Super Sunday 11/19/17
Short Trading Week
Since the election, the market has brushed off everything in its path and rallied nearly 25 percent. In years like this, we often see new people pile into the market to get in on the action. But don’t forget that this bull market has really been going on for the entirety of the current decade. It just wasn’t until this year that the market really started to rally hard.
A consequence of this enthusiasm has been that volatility has fallen to all-time lows in 2017. This makes trading with traditional technical patterns a challenge. As most people are willing to buy nearly anything at any price.
With this sentiment in mind, I will continue to be a buyer of large and mid cap stocks until proven otherwise.
Statistically speaking December is the strongest month for mid cap stocks in the past. This is typically due to rotation into these sectors with "extra" money... aka year end bonuses, ect...
I will be looking at opportunity in energy sector for December as temperatures fall and demand rises.
Be mindful we are trading on a short/holiday week. Volumes may be lower, which typically leads to concentrated squeeze type plays on retail volume.
VIX (Volitility) Acceptable levels for this indicator. Would like to see this higher for better trading opportunity.
NVDA Price target upgraded ($250) long term buying opportunity. I would like to see this pull back some, a nice buying opportunity around $200 would be great here. Not looking to day trade as price is too high to leverage on this name.
FCX (Freeport) Looks like support $13.50 and 200dEMA are showing strength. Will look to swing this. Stop #13.25, would like to buy $13.65 level. (-0.40/risk)
CHK (Chesapeake) I was honestly expecting to be stopped out here, price recovered nicely. Looking for profit zone here $4.40. May add back for a full position size here.
XLE (SPDR Sector energy) Price recovery here, back in channel, will look for energy swing plays based on this pull back.
AMD (Advanced Micro Devices) Alerted here at $10.90 (11/15/17), stop $10.50, removed 1/3 position at 20dEMA $11.70. MACD showing crossover on price and volume action during Fridays session. Will keep stop in place. 200dEMA $11.99, we need to close above that level for long term bullish action. unfortunate selloff end of trading friday.
SNAP (snapchat) Fantastic price action for anyone long. I still do not believe at all in this ticker. However, strength is in the bulls court. $13.08 is critical pivot resistance here. Swing low $12.13. Fib extension level $13.25 & $13.95. I will personally look to short based on those levels.
TWTR (Twitter) Bullish price action here. Long setup forming. Will look to swing this. Long term target $25.80, stop $17.00
- $NGL (Some recovery here. I will look for swing entry here. $11.51 support, price target $13.00, entry at or below $12 price level.)
- $IMGN (Very strong close, volume in final minutes was huge. Looking for continuation. Long term trend here is long. Price action at critical level. Needs to break to upside or bears may take over.)
- QBAK (watching for pull back to trend line, $7 level. may not happen here. long term bullish trend.
HOT WATCH 11/19/17
- $HMNY - (Ticker is building some real strength and testing for new breakout. I will buy small size and hold for a swing here. Breakout level for scalp and momentum over $14.20. Support $10.00 for swing.) I will enter accepting the 3 points of risk for multi dollar potential swing.
- $INFI (Holding 500 Shares $1.91, will look to trim size at $2.21. Stop here $1.75)
- $ONCS (potential reversal on daily. Levels are overbought still. Will look for price recovery above $2.20 level for entry.)
11/19/17 low float plays
- MARK (Price at all time highs, momentum could move this higher. Unsure as to price targets here, literally uncharted levels)
- LBIX (great pop on Friday as called. Candle very ugly but remaining bullish.)
- TNDM (Breakout potential above $3.12 level. Technical indicators showing opportunity for longer term bullish move. gap fill play here is still very much possible.)
- MBOT (potential double bottom, MACD crossover, RSI midline cross. volume and bullish move friday. Looking for swing entry.)
- EKSO (Massive volume and strong price action. Almost closing above 50dEMA, this is a potential for close of 200dEMA $7.13, squeeze play.)
- MICT (similar set up to EKSO, Monday morning Earnings, if good will watch for $2.99 200dEMA test)
- EGLT (two huge volume days, price up and down, holding $1 level. will watch for some sort of move off the psychological level $1.00 hold)
WPCS (I bought this 11/16 (62 shares) in the Robinhood Ultra Low cash account. entry price $1.60, would have liked to make a higher high here and holding some of that mid day pop. Will continue to hold here),
Low Float/Small Cap momentum-
All shippers again on watch DCIX huge move. Micro floats will be strong in this short week. Look for retail to capitalize on the limited trading days this week by trading hard and fast on these names.
Tickers includes ESEA, TOPS, SAEX, DRYS, GLBS, SINO, DCIX
Shippers will be a hot ticket Monday morning. There will be people looking to crush a huge trade headed into the holiday. Opportunity here will be strong for both longs and shorts, keep in mind just because you are bullish someone is also bearish. Always remember there are loads of people looking to short these low floats the minute they show weakness.
Use caution when trading these low float names, they can crash even faster then they rise. Lock profits and do not look back, never play the "what if" game on these names. You can be up or down several hundred or THOUSANDS of dollars in minutes and in the case of a T12 material halt, you could be in for massive pain or worse be trapped in a position for days or weeks until material evidence is sufficient to remove halt.
Keep in mind this is a shortened trading week. Typically these weeks will see reduced trading volumes with "smart" money. Retail traders however will run amuck when the smart money is away. Use these times to trade with strength in the names that are moving hard.
I will most likely look to enter some swings for a December run. Additionally I will look to trade hard and fast in the shippers should momentum move that sector. TOPS is a personal favorite of mine to trade, just preference, It moves quickly and I can grab a 10% move on this name.
Base hits will always be my goal. New week. Building my cushion.
Good luck team, Remain humble and hungry!
Disclaimer: We are not responsible for losses for any reason. We are just an investing club here, seek financial advise from a professional before acting on any of this information. This information is strictly my opinion and what i am seeing in the market. The information above is not a trade recommendation to buy or sell. I am not a licensed broker, dealer or finical adviser. Trading comes with considerable risk and my not be for everyone. Past performance is not indicative of future performance. Never trade with money you can not lose and paper trade to prove profitability before using real money.