NAS Island and Is Cramer reading my blog?

Posted by downtowntrader | 1/20/2006 12:23:00 AM | 0 comments »

Nasdaq may of formed an island gap reversal today. I am showing it on the hourly cause it is easier to see the gap area. Notice the gap down on Wednesday and the gap up on Thursday leaving the Wednesday session in an island. This is bullish and should provide support until there is a CLOSE below the gap up. The only caveat, is I like islands near the bottom of a downtrend or top of an uptrend. This is after a pullback and may not hold the same strength.
Well, I am seeing that Cramer gets a lot of his ideas from IBD. I posted on VAR earlier this week as an earnings play and PRAA as a cup and handle breakout candidate and funny enough Cramer pumped both of them tonight. Luckily I was in VAR already, but I will probably leave PRAA alone for a few days. I will probably milk this run and get out before earnings on 1/25. Here are the charts on both.

Here is another that I have been profiling lately. Looks like it wants to break out here.
HAUP:Here is a high flyer that is testing a trendline.
MDCC:Looks good here after testing trendline. Watch for a break over the consolidation base.
RACK: Testing a trendline here and they have been hot.

Tomorrow will be a tricky day with options expiration and indecision over today's rally confusing traders. I will stay away from most plays tomorrow.
Good Luck,