$2 dollar ticket on...

We didn't get too excited with todays end of the Q buying. Most of the DJIM stocks have had their buying and are way off the highs they enjoyed with us. We are not chasing any at these levels as pointed out this weekend (those highlighted). We want to see them trading near the highs again or have a strong reversal.  We prefer to look at the new names we included last week ...NGPS(nch), CSH.... TRT got a little out of hand at the open, but provided some nice entry points when it pullbacked today. 

This took a little work but I got Jon to share in a $2 dollar ticket;)......ACOR and $10 ...sometimes you just gotta have some fun and let some ride.

CPY (nch)new closing high.

Update on Tuesday, September 26, 2006 at 07:53AM by Demi/ YourPersonalTrader

We do say we go where the volume and momo appear, so it's no surprise we got dragged into ACOR yesterday. This a purely a story stock now, sort of reminds us of the the enthusiasm for NTMD when it came on the scene. Noticed this morning it was well over $9 AH after closing at $8.50. We may get our $10 target sooner than we thought, maybe more as there are 3 targets we've seen ($12,14,14) in the last 24 hours. This is a special situation stock with lots of volatility in store short term . There is some room to move if you can trade it carefully. What started as a $2 ticket..grew a bit by the end of the day for us. Still this is not to be confused with anything like TRT.

Nice Action....TRT,SYX,IAAC,ACOR and more

Ok, so the action today is more than just nice.   What it feels like is that market finally gave us what it owed us for a couple of days, action in the small cap land.    Still, indices finished up very nicely considering where we are at this point.    We can definitely conclude that market is riding on a high note going into the earning season which starts next week officially.    Now the DJIM stocks...

TRT, this one had a much better follow through than we expected.   Not only it took out $11.50, but it closes near the $12 mark.    We don't know if it's going to take out the high any time soon but we do know that $10 feels like a distant memory.    Now that people have seen how far it can pullback, it is only logical to think that they'd be lined up to buy on any pullback now.    Of course, we'd be in there doing the same thing.    Idealy, we'd like to see TRT trade in the range(consolidate) for a little longer before pushing for the next level of higher prices.   Looking good!

SYX, slow and steady!   In terms of percentage, this stock moves nothing like those little biotechs.   In terms of following the trend, this one is beating the little runners hands down.    Alot of the action is definitely due to the strong indices and maybe some IBD rated buying.   As long as the market is in a rosy mode, there's no reason not to own this one.

IAAC, it broke out today, on very good volume.   Although it didn't close near the high, but it closed good enough to generate some more potential follow through in our opinion.

NGA, also broke out and it looks like it should be able to sustain its move for a little longer.

ACOR, save the best for last perhaps? lol   This one definitely has the best momentum out of all of the stocks out there, whether you are comfortable with it or not.    As noted in MC yesterday we hardly thought ACOR was done because of the private placement and today we acted on it as it was about to attempt the days high (also an area where it churned yesterday, see chart below). It turned out to be a good move, and actually it turned out to be a great move.    We are not here to debate the legitimacy of the co. or its potential outcome of its drug so we are merely sticking to the trading action.    DVAX also got a boost today b/c of positive study results and this thing may also get some carried over momentum.   However, we still think that ACOR is by far the sexier of the two  in terms of story and float.

RIMM- traded nicely after yesterdays big day closing near the highs of the day $110. A nice chart like many others here into fridays action.

..JUST CLICK THE HIGHLIGHTED GREEN TO ENTER MARKET CHAT...CHARTS UPDATED FOR FRIDAYS TRADING DAY.

10/05

DJ DAILY DISCUSSION LOG in Market Chat

'Demi' replies » We have taken another position in ACOR here in the low 11.20's

World Series..

If this market is a baseball world series, then DJIM stocks surely resemble the tigers, the mets.. etc.    Did we expect anything less from our stocks?  Nope! Lol    Ok joking aside, we are having one of the best days here since the inception of DJIM blog.   Just about every one of the stocks on our watchlist is doing a "hell ya"! 

