A mirage..that's all this summer subprime crisis was!. A big head head fake just for some to buy lower and then have a meteoric rise to new heights...distortion created with lots of blowing of cold and hot air!. Okay, maybe not completely true but how else do you explain this recent rebound, yesterdays possible breakout moves off what could have been perceived as bad morning news. The subprime news, the Citigroup headlines had no impact on the markets. When was the last time we saw this?. We've turned on a dime with every headline from this front....but not yesterday. This is old news simply and the market wants to get on with earnings and what is generally the best Q in the markets. A beneficiary of this market was plain and simple to see, one niche was the DJIM covered plays that blew past the competition. A simple point to our trading methodology is to have a sane niche of stocks to follow, not an insane number that can't be watched closely enough to recycle. This is why we have a watchlist/play list that we hope you follow. It saves you time and money. Yesterday was a day for our beloved..
FSLR, an alert last week to a potential breakout move this week was the solar play to be in. The other two we closely follow, LDK got 'briefed' to death yesterday on it's equipment pushouts, JASO did nada and is selling more of their ADR's this morning. If you shadow our plays, you saw we were only on FSLR back at this time.
GS, noted the tight range of trading the previous two days in yesterdays Journal. On a good market day these ranges can balloon to the upside and this is what we saw here. We are about collecting points and not the % gain, so to us this was up to a 8pt move yesterday. With FSLR and GS there was almost 15+ pts from our final remarks on Friday and yesterdays morning Journal highlighting them.
DRYS, EXM continued forward to new highs with some IBD print on the sector and a couple of price upgrades in the morning. TBSI got back in the hunt and is close to highs.
MR, EJ, moved to new levels and JRJC proved to be a worthy trade for those familiar with it. Now, we just ask WX to get some game and it will have our most recent China plays on even ground. Oh yeah..where was BIDU yesterday?. Lets no forget this rocket ship when looking for a good intraday trade.
VMW, we don't cover much tech, but VMW has been the one we have traded the most. Finally..this one is acting with the sector which is leading the recent parade and not playing on its own terms. $90+ is in reach now.
ROS, GLDN our Russian telco plays are not be forgotten as long as they cling to highs and therefore offer more upside potential in the near future. WBD moved to 114 intraday after it was noted as a possible reversal play from 111's. This one provides some volatile thin action with some large spreads. the worst thing you can do is put in market orders in this play.
ANW, LULU cover the ipo watchlist here.
LWAY, we don't know what rumor was out there but this recent play was a hurricane yesterday. Congrats to any that have held through. Yesterday was exit day.
CSCT, the chart looks good but we have to keep mum on OTB stocks or we will have a flood of them on the forum. Sooner or later a bad one be printed on the forum and will cause a few to drown, so we try to avoid till they are listed.
As important as finding the right and easy plays, it is just as important to think out load and give our thoughts on plays like SSTR, even if you won't like it. We're not talking about your Mama, we're talking stocks here.! Hopefully, we saved some of you some cash yesterday. Anything could rebound, we just have no interest at this time.
We'd also remove GRMN off our watchlist. There are too many unknowns here now. Last week gains look like a set up to the news yesterday. Those shorts got something to cheer about yesterday.
This probably covers 80-90% of the plays here recently, if you don't have all day to peruse the entire stock world for plays then this list is all you need to carry you and your book. It's not a lot of stocks. This is just a reminder and for those that are new here. Days like yesterday are the icing and come around quite a bit. Just have money on hand for fresh stocks this new earnings season, as we noted in our last alert.