MARKET IS IN A RALLY PER IBD

IBD stated that the market had a follow-through day as of Wednesday and that the market is in a confirmed rally. Well, I like to follow what IBD says so I started scanning some stocks that I think look as if they are going to breakout.




MR is high on my list. Just click on the chart to the left to enlarge it. MR recently ran up, touched the 50 day moving average line twice (blue line), and is poised to break out above its previous resistance at $36.05. If MR breaks out above $36.15 in high trading volume, it becomes a buy.

KMGB is a stock that recently had a run up and is correcting in a positive way. If you draw a trend line down the top of the recent down turn, you will see that the downtrend was broken a few days ago around $20.50. Since then it has risen in higher buying volume as noted by the rise in price and the trading volume picking up as seen at the bottom of the chart. I picked some shares up today at $23.48 since that broke a previous area of resistance a month ago.

As for my current holdings in my portfolio, BCSI continues to do well and I am hanging onto this one. I am still waiting for OMCL to breakout to the upside. ICE may be on the rebound.

PCLN triggered my 10% profit rule in a down trending market. What???? you ask. Well, in a downtrending market like the one we just popped out of, IBD recommends cutting your losses at 5% and taking your profits at 10%. Well my 10% target in PCLN was $82.30 and it go taken out today. Thanks. I'll take it.

What I am going to try and to is keep the stocks that I own in my portfolio in the Yahoo! stock list on the right of this page.

There is another subject I have to mention that is just driving me crazy. I believe that Americans are becoming the softest, most emotional and dumbest people in the world despite our "superpower" status. Young kids are more concerned about what Hollywood star ditched jail (Spears, Lohan, Richie) or attempted suicide (Owen Wilson) than looking at the world as a whole and seeing what is happening to the USofA as a country. Here is a perfect example of that stupidity. http://www.youtube.com/watch?v=lj3iNxZ8Dww

Thank you Ms. Teen South Carolina. You have proved my point.

Good luck trading.

JD

OMRI ???

Why OMRI??? I'll find out later.

Short RIO and CAE.

MARKET STILL IN CORRECTION.

When looking at a chart of the indices, SPY and DJIA, the market still looks weak and I am waiting for a "follow through" in order to go fully back into cash. The funny part about this downturn is that I am actually still doing very well since only one stock has tripped my 10% sell rule and that was CTRP. Kind of ironic isn't it? The name that is.

BCSI has given me more than a 50% gain in the past couple of weeks especially with the positive earnings announcement. I did take 50% of my original purchase off the table when I reached a 50% target. OMCL continues to make no movement, but I completed all of the buying that I was willing to do between $23.60 and $24 and that totalled $100K. I believe it is waiting for the overall market to follow through or crash and OMCL will follow suit. PCLN is nearing a 10% profit and I will take it if it gets triggered at $82.30. Remember, IBD recommends selling stocks at a 10% profit when the overall market is in a correction.

Another funny factor in my life is that now that I am a born-again IBD trader since July 11, 2007, my portfolio has thanked me even despite this downturn. To prove it, here is a copy of one of my accounts that has bobbed up and down for about 8 months while I kept trying to get fancy. Once I committed myself to the IBD system again, well.... just look at the graph:
(For those of you who have a Scottrade account, I'll bet you can attest to this graph.)


I have also added a Yahoo! link on the right side of the column and changed the color of my blog to match. I hope you like the new change. The text is a lot easier to read.

Good luck trading.
JD

THANK YOU BCSI !!!!!!!!!!

Who would have ever thought that BCSI would jump 29% in one day. All b/c of earnings. This stock is now one to hold on to for at least 8 more weeks based upon the Investor's Business Daily rules.

Since the overall market is in a correction, it is hard to make any recommendations to buy; however, I am liking MR as a buy candidate. I have noticed that the market held its 200 day moving average which is a good sign. Let's just wait and see how the market holds out.

