Tuesday, December 05, 2006

Daily Calls -- Weds, Dec. 6, 2006

The rally continues with SP500 making yet another new high, while DOW and especially NASDAQ lagging. I think the trend will drift higher until Friday when the Nov. employment report is out, which is likely to have a big impact on the market.

1. AAPL: CTT between 90-93, try not to trade the mid-range. If it breaks out the 89.5-93.2 range, consider go along the direction of the break out.

2. BIDU: L1 on pullback, entry zone 116-119, stop just below 116.

3. DVN: L1 on pullback, entry zone 72-73, stop just below 71.8.

4. ESRX: L1 on pullback, entry zone MA50=69.4 to 70.3, IDS=68.9, CS=69.4.

5. ERTS: DT-L2 on bottom if it spikes towards 53.5, use MA200=52.8 as stop, IT=56.6.

1 comment:

shortswings said...

Hi Man,

How was your trading in this past two days. I closed CELL yesterday, since I doubted that it could reach 15. Because my entry was too bad (missed most of meat), this trade was not a good one in terms of profit. Below is my comments on your calls.

1. Bidu It has been up almost 50% in a month. I think the easy money is over. Trade could be very difficulty in coming days. Buy aroung 116 is a safe bet.

2. DVN It is in overbought situation now. entry zone could be between MA(10) and MA(22).

3. Esrx, It closed above MA(50) yesterday and kept going up today. Today's Histogram ticked up by 1 and Daily MA(10) kept going up too. All indicates that it is gearing up and ready to soar. However, the stochastic is in overbought sitiuation, which say "no" to go long. Lets see how it performance tomorrow.

Have a great trading day!