I'm all in......

thanks Jeff..

Jeff,
Done deal.

Raimo,
On SNDA, I noticed that the volume is a little lacking--under the 30 day MA. Wasn't sure what to make of that given that it was a pretty light trading day?

Something to watch for tomorrow I guess.

LisaG,

It's been a while since I have been in one of Jeffs classes, but if I recall, volume confirms the breakout on a pattern. In a slew of trades available, I am only looking for the trades that offer me the BEST R/R. Also, the BEST REE. I need volume for the BEST REE on a pattern breakout. I'll pass.

SNDA - Jeff mentioned in the Mastertalk last week that he treats the bull flag breakout more like a bounce for volume purposes.

Kim,

Well, there ya go, thanks!! (SNDA)

I still think that the greater the volume, the better the chances of the trade being successful. I think maybe if we can get Jeff to throw us a quick post on this that would be great...

Jeff....?????

Raimo, I can't say as I disagree with you on the point of having volume confirming any type of pattern breakout is always a better REE. That just seems very logical.

Jeff- I'm in and THANK YOU for the opportunity. This is Dan's birthday but we're in anyway. True OA's don't let such a silly thing as a birthday stand in the way.

Kim

A quick post for some confirmation would be great! Also, I have always been told that it should be 1.5 times the average volume, I believe. Is that something you look for, or do you just look for "above average" volume? Sometimes I think I over-analyze myself out of trades....

Brought forward from last thread...

Kim,
Yup SNDA looks like it's broken out on average volume. It's also a great bounce in an upward trend. Although the volume's not good for a breakout it's fine (in my humble opinion) for a bounce.

Matt, I like AKAM as a reversal too. If you look at the last six or seven days... you'll notice that the highest volume has been on the up (black) days. This is an observation Brett has pointed out when talking about reversals or patterns that none of us have been able to see. The strength of volume has a significant impact on what the pattern does, and when you see five black days with big volume, and two red days with little volume... I think it smells like a duck.

Just got back from our second Thanksgiving dinner. I was going to go for a swim (it's 88 degrees here at 7:00 PM) but I was afraid I'd sink to the bottom of the pool. There's concern that Catherine would take too long weighing the value of having me safe and dry versus wet and submerged... so I opted to stay indoors.

Had one of the best days in our options today... the value of buying everything at REE. Now I've got to figure out when to get out. Man, I had a good look at BOBJ last week and thought it looked stuck in a rut. If I'd listened to myself and had a look at the volume on the last few up days I would have seen a new uptrend coming. Now I can't see it for the freekin' mountain it has formed. My prophet charts show earnings this past Saturday and on the 24th. Go figure.

Back to Vegas tomorrow. Hopefully I'll have more time. Thanks for sharing the great letter Jeff. Just goes to show that there are people out there who know how to look a gift horse in the mouth. You'll never hear ME complain about the lack of Canadian content on the blog, or how you like Kim better than me, or how my parents abused my goldfish, or any of that stuff. No sir, I'll just suck every ounce of info out of this blog and come back and torment you when I have enough money to be King of the World (rather than Mayor of Kohlerville)

Jeff,
Thanks for this oportunity. We're signed up. This thing on SNDA proves I can use the help. I agree with Raimo that I won't take this trade as I think there are better REEs out there... but I don't think it's a BAD entry.

SNDA

The fact that up volume the last 2 days is greater than the down volume the previous 2 down days smells good to me.

How do you figure price target on this pattern?

If GRMN goes above 110, then we're back into a nice uptrend. I keep hearing great things about this company.

I got into LVS at exactly the wrong time, and got out almost immediately but not before it gave me a nice punch to the head. I think it was at a perfect REE a couple of days ago... but is still at a good point.

Remember no problem is so small that you can't run away from it.

Thanks Jeff,

I signed up, I am curious how those work though. As unfortunately I have two presentations that night for class, is there anyway to record the event?

I would/ will honestly listen during class if possible, LOL.

Ben

Matt, the height of the flag pole is your price target. You start from the point where the breakout occurred (where the stock broke out of the channel) which looks to be around $37.29 and I see the flag pole being around $5 tall.

What I am sure most traders realize is that many flags are support bounces with fancy names assigned. As you all know, if you have read any of my many posts on the topic of support bounces, volume is not required to buy a stock that is sitting on support or resistance. Trading a flag/support bounce in an anticipatory approach doesn't require volume. However, most breakout trades are more effective with volume, but so many hit their target without it.

