5 Year Highs

Looking at a quick screen of stocks hitting five year highs it's mostly medical and financial stocks. Most of the major brokerage firms like Schwab are at fresh 5 years. Most of the breakouts and momentum has been in biotech lately. I'm going to go on a limb here and say the biotech index hits a new high soon. IBB isn't saying new high in the chart, rather it is stalled. IBB seems pretty happy up here though.

What I'm Looking At

I haven't made any trades in atleast a few trading days. I'm still running screens every night. I've had a couple stop orders out there where the stock never moved and subsequently I canceled them. The last one was on SPXL the 3 X leverage bull S&P 500 index. The Russell 2000 looked particularly bullish as well. The setup is still there long on the S&P here. It's on trend support. If I trade any indices like SPXL I'm going undersized in the position. MTNB looks good long. It is OTC though so make sure to protect profits and sell all of position into highs.

For Wedn 27th

Strolling down my watchlists. LAYN is my first priority. MNKD is a long bias. It's in a bull flag. You can always confirm a bull flag by declining sell volume day after day in the flag consolidation. Most people will just look at price. Volume is equally important though. If it hits over 4.91 tomorrow it should run. I have three watchlists. Long biased watches, short watches, and position trades. Position trades are mostly indices, us dollar and maybe a couple stocks. All the lists are pretty small watchlists. The most I'll have on one list is 15 max. I have 10 long/neutral, 6 short and maybe ten position.

NYMX back on radar. Trend support widened out some. Trend support does that over time. It looks to be hugging new trend support. Still not many sellers on the daily volume. If it clears 1.60 it could pop.

Next one is going to drop like a rock any day now. This is a gift. Short short short. Hopefully there are shares out there.

Last short watch is VBLT. It has never held big gains well. Looking at the chart history it sells off after a big run.

LAYN Setup

LAYN is a water company and is up a lot off of the lows this year. The sheer size of the move up to this area says short bias. However, the triangle it formed will be the setup. Which ever way up or down it moves off the tip here is what counts and tells direction. Should be good for a $1 a share move.

Trading Watches 5/21

short ISR PBMD BONA MXPT Long or short NES. NES has a clean high flag triangle.

ISR Recap

I traded ISR today. I bought the breakout at 2.23 and sold at 2.88. It ran on lung cancer data. Cancer stocks can go big time. I bought into a bit of a spike. I could have waited longer for a pullback which actually came but made a good choice to just get some filled with a wide stop.

PTBI Consolidation

This is a symmetrical triangle at the moment on light sell volume. Says bullish. Which ever direction it goes off the tip of the triangle should have significant follow through.

Tuesday MBI SPY

MBI is a short bias. Looks overextended. CHOP did exactly as I expected coming off of that bull flag. I didn't trade Monday and missed it. Gold miners are kind of erratic here and aren't as easy to trade as usual. S&P 500 and Dow Jones is a long on any continuation breakout. I posted on this the other day about the bull triangle on these indices. SPY and the Dow.

Junior Miners Trade Recap

I shorted the junior gold miners index this morning at the open. I used the 3 x leveraged ETF JDST. The idea for the setup was that GDXJ the index was very overbought which you can see by just the price candles and especially in RSI 2. I drew all of this up in the chart below. The other thing was that the previous day it had gapped up ran and faded all the way down. It printed a clear shooting star candle. The candle also was above the upper "Bollie" bollinger band. The dollar looked oversold which drives gold which drives this index. I shorted the open which was below the previous close and it looked like more lows were coming. JDST found support at 6.50 in the morning so I set a stop loss to trigger on a cross below 6.48. It triggered later and I sold JDST for a 5% loss on a slightly undersized position. I'm neutral on GDXJ now and may trade the breakout or a consolidation.

Bull Triangle on Indices

The S&P and Dow are forming bull triangles. The Nasdaq is a wide trading range. These bull triangles look pretty good. We just need a full trading day or two to finish above the resistance and off to the races again. I kept getting errors uploading the charts.

Watches 5/14 Thursday

short bias PTBI long bias CHOP DSCO NYMX

AMCN Short Recap

AMCN has been on my shorts watchlist for about a month. It has been predictably choppy. I've just stayed away from it because it was so messy. No clear setups. Today I finally saw a good enough short setup as a second bull flag failed on the daily charts you can see below. Well, technically it was retest of the first failed bull flag.

This is the last "flag" trend support I was looking to see get taken out. This is a four day chart.

After it took out the 4.40 support I shorted at 4.38 a share. It was an easy trade because it just dropped off a cliff all the way down to 4.13. It looked a little oversold then at 4.14 and I started a market order to cover if it was going to go to 4.16. Right around the bottom at 4.13, 4.14 the bid and ask started to go crazy. There were atleast 12 changes on the bid and ask in 3 seconds. I think they even flipped. In other words the ask price of say 4.15 switched to 4.13 and the bid 4.13 was 4.15. Muddy would call this "jiggy", started to "jig". That was enough for me so I covered at 4.15 and sure enough that was the very bottom. The stock started a gradual climb after that.