Wednesday, October 04, 2006

Daily calls Oct. 5, 2006

Wow, talk about bullshit surprises! The rally must have been driving the early bears nuts, and I suspect that we will see those bears capitulate in the next day or two. Even though things cannot get any more bullish than now, I suspect a sizable pullback will occur in days, why? Because the more bullish it gets, the closer the top is, we shall see. Any short-on-top at this point is extremely risky, therefore, small than usual size must be used if I cannon resist a potentially good setup.

AAPL: S2 on top, entry zone 75.8-77, stop above 77.8.

AEOS: released better than estimated SSS in AH, traded down mostly between 45.6 and 46.2. Intraday chart shows large dump, I suspect that the top is very close.

BIDU: CTT between 79 and 85 use tight stops.

CHAP: S2 on top, entry zone 35.3-36.5, stop just above 37, IT=33

COH: S3 on top, entry zone 36-37, stop at 37.5, IT=33

COST: keep eye on key resistance around 52.5.

ESRX: S1 on top, entry zone 79-80, stop 80.51

IDEV: S1 on top just below 6, stop around 6.1, IT=5.6

OS: S1 on top, entry zone 46.7-48, stop just above MA50=48.1

RHAT: S1 on top, entry zone 22.4-23.5, stop just above MA50=23.6

SBUX: S2 on top, entry zone 36.7-38, stop just above 38.

SONS: S2 on top, entry zone 5.4-5.49, stop just above 5.51.

X: S1 on top, entry zone=57-58.4 (MA200), stop just above 58.5.

1 comment:

shortswings said...

Hi Man,

It was so bullish today. Most shorts would be shaked out, I guess. The bull may be in control for next few days, but the bear will be back soon. We will see.

Short-on-top could be dangerous at least for the rest of this week. Chase the bull seems make no sense since they all in high. Wait and see may be the best strategy for this week.

Good luck with your trading,