Hot Pick Of The Day

[New-born baby]

New-born ,
Could you look at a chart of SIX and tell me if it's as bad as I think it is ? Would you call it a "dead cat bounce" ? Thanks

-----------billyjoe

BillyJoe,
Looking at the daily--sitting down, I trust?--Six Flags has a double bottom "w" formation that is actually bullish. Target would be the upper resistance line as shown on the chart. Having said all of that, I'd tell you that
I would not trade this thing either way. There are better charts for shorting or longing, imho. The chart is too mature for shorting; too weak for a long. So I'd leave it alone, myself.

[spikefader]

Spike,
I have heard of the MaxPain theory, and yes, like Max Headroom, I believe in it. And furthermore, I take it into consideration as the expiry time approaches. Sometimes I dump calls I have sold to "lock in the profits" and avoid the pinch of a race to the MaxPain point.

Ya know New-Born, if a bunch of us get our heads together surely we can offer a few good trade ideas based on Max Pain as expiry approaches! How about 2 weeks before expiry we throw some TA for the heavy volume stocks against the Max Pain number and see if we can't make a few good calls. All invited; FAers, TAers, Astrologists, and dart-throwers!

[New-born baby]

New-born, need I remind you? ....


Here's something you can hang your hat on:

Rob,
You needn't remind me, because as I typed my post, my mind referred back to that incident. It is still fresh on my mind. But the reminder is A-OK with me. I just feel better voicing my fears for your pocketbook. I could very well be wrong. Best wishes with it. And please don't think I am being mean if I take it short for next POTW.

[New-born baby]

Shakesbaby

Ya know New-Born, if a bunch of us get our heads together surely we can offer a few good trade ideas based on Max Pain as expiry approaches! How about 2 weeks before expiry we throw some TA for the heavy volume stocks against the Max Pain number and see if we can't make a few good calls. All invited; FAers, TAers, Astrologists, and dart-throwers!

I am all for it, Shakesfader! Remember, the theory works best in calmer markets that this past month has proved to be. Too much bad news for Max Pain to work today. But on a normal expiry day, prices would have rushed and fluctuated around the Max Pain strike price.

Furthermore, some of the trading services swear by it. For example the Daytrade team always considers "Max."

"If you are looking to keep your gain,
You must consider the point of Max Pain.
For if you forget to watch it, Miss Jane,
Your profits will vanish and drive you insane."

[Runner]

GOOG:

Monthly-displays a symmetrical look to it and uptrend is still in place.
Weekly- support a possible symmetrical triangle as well
Daily- same here except it has been putting in lower highs.

I think a nice move is coming for this stock and for now the direction is unknown. Next Bull move would be the testing of 425. and Bear move would be a breach of the daily trendline around 375. The sub sector had a huge gap down on 7/19/06 after popping out of a base. Sector action does not look promising for the Bulls in the Internet Information Providers group.

Group Chart:

[New-born baby]

GOOG:

Monthly-displays a symmetrical look to it and uptrend is still in place.
Weekly- support a possible symmetrical triangle as well
Daily- same here except it has been putting in lower highs.

I think a nice move is coming for this stock and for now the direction is unknown. Next Bull move would be the testing of 425. and Bear move would be a breach of the daily trendline around 375. The sub sector had a huge gap down on 7/19/06 after popping out of a base. Sector action does not look promising for the Bulls in the Internet Information Providers group.

Group Chart:

Runner,
The entire sector, save GooG, is weak. I am thinking that GooG can not go it alone, but will eventually roll over and die with the rest of the group. At least, that is what Wm. O'Neill said in his book.

[New-born baby]

Goog

[Rob]

Barney Google

Goog

... with the goog, goog, googley eys.

[New-born baby]

Ebay

EBAY flashing a short term buy signal of 3 to 15 days. Don't get too greedy
Last time it happened we got a nice pop, but it gave it all back later.

[New-born baby]

[CENTER]

... with the goog, goog, googley eys.

Don't look now, but I think Ole Barney Google is catching up to us!

WHO ARE THOSE GUYS?

[New-born baby]

the "Death Cross"

GooG is approaching a "death cross." The death cross is a cross of the 50 day below the 200 day moving average. When that happens, it is a pretty sure sign of lower prices ahead. What shall we say, a ninety percenter?

GooG is walking the death line right now. That weak response to blowout earnings tells me she's a gonna dive down here soon. I like those puts on such an expensive stock.

Hey, when that Death Cross happens, I get first dibs on GooG short for POTW.

[New-born baby]

Nem

NEM announces earnings on Thursday. NEM is right at making a "death cross," and I have bought PUTS because I figure NEM is headed South at the earnings announcement. I could be wrong, of course Either way, I think NEM moves $2+ on Thursday.

[alice4321us]

Wire

WIRE Reports today after close. It has more often than not gapped up big next morning. Fundamentals still strong, anyone looking at the charts today can anticipate a push over the MAs today after hours.

[New-born baby]

WIRE Reports today after close. It has more often than not gapped up big next morning. Fundamentals still strong, anyone looking at the charts today can anticipate a push over the MAs today after hours.

WIRE: symmetrical triangle. Yes, after the close, the matter will be settled. Stock price is up today, but PnF already says WIRE moves lower:$28 target.
You may be right, Alice; I don't know. I have never looked at the FA, and wouldn't trust it if I did.

I do know that the uptrend has been broken, so I am more bearish that "more often than not" would imply. Current resistance is $37.50, and WIRE needs to bust that with volume to have any real hope of another uptrend. I just am skeptical that it can and will. If we factor in that the QQQQs are in a confirmed downtrend, then a bullish position on any NAZ stock should be taken with caution, imho.

One more warning: if it busts the neck at $30 on this head and shoulders, WIRE could fall much, much further than $28. Dow Theory would then target $12.50. Yes, it is shocking, I know. Here's what's worse: $30 would then be resistance, and looking at that price by volume stick at $30! Buy PUTS if she falls, and sell the calls, because she ain't coming back!

If you hold it: best wishes. IF not, I am going to short this baby down tomorrow should she bust South. And I thank you for calling WIRE to my attention. I'll be watching it . . . . .

Here's the symmetrical triangle on the weeeeeeeaaaaaaaakly:

[New-born baby]

Btu

BTU is currently uptrending to retest the broken support (now resistance). I'd suggest you sell the $47.50 resistance.