This stock could get crushed, here’s my plan of action
The DJIA
Smack down city! Man, what a day yesterday. My finger was on the
trigger to go long as the Dow flirted with the upper channel line, actually
breaking it slightly, but not by the systems parameters, therefore I stayed
flat. Price proceeded downward through the channel breaking the lower line
of 10497 triggering a short entry. I am holding shorts today with nice
profits and wide stops. 10377 is apparent support for this down
move. Short/profitable
OIL
Shorts were entered yesterday at 65.97. They are currently underwater
and I am holding at this time. Short/loss
US DOLLAR
Greenspan’s speech added fuel to the dollar rally, pushing the EUR/USD pair
into the 1.2100 range. I have covered my initial shorts with nice profits
on the bounce back and just re-entered short 1.2213.
Short/profitable
Equities
(
NWAC |
Quote |
Chart |
News |
PowerRating) Removing from list. No bounce.
(
DAL |
Quote |
Chart |
News |
PowerRating) Still watching and waiting for long entry signal at 1.03 to enter
Flat/long bias
(
GOOG |
Quote |
Chart |
News |
PowerRating) Wow, this one is insane!
Moving the go short level up to 302.97. Flat/short bias
(
EBAY |
Quote |
Chart |
News |
PowerRating) The slow grind down continues. Holding. Short/profitable
(
IBIS |
Quote |
Chart |
News |
PowerRating) This chip maker seems to be setting up for a nice run on the
upside. Still waiting for 2.03 to snap to enter longs.
Flat/long bias
(
ALL |
Quote |
Chart |
News |
PowerRating) This is a new one on list.
Allstate insurance is being sued for refusing to pay flood claims from Katrina.
I don’t believe they have an obligation, based on the contracts. However, the
payout for the other damages and the very bad PR that will come from the suits,
regardless of the outcome, may crush this insurer. Here’s my plan: 51.50 breaks,
I am shorting. Flat/short bias
Best wishes !
Dave G
David S. Goodboy (marketsurfer) has been
trading professionally for over 14 years. Mr. Goodboy trades ETF’s, stocks,
index futures, energy futures and options. His primary focus is a unique
multi-time frame index trading system based on a combination of time/price
cyclical studies and statistical models. David was a trader/partner with
Biltmore Capital, traded with an option arbitrage firm, and is currently in the
launch stages of IntrendX, a global multi-strategy fund.