Good luck trading.
JD

Hmmm. HAVE WE REACHED A BOTTOM?

A new rally may be in the works, we will just have to see. Still in on BCSI and OMCL. I am really liking the charts of VMI and ANST. VMI is in a better buying position. If a market rally ensues, I believe I am a buyer. (read in the book "How to Make Money in Stocks" on how to recognize a "bottom" in the market and prepare yourself for a follow through day.

BTW, BCSI reports it earnings Monday.

I just had to bump this blog back up top.

TRADING RULES
I have been successful with my approach to the stocks I want to look at to buy/sell. The way I came up with this system originally was to read "How to Make Money in Stocks" by Wm. O'Neil. I had used his book in the past, but recently deviated from the trading plan and definitely did not do better with my personal trading plan and have done much better sticking to the IBD plan. There are a lot of factors in selecting stocks to buy. I say that I am a chartist which means that I only buy a stock based upon what a chart shows me in relation to price and volume. However, I primarily base my decision to buy based upon a company's fundamentals such as earnings per share (EPS). Here is how I select the stocks based upon a stock's fundamentals:
1. Use the IBD newspaper and look at "Stocks on the Move" or "IBD Timesaver Table."
2. Smart Select Composite Rating must be greater than 98 or 99
3. EPS must be higher than 90
4. Relative Price Strength must be higher than 80
5. Industry Group Relative Strength must be A or B
6. Sales/Profit/ROE A or B
7. A/D must be A or B
8. Beta must be 1.4 or higher as noted in the Stock Checkup at www.investors.com

www.investors.com has already done all of the research for me when it comes to stocks with high earnings per share (EPS), if it's in a strong industry group, etc. I then am a "chartist" and I anlayze a chart as to when it is the best time to buy or sell.So here are the buy rules: (price and volume are key)
1. Breakout from a cup with handle or any other base as described in the "investor education" section of www.investors.com
2. Stock makes a new 6 month high and meets all the above criteriaLearning to identify the proper buy points (aka pivot points) are critical to profit. I try to talk about pivot points in this blog to help find them.

So here are the sell rules that need to be stictly adhered to:
1. Once your stock drops 8% below the proper buy point, sell it.
2. Once a stock gains 20% from the proper buy point, sell it. However, if the stock rose 20% within a 3 week span, hold it for at least 8 weeks.

That's it. That's my trading plan. Granted it means that I am in and out of a stock as it rises, but that can sometimes add up to more than just sitting in the stock. I just want to be out before any correction occurs and I lose all my profits.

INDICES HAVE CUT RECENT LOWS. GOING TO SHORT THE MARKET

Basically, the best thing to do right now is to move into cash. These last two rally attempts have failed and the market is in a correction. I have gone mostly into cash but am still holding onto CROX, OMCL, and BCSI.

One stock that I found to short today on a 7-20-55 day EMA cross is AINV.

Good luck staying in cash, but get ready to jump back in when your stocks give buy signals.
JD

MARKET HAS BOUNCED AGAIN. I'M LOOKING FOR MORE BUYING OPPORTUNITIES

This market continues to be bipolar. A few days ago, I went into cash. Now I am back into buying mode.

Today, I bought into a few stocks. STP near $42 and WFT near $54.20. Why?

STP has spit out a weird cup with handle. After the breakout, the stock came back down with the general market, but trading volume also declined. I am looking at the Stochastic and am noticing that the stock is OVERSOLD and it is ripe to head back up. Bought in today at $41.59 and again at $42.

On WFT, I am only looking for a 10% profit since the stock seems to be fluctuating and not making any significant moves in the past few months. Bought in at $54.20 and looking for a target near $59.20 since $59 has been a resistance point a couple of times in the past few months.

I am also continuing to accumulate shares in OMCL from $23.60 to $24.00. This should be a support area and hopefully the stock should rise again here soon.

