It was a good day for the bulls yesterday, especially on the Nasdaq, as the indices bounced and created buy signal on their stochastic indicators. That bounce is continuing this morning with this gap up opening due due some positive earnings news from the likes of IBM and TXN. I'm a little weary of the buying enthusiasm for a couple of reasons. It's still very early in the earnings season, so there could just as easily be negative news in the near future. But trying to guess at that is nothing but a crap shoot. The larger reason is that the S&P 500 and Nasdaq are approaching their 200-day moving averages. I want to see closes above those critical averages before I jump into the bullish camp.
Due to all the earnings reports I woon't be looking for swing trades just yet. So there will be nothing but day trading candidates on the list for the next couple of days.
Currently holding:
Long - None
Short - none
Looking for swing trade entries in:
Longs - none
Shorts - none
Potential day trades:
(From Briefing.com)
Gapping DownLF -34% (lowers Q3 and Y04 guidance; 3 downgrades), INTT -17% (guides Q3 below consensus), NTPAE -17% (announces Nasdaq delisting), GNTA -9.5%, CGNX -5.6% (beats by a penny; guides Q4 below consensus), TOPT -3.9% (stock offering), ODSY -3.2% (carryover from 47% drop yesterday), LNCR -2.3% (reports in-line, revs light), JCOM -1.8% (reports Q3).
Gapping Up
TXN +6% (reports Q3; surprises by actually meeting expectations), MTSX +45% (announces Lockheed Martin pact), MOND +30% (receives bid from STZ), DCGN +17% (positive results from Phase IIa clinical trial), GNTX +10% (to report Q3).... Higher on strong earnings/guidance: JAKK +8.3%, TASR +7.1% (see Briefing.com report on potential short squeeze candidates), AMTD +6.9%, PH +6.5%, ET +5.2%, RSH +4.5%.... Other News: ADSX +6.7%, ISON +5.7% (continued momentum from last few days), IPAS +5.1% (Defense Dept purchase order), OPWV +5%, BEAS +4.2% (Merrill raises target to $9.50), RFMD +3.9% (CE Unterberg upgrade), VRTS +3.5% (in sympathy with EMC report), BRCM +2.9% (sympathy with TXN; also becomes mkt share leader in Gigabit Ethernet NIC & LOM controller shipments), RTRSY +7.9% (reports strong qtrly sales),,... Under $3: GEMS +11% (co and Microtest partner to deliver messaging solutions to Russian carriers), AATK +10%, AVNX +6.3%, VWPT +4.6%.
