Monday, May 01, 2006

Watch list for week of 5-1-06

Once again, I'm sitting on a lot of large long positions in my trading account, some of them since last October. The nasdaq sits right at the support provided by its 50 day moving average and also the lower-channel line for the most recent rally. Not much interests me in the market right now because I feel that a lot of the low hanging fruit has been picked. I'm not chasing this up move because I got in position months ago and I have patience and the discipline to hold my winners. Still, this isn't a bad spot to add to consolidating longs. I added to TASR on Friday morning, but I have a limit order to sell some at the nearby resistance.

Here's my software generated list of consolidating and possibly bottoming stocks that I'll be keeping an eye on throughout the week:


At 7:40 AM, Blogger Dave Johnson said...

Jon could you explain what your scans are looking for. Generally I have noticed a long tight range with some recent accumulation. I would love to hear your comments on how you use these lists to your advantage.

At 1:44 PM, Blogger jontait said...


You're correct, my software is looking for daily chart consolidations where there is a clear support and resistance that I can trade. I'll make a post about how I trade my watch list soon. I also have a ton of posts talking more specifically about how I trade in the July 2005 blog archive which include lots of annotated charts.

We can follow along in a real trade too right now. You can see PTMK at the top of my watch list this week. I had a limit buy order for a small position at $9.81 sitting there all week but I just now canceled it and bought at market because short-term downtrend line on the hourly chart has been broken on volume. My fill was $10.68. I have no stop on this very small position.

I'll make a blog post out of this trade including annotated charts this weekend, and also post any follow-up trades in PTMK over the next few months.


At 8:05 PM, Blogger Dave Johnson said...

Thanks for the info Jon. I will make a point to go through the archives and learn a bit more.


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