Good luck trading.
JD

Some stocks have now popped up onto the watch list to buy at an opportune time. These include: LAYN, NVDA, VDSI. In fact LAYN, is currently in buy territory, but I have to mention that buying a stock during a market correction is tough to do since a trader should be in cash and not into buying stocks.

On the flip side, many stock have jumped on the "short" list. Remember, shorting a stock is tough to do so make sure you are comfortable doing this type of trade. New additions to the short list include:

ABK, AHM, AIV, AVB, AXR, BFS, BIO, BONT, CAC, CAKE,CHKE,CPKI, ESE, FACE, FED, IGT, INSU, LEAP, LXK, MBI, MBWM, MKL, MTB, MWRK, PFB, PMI, PSA, PVTB, RAS, RCII, RWT, SHLM, UCBI, VTAL

In July, I made mention of some stocks that I thought were going to make a move.

ICE was cut at an 8% loss.

CTRP came within $0.56 of the 8% stop loss order, but today bounced more than 8% on huge trading volume. To me that is a signal to buy again.

On July 10th, CROX was mentioned and has been the great winner of the three. So far it is up 24% from the buy point and that is less than 3 weeks. REMEMBER - ONE OF IBD's RULES IS TO HOLD ON TO A STOCK FOR AT LEAST 8 WEEKS WHEN IT RISES MORE THAN 20% IN LESS THAN THREE WEEKS.

MBT was a perfect "short" set up and it worked out for an 18% win when the stock went down.

You can always go look at these charts for free at www.stockcharts.com

Good luck trading.
JD

BUY LIST:
AAPL, ACH, ARD, BAP, BHP, BIDU, BOOM, CAE, CAM, CLB, CMED, CRNT, DECK, DRYS, DSX, EDU, ELP, ESI, ESV, FLIR, FMCN, FSRV, FSTR, FTI, FTK, GRMN, GSF, GSOL, HAL, HURC, HURN, ICE, IEX, ISRG, KMGB, LAYN, MICC, NILE, NOV, NVDA, NVEC, NVT, OMCL, OYOG, PCLN, PCP, PCR, PCU, PDE, RDC, RIG, RIMM, RIO, SII, SQM, SRCL, TBSI, TNH, TWIN, VDSI, VIP, VMI, VSEA, VSEC, WBD, WFT, WOOF, WHQ

SHORT LIST:
ABK, AEPI, AHM, AIV, ALX, ARE, AVB, AXR, BIO, BONT, BSC, BXP, CAC, CAKE, CHKE, CPKI, CT, DSL, ESE, FACE, FED, GHL, IGT, INSU, ITMN, KB, LEAP, LPNT, LXK, MBI, MBWM, MKL, MSTR, MTB, MWRK, NVR, PJC, PFB, PMI, PSA, PVTB, RAS, RCII, RWT, SEPR, SHLD, SHLM, SLG, STU, UCBI, VNO, VTAL, WSC, WY

BUY and SHORT LIST

BUY LIST: (This does not mean buy now. It means these are on my watch list for buying opportunities)

AAPL, ACH, ARD, BAP, BHP, BIDU, BOOM, CAE, CAM, CLB, CMED, CRNT, DECK, DRYS, DSX, EDU, ELP, ESI, ESV, FLIR, FMCN, FSRV, FSTR, FTI, FTK, GRMN, GSF, GSOL, HAL, HURC, HURN, ICE, IEX, ISRG, KMGB, MICC, NILE, NOV, NVEC, NVT, OMCL, OYOG, PCLN, PCP, PCR, PCU, PDE, RDC, RIG, RIMM, RIO, SII, SQM, SRCL, TBSI, TNH, TWIN, VIP, VMI, VSEA, VSEC, WBD, WFT, WOOF, WHQ

SHORT LIST: (This is my list for "shorting" stocks when the timing is right)
AEPI, ALX, ARE, BXP, CT, DSL, GHL, ITMN, KB, LPNT, MSTR, NVR, PJC, SEPR, SHLD, SLG, STU, VNO, WSC, WY

NEW TRADING OPPORTUNITIES

With the Dow Jones finally holding above 14,000, I believe we are going to head higher. 14K is a tough barrier to cross and we finally have done it.



