‘Doh!’…Not Dough
I make no amends for a well-conceived
plan of attack, as long as I’m equally adept at playing defense. The market
has recently established a ‘Follow-Thru Day’ in the Nasdaq Composite. For
Intermediate-Term traders, it’s a green light of sorts to go ahead and trade the
growth stock breakouts as institutional size players are demonstrating a
willingness to support equities.
On a personal level, the ‘green light’ that many
look at, just as importantly means proceeding with caution when we’re at levels
of potential resistance, after an extended run. I might ‘play an IT trader on
paper’, but I’m better known in more recent days as a cautious
bull. As such, when I’m looking for a pullback in a healthy market, but the
stock is triggering, I don’t mind drilling down my protective stops to more
appropriate levels.
09:48:21
Weekly
Chart Alert
Kronos (KRON)
is trading up .80 at 58.72. The stock is a member of the Intermediate
Term report based on its weekly Cup & Handle formation, as well as
demonstrating strong fundamental growth characteristics associated with breakout
candidates. Triggers out of the handle are set at 59.60, and yearly cup triggers
from Jan. 2002 are about one point higher at 60.50 (highs +.10).
Yes, this one brought on a mighty ‘Doh!!!’, but
looking at the bigger picture, my attitude is bring it on. I’m more than ready
to take a couple of small lumps in a healthy environment in order to participate
in the outsized returns that will eventually follow, for those willing to play
the game consistently.