Archives for December 2009

Good evening StockBandits!

Modest strength provided some needed follow through today as the NAZ continued to build on Monday’s breakout.  The S&P 500 also edged higher to reach its best levels of the year, briefly clearing the 1119 high set earlier this month, but the DJIA remained inside its trading range for another day.  Volume was expectedly light, and we’re starting to see the diminishing participation in the market as the Christmas holiday nears.

The bulls have ignored multiple opportunities in recent weeks to start another leg higher, hesitating to add to their 2009 gains.  All the while, they have done a good job of maintaining the underlying strength by not allowing any notable dips to occur.  The result has been the creation of multi-week bases on the daily charts of each of the indexes, and if the buyers want it badly enough, they’re now poised to build on those bases with another advance.  How far it carries though will depend on their ongoing resolve as we not only finish out the current year but begin a new one.

With tomorrow being my final trading session of 2009, I will not be adding any overnight positions (swing trades), but will instead stick with day trades in order to keep my timeframe abbreviated and my risk tight.  The one-day plays lately have provided some very nice moves, such as last night’s LULU and SWK, so hopefully you’ve been able to participate in some of them.

Friendly reminder: this is the final Bandit Broadcast for December. I always take off the week between Christmas and New Year’s, but have no intentions of returning to trade on New Year’s Eve since it’s such a quiet day. The end of the year is a great time to reflect, rest, and renew goals for the coming year, so I’d encourage you to do the same. I also wrote about this on the blog. This way, we can hit the ground running from the very beginning in 2010.

Please leave your comments and/or questions below if you have any, I always enjoy the interaction and will be checking in periodically over the holidays.

Chart courtesy of StockFinder

Chart courtesy of StockFinder

Chart courtesy of StockFinder

Swing Trading Candidates:

NONE TONIGHT – Will add swing trades again starting in January, but end-of-year cross-currents tend to impact traditional technical analysis so I’ll hold no more positions during December.

Day Trading Candidates:

Here are the setups I’ll be eyeing tomorrow for intraday plays, but will not plan to hold them overnight as tomorrow will be my final trading day of 2009.  As always, I’ll want to see price clear these levels before I’ll get involved.  There are only a few setups I’m interested in, as again, I do expect volume to get lighter once again.  My notes are on the charts themselves tonight, and we’ll return to the usual video format after the holidays.

Chart courtesy of StockFinder

Chart courtesy of StockFinder

Chart courtesy of StockFinder

Chart courtesy of StockFinder

Chart courtesy of StockFinder

Chart courtesy of StockFinder

There will be no Hit List tonight as we are 100% cash in terms of swing trades. Once we have open positions again on an overnight basis, Hit List posts will resume.

Trade Like A Bandit!

Jeff

Good evening StockBandits!

The market gapped slightly higher this morning to kick off the shortened week on a positive note, and more buying quickly followed.  In fact, in the opening few minutes, the market had essentially made its move for the day, and for the remainder of the session it stayed within a narrow trading range.

The NAZ led the way with a multi-week breakout, getting well clear of the trading range which has held it captive lately.  Meanwhile, the S&P 500 and DJIA each stayed beneath their highs, gaining some ground but stopping shy of new high territory.

The absence of follow through today was a reminder that shortened timeframes are likely best right now, so heading into tomorrow I’m sticking with day trades once again.

Friendly reminder: I’ll produce the Bandit Broadcast through Tuesday, December 22nd, and then be done for December. I always take off the week between Christmas and New Year’s, but have no intentions of returning to trade on New Year’s Eve since it’s such a quiet day. The end of the year is a great time to reflect, rest, and renew goals for the coming year, so I’d encourage you to do the same. I also wrote about this on the blog. This way, we can hit the ground running from the very beginning in 2010.

Please leave your comments and/or questions below if you have any, I always enjoy the interaction.

Here is tonight’s video:

The Bandit Broadcast Video – Click to Watch!

–

Video Stocks Discussed: MCO, LULU, HOT, WSM, SWK, ABV

Swing Trading Candidates:

NONE TONIGHT – Will add swing trades again starting in January, but end-of-year cross-currents tend to impact traditional technical analysis so I’ll hold no more positions during December.

