Stock Market Signaling Downturn?

Hello Stock Hoppers, Well today was definitely a tale of two sides. Up early down late. Matter of fact up significantly today(over 100pts)end of day was a different story, losing most all of its gains, matter of fact the S & P500 did finish in the red. What is the charts trying to tell us here short term? I believe that we are in for a mini correction back down to the 21day ema. I am looking at below the 10700 mark. Lets face it the market has had a nice run up and really we do not want to see this market just continue to skyrocket, what goes up hot and heavy usually comes down alot harder and faster. So a small downturn is not only probable here but for the most part very healthy.

I am currently short GE at 17.93, it has gone against my thought here the last couple of days but looks like it is going to retract, so I am going to stick with it. I only purchased 500 shares so I am willing to hold it as long as I see some short term weakness,...which I do see it coming here the next couple of days.

As soon as I see the averages come back down to the 13 day and 21 day exponential moving averages, I will be posting the stocks that will take full advantage of the bounce back. Look at my recent blogs and check some of my other picks when the market bounced. They did pretty well, I think you will agree.

Well that is all for now .......Until next time Happy Stock Charting!!

Todays Stock Charting Check 3-22-10

Good Morning Stock Hoppers, Looks like after the news of the new health plan being passed that the market is going to show its displeasure, but here is a good example of how charting works. Look a the DJI index chart. If you knew absolutely nothing about that congressional vote you could look at the chart and see that the DJI has reached its recent high last week and is looking a little tired and is probably going to retreat today and start a new resistance level of around 10,750.....lets see if I am going to be correct, we will follow it daily. Its funny how this works but it does. Thats what I mean when in recent blogs I talk about how the stock chart does tell the story. That does not mean that there is not news that can absolutely rock the markets,as in the case of 9/11 but these are far and few between and there is not an stock advisory out there that can predict those.

As far as my active trade GE I am looking for a break below 17.90(remember I shorted this stock last week)to confirm its downtrend. You can see from the chart that this is a pivotal day for GE as it is showing indecision on whether or not it can stay at its run up level.

Well to say the very least it is going to be a real interesting day on Wall Street today. Don't get caught up in all the emotional mumbo jumbo though,what ever your position is. Stay true to your stock charts and what they are telling you. For today I think I will just hang on to my shorts... pun intended. So until next time...Happy Stock Charting!!!

Evaluating Picks from 2-16-10

Today lets hope for a follow through from yesterday, dow futures are up modestly this morning. The chart for the dow shows some momentum as it trades above the 13 day ema. and the 21 day ema, as I said yesterday this is what I was looking for.

Charting my stock picks from yesterday they all triggered. Here was the results

HCBK - Order for 1000 shares triggered at 13.27 closed at 13.41

IPG - Order for 1000 shares triggered at 6.82 closed at 6.87 - I am watching this one closely as it gaped up and many times when a stock gaps up it will retrace its gap the next day or so.

LEG - Wouldn't you know I identified this stock in yesterdays blog but did not put in an order for it, as I went with the other 2(IPG and HCBK) and of course that was the best performing stock of the day, I said in yesterdays blog that I felt there was a good opportunity if LEG crossed 18.87 and it did it closed at 19.39!! Oh well you can't buy them all. I hope someone following this blog got in and made money yesterday charting this stock.

I will be watching the stock markets closely today watching for follow through and momentum. Until tomorrow..............Happy Charting

Buying Opportunities 2-16-10

This morning I looked at the overseas market and they are pointing to a higher open for our major indices. Hopefully we will start a new uptrend today, I am looking for the markets to get on top of the 13 day moving avg. Here are the possible buying opportunities I identified.

HCBK(above)- I have placed an order to buy 1000shares on a move above13.27, notice trading above 13 and 21day avg. looking for follow through.

LEG below)- Here the stock is bouncing off support levels, I believe it will move back toward the avgs. I would be watching very closely as it does reach the avgs. to see if it will bounce back but there is profit to be taken in between. I would be looking at a buy here above 18.87,but again keep an eye out as it reaches the avgs.

IPG(right) -Trading with upward momentum and above the 13day ema(exponential moving avg), it is bouncing off support levels and looking for a follow through above the 21 day ema today. I have put in an order to buy 1000shares when it moves above 6.82

Remember charting stocks is not an exact science. I look at it as more of an art. Follow these charts and see how I do.

I may be in these stocks for a day or 10 it all depends on what the stock charts tell me.

Until tomorrow.... Happy Charting