TRT, our champ stock is delivering its promise today.   Now shouldn't people feel like loading it up on that last dip?  We are just glad that we did and it's paying off nicely.    Oh and don't forget, it never hurts to let some off the table.   We at DJIM let go some of our trading position to stay disciplined.

AZZ, it just doesn't take very long for a stock with its kind of earning/float to break out.   We added some and hopefully it keeps up till the end. The flag we pointed out yesterday got some wind to the upside nicely.

NGA catching a sympathy ride too.

SYX, as BT have pointed out, a big volume day may take this one out of a potential pullback.   So far it's on pace to get a big volume and we are trading it accordingly.

IAAC, textbook,   We added!. Yep, the refueling we discussed over the weekend gave it the go ahead to move on up.

CVLT, this one is also trying and we think if it gets a good close, it may get some legs.

ANGN, 10 dollar psychological mark is broken and we were adding on this potential break we discussed in DJIM #8.  The whole sector is basically on fire and no reason it should stop here.

Keep focused and trade accordingly to the action, this is about as good of a small cap action as you can get here.   We've said it not too long ago that this is where your most dedication, effort, energy, capital and focus are needed to make a good run out of this market.

RIMM- celebrating a little thanksgiving with us. A good one to fellow Canucks out there.

ACOR- we missed our AA meeting this weekend..ACOR Anonymous, but we sobered up quick this am and will wait it out now.

Trading and Killing time...

Well, this week happened to be our least busiest week in the last while.   Doesn't it sound ironic when this week had every big name co.  releasing their earning and Dow broke 12k?   To us, it's just business as usual.    We typically don't get very active during the first couple weeks of earning season as most of the reports are dominated by household names.    But of course, if you happen to run a mutual fund with billions of dollars, this is the crunch time.   For us, we just sit back and look at all this in amusement.    Then again, if you happen to be a multi billion dollar fund manager and are reading our blog, we'd say you definitely need help. lol...Although, we love seeing the million dollar Hedgies coming by;)

For us, we trade because this is the only thing we know how and love.  But in order to have an edge, we have to trade in our own games.    Small caps have been our success and it's been this way for quite sometimes.    Just because the spotlight is on the big caps and indices at this moment, it doesn't mean that small caps have been buried deep in the mud.    All it really takes is a couple of awesome small cap runner that have spectacular earning report and perhaps two to three weeks of hard work, you'd be all set for the rest of the year.    The reason why we don't touch options or other sophisticated strategy here is that we are trying to keep trading to its simplest form, demand and supply.    We think we have a very good understanding of the psychology behind trading of small caps.   There's simply no hiding of emotions when it comes to small caps.     Believe it or not, when it comes to small caps, you can experience surprise, excitement, enjoyment, greediness, top of the world feeling, fear, denial, numb, anger.. all kinds of emotional feeling  within a span of just two weeks.    We love to trade around that kind of emotional environment so we can't wait till the majority of the small caps to start reporting in the coming weeks. (TRT was just early in being late).

Meantime, in order to keep ourself busy other than watching this ridiculous CNBC stuff, here's some stocks of interest.....

DIVX, we think this one is catching its GOOG connection one way or the other.     The chart looks like it's setting up for another possible run up.   We added some and will look for direction next week to trade accordingly.

MR, could this b/o be it?   The volume suggests it's the real deal but how many times we've been faked out by it before? lol    Of course, this one is gonna get our attention in the coming week.

SYNA, this one came to our attention last night when it guided up nicely.   Trading action is suggesting higher price to come.

DGIT, this one defiinely doesn't have the lust it had when we first initially found it, but it's nonetheless worth keeping your eyes on.

ACOR ITMN ILMN, when in doubt, go medical.   These three are also high on our trading list as they are definitely more immune to the sensitive side of the economic data.

some new stocks of interest this week included APH, ALB, RBN and most of the airline stocks....

cheers,

Targeting the easy..