Bullish Watch:

NSC, NTRI, VNO, RMBS, SLG, GIL, CREE, TSTC, VISN, H, VMED, HXL, UAUA, ALK, MCO, HUN, IMAX, JASO, LULU, BID, HOT, WSM, SWK, IVN, BCSI, PAY

Bearish Watch:

WMS, BIDU, IAG, RGLD, AGQ, NEM, ABV, PWRD

There will be no Hit List tonight as we are 100% cash in terms of swing trades.  Once we have open positions again on an overnight basis, Hit List posts will resume.

Trade Like A Bandit!

Jeff

Good evening StockBandits!

The NAZ led the indexes last week with a strong showing on Friday to close out the week on a positive note.  The tech-heavy NAZ broke out once again through resistance at 2205, finishing 6 points above that key level.  The DJIA and S&P 500 weren’t quite as impressive, as they ended the week still in their trading ranges and beneath key levels at 10,500 and 1113, respectively.

This week we of course have Christmas on Friday, along with an early close on Thursday (1pm ET).  Although traders will only have 3 1/2 days to be active, it generally is a very drifty trading environment with extremely light volume.  This time of year, interest in the markets tends to get eclipsed by things like travel, family, shopping, parties, and wrapping up loose ends ahead of the New Year.  That’s perfectly alright, but we must be aware of it since the market usually behaves differently for the final 1-2 weeks of the year.  As a result, I’ll be trading much lighter this week since the liquidity won’t be up to normal standards, and I also will not be adding any new swing positions, instead focusing on shorter timeframes.

Friendly reminder:  I’ll produce the Bandit Broadcast through Tuesday, December 22nd, and then be done for December. I always take off the week between Christmas and New Year’s, but have no intentions of returning to trade on New Year’s Eve since it’s such a quiet day. The end of the year is a great time to reflect, rest, and renew goals for the coming year, so I’d encourage you to do the same.  I also wrote about this on the blog.  This way, we can hit the ground running from the very beginning in 2010.

Please leave your comments and/or questions below if you have any, I always enjoy the interaction.

Here is tonight’s video:

The Bandit Broadcast Video – Click to Watch!

–

Video Stocks Discussed: NTRI, HUN, CYH, PVH

Swing Trading Candidates:

NONE TONIGHT – Will add swing trades again starting in January, but end-of-year cross-currents tend to impact traditional technical analysis so I’ll hold no more positions during December.

Bullish Watch:

NTRI, F, RMBS, LNCR, JOE, HUN, CYH, BEXP, LEAP, MRX, DWA, JASO, ENI

Bearish Watch:

WYNN, SINA, NFLX, PVH

The Hit List will be coming out soon with discussion on open positions and swing trade stops and targets, so be sure to watch for it.

Trade Like A Bandit!

Jeff

Good evening StockBandits!

A weak open this morning set the tone for the day’s trading, and the buyers never emerged.  The indexes drifted lower to move deeper into their respective trading ranges, confirming the failed breakouts we’ve seen in recent days.  By the end of the session, the indexes had given up 1.2% across the board, again shying away from upper resistance zones.

The inability of the bulls to capitalize on recent breakout attempts remains a concern.  They’ve got longer-term momentum on their side with a 9-month rally of magnificent proportions off the March lows, but the stalled-out appearance of the daily charts at these levels implies they’re facing some fatigue.  At the same time, we still have yet to see a breakdown or any downside follow through, which means the bears haven’t had much to work with.  At some point, we’ll see this range get broken with some force and better momentum will arrive.  Until then, we either stay sidelined and preserve capital by not overtrading, or we take a stick-and-move approach with shortened timeframes and tight stops.

Tomorrow is options expiration, so the action could get choppy as the day progresses.  Also keep in mind that the end of the year is fast approaching, so volume is likely to start tapering off very soon.  My plan at this point is discussed in the video, but essentially I’ll produce the Bandit Broadcast through next Tuesday, December 22nd, and then be done for December.  I always take off the week between Christmas and New Year’s, but have no intentions of returning to trade on New Year’s Eve since it’s such a quiet day.  The end of the year is a great time to reflect, rest, and renew goals for the coming year, so I’d encourage you to do the same.  I also wrote about this very thing on the blog this morning.  Anyway, I’ll be sure to post my plans again here as next Tuesday arrives, but wanted to give you a heads-up.

