The Hit List is a look at our current swing trading positions. Stocks we are already in have “triggered”, while those we are considering for plays have not triggered. Click post title to view print-friendly link.
FOSL, PAY triggered, RAX stopped
Open Position Notes:
FOSL triggered a buy as it crossed the descending trend line, indicating it was ready to begin moving higher. However, volume was again well below average, and as I noted last night in the video, I was expecting to see volume ratchet higher if a breakout could occur. That didn’t happen, and the stock was subsequently unable to continue showing strength. For now it’s right back in the short-term consolidation area, so I’ll be watching it closely heading into tomorrow to see if the stock can make another attempt on the upside.
PAY triggered a buy today by clearing the trend line, and it made a nice initial surge higher. However, the next dip was somewhat deep, and no upside follow through was seen. The stock finished in the green on the day, but near its lows of the session and on light volume. Here again, volume needs to accompany the move in price, so I’ll be interested to see if the stock can make another attempt at an advance tomorrow or if instead it needs additional rest in this area.
Closed Positions:
RAX dipped into negative territory again early today, but soon it bounced back and stabilized. From there, the stock ramped higher with a huge surge from mid-morning to early afternoon, easily triggering my stop loss to take me out of this trade. This stock has shown persistent weakness in recent days, so to see it suddenly explode higher the way it did today is surprising, but I’m not here to argue with the tape. I’m out of this one for a 3.4% loss, and will wait for a new pattern to emerge before looking for another entry.