You make the call.

Jeff

***WARNING***

"The bachelor has multiplied!" I repeat, "The bachelor has multiplied!"

Hang onto Amber tonight!

I'm in

Couldn't make our group meeting tonight gang but maybe we could make that night our meeting.

What say you?

Oh brother, no wonder Jeff likes Kim better than me.

Ben, I think you should just take your College tuition and put it in a trading account. Who needs a stinkin' deploma when you can trade successfully?

Wahly, what group meeting?

Chris- It's a yin/yang thing. The tallest of the tall...the shortest of the short

Wahley... do you have your own world?

Water Transportation. I mentioned it on Thursday (I think) and both DRYS and EXM today went nuclear (or nucular as 'Dubyuh would say.) by the way... I do know how to spell diploma.

Jeff....once again you have helped me amaze my husband....he doesn't quite understand how we can make money on days when the stock market is down....one of these days we will have him crack open these investools books and start studying, but for now he is picking up my slack around the house... ;-)

Raimo ??? a macy's window model??? i can see gander mountain or bass pro shop, but not macy's....tell me the time, day, and location and i will be there with my camera (lol)

C2....i hear ya (re GRMN and LVS), but the rules are the rules and it is in our best interest to cut our losses quickly.....you never really know when a stock will just keep falling.....

~~~NILE~~~ finally !!!!

~~~ISRG~~~ i hope our target is reached before earnings, i am too chicken to hold this lil mover over an earnings announcement, even if it does gap 30-40 points in the right direction (unless of course somebody has an insider tip)

well time to go scan the watchlist....have a good evening everyone!!!

Chris-
In love with DRYS! Hit my target last week. Got out, and then back in as it bounced off it's 10 day MA. So, YIPPY!

EXM bouncing off 10 day as well. Few more cents and it will surpass previous high. Looks nice as well.

liz

Today was a good day for us as for the first time we got into AAPL on the breakout. Now I am sitting here with the same profits as that stock that cannot be named. Sounds like Harry Potter. Chris I kind of see what you do with it but not ready to jump again. See Kim I am not mentioning it at all.

I will have to look at DRYS and EXM again as I have been waiting for a dip buy. I thought I would have all kinds of entries today but alas nothing moved me. Maybe tomorrow.

Liz your computer better now?

Jeff, what type of community would this be if we only talked trading in every line? Ok, I do not follow all the sports or the TV shows but I have no problem with those that do. Hey, I talked about cabinets remember so who am I to talk?

Ok, I looked and now want to know how you see DRYS and EXM at REE? Speaking of REE, I listened to Dave Johnson's entry and exit on IT web site and he had the same concept and I remember Jeff talking about this too early in the year. Raimo was the creative one so he get the R in REE or should it be JEE or KEE?

So Liz, splain to me REE on these two please.

Jeff,
I'm signed up. Will probably sign up my husband, too.

Question for those with kids:
The tooth fairy comes to our house for the first time tonight. My little girl got two teeth pulled by the dentist (because I couldn't stomach "wiggling" them out.) Anyway, how much per tooth? Do you take the box?


Michelle

Jeff,

I registered,but don't know if I can attend, does that still help?

Raimo,

Are you still in GOOG? If so what an amazing run you've had. Congrats. single trades like that can make your whole year.

This comment has been removed by the author.

This comment has been removed by the author.

Jeff, I sent you an email with some picture attachments so just as a heads up if gmail puts it in junk mail if it has attachments I sent in an intro piece.

Chris & Catherine, Funny you should say that....I had a month until my first payment was due but had tuition money early, so guess where it went....lol. Luckily, or rather, thanks to Jeff and this blog and revising my strategy I was able to double it in that time period.

It wasn't as wreckless as it seems I could have covered it if I lost, but I knew I wouldn't. I had confidence in being able to follow my rules. :-)

Ben

Would it be OK with everyone if we referred to flags as bounces and breakouts as breakouts? Flags are bounces aren't they? And breakouts are breakouts, they are clearly different? Right? If you wait for breakout of a flag pattern it is no longer a bounce and if you anticipate a breakout by playing the bounce.... I am confusing myself.....anyone get what I am saying?

Cheers,
C4

Jeff,
I'm in and looking forward to it. I also forwarded the link to a friend who is not an IT student but who is an active trader and doesn't know what he doesn't know. Hopefully he will sign up as well.

