocks are always looking for support/resistance levels to overrun -- take out stops -- that's the purpose of daily movement -- to take people out at the worst times.

daily swing buys need to be held for daily swing targets -- not peanuts.   Usually take 5 - 7 days to fulfill -- not an hour.

every big move has a tight consolidation pattern before it.

bot MRVL - .20 stop -- below 10 day MA is bad.  Heavy call buying is good.  Above 15 min. chart.  So clear support area must hold 8.70 or out.

/tf  double tops  then pulls back 20 ticks fast -- playing  straight TL breaks would work today -- really more of a range bound after the gap up.

AAPL -  could buy as soon as 15 min TL was broken -- simple as that -- ran 14 pts.

LXK -- above 10 day MA today -- will it run now?  My main system says yes.  Made a nice multi-touch bottom before today's breakout -- so lots of accumulation lower

the market is mostly in chop until --  moving to support to resistance.  Your job is to know the levels and then place a bet.  You won't know the outcome, but you can lose less on the ones that fail.  That's the edge.  Knowing the market well, and honoring the entries/stops.

MRVL closed strong.    /tf mostly flat all day.  

A lot of ER.  

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