So let's look at a couple of the trades we were looking at earlier - ICE. ICE has broken out of a cup and handle. The pivot point (a.k.a. buy point) was $162.57 as determined by being $0.10 higher than the previous high. With the huge trading volume breakout, the stock has come back down to the pivot point again. Trading volume has not increased with stock pulling back. That is all a good sign. Personally, I am going to add on a few more shares near the pivot point.


CROX has also pulled back and hopefully it may make a run at $50. That may be its resistance point. Anyway, if you click on the chart it will enlarge it and the ellipses outline the buy point areas. Let's see how this one goes.





CTRP is presenting itself as being a buy candidate with support arising at $82. The yellow elipse shows a cup and hadle and the highest point after the breakout was $82.09. Using the IBD theory, a secondary pivot point/buying point is $82.19. Today, the stock showed that support will probably come around $82.



On the short side (i.e. a stock that gains profit if the price goes down), MTB looks good. The elipse shows that the Stochastics is overbought and ripe to go down. The resistance around $114 has been tested a few times without success.

GOOD LUCK TRADING.

JD

TRADING RULES

I have been successful with my approach to the stocks I want to look at to buy/sell. Since I revisited my old trading system, my whole portfolio is up 18.4% from June 9th until July 11th. The way I came up with this system is re-reading "How to Make Money in Stocks" by Wm. O'Neil. I had used his book in the past, but deviated from the trading plan and definitely did not do better with my personal trading plan and have done much better sticking to the IBD plan.

There are a lot of factors in selecting stocks to buy. I say that I am a chartist which means that I only buy a stock based upon what a chart shows me in relation to price and volume. However, I primarily base my decision to buy based upon a company's fundamentals such as earnings per share (EPS).

Here is how I select the stocks based upon a stock's fundamentals:
1. Use the IBD newspaper and look at "Stocks on the Move" or "IBD Timesaver Table."
2. Smart Select Composite Rating must be greater than 98 or 99
3. EPS must be higher than 90
4. Relative Price Strength must be higher than 80
5. Industry Group Relative Strength must be A or B
6. Sales/Profit/ROE A or B
7. A/D must be A or B
8. Beta must be 1.4 or higher as noted in the Stock Checkup at http://www.investors.com/

http://www.investors.com/ has already done all of the research for me when it comes to stocks with high earnings per share (EPS), if it's in a strong industry group, etc. I then am a "chartist" and I anlayze a chart as to when it is the best time to buy or sell.

So here are the buy rules: (price and volume are key)
1. Breakout from a cup with handle or any other base as described in the "investor education" section of http://www.investors.com/
2. Stock makes a new 6 month high and meets all the above criteria

Learning to identify the proper buy points (aka pivot points) are critical to profit. I try to talk about pivot points in this blog to help find them.

So here are the sell rules that need to be stictly adhered to:
1. Once your stock drops 8% below the proper buy point, sell it.
2. Once a stock gains 20% from the proper buy point, sell it. However, if the stock rose 20% within a 3 week span, hold it for at least 8 weeks.

That's it. That's my trading plan. Granted it means that I am in and out of a stock as it rises, but that can sometimes add up to more than just sitting in the stock. I just want to be out before any correction occurs and I lose all my profits.

I will try to add to this segment to give proper buy points/pivot points. If you look at ICE today (7/11/2007), it has just broken past a buy point/pivot point today at $162.57 so if you are into buying, here is your baby.

