A Stock That May Be Worth A Second Look

I’m Dave Landry and I approved this column. 

On Tuesday, the Nasdaq gapped higher and worked its way
slightly higher until mid-day. It then drifted lower to sideways for the
remainder of the day. 

It remains well below its 200-day moving average. 

The S&P put in a somewhat similar performance. 

So far, the 200-day moving average is providing
support.  

So what do we do?  Although the 200-day
moving average is holding in the S&P, I’m not sure that this is reason
enough to buy. Therefore, nothing has really changed. The market remains in a downtrend and the vast majority of sectors,
even those that are commodity related, remain in downtrends–the energies were
the latest to join in here. Therefore, continue
to look to play the short side. However, you might want to wait for entries
since the market is bouncing a bit.  

Ingersoll-Rand
(
IR |
Quote |
Chart |
News |
PowerRating)
, mentioned recently, faked out on
Monday. This action sets the stock up as a Trend Pivot Pullback (email me if you
need the rules) and suggests that it still has potential, especially if it can
take out (i.e. trade below) Monday’s pivot low (a).

Best of luck with your trading on Wednesday!

Dave Landry

dave@davelandry.com

P.S. Reminder: Protective stops on every trade!

P.P.S. My new 20-hour course is now shipping.
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, or to order.

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