It's definitely easier said than done.   What we are trying to do here at DJIM is to constantly find plays that we identify as being the easy plays.   Those are the kind of plays which according to our past experience, have the best probability to go up.    Of course, it doesn't necessarily mean that our plays aren't risky.    Take ACOR for example, we noticed the morning upgrade and decided that it has a good chance of going higher if its opening isn't too outrageous.   We got that and it was a good play.    Had we held on till the close, this is back to square one and you can literally write off that upgrade effect because it was in the bag.     The point is, use the opportunity to your advantage and trade according to the trading rules, as oppose to any other sentimental rules.  **CLICK ON HIGHLIGHTED GREEN to enter Chat

[Demi] (Reply) on Extended trading- Pre/AH » Small caps quickies Travelzoo beats by $0.04 (TZOO) 32.40 :Reports Q3 (Sep) earnings of $0.28 p ...

We still feel this market needs to rest/pull back.   We feel that the sooner it's done pulling back, the better shapen we'd be in for November.   Unfortunately, regardless what anyone thinks the kind of shape our mkt is in at this moment, trading opportunities keep on popping up daily, earnings related or not.     Here's some of the playing/watching today....

RIMM,  this one was noted awhile ago on its earning day and so far it's gotten close to 20%.    This is an exception to what we normally trade but this stock always occupy that special feeling to those who were once trading it on the Toronto stock exchange back in the days.    The break out looks good today.

MR, at last!   We just have one question about this one, "what took it so long?"   In any case, even though the stock is enjoying some nice gains, we still need to trade according to the action and letting some go when action stalls.

BTJ, de ja vu?   The earning reaction looks powerful today and we really don't need to refresh readers what this thing is capable of.

Past BTJ posts    http://djmarkets.squarespace.com/dj-journal-archive/ 

BVX, pennant b/o, thick zone or whatever you want to call it.   The fact is that it closed at the high and higher than the recent high, it's an automatic buy for us again even if this not one of our favorites right now. We have said numerous times what we were looking for since the recent run up, today we got that with volume and a good close.

TRT, we bought a little of this one.  We have a feeling that this one may have seen the low.   This doesn't necessarily mean that it's going right back to old high.   It definitely needs some more work and if the inside selling stops , we may just have a chance. 

EDU, possibly the Motley effect is eroding... we bot little to keep an eye on further development. APH as well off the 9ema. AZZ looking pretty good on the chart.

Off our market chat, a few nice stocks put up by fellow traders..

SILC, this stock is also worth keeping an eye on.   Earning may not be awesome but action suggests it can go higher. MTOX, this is one of those stocks that we aren't initially sure that it can attract momentum or not.  Today it proved that it can and we are in some . ILMN, this is a possible b/o that may get some follow through the next few days.

Yesterday we talked about a power move to/at 114 for RIMM. 

That's a pogo stick you want to jump on when you see the volume kick in.

Charts updated for wednesday at BT Charts

ACOR-APH-AZZ-BVX-CETV-CPY-DIVX-LCC-RIMM-TRT and BTJ

DJIM hold/hit list #11......MOBO hiccups the MOMO..