GOOD LUCK TRADING.
JD

STOCKS STILL PRESENTING BUYING OPPORTUNITIES

I did scratch CROX off my list due to a little weakness, but today it presented a buying opportunity. Click on the chart to enlarge it to see what I am talking about. CROX broke out of a RESISTANCE line (red line) on higher than average trading volume which is seen at the bottom of the chart. The yellow circles denote two other factors which help contribute to a buying opportunity. 1. The stock bounced of its 30 day moving average (larger ellipse) 2. The stochastic indicator was near an oversold area and has now turned up. Based upon all of these factors, CROX is a buy opportunity all the way up to $49.50.

AMZN has also presented a buying opportunity as it has broken out of consolidation as noted by the stock breaking above the red line on higher than average trading volume. Personally, I am going to buy anywhere up to $75.

If I were to pick between these two stocks to buy, CROX would be my baby due to the fact that CROX is a new company with earnings that are growing a lot faster than AMZN.

GOOD LUCK TRADING. JD

THE US DOLLAR IS STRENGTHENING. CAN STOCKS HOLD OUT?

I saw the title in a quote today and had to take notice. I have been a little on the bearish tone here as of late and I am beginning to wonder if it is true or not by looking at the SPY. Click on this chart and you will see that there are a few things I want to point out.

1. The stochastic is in OVERBOUGHT area as noticed by the yellow circle.


2. There is a downward slope for the past month or so as noted by the red line.


3. There is a negative divergence as noted by the rise in price, but a drop in trading volume as noted by the different directions of the yellow lines. Price is going up and trading volume is dropping. NOT a good sign. These are signs that the market may be heading lower for a little while. In response to this, I created a bear call spread today. Meaning, I sold a near the money call and bought an out of the money call. Since the current price is near $151, I sold a July $153 call and bought a July $155 call at a credit of $1 for 30 contracts. So if the market stays below $153 in two weeks, I get to keep the $3,000 ($1 for 30 contracts and each contract has 100 shares 1 x 30 x 100 = 3,000).

Watch ACTU closely. It is coming back down to "support" after the breakout from a cup with handle.

I cleared out a few stocks today:

SOLD: FLIR for a 10% profit.

BOUGHT: PAC and JADE. PAC is breaking out above previous highs on higher than average trading volume. JADE is breaking out of a symmetrical triangle on higher than average trading volume.

If I could only trade the GBP/CAD I would sell the pair since I received a signal on my chart using 3 indicators. The reason I can sell the pair is that by forex dealer doesn't trade the pair. I need to pick a new dealer for forex.

GOOD LUCK TRADING.
JD

EQIX DID IT. RIMM COMING OUT OF OVERSOLD AREA

EQIX broke above the level I discussed before and is well within a buying area of the breakout at $89.42. Buying up to $93.90 is up to the 5% limit as described in "How to Make Money in Stocks."



Look at RIMM by clicking on the chart to your left and it will enlarge it. Notice that RIMM broke out in May and has had a good run-up since. In the past week or so, the stock has retraced a little bit and notice the yellow elipse on the Stochastic signal at the top of the chart. Inside that circle is the signal to "go long" or buy shares. The other positive factor is that trading volume was higher than average.

NTGR looks as if it is using the 50 day moving average as support and potentially in a buy area since it too is in an oversold area on the stochastic indicator.

Good luck trading.

JD

WATCHING EQIX FOR BREAKOUT

Watch to see if EQIX breaks out above $89.42. That's about all I have to say.

EUR/USD DAY TRADING SYSTEM IS NOW 2 FOR 2

Let's look to see if the day trading forex system that was described earlier worked again. Click on the chart to the left and you will notice that it has. So this system is so far 2 for 2 on wins.

In order to see the system rules, click in the white box in the upper left hand corner of the blog, type in FOREX SYSTEM and then click on search blog. This will take you to the system rules.

I was also looking at an interesting strategy just by looking at the charts. What if you took a Stochastic signal (15,5,0) and bought when a signal was given and set a target of 100 pips? and the reverse where you sell when a Stoch signal is given and set the same 100 pip goal? This looks like a once a month trade, however.

