Happy spring everyone! Hope y'all had a nice weekend. I know I did but now it's time to get back to work and make some MOOOOOLAH! I'm expecting a little bit of blood in the market this week. I'd love to see a pullback to the 209-208 area by the end of the week, maybe even further, to bring in some volatility and reset some of the charts that are very extended. That said I'll be somewhat short biased this week but that doesn't mean I won't be looking for longs also. Just if I am looking at longs they will have to be very nice setups because otherwise I don't want to be fighting the overall trend. You can check out my review of the action last week here and then dive into this post...here are my ideas for Monday:
WPRT - My initial bias on this is long but I think it could go either way, so I am going to plan for both scenarios. I noticed some accumulation intraday on Friday and it closed above $5.50 which I think is a bullish sign. I will be watching in the morning for one of a few scenarios: Either the stock gaps up, gaps down, or opens flat. If it gaps up I will be waiting to see where the first 5-10 minutes take it. I would like to see $5.50 hold and get long using $5.50 as the support area, risking to under $5.39 (Friday's low). If it just flushes below $5.50 I do not plan to buy long, instead I will wait to see whether it reclaims $5.50 or holds below it. If it holds below it I will consider shorting a breakdown under $5.39 with risk back over $5.50. So in this case I think the stock could really go either way but regardless of which direction it chooses, it seems poised to make a big move. The other two scenarios will be played similarly. If it gaps down I want to see if it holds under $5.50 before going short, or if it will hold above $5.50 before getting long. Same if it opens flat and just dances. Basically $5.50 is the key for me. If it holds under I will short, holds over I will long, pending no other weird behavior or better opportunities elsewhere.
PFIE - This stock has lost more than 30% of its value in just 13 days. It seems to have found a bottom the last couple days around $2.00, so I think that is going to be a key inflection point. On Friday toward the end of the day it had a last minute hurrah through $2.05 and managed to close above that point, so I will be watching in the morning to see if it opens near/around $2.05 and how it acts there. If it can hold $2.05 then I will buy long there and use $2.00 as my stop area. If it flushes under $2.05 back to $2.00, $1.98 etc then I will wait to see it start to develop a trend under $2 and indicate it has a bit of strength before going long with a stop under Thursday's low. What would actually be really nice on this is a small gap down and morning drop to just under $2 to start in and then add from there after it finds some footing.
PTX - Pernix seems to have found a temporary top in the $11-11.10 area. I'll be watching for a morning push toward $11.10-$11.20 to get short. Risk will be toward $11.25 based on the high from 11/13/2014. Over that there is no resistance until $11.50-60 so that should be a good spot to call it a bust and take it off. I anticipate a quick morning push and with any help from the market, a fade back toward $10.50. If I short into a pop and it starts grinding sideways or tucking up into a flag or bullish pattern against Thursday's high I will take it off for a loss.
AMWD - Last one for now. This is going to be a front-side parabolic short so it will be more tricky. It also is a bigger stock and very low volume so I recommend you use caution w/ sizing. It was having trouble getting over $53 on Friday so I am hoping we get a morning push through there and a nice $2-3 parabolic run to $55-57 to start shorting. Like I said this one is risky because it's thin and will be spready in the morning, but keep size under control and give it room to breath a buck or so and you should be just fine.
On my back burner I am watching THLD for a break of this flag (similar to CYTR from last week), AVEO for a possible red to green move and BCLI for a possible continuation through $4.50. $4.30 has been a significant area for BCLI in the past but I don't have any specific plans on it yet, so I will just stick to intraday trades on it and play it as it provides opportunities.
Hope everyone had a great weekend and best of luck for the coming week!
Chris
Submitted March 01, 2015 at 09:53PM by greenbartrading http://ift.tt/1DHRrx7
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