Stock Chart Analysis GMCR

Green Mountain Coffee Roasters Inc. (Public, NASDAQ:GMCR)

GMCR recently broke to new all time highs recently and has subsequently pulled back into what I can only call a violent looking triangle. It started out moving in wild swings and has narrowed down into very tight candles. If it can clear this tight pattern the move could be explosive.



Good Trading,


Joey

for more analysis, check out downtowntrader.com

Stock Chart Analysis WNR

Western Refining, Inc. (Public, NYSE:WNR)

WNR has been in an orderly correction the past two months. The move prior to the pullback was very strong, in fact the stock almost doubled. If the correction is complete, then it's possible that WNR will make a measured move up after clearing the channel. Examining the past few candles reveals that bounced off the lower band and has now retaken the 20sma. While it's possible that WNR will back off resistance here, it looks like it is close to bottoming out and entering into the next leg up.


Good Trading,


Joey

for more analysis, check out downtowntrader.com

Stock Chart Analysis NFLX

Netflix, Inc. (Public, NASDAQ:NFLX)

I decided to pull up a weekly chart of NFLX after looking at a pretty sad daily chart. The daily showed me that it gapped lower in late July, and had basically made back none of that move despite the markets being higher over that time. The weekly chart, shown below is even more telling. Apparently, that gap down took it under long time support, which has now become resistance. If it breaks down under this small trading range, there is a shot it could trade down to the $10-$11 area.

Good Trading,


Joey

for more analysis, check out downtowntrader.com

Stock Chart Analysis CQB

Chiquita Brands International, Inc. (Public, NYSE:CQB)

While CQB may of capitulated on the huge drop in early August, it is fairly common for to go back and retest a capitulation low. In fact, several times the stock makes a lower low, on lighter volume. CQB has been bouncing off that low and coiling in a consolidation pattern. If it ends up falling out of this pattern highlighted below, then things could unravel quickly.


Good Trading,


Joey

for more analysis, check out downtowntrader.com

Stock Chart Analysis FARO

FARO Technologies, Inc. (Public, NASDAQ:FARO)

While I think now is not the time to be entering into new swing trades (waiting for a few day pullback), FARO is making me consider the bending of my rules. It is showing outstanding strength and the 20 day sma has finally caught up to price. The bollinger bands are also starting to contract sharply, perhaps signaling an upcoming expansion in volatility. I'll be keeping an eye on this one.


Good Trading,


Joey

for more analysis, check out downtowntrader.com

Stock Chart Analysis EWY

iShares MSCI South Korea Index Fund(ETF) (Public, NYSE:EWY)

EWY broke under a trendline in late July on a marked increase in volume. It appears that the recent bounce is a technical one and that the ETF will soon resume falling lower. While I wouldn't count on new lows under 52.60, it may go back for a full retest.


Good Trading,


Joey

for more analysis, check out downtowntrader.com

Stock Chart Analysis SGR

The Shaw Group Inc. (Public, NYSE:SGR)

SGR recently had a steep drop under the 50 day sma and has just made it back on declining volume. It is starting to form some narrow range candles and the 50 and 20 day sma's look like they will smother the price here. It could easily go back for a retest of the recent lows and make for a nice short trade. The stop loss area is pretty clear here too.

Good Trading,


Joey

for more analysis, check out downtowntrader.com

Market related posting will be back in full swing this week. I just got back home late last night from participating in two fantasy football drafts. The first was for an auction / keeper league and the second was for an insanely difficult 14 team league where 10 of the teams have been in the league for 15 years. This is the second year where both drafts are scheduled for the same day, and while it kills an entire day, I think I prefer it to having it on separate days. I think I have decent teams, although I kinda screwed up on the auction.

Auction Team: 12 team, $200 Cap, 4 Keepers

QB: Brett Favre

RB: Shaun Alexander

RB: Reggie Bush

WR: Chad Johnson

WR: Marques Colston

Flex: Laurence Maroney

K: Shane Graham

Def: Seattle

Reserves of note: Grossman, Mike Furrey, Eddie Kennison

While I think this is a very strong starting lineup, I killed myself by spending $108 and $56 on Alexander and Johnson. I have absolutely no reserve players. Some of the lineups look pretty skewed compared to traditional drafts because we can keep 4 keepers. If Colston is hurt, I am down to starting Mike Furrey, Bobby Wade or Eddie Kennison, ouch. My only other RB is Mike Anderson.

Draft League: 14 teams, 3rd pick

QB: Tony Romo

RB:Larry Johnson

RB: Cedric Benson

WR: Marques Colston

WR: Joey Galloway

TE: Chris Cooley

K: Jason Hanson

DEF: Minnesota

Notable Reserves: Julius Jones, Warrick Dunn, Vernand Morency, Ronald Curry, Jacoby Jones
While this team doesn't look anywhere near as good as the auction team, this was a very good draft. 14 team leagues are pretty hard and everyone in this league knows what they are doing. I ended up with a pretty deep team and a good starting lineup. The biggest issue here was I got shafted while waiting on a backup QB. I will have to wait and work the waiver wire.

Hopefully I have enough.

As for the markets, I would be a little cautious chasing long positions here. We've had a pretty decent bounce on declining volume and are heading into resistance. While I'm not sold on the next leg down breaking the recent lows, it could happen. Either way, I doubt we will be pushing through to new highs without a pullback soon.

Good Trading,

Joey