How convenient that earth shattering news was!...The market with 2 strikes against it yesterday....GDP and TGIF having little effect on the market, and then conveniently and timely GS decides to rile up the market with a blackberry file from an analyst whooping it up on a Friday night in Taipei with 'old news'....Did this tech rally really miss the fact that Vista delay troubles and 8 million Sony crisp and toasty batteries might dampen 4th Q holiday orders/sales and that corporations would take their sweet time incorporating Vista into '07.  Is it breaking news that many would go for something else this holiday season instead of a new MOBO' system?  Well...with a sensitive market after GDP#, profit taking Friday and with the market needing a rest period, it didn't take much to get the profit taking ball rolling without giving much thought. Is this really anything the market didn't know about or expect? . We wonder who was buying the selling on the 'demand has fallen off quickly in October" headline?.  You also have to wonder about a market that takes 'YUCK' GDP so lightly, yet gets shaken on MOBO growth prospects/shipment declines for October.   The market looks like it wants go higher into the last quarter to us, the GDP short term reaction helped this idea....but of course we need a healthy pullback ...consolidation, maybe this is it. The charts below show the lines in the sand for a pullback and/or some more. The SP on the upper line, the recent break outs of the indecies, the possibility of the Dow transports getting closer to highs which could be the last straw if it breaks out for those thinking this market will implode in 2006. Our gig at DJIM is not to get into the scenarios, there is enough info and talking heads giving their take. We don't want get into this ever on DJIM and we wouldn't expect many to ever agree with us or would we care if they didn't... so we don't.  We are traders first and as we always say....we will trade accordingly to the action we see. Yesterday, it was taking some off as we thought the GDP was enough to cause a needed pullback, the late tech action told us to sell but there were a few pieces we were still buying late in the day..   There are a few techs in the DJIM bunch..

TRT saw the brunt of the GS note. In our notes, we have been cautious on the TRT action pointing to the recent move without volume and waiting for the insiders to stop the selling. We talked off wanting a pullback to add before an attempt at the highs. Fridays was a little extreme to add, we will wait to see if the insiders helped the cause.

We added some DIVX again on the late day dip, we still think there will be some action like in RVBD the day of earnings before the release.

UCTT seemed to have survived the GS note and even closed higher than the much talked about pricing of the 1.8 mln share exchange.  Not bad action considering this is a semi with a cloud over it from that large transaction for some.

APH was looking so sweet as it broke the highs and toyed in the $70's  Then it got taken down with the rest. As we've said before, we expect this one to be on DJIM for a while.

RIMM..DJIM's after hours pick up at $99+ on earnings day had a nice breakout this week. We noted to look for one at $114 early on. TD research gave it a glowing report with another tgt in mid $100's on Friday. Our goal is still the 25% gain which is DJIM's benchmark we strive for in our buys to join the wall on our DJ Journal Archives page.

MR had a terrific week after driving us nuts for about a month. Last friday, we focused on the MR move and what it might bring the following week. Seems the break out move caught on as we went from low 17's to 19's. At this point we would like it to pullback closer to 9ema for another move into it. The volume dropped off thur/fri and so did our position. We will keep watching this closely and hopefully catch another move up.

ACOR is just a marvel to watch, it has bored the momo traders yet they all wait and watch for a move(including us;). This is now a hold long term for many as it has churned here in the 17 range endlessly. Are 3 or 4 firms wrong with the $24-25 targets on ACOR, we don't think so and patiently wait for any news to spark it again.

BTJ, the possibility we spoke of Wednesday for a late momo run into IBD didn't play out. The positive of this is the stock is becoming more attractive off the pullback after stellar earnings again...cheap...We will move heavy into BTJ on such sector moves but this will only occur with a volume push, so far BTJ is not trading like the BTJ we know...the volume is not there but we still bought some into the close as it closed in on the 9ema(15.80) level. The August run we followed had BTJ reach 9ema on day 6 (including earnings day) and then it continued forward.... Friday was day 4 this time around.

Some of the best trading opportunities this past week was from the stocks mentioned in the Extended trading thread in Market Chat...

FTK, ZIGO, CTCI and a few others on consecutive days.  We expect this to continue as the small caps begin to roll out their numbers. As the EPS small cap show and tell begins, we will still keep the charts refreshed for some DJIM stocks we have little or no shares of now. We don't expect these to test highs until EPS is out or some news propels them to break highs. This includes CETV, CPY.   On Thursday,  we said we dwindled BVX (DJIM since low 7's).. this follows DGIT (low 10's). BVX seems to be only for the chart players now, another play might be formed with those 3 last daily sticks, DJIM needs another catalyst to move back in. Both have been profitable DJIM plays but we see more exciting things coming up with a fresh earnings season. Like all DJIM listed stocks these will be watched for a possibe entry. IAAC,CTCM,GROW continue to provide nice intraday moves for traders.