Stock Chart Analysis GFA
Gafisa SA (ADR) (Public, NYSE:GFA)
While I can't predict how much longer this rally will last, I know that it's entirely possible that it can be much longer then everyone expects. As such, I continue to take the setups as they occur, and proper money management will get me out of the way when things finally reverse and head lower. GA looks like a classic buy at support candidate with limited downside. It broke out of a healthy base in early May, and is now coming back to retest the breakout area. I have no idea how long it will take to retest, but it looks like it has some more consolidation to go through. This should present some decent prices to get in and the breakout from the original base looks pretty healthy with a clean strong breakout on higher volume. The breakout was also to all time highs, although that's not saying much, since the stock has only been trading a little over a year. All in all though, it looks like a pretty good setup to monitor.
Good Trading,
Joey
for more analysis, check out downtowntrader.com
Stock Chart Analysis VMW
VMware, Inc. (Public, NYSE:VMW)
VMW was my number one pick for 2008 and unfortunately, I've gotten it very wrong as we reach the halfway mark. It has yet to fill the nasty gap down in February and remains down about 25% on the year. However, there is a chance it has bottomed, as it has had a fairly resilient rally off the lows. It set a higher pivot point, clearing the high in February, and could be attempting to set a higher low here. It cleared the recent down trend channel as well. While it may not be officially in an uptrend here, enough has happened to reclassify the trend to sideways or rangebound. If it does successfully set a higher low here, then it will challenge gap resistance near $78, which in of itself is a decent trade. However, there is a chance for longer term traders that VMW won't come near the IPO price ever again.
Good Trading,
Joey
for more analysis, check out downtowntrader.com
Happy Mothers Day to the few mom's reading Trading blogs on the Internets on Mothers Day. Hopefully you had a great day.
No Charts tonight.
Joey