AKS made a new 52 wk high w volume (oh and 3 green arrows...)

well that is all i can find that hasn't been mentioned already today...
congrats to all who have been riding GOOG !!! wow!! someday soon i will be able to properly position myself for a GOOG trade, well i mean a GOOG option trade....

cheers to another great trading day tomorrow!!!! and remember "drink more ovaltine" (java monster)...so we can keep making bank!!!

Monday, October 08, 2007
STV is the next BIDU!!!!!!!

STV closed at 39.50

I'm glad some of you got in with me at the low $30's before this low float monster took off.

I gave a $100 price target during the day and now it seems very possible.

The street.com gives it a go, and cramer tonite gave it a target of $60 (which really means that it will at least see $80).

http://www.thestreet.com/s/play-the-next-big-china-stock-with-these-ipos/newsanalysis/smooth-stock-picks/10383063_3.html


buy buy buy! And then buy some more!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

Sell some of your other laggards and buy STV. If you still like your laggards, then, later on, sell your profitable STV and buy back your laggards.

Super strong buy!!!!!!!!!!!!!!!!

C4,

I'm with you on that. keep it simple. bounce no volume needed,breakout always confirm with volume.

Okay,

Was beanie trying to post a poem?...

I thought poems were reserved for hot Macy's window models. Maybe he didn't get the memo... Hmmm..

Jeff,

I don't know how you minimized Beannie Boy but thank you!! I have had dental work more annoying than him.

I see Tim's handy work here...

If you ever post a comment and find it in really small font, I think that is a bad sign.

Michelle, the minimum I heard is a $1 a tooth. I got $0.10, as they say, in my day.

Jeff, I'm there for the class!! Can't wait!
I go in SNDA on Friday morning a few hours after the open. Also got back into DRYS a few days ago too! Both have made me some great money!
I love trading and love this blog!!Thanks Jeff and all those who contribute!!!
scott aka tallred

Tim is probably the one to thank.

Good job Tim!!

Michelle,

I second 1 buck per tooth. Inflationary principles and Regan economics do not apply to the tooth fairy. Besides, sneeking a 1 lot under the pillow is much easier than sneeking rattling coins.

I'm in...thanks Jeff....your generosity never ceases to amaze.

Jamie

Michelle.....i am not expert, since xavier is just "growing" his first set of teeth, but my neighbor's tooth fairy gives $5 for the 1st tooth and $1 for all that follow....to make it extra special, the tooth fairy leaves a special note on a piece of paper cut out in the shape of a tooth.....i don't know about the box??? i think they used a special pillow and of course that was left to be used the next time....
hope it helps, i think the note is priceless, just use a piece of printer paper and cut it out in the shape of a tooth...

Jeff thank you for all your help. I always lear something new everytime. thanks

TRA is looking like a nice bounce.

Also CUB and EMC are looking to bounce as well.

AMX seems like a low risk entry as well.

$1 a tooth! $5 a tooth! You guys are crazy! I gave my oldest a quarter. I guess, to each his own but at that age (well, I guess it depends on when they first loose their teeth) they are just excited about something being under the pillow. And coins are shinier than a greenback. Who was it that was talking about buying all the cars for their boy when he was being potty trained? And then they realized that he worked just as well for stickers... Anyway... I'm not trying to offend anybody but at 4, 5 and/or 6 years of age they don't fully get that capital one commercial just yet. Man, you guys make me feel like a cheap skate. And I thought I was being generous! I guess the tooth fairy will have to re-negotiate the price for incisors.

;-)

liz

Bob-
No, I'm still one level up from hell at this point with the computer. But, in a few weeks the newest operating system comes out from Apple and then I'm going back to Mac. I refuse to buy a computer before then because I don't want to pay for a new operating system a few days after buying a new computer. So, I'm still kinda winging it because I don't have any of my trading stuff on this computer. Oh, well. I'm doing the best I can at the moment. Can't stop my business just because the computer's crashed.

liz

Well, looks like yum got earnings off to a decent start. I am concerned AA may miss and effect my profits on ACH by default so I may sell a few contracts going in and re-buy if appropriate.

I took profits in AAPL, seems due for a slight correction tomorrow, however I'll watch it and jump back in if it shows no sign of letting up to 170. :-)

What are the thoughts on GOOG? I am waiting on a re-test of 600, if it holds I am prob gonna get long.

Still looking for good bearish plays with none in sight, i don't want to get caught too biased one way.