GBP/AUD just gave a Stoch signal today on a daily chart. Since I can't trade the pair with my forex.com account, I guess I will paper trade it. I am buying at 2.3550 and setting a goal of 2.3650. Stop loss of 2.3400 since that is below previous support. Also it is not too smart to have a goal of 100 pips profit and a stop loss of 150 pips. We'll just have to see how this pans out. I went back and looked at a chart and noticed that the USD/CAD pair put out a stochastic buy signal a few days ago at $1.0666. Currently, the pair is at $1.0665. So I tried it. I bought at $1.0655 and set a goal for $1.0755. This is a risky trade but the $TNX is heading up again which means that the USD is going to gain a little strength.

As for the overall stock market, IBD quipped this:

Stocks Close Sharply Lower On Higher Volume

Not a good sign for the current rally. It is also not a good sign for the $TNX to be heading back up again. The best plan of action is to take some $$$ off the table or sell some covered calls.

There are some stocks that are bucking the downtrend and are good candidates for buying when the stocks make their move. These include: CMI near $100, FWLT above $110, SPWR -well, now.

GOOD LUCK TRADING
JD

HERE ARE SOME MORE CHARTS TO PONDER

I want to teach some technical analysis since I am a technical trader after I use http://www.investors.com/ to analyze some stocks that I am interested in buying or selling.

The first one is FLIR. This chart does not show it, but FLIR broke out a 52 week high in early April near $37. I have waited for a rest and it just presented itself. FLIR traded up near $44 and has retraced down to $41. As you can see on the chart this set up a symmetrical triangle formation. (click on the link to see a definition of a triangle). The triangle was broken to the upside and buying up to $43.35 is OK. The reason why I say $43.35 is that this is 5% above the breakout point of $41.25. http://www.investors.com/ does not recommend buying at any point beyond 5% from the breakout. So there is the logic. I am going to set an initial target price of $45.25 since the ascending triangle has a price range of $4.00 and I added that to the breakout price of $41.25. A second target would be at $8 above $41.25. Why? Well, the old 52 week high was $36.36 and the most recent high was $44.14. That is near $8 ($44 - $36) and I am going to set a second target at $49.25 (breakout of $41.25 + $8).

The next stock is FMCN - a Chinese company. As you can see on the chart, FMCN has just broken out of a cup with handle formation. This is a good formation to show that the price of the stock may take off again. The pivot point is $45.55 and FMCN is right there. Again, don't buy more than 5% above the pivot point of $45.55 which means buy up to $47.85, but no further.

HURN is pitching an ascending triangle, but I don't know which way it is going to go. If a trader was to look at the price action from Friday, it might scare you away since trading volume was high and the price went down. If HURN breaks ABOVE $69.50 on HIGH TRADING VOLUME, then it would be a buy. However, if the stock falls BELOW $66.25 on HIGH TRADING VOLUME, shorting the stock would be the plan of attack. To make things simplistic:

BUY if the stock moves ABOVE the top red line. SELL if the stock falls below the diagonal lower red line.

Drawing trend lines on a chart that covers a year time span will really help a trader out in determining entry/exit points.

GOOD LUCK TRADING.

JD

NEED TO GET BACK TO BEING A CHARTIST AND QUIT WORRYING ABOUT WHAT THE "NEWS" SAYS

I realized after looking back at my recent blogs that I am looking at the news more than I am looking at my charts. Darvas had the benefit of being blinded from financial news and did very well for himself.


Here are the stocks I currently own. Click on the chart to get a better view of what is going on.

ALJ: Currently $42.86. Target $45 which is the upper trend line. Stop loss at $40 since that was previous resistance for 4 tries when it was broken on the 4th try. Usually, resistance becomes support. So now $40 resistance should be $40 support.

I bought at $41.22 due to breakout above previous resistance of $39.91. 10% target is $43.91.

