Thursday, March 24, 2011

Markets showing signs of life

Wednesday, US Markets went down in the first hour an a half of trading but then reversed. The bulls were very determined, right up to the close. The S&P ended back in the range of the past 2 days. However, the Dow and the Nasdaq both closed higher, a bullish sign.
Other differences between the indexes: the Dow ended above it's 20- and 50-day moving averages, but the S&P stayed right under it. The Nasdaq on the other hand is still far from these moving averages, but did bounce on it's 100MA.
Silver and gold had a very strong day, silver making new highs. The euro fell back after hitting resistance at 1.42.

Swingtrades
Still no swingtrades for me, but I happened to stumble over the TZOO-chart. TZOO was a swingtrade I closed breakeven more than a week ago. My target was 52, below is the chart... No further comment *sigh*.

Daytrades
I didn't take any of Stewies trades since I was too busy with my own and I actually missed the entries. Too bad, AMZN and SPWRA both went up nicely.

My first trade was right at the open in SPPI, a trade I took on a recommendation from someone else in the chatroom, NYCTrader. Price spiked past daily resistance on volume. In and out for a mediocre gain.

My second trade was PHM. In on the bounce of 7.25 (resistance from the past 2 days, now support). It worked fine but required a lot of patience. Slow mover, I got out little under R3-pivot.

Third and sixth trade were in MOTR (yes, 6 trades, I was a busy bee! Still, it didn't feel like overtrading although in hindsight I better refused some of the setups). The first one I got in on break of the hammer-high. Got stopped out...
The second trade in MOTR was not much better, in on the break of the base (with rounded bottom). Price didn't really move, while the markets were spiking up. This divergence made me scratch the trade just above breakeven.

DFS was a nice one, in on the bounce of the 20EMA after which price slowly creeped higher. Out partial on R3, some other partials just after that. In hindsight, I shouldn't have sold in so many times, although HOD was nearby. My stop was already in the money at the time, I should have kept some on, since price just consolidated sideways. The 23.55-level was a better sell-point, lots of bearish candles and price more extended from the EMA's. Still, not a bad trade, had a decent profit on this one.

And the same could be said from the trade in GILD. In on the bounce of the 9EMA, near R2 and the round number 41. Also, the 15m-chart formed a red hammer. The stock shot up fast and I sold partially at R3. Then followed another spike higher on lower volume, making me sell some more. Last remaining shares I sold just under 41.64, gap fill from 03/09/11.

A very profitable morning, giving me back some confidence after 2 lousy days!

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