Nothing To Write Home About
Each evening we focus
on the most interesting aspects for the upcoming trading
day. The comments are based on observations of the nightly
updates of the Stocks/Sectors and Market Bias pages. They
are provided for educational purposes only and are not
intended to be direct trading advice. Also, keep in mind
that these remarks are made up to 12 hours in advance of the
markets opening. Therefore, overnight events may alter the
outcome of these observations.
I’m pleased to announce that we recently launched the Trader’s
Galleria. Check it out, there you’ll find books, software, trading courses,
computers and just about everything else a trader needs to be successful. You
can even pre-order my upcoming book on swing
trading at a 20% discount.
More
of the same on Wednesday, a lap higher (a) followed by a poor close (b).
This is how a bear market acts: Up in the morning, down in
the afternoon.
width=”470″ height=”320″>
 I suppose the good news is that the
Nasdaq stayed above Friday’s low (c) and had a minor rally going into the close.
However, this is nothing to write home about. As mentioned recently, it’s
important for this low to hold, otherwise a re-test of the August and then the
May lows could be in the cards.
So what do we do? We’re way oversold
now, but that doesn’t mean that we can’t go lower. Continue to tread
lightly until better days.
face=”Arial, Helvetica”>Looking to potential setups, St. Jude Medical
(
STJ |
Quote |
Chart |
News |
PowerRating),
on the Momentum
10 Technology List, is consolidating by forming a flag at high levels.
width=”470″ height=”320″>
face=”Arial, Helvetica”>Alza Corp.
(
AZA |
Quote |
Chart |
News |
PowerRating), on the Pullbacks
Off Highs List, appears to have stabilized after pulling back into the area
of its recent breakout.
width=”470″ height=”320″>
On the short side, Sprint PCS Group
(
PCS |
Quote |
Chart |
News |
PowerRating),
on the Pullbacks
Off Lows List, looks poised to resume its meltdown. Plantronics
(
PLT |
Quote |
Chart |
News |
PowerRating),
on the same list, began to break down out of pullback from lows.
width=”470″ height=”320″>
Best
of luck with your trading on Thursday!
face=”Arial, Helvetica”>Dave Landry
P.S. Reminder:
Protective stops on every trade!