BIDU: Current price $143.07. Target $149.50. Stop loss currently at $134.00. My original purchase price was $131.15 due to closing above the "handle" in a cup with handle which happened in Mid-May. Notice the stock is bouncing between a rising channel. If one wishes to take short-term trades, buy when the bottom trendline is touched and sell when the upper line is touched. Any break down below the trend line is a sell signal.

IFOX: Currently 17.97 which is around the area of previous "resistance" in February. The breakout above $17 from a Cup with Handle happened in late May and the stock advanced only to come back and use that same spot as "support" at $17 just a few days ago. I added a few shares at $17.80.






ICE: just brokeout above "resistance" at $155. This stock was originally purchased in September, 2006 by me near $78. Yes, 100% return in 9 months. I'll take it. Plan on adding more shares near $155 if you can afford it. The chart may look as if the stock is in the middle of the red channels, but realize that $155 was resistance for a solid month.

ICON: Broke out of a Cup with Handle today. The reason why is the huge volume see on May 21 helped propel ICON higher, but it then retraced and the huge trading volume today allowed it to break the handle. This stock too has been a long time holder and I added more shared today at $22.35. Buying up to $22.94 is OK. That is the limit of the "don't buy beyond 5% of the breakout price" as described in How to Make Money in Stocks. Since $21.75 was the previous high, the breakout price is $0.10 higher than the previous high. The buy point is thus $21.85 and $22.94 is 5% higher.
MA: Currently $157.65 and at the top of a trendline. Bought at $143.53. I bought this one when it was a little overextended and probably shouldn't have, but I have lucked out. I am going to take my profits as near to $160 as possible.






NTGR: This one has been held onto for many months after an original breakout on an earnings release. It still continues to rise and I am holding on. Hopefully it will pass the most recent resistance at $38 and move higher. I am going to set my target near $39.50 which is near a 20% profit. Original purchase was $33.3247.





RBN: Currently $47.89. Since this one just broke out of a cup with handle, there is no trend line set yet. I expect the stock to retrace back down to between $46 and $47. I intend to add more shares if it does. Stop loss at 8% below breakout price of $46.78 is $43.03.






RIMM: has been a nice mover. Current price is $173.75. Original buy at $149.5749. The amazing part is that my target price is near $190.00 with a stop loss $167.50.








RATE: This stock is hitting the upper channel in a trendline. Why am I not selling? Well, this stock broke out of a Cup with Handle at $43.64, rested and then took off again. With the stock currently 13% higher than the buy point, it is off limits for buying. Paring off some shares in the name of profit is good. Think. 13% in one month is better than most brokerage houses.

Hope this helps.
Good luck trading.
JD

MARKET IS BIPOLAR

My inclination is that the market is not doing too well. Sure buying occurred today, but it wasn't near the level of selling yesterday. Sure, the market is bouncing off the 50 day moving average, but volume is still lacluster. The 10 year treasury note is still at 5 year highs which means the dollar will get stronger, but interest rates will probably still rise.

The above note was brought to you by we-confuse-ya.com. The above note is garbage since I am primarily a technical trader. If I try to cloud all of my reasoning to buy and sell with the above garbage, I become a deer in the headlights and cannot make a move.

Despite that, RBN is in the middle of a cup and handle and broke the handle yesterday. It is still within a buy point so I am gonna sell a laggard and get in on RBN. FCSX also cleared resistance in high trading volume, so that one is on the buy list, too.

The AUD/JPY trade is finally starting to make its move, but the AUD/USD has traded down due to the USD getting stronger. Let's see what is going to happen. I am currently in the middle of the EUR/USD day-trade scenario that I previously described and it has yet to trigger the limit order or the stop loss order. I hate to carry it overnight, but I have to let it hit one of the triggers.

Good luck trading.
JD

IBD LIST

SYNL
VSEC
FTK
EBIX
RIMM
EDU
BCSI
TWIN
ICE