The markets started lower, sharply on the large caps, but ended up marginally down. The Dow tagged the 20sma and bounced back up. The bulls are in control right now, absorbing any selling that occurs. The trend has weakened as follow throughs are more shallow and reversals a little more impulsive, but the path of least resistance remains higher for now. No charts tonight, but I wanted to mention a few blogs that I only recently started reading and I feel are worth checking out.

• Some might consider Bill Rempel a permabull, but he has been dead on with his bullish stance. He is very forthcoming with his analysis, and shows all his portfolio holdings on his blog and his public stockcharts.com list.
  
• Kevin's Market blog has great market analysis focusing on sectors and indices.
• There is a lot to digest at Phil's Stock World, but he offers a lot of interesting angles on the markets.
• OP at Option Pundit highlights several creative option strategies each day. I haven't seen too many sites that explain in detail their option plays.
• Adam's Daily Options Report is another options related blog that I make a point to check out. Great analysis here.

This is only a small sample of the great blogs on my blogroll and I try and read most of them daily.

Also Dr. Steenbarger had a very interesting idea he is floating on his blog in order to gauge interest in the subject. Check it out and leave feedback if you're interested.


Good Luck,


DT

The Nasdaq had a strong rally today pushing past the recent congestion area marked on the intraday charts. It pulled back very sharply in the afternoon, but bounced back a bit to the close. It found support near the breakout area, so it may follow through tomorrow. Here are a few more charts I am watching. Some of these were posted before, but are at points where I may consider entering.



J. Crew Group, Inc. (Public, NYSE:JCG)
JCG started a move a few days ago, but pulled back. The bears have not been able to push this down, so it may break out as soon as tomorrow.


On2 Technologies, Inc. (Public, AMEX:ONT)
I took a position in ONT today and it looks like this may be a runaway gap. Volume has been outstanding lately.


Ansoft Corporation (Public, NASDAQ:ANST)
ANST is at a critical area here and it looks like a big move is coming soon. I think the path of least resistance is higher, but it could rollover here too. I think there is a good risk reward ratio right now.


Walgreen Company (Public, NYSE:WAG)
WAG continues to trade in the descending channel / flag and is finding support at the 200sma.


AmerisourceBergen Corp. (Public, NYSE:ABC)
ABC is trading in a true bull flag and should have a sharp move higher if it can clear the flag area.


Medtronic, Inc. (Public, NYSE:MDT)
MDT has refused to pullback after gapping higher last year. It has built a base over the breakaway gap and may be ready to move out.



Research In Motion Limited (USA) (Public, NASDAQ:RIMM)
RIMM is one of the only shorts I am considering. It may be setting a lower high here while testing the trendline that broke as support. Shorting has not worked in this market and in this stock, but this looks like a decent setup if it starts to head down here.


Good Luck,


DT

The bears had their shot and couldn't drive the markets lower, and it looks like the bulls will take a shot here at pushing the markets up. While it looks like the indices will head to new highs here, I can't shake off the fact that we haven't had any sort of correction since this rally began.

Here is a weekly chart of the Nasdaq Composite showing the last few years. Notice how when RSI climbed over 70 the indices tended to correct shortly thereafter. We could pull back to the previous breakout point and still be in an uptrend, so I am taking a cautious stance.

I have my hands full with open positions, so I am not listing too many new charts. Here is one I've been watching recently in DTV. It is close to do or die time here, so I will be waiting for a candle pattern to confirm the move.



Good Luck,



DT

The markets barely moved today although there were some decent moves in watchlist stocks like grow, dakt, and rvbd. There are some conflicting signals as most of the indices look like they will pullback on intraday charts, but still looking ok for other timeframes.

Here are a couple charts showing the Q's with conflicting picture.


NASDAQ 100 Trust Shares (ETF) (Public, NASDAQ:QQQQ)
The hourly chart looks pretty sloppy with the Q's in a congestion zone. It looks like it may head a little lower here.



The daily chart shows the Q's coming off oversold status and with the MACD starting to crossover to the positive side. I have to give the edge to the longer term charts.
Here are a few more charts to watch.

Liberty Media Corporation (Interactive) (Public, NASDAQ:LINTA)
LINTA already reported earnings and may be close to clearing this flag like pattern. It may come back to tag the 20sma first, so I will be waiting for the move to present itself.


NovAtel Inc. (Public, NASDAQ:NGPS)
NGPS trades very thin, so it may not be for most, but it is looking decent here. It broke this head and shoulders continuation pattern and is drifting back to converging support. It may come back a little more, but I am watching it closely.


Amazon.com, Inc. (Public, NASDAQ:AMZN)
AMZN could go either way here, but it looks like it will move higher right now. I would probably pass if it breaks lower as there is good support in the gap below.


On2 Technologies, Inc. (Public, AMEX:ONT)
ONT may be setting up for a head fake here. Busted chart patterns can lead to very profitable trades, so I will be watching to see if it can climb back above the descending trendline from the triangle.

Here is an update to the stock contest I had with some friends of mine. Y is in the lead following ICE's 33% move. MFN is helping a few people out as well. Only LMRA is down more then 10% at this point although OMNI was close to that recently. I'll try to post updates at the end of each month.


Good Luck,


DT

I thought I would be able to get my post out before the Super Bowl, but I wasn't even close. I am gonna keep it short tonight with just a few picks. Plenty of stocks from last week's list are moving, so if you missed them, check out the last few posts.


J. Crew Group, Inc. (Public, NYSE:JCG)
JCG is looking pretty good here as they are neatly consolidating their recent IPO breakout. If it can clear the trendline shown below, then it could be headed back to all time highs.


T. Rowe Price Group, Inc. (Public, NASDAQ:TROW)
TROW has traded a neat cup and handle and is consolidating near the 20sma. If it breaks out here, it should have enough power to follow through.



Marvel Entertainment, Inc. (Public, NYSE:MVL)
MVL doesn't move much, but it looks like it is getting ready to attempt a breakout.


Daktronics, Inc. (Public, NASDAQ:DAKT)
The DAKT chart is reminding of XING's chart before the recent breakout. If it can clear the downtrend line shown below, then it may be off to the races.


Broadcom Corporation (Public, NASDAQ:BRCM)
If the markets pull back this week, which by looking at some 60 minute charts looks pretty possible, then BRCM may be a good performer on the short side. Semiconductors continue to lag and BRCM has worked off the oversold readings in all the indicators.

That's it for tonight.

Good Luck,



DT