Ben

Jeff, I hope you go home with a smile on your face, everyday. You have helped change people's lives, with what you do. Yes we paid a hell of a lot of money to I.T. and have learned much, but you have taken it so much farther. You give us your valueable time and extensive knowledge and a bit of humor.But most of all you give me hope. I can't thank you enough for that. So if you are having a bad day sometime, just think of the many people that you have had a hand in helping and maybe not even know it. Thanks again!!

Liz,

I was the one who trained his son with matchbox cars. You are not a cheap skate, just smarter than me. My son turned out perfect but the match box cars nor the amount I put under his pillow from the tooth fairy had anything to do with his success. He was lucky to have his mother's heart and my desire. Anyway, a quarter is perfect if you kiss them many times while slipping it under the pillow. Once they don't believe, you lose some of the magic. Keep it going.

Bob-

Re: EXM- Now, I'm not in this one because I missed it, but if I was in this one I would have taken today as a bounce or actually, Friday would have been a better entry for me. It likes to follow it's 10 day MA. (I'm using the simple MA). I would be using the MA as my REE. I also would look to see if there was any horizontal REE close. I'd be using around 57.50 as my horizontal REE. I don't usually use moving averages but sometimes they work for me. EXM does have a previous high of 63.78 so I'd be looking for it to surpass that. I wouldn't be playing this as a trend trade. I would be trading this as a short term.

DRYS- First off, I'm not playing this as a trend trade either. I'm playing this shorter term. On 10/4 it just touched it's 10 day and this was the second down day with decreasing volume. 10/5 it bounced off with a nice little spike. Not necessary but I liked the volume. To me it meant that it swinging up was more likely. Again, I'm using the 10 day as my REE. There's not really significant horizontal REE so I'm looking at the price action and previous highs. That's where I'm determining my out. Also, because I'm playing this shorter term, I'm not giving it as much room to move.

Anyway, I hope these explanations help. If not, let me know and I'll email you my chart. ;-)

liz

KSS
Potential inverse head & shoulders reversal.

Sean M.
Thanks! And I'm glad he turned out so well. Sometimes it's amazing how much they "get it" when they're younger. My boys surprise me all the time and terrify sometimes as well. ;-)

liz

Liz... 25c? That's what it was back in the day.. inflation plays in... 1$, 2$ sounds like about right to me!!!! Mine puts all her money in the bank... 7 yrs old!!! :-)


-steven

Jeff,
All signed up and looking forward to it. Thanks much.

BTW: the new one is now almost 3 weeks old!!! I have to say: he is sooooooooooooooooooooooooooooooooooooooooooooo cute! (ok, sorry I know I am a guy and should not say all that but it's true!!!)

-steven

BTW: AMZN breakout today? And what about CMI? Do I see a close near support? Good entry? Wait, what about upcomming earnings on these stocks? Too late to get in and take a quick ride since it could go down in the days before the earnings?

I also enrolled this evening. Thanks in advanced for making this available. I recently took profits on RIMM, MTW, and AMG because of my rules. Love this blog!

I am thrilled to be in too Jeff! Thanks for the opportunity for the class - it is scheduled.

As far as the tooth fairy, we always do $1 and leave it under the glass of water that the kids put the tooth in. And of course the tooth is gone when they wake up the next morning. Except when my wife was gone for a few days and I forgot - tooth still there and no money. Had to do $2 the next day with a note explaining that the tooth fairy ran out of time and money so had to wait an extra day. Fortunately my son bought it. Problem was I still forgot to take the tooth.

Good thing for moms!

Jim

Michelle,
I recommend giving 4 quarters. The child has 4 "monies" instead of 1. They seem to like that. My grandson just lost his first tooth about a month ago. He told me he would probably get 2 quarters, but IF he would happen to get 4 quarters, he would be able to share with his little sister. Now who's using child phychology on who?!

Another tooth fairy story. When my daughter lost her first tooth, she wrote the tooth fairy a letter. She asked questions and left instructions on what to do with the tooth. Of course, the tooth fairy answered her letter. This Spring, I was cleaning out some things and lo and behold, I found her letter and the tooth fairy's response. I gave it to her. She was married last November, so when she has a child, she'll be able to share it with them. I guess it's a "treasure" find that really made my day.

Jeff,
I'm signed up and ready to go! Thank you for the invitation.

Barbara

Jeff,

I have a suggestion. When new members become Option Addicts, they always want to know our "lingo". For example, "What does REE mean?". Maybe we could have an OA dictionary posted on the right side. Just a thought.

