The markets rallied very strongly today as expected. This really could turn out to be a strong move as bear market rallies can be quick and violent for the shorts. I don't have time to post charts tonight but there are a few stocks I will mention. The homebuilders continue to look good. I like BZH, MTH, HOV and DHI in that space. I also like some retail names like JWN and DLTR. Other miscellaneous stocks I like are VIP, DE, CHNR and CTRP in addition to recent charts I've posted.

Good Trading,

Joey

Stock Chart Analysis RIO

Vale (ADR) (Public, NYSE:RIO)

One of my favorite plays is finding stocks near all time highs that have pulled back a little. It's amazing that I'm finding any at all recently, but there have been plenty. RIO is one that is very close to all time highs, and is pulling back gently into moving average support. With the general markets becoming near term oversold, there is a chance we have a few up days ahead. A general rally could provide enough fuel for RIO to break out to new highs. The weekly chart is beautiful sight to behold, and it's usually a pretty good idea to buy long term strength on short term weakness.



Good Trading,


Joey

for more analysis, check out downtowntrader.com