Wednesday, July 15, 2009

Lunch w/ Qman on Stocktwits TV - Edition #2 (7.15.09)

Episode#2 of Stocktwits "thingamajigger" - that needs to be patented...LOL!

Challenging market when neutral. Not sure if many are catching this move. If so, kudos and bottle up these wins!

Strategy - let the tape move in and out of positions. Let stops work. Have a plan for each and every trade. Know your stops. Portfolio naturally moves back to cash. Not an immediate re-deploy of capital. Stay out of emotional fray. Let the tape move back in. All about position management...trades not turning into investments.

Thesis is Longs will/could start to set up. Identify entry and stops.

Let trades be 100% mechanical, but not always the case. Always know where stops are and where profits points are.

Charts - same position as 8 days ago, but feels different. Coming back into critical overhead resistance area. Emotional capital trapped here.

Semis - shining star on huge gap. Could be a evening star.

Its ok to wait and be patient.

S&P going back into right shoulder. Let it play out.

BJS - hit first profit target and took 1/3...raised stop to entry. Will be out of trade before it reports earnings.

MA - still in, but painful. Stop 175. Watching emotional level. About $5 underwater.

PCLN - stopped out at 110.

QID - not so graceful exit here.

ARO - short stopped out at open.

XRT - still short. Within 4 pennies of stop.

Mentioned buying strength, leadership from reading Howard Lindzon's book, seen at Amazon here: http://bit.ly/2IDWa

Mentioned checking macro idea's/emotions at the door. Look at longer term charts. Example of auto-parts index at new all time highs. Break down trading in time frames.

AAP - looking at Weekly. Multi-year consolidation. If it breaks out of consolidation, with high volume, then will buying. Would set stop around 40.50 from early June. Need to adjust size accordingly. Give it a long enough leash.

GHL - financials are leading. Moving sideways. Previous attempts. Stopped on each occasion. "Longer the base...higher in space."

Remember, this is marathon, not a sprint.

Questions

GOLD. Likes the GOLD weekly.

QSII - watching for a long time. Weekly moving sideways. Breakout early 2009. Consolidating recently. Watch Daily chart for a prudent point of entry.

ATML - referred to MCHP - all the semis are ripping. Looking similar as this group is leadership. Watching LLTC. Trend line from February.

GOOG - broken out of big weekly train. Not a buyer or steeping in front of freight train here.

SMH
- not chasing here.

CPRT
- could have some catch-up ability. Stick with other car names mentioned.

FITB - looks good. If play, place stop below 50 day.

Overall Strategy - wait, watch, let stops work and start to move in with prudent points of entry.

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