Barbara

As one of the many lurkers on this site, I've got a few questions I'm hoping all you OAs can help me with.

1- Does anyone have any tips for trading with a small account? Using good risk management and portfolio sizing, it seems that I need large price movements just to cover my commissions, much less make a profit.

2- What's a reasonable bid/ask spread? I know it will depend on the price of the stock, but is there a standard formula to use, or is it on a case-by-case basis?

3- Where can I get a list of all the abbreviations that get thrown around? I'm trying to figure most of them out as I go, and have been following for a while now, but some have got me stumped (what the hell is RTR?).

Thanks in advance-

TT

Todd,

I believe RTR means risk to reward. If it isn't, someone will let you know later this morning. Maybe my suggestion for an OA dictionary would be of some help.

Barbara

Thanks Barbara- that makes a lot of sense now- I think an OA dictionary is a great idea (I know it would help me out)!

- TT

Todd,

I started with a small account also. I was only able to buy one contract, maybe two if it was a much cheaper stock. I have now moved up to buying three contracts at a time and still keeping with my risk management rules.

One thing with a small account, I was VERY careful to take only the VERY obvious trades. There was no anticipating. Well, there was once and I learned not to do that again.

I have almost doubled my investment in about 7 months. However, the year (starting in April) is not up yet. Hopefully, I keep my head in the game and leave my emotions at the door. So far I am on track for making more by trading full time than working outside the home.

As for Bid/Ask ......someone else will need to answer you on that one.

Barbara

Todd-
Who are you using? Changing to Think or Swim really helped me with the whole commission thing. It was like a sigh of relief and that I think they are so great.

And RTR stands for "Raimo Target Reached". For you it could be TTR. What's your price target and when you reach it what do you do?

Hope at least this little bit helps.

liz

Thanks Liz. I knew what RTR meant at one time, but totally forgot. The best one which I use all the time is REE. The discussions that went on with that really made me understand the importance of a good entry.

Barbara

Steven-
I didn't grow up with the tooth fairy so (very long long story)... But hey, my kids don't know anything about inflation yet. ;-)

liz

Barbara-
I think an OA dictionary would be great as well.

liz

I also like the idea of an OA dictionary, someone could compile it that has been around enough to know to maybe save Jeff some hassle.

Also, I think a photo gallery of all the pics OA's have sent it, or if there are intros with pics like I just sent to Jeff maybe a page for those?

Is anyone here on facebook?

I should probably ask Jeff before I do so hopefully he responds but I was considering making a group for this blog, that would possibly pull in more traffic or give us a chance to network on there as well. That could also bring in many more noobs for Jeff to deal with, haha.

Ben

Thanks Liz and Barbara-

Liz,
I am with TOS, but I think perhaps because I'm new to all this (just started trading for real in August), I'm taking trades more than perhaps I should, consequently upping my commissions. Thanks for clearing up the RTR- I'll have to work on the TTR and what to do

Barbara,
Wow- double in 7 months! I can only dream about something like that at this point (although it sure would make my wife happy) I'm only buying one contract at a time, but sometimes I feel like the price of the contract determines what I buy, instead of the best Risk/Reward. Since I'm limited in how much to spend, sometimes I just have to move on and miss out on a great trade- did you only look at specific stock prices (knowing that options would also be cheaper)?

Thanks to both of you for your help.

Regarding the Tooth Fairy, I've got a ten year old who recently just asked me for the money outright after I told him that he's too old to put his teeth under his pillow- enjoy it while you can!

- TT

Yawn, good morning...

VA beach girl we have an Invest Tools group that meets once a week, BTW did you get my post about Farm Fresh on Western Branch Blvd in Chesapeake?

Chris and Cathrine, do I have my own world, hmmmm let me check with my wife, I'm sure she has an answeer :) oh and BTW drop the E off of Wahly...

Michelle when my kids where growing up it was a quarter, now that I have a grand daughter its $10 bucks a tooth, what can I say Grandpas live to spoil..... :)

RIMM
DRYS
SIGM
all staples of the blog, go go go
heres one to watch I haven't seen here yet
CIEN.....

Thanks, guys, for all the tips. Now that the morning is starting out, I'll try to focus on trading.
Should we be concerned about the Fed meeting minutes being read?

Anybody take down some CMG yesterday? Those ETF's Jeff talked about look nice, too.

