DJIM hold/hit list #16.....Greed vs. Fear

From the action we had last week, we think you can pretty much wrap the extreme side of those two emotions into five days of trading.    We started the week with -54 on Naz and ended the week with -18.    It could've been worse, we have to admit.    With the choppiness we'd seen last few days, could this mean the top is near?    It's definitely possible, and more likely so than the action lets say two or three weeks ago.     What it meant for us is to raise our caution up significantly.     How we approach this kind of choppiness is simply by reducing our sizes in each play and reduce the number of plays accordingly.    Unless we are confident that we can get something out of a play, chances are, we are going to be passing on a lot of plays.     At this point in our trading career, there's really no point to trade competitively in a tough market.   What we wanted to do is to trade competitively only in an easy market, and making easy plays... this includes finding new plays sandwiched between bad days such as the Russian telcos feeding on earnings... VIP and MBT. These definitely have more institutional action and should have less volatility going forward than the typical DJIM stock.

On Friday, there were only a couple of plays that stood out...one we mentioned in DJIM alerts and that was a few China stocks working again in a bad early market....MR, EDU......later even EFUT showed some life, probably more short covering than anything else going into the weekend and a tick off the 9-14ema levels.

MR, we had a feeling that people would try every Friday thinking that it'd made it to IBD100.   This week, MR did make it to IBD100 at #9.    This definitely brings a whole new perspective to the stock in our opinion.     It definitely had the goods to climb even higher in IBD ranking. There was even some chatter of how great Mindray is by the NYSE in regards to the IPO market. Well..we and our readers already knew this;)...Sep26."also keep an eye on MR, an IPO today which is based in China and sells medical device.   It looks pretty sexy.".  This chatter and IBD should bring a few new eyes on MR and a nice open.

BTJ, maybe the whole oil service sector fared well on Friday, but this one definitely stood out from the rest.   It hit a new alltime high on Friday and that's definitely encouraging to see given the index action. Its DJIM sister ALY made a nice reversal later in the day.

Despite the -50 or so Nasdaq week, we found a few trends with a green probability. We will continue to be selective and seek out new trading opportunities, plus have an eye to recycle some DJIM plays when its time.