Day Trading Post #78

Today we had a nice gap up in the market, and intraday it was great to short. Many of my longs are playing out nicely, and I managed to catch DRN for 3.10 point long at the close. The market overall is looking very bullish and I would anticipate that we will break 1100 on the S&P Cash soon. We broke through to new 52 week highs on the S&P and on the Dow, but closed shy of the resistance at 1100 for the S&P. My take on this is that we will probably consolidate a bit under the 1100 level and then we'll have an explosive move up. I'm being more cautious this time around since I got burned the last time we came up to these levels.

As for my longs, SPG is playing out nicely and I am sitting nicely in the money. The Airline stocks are consolidating and look as if they may push upwards a bit more. Along with that, the healthcare sector is still going strong. I am holding my last 100 shares in AET and letting it run!

Today's day trade went very well, and I have been watching and waiting for the technicals to setup for the past few days. Sure, I could have broken and bent my rules a few times last week and earlier this week and potentially made some nice gains, but I held off and waited until my indicators all lined up and then I pulled the trigger. I took DRN long at $123.55 and sold it for a gain of $3.10 per share! Chart is below:

Day Trading Post #77

Well, today got me a bit bullish again and I took some long positions. I am only planning on holding for a short period of time. I bought SPG, UAUA, and SKS. Charts with my notes are below:

SKS is an interesting chart. For the past 6 months you can see (from my interpretation of this chart) that we traded in an upward channel with a wide range. Short term, we have a downward channel which brings us to the lower trend line of the long term channel where you see we bounce. Along with that, the Stochastics and MACD have setup for a long. Things look good for about a point move give or take some. 

SPG is one I have been watching for a while. The stochastics and MACD have crossed to the upside and look bullish. There is the potential for it to pull back down into the falling wedge pattern present on the chart, and if that is the case I may cut my losses and wait for a better entry. Although right now it looks as if we may have caught the breakout. Overall, I took small size but will be watching it closely.

UAUA is a trade I took when looking at a bunch of different airline stocks. I honestly think that you could take a basket of airlines and hold for a few days or so with a tight stop and have some decent profits. Many airline stocks look very similar to UAUA and have the stochastics and MACD setup for a buy.

Finally, the S&P cash chart. On the daily, we look really good for a move up, but I am hesitant around the 1100 level since I got burned pretty badly the last time we hit 1100. Mid October, I should have locked in profits but got greedy and held on resulting in many winning positions rolling over and turning into losing positions. This time, I am not going to let that happen. If I see the market stalling out and showing some resistance around 1100 again, I plan to scale out / lock in profits. We will see in the next few days / weeks!

Day Trading Post #76

So, the past week or so has been busy hence I haven't posted as much as I would have liked to. Anyway, after regrouping and going over my trades, I realized my mistakes, worked on them and fixed it. As a result, I managed to bring my account back up 8-9% from my low of last week after cutting off my losers! It was a good week and I exercised more discipline in my trades resulting in smarter trades. I have some friends whom I keep in touch with who also trade and it's interesting to me that I can pick out some of their flaws with their psychology regarding trading pretty easily but when it comes to myself, it is much harder to see what is wrong. Hence, I really feel that last weekend, by going over my mistakes, I managed to improve myself. This upcoming week I have some plays that I am interested in, but I am exercising more discipline as to my entries so that I don't end up getting in too early. Pretty much I am looking at some RIETs along with GE and some tech stocks which are setting up nicely. The market itself is in an oversold region on the stochastics, and is matching up for a crossover on the MACD indicator on the daily chart. Weekly charts still look bullish too. The pullback may or may not be over, but I am sitting on my hands until I get the signal that we are ready to launch this market back up!