Jeff, thanks for minimizing beanie.

Raimo, if you're up for it this week, how about we go to lesson 3?

Michelle

Jeff,
I just got my confirmation for the seminar. Do I need to sign my husband up, since he and I will be listening from the same phone?

Thanks,
Michelle

Lesson #3.....


that was navz....

But I'll work up something for the blog...

Jeff,
I signed up but didn't realize that it was a Monday and I have a church commitment. :-( Will it be recorded, by chance?

Michelle, You should be proud that you remembered the money. My boys always come to me in the morning and say, "The tooth fairy didn't come. " I say, "Oh, yes she did. She asked me to give you the money for her." And they get $1.00


Todd,
I began with a small account, too. If you continue to hang out here, you will see that account multiply in no time. This is an extrememly generous community of traders.

All of the "R" abbreviations relate to Raimo and all of his wonderful rules and trading suggestions. Yes, a trading dictionary would be awesome.


FIG - Possible cup and handle forming?

I'm between flights here and didn't have time to read all the posts... but whoever was asking about REE on DRYS adn EXM don't worry you're not going blind, they're not at REE. Some of us got in a while back on them and are simply gloating. Keep them on the radar though, as they should be a good buy if they pull back a bit (which they'd better not... at least until I sell.)

I expected Raimo to post on the whole tooth fairy thing. After his diaper method of recycling I expected him to recommmend $10 per tooth, but then steal it back the next night (they'd never notice at that age) and keep recycling it. Not that something as cruel and unusual as that would occur to ME, of course.

This blog will pay for my kid's psych bills. Off to Vegas now.

Todd,

Yes, the price of the contract did determine what I bought. However, within the $20 to $50 stocks, I found many, many opportunities for a good risk to reward set-up.

I actually feel I did a much better job of researching and analyzing at first. But I had a problem with actually pulling the trigger. I found out I could talk myself out of every trade because there is no perfect trade that met ALL my rules.

Through listening to this blog, I learned to loosen up, fine-tune, and throw out some of the rules. Laney gave the best advice, "Hang out here, you will see that account multiply in no time.".

Barbara

Chris,

Warm up the tables for me, i'll be there in 11 days. WOOT!(not a ticker symbol)

Ben

Raimo,
NAVZ?? I must have been absent that day. Seriously, if you posted another lesson, I must have not read the blog that day or done a quick scan and missed it. Sometimes I'm out all day, and have to just scan the blog real quickly.

Thanks for all the time you take teaching. I know it's extra work, but it sure helps.

I think today is Jeff's video day and price patterns class, also.

So should be an instructional day for all us bloggers.

Happy trading,
Michelle

A couple stocks to watch.

CEG - poised to resume up trend
BEN - symmetrical triangle

both have earnings on 10/22. Keep a watch.

Does anyone see GRMN filling the GAP to $120 ?

David in NH

Morning Addicts!
Anyone looking for short trades, a couple of possibilities:

ALL - looks to have retested neckline of an H&S

COF - Ditto

Both have 200 SMA resistance above, and down yesterday

Any thoughts?

Mark,

Thanks for the short ideas. Cof & ALL seem a bit scary though. They both seem to be in an uptrend reversal, making a higher low and a higher high. Any thoughts?

Mark,
I think COF looks good for the short term but it seems to be making higher highs. The MACD and stoc are rolling over and it could go back to the diag trendline of about $69-ish?

D & B,
I saw that too, and I agree, it's a bit scary. It's possible also that both could be affected by the FOMC Minutes today.
Another thing is the volume during the "rallies" has been well below average for the most part.
Couldn't the uptrends also be considered a retest, which I believe is necessary to confirm the H&S? I might be wrong there.
Anyway, I'm keeping them on the radar in the short term.

Hey gang,

I know that many of us stumble when it comes to setting targets when a stock is heading into new highs. I watched a trading room with Alan Keate and he gave some Fib custom lines that I use for setting targets and they are reliable the majority of the time.

If anyone wants them I will post them here.

Does anyone have BLUD on the radar? Huge volume up day after earnings and a nice low volume pullback in the last couple sessions. I'm, targeting an entry around $37.50, if it pulls back that much. Former IBD fav...
I am definitely signed up for the Adv Options session Jeff, thanks!

Laney,
Good point. Maybe REE (or should I call it MEE) would be a breach of the trendline. That would be the sfer play, for sure.
ALL - 57.5
COF - 69

BEN (not you Ben, but BEN)

Jeff mentioned this in price pattern class this morning and today looks like it may be the breakout day. Awaiting volume to confirm.

