Thursday, December 6, 2012

Daily analysis and Trade ideas for 12/07/2012

 

Daily Analysis
Choppy range bound action in the market today.  We are in a tight range now, hanging around the 50sma (we actually closed a nudge higher). We are in a bull flag formation on SPY. If the bull flag confirms we may head back to 147.65 level on a double top. I think this may well play out soon, but there may be a little more drama. I have a feeling we may see some of that next week. Meanwhile, AAPL had a nice rebound. Nice to see the volume on the rebound was higher than yesterday's selloff volume.

SPY support or resistance levels.
SPY resistance - 141.68, 142.25 142.75 (gap-fill), 143.09, 143.55, 144.40
SPY support - 140.40 139.05, 138.50, 137.55, 136.66

Sector watch -
Technology - AAPL nice rebound. Need a follow-thru day now.
Financials – Holding well. Citibank and BAC are leading the action.
Homebuilders - Reversal in play.
Energy - Liking the sector right now.

Trades today - 
LULU - Short at 69.70 this morning. Covered at 69. (was up a lot more but it bounced)
LULU - Long at 72.50. Closed at 73.
DVN - First trade b/e. Entered long at 52.98.
AMZN - Short at 253.33. Covered b/e.
CVH - Closed 1/2 swing position at 30.30.
YHOO - Added back 1/2 position at 19.18.
SHLD - Stopped out at 40, although it closed over 40. If it doesn't confirm tomorrow, may re-enter.
KKD - Took long position at 9.05.

Swing Trade update -
TNGO - Still holding long. Looked much better today. It needs volume and needs to break 13.43 area.
TSLA - Was up nicely this morning but reversed back to 34 area. Still holding 1/2.
FSLR - Holding 1/2. Continues to do well. Needs some break.
YHOO - 1/2 position.
SRPT - Entry at 29.70. Bounced off 20sma but ended in red.
ESRX - Entered long at 53.75.
SHLD - Entered 1/2 pos long at 41.65. Stop 40.
CLF - Holding from 29.25 and added more April 30 options.
PAY - Holding from 31.75.
Old ideas-
CIEN - Continues to do well.

Trade ideas: -
MNST - Nice bull flag.
CVC - Bottoming formation.


 

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