Please leave your comments and/or questions below if you have any, I always enjoy the interaction.

Here is tonight’s video:

The Bandit Broadcast Video – Click to Watch!

–

Video Stocks Discussed: MCO, JOE, CAL, HUN, WMS, VMW, BBY

Swing Trading Candidates:

NONE TONIGHT

Bullish Watch:

SLG, CBT, VNO, TTM, ALK, MCO, JOE, CAL, CEG, CRZO, HUN, IMAX

Bearish Watch:

FCX, WMS, CEDC, AIG, FWLT, ARO, CNQ, STT, FLS, BIDU, CLF, WYNN, VMW, ORLY, SINA, NFLX, BBY, BAC, FSYS, NOV

The Hit List will be coming out soon with discussion on open positions and swing trade stops and targets, so be sure to watch for it.

Trade Like A Bandit!

Jeff

Good evening StockBandits!

Today was the much-anticipated Fed day, and it proved to be a non-event.  Not only did the averages finish just a few points from Tuesday’s closing levels, but no intraday momentum was ever seen.  Although the FOMC announcement did prompt a little profit-taking, it was very minor and orderly.

The market remains in a trading range, and traders continue to show a lack of interest in the market.  Strength has struggled to find follow through, and yet the dips are still getting bought.  As a result, the standoff continues between buyers and sellers while the clock keeps ticking.

We’re getting into the final 2 weeks of the year now, and the factors I mentioned on November 30th are very much in play between now and New Year’s.  I’m reminding myself, as well as you, that this is a time when unusual cross currents are at work.  The way to respond is to take it in stride and stay selective, particularly while the technical picture is showing no momentum.  This will pass soon, but the key is not to force anything until then.

Please leave your comments and/or questions below if you have any, I always enjoy the interaction.

Here is tonight’s video:

The Bandit Broadcast Video – Click to Watch!

–

Video Stocks Discussed: HEW, AGU, CSX, RGLD, WYNN, NFLX, OSK

Swing Trading Candidates:

NONE TONIGHT

Bullish Watch:

CHKP, VNO, SLG, FMCN, CAR, HEW, VMED, APWR, ALK, MDVN, MCO, JOE, TSRA, AGU, MOO, CSX

Bearish Watch:

PBR, GG, BVN, GDX, RGLD, WYNN, ANF, TS, HOG, NFLX, OSK, BAC, PNC

The Hit List will be coming out soon with discussion on open positions and swing trade stops and targets, so be sure to watch for it.

Trade Like A Bandit!

Jeff

Good evening StockBandits!

Last night I mentioned that although the indexes had each posted closing breakouts by finishing above key levels, they weren’t out of the woods yet.  That cautious stance was based on the fact that volume wasn’t exceptional on the breakout, nor was the upside momentum as essentially the bulls simply maintained prices above resistance levels.  Today we saw those levels given up with ease, as prices fell right back down into the recent trading range.

This indecisive action is likely being influenced by tomorrow’s scheduled FOMC announcement on interest rates, as anytime the Fed comments on the state of the economy the market pauses to listen.  It’s usually not so much what the Fed does, as it is what they say, and tomorrow’s 2:15pm ET announcement is likely to be a market mover one way or the other.  For tonight though, my plan is to remain short-term with new plays, maintain current swing trades, and stay selective until we get a solid break from this range.

Please leave your comments and/or questions below if you have any, I always enjoy the interaction.

Here is tonight’s video:

The Bandit Broadcast Video – Click to Watch!

–

Video Stocks Discussed: ACL, HEW, PBR, CEDC, RGLD, WYNN

Swing Trading Candidates:

NONE TONIGHT

Bullish Watch:

ACL, F, CBT, VNO, GIL, LNCR, CAR, KLAC, LRCX, VISN, DTG, STX, RRD, HEW, H, AMSC, SANM

Bearish Watch:

CEDC, LNC, CNQ, STT, PBR, AU, GG, BVN, GDX, RGLD, IAG, GOLD, SLW, WYNN, VMW, PRU, ORLY, AGO, ANF, PCAR

The Hit List will be coming out soon with discussion on open positions and swing trade stops and targets, so be sure to watch for it.

Trade Like A Bandit!

Jeff