Brian,
I have BLUD in my past losses watchlist and I have been watching it to pullback, too.

Ok, the going rate on teeth is a minimum of $1. The politically correct term now is tooth "angel" not tooth fairy.

Our tooth fairy will occassionally leave a note of encouragement with the money written in a very small print on a tiny scrap of paper.

MikeH

Laney,
If you could post those Fib lines, I would greatly appreciate it.
I have Nov calls in MON and DRYS that have doubled, and I'm wrestling with selling or holding. MON has earnings tonight.
Jeff, I think you still have some of those gazillion MON Nov calls, how do you play the earnings? Thanks much.

Laney, I for one would like Alan's information where do I find it?

Nice gap on AAPL but just can't seem to get back up there.

Laney, let's see your fibs. I'd love to have a little help coming up with a target for selling my gazillions of winners.

I thought I was going to Vegas, but it turned out I came to Toronto first where I have to sit for 3 hours. You should have seen the faces on the passengers when I welcomed them to the flight to Vegas. PRICELESS!!! I've gotta do that more often.

I can't get into my Interactive broker account off these airport computers so I'm out of the loop today. I do remember that LVS looked like a pretty good entry last night though. Didn't get a chance to check WYNN which can help confirm LVSs movements.

Sometimes.

I found the info. It was actually Kelly Allman's Advanced Support and Resistance trading room and Alan Keate filled in for him.

0.0 B check "show values"
23.6 N uncheck "show values"
38.2 B check "show values"
50.0 B check "show values"
61.8 B check "show values"
78.6 N uncheck "show values"
100.0 B check "show values"
123.6 N check "show values"
138.2 N check "show values"
150.0 N check "show values"

The ones over 100 are the extensions. Alan said in a strongly uptrending market, the 61.8 level is significant and when it bounces off of it, it will *usually* go to the 123.6 extension.

I like the Fibs, they have been very helpful for me. I have heard Jeff say that he doesn't use them and I stopped using them because of that. Brilliant, right? I went back to them because they work for me and I am Laney, not Jeff. :-)

The date of the trading room was June 5, 2007.

Laney,
Thanks much - I'm going to check those out.

BCSI breaking out now.

James H.

I found BEN in my watchlist. Love when I identify the same patterns as Jeff, and wasn't in the class. Looks like a good breakout. see how the day ends

Jeff:

I am in! Thanks for your spending your precious time with us. I am sure all of us understand the issues with balancing work with being a father, husband and option trader.

JB

Kim and Sarah (sure, and Ben too)

I LOVE BEN to bits. It's breaking out on good volume, too. The only thing I don't like is that 135 is really strong resistance. Don't know if I'd want to wait for it to bust through before getting in, though. I'm not a big fan of triangles for this reason, though. There are others out there who could give you better advice. Catherine's known that for years.

Copper is the engine of the Chinese economy "they" say. PCU has been sitting idle for a while and is setting up nicely today. Could be a great entry on something that's got tons (or "tonnes") of potential... both long and short term. I got in last Wednesday and was largely disappointed (sort of like many of my dates, in years gone by) but the smiles are bustin' out today.

Laney,
Not being a Fib vet, maybe you can answer this. Do you take the Fib from your buy point down to the price you're basing your target off of? Thanks for any help.

Yahoo!
I get to say clean cups!!

Mark,
I like to use them on a year chart and I go from the low to the high. If you are expecting your stock to go up, you start the Fibs at the top. If you are expecting it to go down, you start them at the bottom. Also, I only use the body of the candle, not the wick. Some traders like to get all of the price action but I have had better luck with my way.

You need to play with them to find the best way for you. :-)

ATW is trying soooooo hard to break through 80. When it does, the sky's the limit.

ARW is pulling back beautifully today and looks like a good REE on a great uptrending stock.

That's it for today. I'm now really off to Vegas. Ben, I will warn them that the kid with all the money is on his way. Remember, there's a CMG there (Man I wish I'd noticed it when it was bouncing off $100 time and time again.) Don't pick up those little "business cards" you see on the sidewalk.

Laney,
Thanks very much - that makes sense.

Take a llok at FCX. Its been hitting its head at 110.50 and now breaking over again. A bit over REE.

POT, PCU and FCX all the way. SFM

CLEAN CUPS!!!