Archive | January, 2010

Jan10 Recap

31 Jan

The top line figures of January posted a bearish start to the year. While we remain just below the halfway back/50% retracement, we see that in the prior decline we chopped around this level for a while before breaking into another bull run. Be prepared for increased volatility in the weeks and months to come.

Wk04: Market Recap

31 Jan

With mixed earnings, positive GDP growth, the President’s State of the Union Address and a slew of other economic data the markets continue to grind lower. The Vix remains at the top of its channel poised to breakout in the next few weeks.

Wk05: Market Forecast

31 Jan

In the week ahead look for these news announcements to act as potential market movers
The markets broke some pivotal support levels so the next target we are looking for is roughly $1030 on the S&P500. This will more than likely happen as a series of legs lower rather than all at once, just as we saw last week. We will wait for a small bounce or sideways action to get short.
 

Intraday Trading

26 Jan

Pit Bull

25 Jan

A must read for any aspiring trader or money manager. Pit Bull is an autobiography about Champion Trader Martin “Buzzy” Schwartz. He turns his dream of becoming a trader into a reality, and trades his way to millions and the title of “Champion Trader.” The book can be purchased on Amazon here.

Wk03: Market Recap

25 Jan

Week 3 produced a huge increase in volume on the movement to the downside. Pulling out to a weekly timeframe and looking once again at a Fibonacci retracement we remain at the 50% retracement level with a bearish weekly candle.

We broke down below the 20-MA and 50-MA, a bearish sign. We would be looking for a lower high to be put in on the daily’s which would indicate the end of the uptrend.

The VIX jumped up to the 27 level from down in the upper teens. It would make sense to see a move up into the 30s before pulling back.

Wk04: Market Forecast

25 Jan

In the week ahead look for these news announcements to act as potential market movers

There is a lot of economic news this week including GDP on Friday and the FOMC Meeting Announcement on Wednesday. We are expecting volatility to remain high, as we’re still in the thick of earnings season. We are approaching a support area so it will be important to compare the volume on a rally to the volume on the move lower. A lower high on the daily chart with lighter volume would be bearish and a move we will look to short into.

Wk04: Stocks to Watch

25 Jan

eek 3 was a heavy distribution week and with the jump in volatility we saw some of our long positions gap up into profitable territory and then get dragged down with the market. Whether you added some downside protection in the form of puts on Thursday or Friday you should be sitting pretty with a hefty profit on the short side so use week 4 to rebalance the portfolio. These stocks below are some that we are keeping on our radar in the week ahead.