Nice close for the markets today. Volume is running a little light for a bullish breakout, so be careful. It seems like people aren't diving headfirst into this rally, and we are not out of the clear. Tomorrow is options expiration and as such I won't be trading much. It will be intersting to see how the big guys deal with NVDA and DELL after earnings. Here are some charts to watch. No time for comments on the charts tonight but they are pretty self explanitory. Keep an eye on MNST (listed below). They had unusual traffic AH tonight.







Good Luck,

DT

Nasdaq is pretty close to resistance so be careful of a weak close.

Most of the indices have broken downtrendlines, but Nasdaq is lagging. If tech can't join the party this rally will be short lived. Semi's may carry NAS tomorrow on heels of AMAT earnings. Some of the semiconductors started ticking up after hours. Careful with options expiration looming this Friday. The speculator blog had a nice post tonight on some of the options expiration games to watch for. Lot's of decent looking charts tonight.

RBA is a low volume stock that broke through an orderly cup and handle base.

NSC broke out of a bull flag today.
LVS has a nice looking chart. Today's volume was what you want to see when a stock breaks resistance.
CHRS also broke a cup and handle type base. Needs to clear the gravestone doji to follow through.
PHLY has had a very tight consolidation. This base reminds me of the starbucks (sbux) chart before the breakout.
HANS looks good here but is up at resistance. If you pull up a 15 minute chart on HANS you will see a nice triangle break over the past 10 days. Looks like a prime candidate for a daytrade tommorow.
OXPS is chugging along and may break overhead resistance soon.
TALX looks like it will hold these lows as the bottom.
CHS followed through today on it's breakout.
JOYG has been a horse this year. they had a good bounce off the trendline and fib retrace.
Good Luck,

DT

I will keep it short since it's Valentines day. We got a nice bounce today and certain sectors look poised to follow through. Tomorrow may be volatile with Bernake deal, so I'm not sure I will enter any swings at all. There are several areas worth daytrading though. I am showing some ETF's to highlight possible sector plays.

First up is Retail Holders. Nice move today on the heels of the oil drop. OIH broke support and if oil keeps falling then retails will surely get a nice move. I like CHS, DBRN, BBY, and ANF here.

I'm showing HHH not because it's a good trade, but because Internets are severly oversold and the H's are at support. There may be some decent trades in YHOO, GOOG, AMZN, EBAY, etc.
Here is the Gold ETF. Pay close attention to everything in this chart. It appears that Gold is bouncing at support and although past action doesn't guarantee us anything, I have to respect the signals given in the past. I like GG, TRE, and NEM as gold plays.
As noted a couple nights ago, Basic Materials are getting their bounce.
Financials are close to breaking out.
Wireless plays may be getting a bounce as well.
PAL is a metal's play that looks tempting here.
I've seen stranger things happen then a stock follow up a steep channel.
TRCI may of broken out of a bull flag. Looks like today was a test of support. Watch for higher high.
QCOM may be the wireless play of choice. MOT also looks like it is getting a bounce.
PWAV looks like a possible daytrade opportunity.

Good Luck,

DT

Not much of note today other then another down day but on lighter volume.


Energy stocks were hit pretty hard and OIH is at support. We may get a bounce back here as a lot of the energy stocks have quickly become oversold.
If energy correction continues, ARD may be a short play. They broke support today and without sector support it looks like it will pull back further.
Same story with CLB.
NGAS fell out of the triangle, but true support is near 10. If 10 falls it will probably head to 9 at least.
JOYG is a market leader in the energy sector and have held up very well. They look like they will pull back a little further but are on my watchlist for a long entry.
TRCI may be headed up after a quick consolidation.
DIET consolidating into a triangle like base.
MNST has consolidated into an orderly bull flag since earnings breakout.
SUF made the move up and not down, so can be played long with a tight stop IMO.

Good Luck,

DT

EGY has pulled back to support and if Oil rebounds soon they may have a nice pop.

Daily shows a 38.2% retrace and is meeting trendline.

Weekly shows support nearby.

SLW has been my silver play and they reported earnings tonight. They reported late, so not sure what reaction will be. They also released some news regarding a deal with Goldcorp to trade shares for rights to silver production. This will probably drive the stock more then earnings. Usually any type of share dilution is met with selling, but since this increases their silver production and leaves them with cash for a rumored acquisition, the news may not be sold. Also, SLW had sold off coming into earnings. Here are the links to the news above.

http://biz.yahoo.com/bw/060213/20060213006473.html?.v=1
http://biz.yahoo.com/bw/060213/20060213006466.html?.v=1

Here is the daily showing support nearby.
Weekly shows a nice strong uptrend.

Cmed is moving in the premarket after reporting earnings. Keep an eye on it as they have potential for a nice run. Looks like they are reclaiming chart support.

Nasdaq was setting up for a test of the upper trendline but Barons goog article has the chance to drag the nas down tomorrow. However, I think if the nas and goog in particular opens weak, there is a chance it will rebound and close strong. Looking at the charts this weekend, there is not a whole lot standing out to me. I have a lot that look like possibilities, but usually I have a few that really stand out. I also included more short setups as the market may be weak. I expect the market to be more choppy then trending this week, so I will focus on 1-2 day trades.

Here is the nasdaq chart. Pay attention to the two different fib retrace levels and the trendlines that may be possible support and resitance.

I noticed early last week that IBD 100 stocks were getting hammered. IWM which leads most small caps is looking like it will correct a little. IWM and small caps in general have been the true market leaders of the current bull rally and if they break down, then the writing is clearly on the walls. There is a chance that we are seeing the beginning of a sector rotation out of small caps to large caps, as usually happens in high interest rate environments. The underlying thought is that small caps are more sensitive to the cost of borrowing money and EPS and growth would suffer for them more then the blue chips. Still, we remain in a low interest rate environment and the overall trend is still up for small caps.
Here is a fib fan of SUF that I found interesting. Look at how SUF is holding the 61.8% retrace fan. I would watch for a break either way.
TALX is still fighting support and resistance. Looks like it will fall to me, but I would wait for the break.

CVCO looks good here.
DRQ looks like it will find support here at the trendline and 50sma.

MSTR looks like it may break down here. Watch for a break of the trendline, and then the 50 sma.
PARL tested it's breakout area for support and looks like it held. Watch for a higher high.
UPL looks like a failed triangle breakout.
VLCM may follow through.

Good Luck,

DT