BWY ENTERED AT $17.54 SETTING TARGETS FOR PROFIT AND A STOP LOSS FOR PROTECTION

BWY gave me a nice 10% return a couple of weeks ago. I am now watching it as it has tracked back down into the $17.00. It is also in an "oversold" area on the stochastic as seen on this chart. I suspect a move up into the $18.50 region and possibly into the $20 is a possibility.

Click on the chart to look for the reasons why I am going to be buying.

UPDATE: 2.2.2010

So the stock jumped nearly 5% today. The trade is so far profitable as of today so I have set targets for profit. Click on the chart to the right to see the explanation.

OUTLOOK FOR S&P 500 ON WEEKLY CHART

HERE IS A PICTURE OF THE SPY ON A WEEKLY CHART. CLICK ON THE PICTURE TO ENLARGE IT AND READ THE TEXT ON THE PICTURE.

I SEE THE SPY IN "NO-MAN'S LAND" BETWEEN THE 50 AND 200 DEMA ON A DAILY CHART. SO THIS MEANS THAT ANY POSITION SHOULD BE TO THE DOWNSIDE UNTIL IT NEARS THE 200 DEMA.

MY PLAN: SHORT THE MARKET. ADD MORE SHORT POSITIONS WHEN THE 50 DEMA IS MET ABOVE THE CURRENT PRICE.

PLAN ON TARGETING THE 200 DEMA ON THE DOWNSIDE FOR PROFIT. STOP LOSS IS GOING TO BE $0.25 ABOVE THE MOST RECENT HIGHS.

BUYING HMIN TODAY 01 14 2010. STOP LOSS OUT 01.21.2010.

I am buying HMIN today and have done so with a limit order at $36.15. I am hoping that this stock will rise off the 55 day EMA (yellow line) after popping higher a few days ago with higher trading volume. It also comes from my watch list as being within a buy area.

I also noted the stock is accumulating based upon the A/D line rising for the past few months.

I am going to scale into this trade so I bought 1/3 of my position to at $36.15.

UPDATE: 01.21.2010

Today the overall general market took a huge digger and this stock stopped me out at my 10% stop loss rule. Since I used 15% of my account, I lost 1.5% of my total account on this trade. There is the rule. Limit losses and let winners run.

POSITIONS AND TRADES

This is the chart for DRYS. The stock is bouncing around its 55 and 200 day EMA's. Click on the chart to look at the text on the chart to see the plan.


BWY is sitting right above its 55 day EMA. This may act as support, but I see stronger support at the junction of the 200 day EMA and the trend line drawn on the chart.

The other factor that is contributing to the pair being a strong stock is that there was a huge burst of trading volume in December and since then trading volume and price have both drifted lower. If the overall stock market is going to falter, then I expect a retracement back to the 200 day EMA where a strong buy point is in play as it is near the trend line too.


AIXG is nearing a support although it is below its 55 day EMA. If this stock does not use $31.82 as support and closes below this level, it is a bad sign and has the potential for this stock to take a digger. All of the trading volume has really been around the $32 level.

PLAN FOR AIXG: If the stock bounces off $31.82, buy it. If the stock closes below $31.82, do nothing.