11
Jun
By: Craig In: Trading Blog
Tuesday’s Game Plan
- StockTock has a bullish bias for the market in the short-term.
- We will look to accumulate an SSO (L) position below 1335 if there is weakness in early trading.
- We will take some profit at 1347, which served as resistance in Wednesday’s session.
- If we clear 1347, the market may put together a strong rally towards the 1370 area.
- We are holding a TSO (L) that we believe is due for a bounce. It made a new low on Wednesday, forming a possible double bottom. This stock has been acting very weak and big players may force it lower. We will cover on weakness below the 22.20 level.
StockTock Portfolio (as of close on 6/11/08)
The Game Plan is updated periodically, but not necessarily every day. Position % refers to percent of total portfolio. (L) indicates a long position. (S) indicates a short position.
Loading ...
June 11th, 2008 at 10:57 pm
Hey Craig,
I was wondering.. you mention the 1327-1330 level as a probable level for the long term support to finish off the WV pattern. But you also mention that a big bank event, most likely in europe has to happen to call the bottom. Wouldn’t that big bank even cause the S&P to fall below the 1327 line and then break support? Or are you thinking that we might break the S&P 1330 level as that huge bank event causes panic, but like in the bear sterns day, ppl will call the bottom and lift the indexes up a lot and above 1330 that same day?
[Reply]
June 12th, 2008 at 6:09 pm
Idan,
This is a great question and one I’ve been thinking about. It seems like the financial have factored in a lot of bad news at this point. Maybe not a major bank failure, but a lot is factored in. I think there may be a small rally before the next leg down. 1327 may be the bottom if we fall hard from 1370. But if the market stays near its current level, we will probably fall much lower. We will have to see how the charts fill out. I do not think the financials are out of the woods. Thanks for the question.
[Reply]