Sunday, May 31, 2009
Live Longs for a Friendly Bear
Bears will be bears, and as such bears were frothing-up the Internet all weekend over being so blatantly manipulated (again!); by that snidely, late upper-cut action on Friday.
Brutal yes, but leadership growth just might be a better trade; as long as the market is rising.
This week's list focuses on rising relative-strength industry groups. Within these groups I favor high RS (and/or new recent highs in RS), strong EPS + revenue growth/potential, positive technical patterns/set-ups and at least a reasonable amount of liquidity (I require slightly less liquidity in longs than in shorts).
This is my working list for the week and should in no way be misconstrued as anything resembling a recommendation. Short them for all I care - but certainly don't buy unless you are independent of me.
Asterisks are included where I see a name either breaking-out, potentially breaking-out or imminently capable of breaking-out. These too are not recommendations. Sometimes these are the worst possible buy in fact, when a break-out fails...look at that weak volume for instance - you wanted to buy that?
STEC (extended, looking to enter on hard slice lower)
FNSR (pennystock; enter above .67)
Oil & Gas-Machinery-Equip:
Oil & Gas-Refiners:
Metal Ores: (will post during week if group leading on-the-day)
DRI (enter above 36.35)
PEET (enter above 27)