Today's WallStrip video on Toyota Motor Corp & Scion was very informative (based on an article by Bob Lefsetz). Who knew that Scion was actually reducing production to keep from diluting the brand. Many automakers would love to have that problem...
On to the markets... We're gapping down this morning and I've already initiated a gap fade on the QQQQ. I'm long at 43.46 with a stop around 43.26. Let's see if we can close this gap...
On Today's Calendar:
- 10:00 -- Consumer Confidence
- 10:00 -- Existing Home Sales
More Calendars: U.S. Earnings | Conf. Calls | Surprises | IPO | Economic
Potential swing trades:
See one of the recent 'Chart Reading' posts for some potential swing candidates.
Potential day trades:
(From Briefing.com)
Gapping Down
PALM -7.6% (guides lower), CNLG -15% (profit taking after 279% move yesterday), MNKD -6.2% (announces stock offering and convertible notes), TGEN -7% (profit taking after 53% move yesterday), KOP -4.7% (co announces that its largest shareholder are selling 1.75 mln shares), UARM -4.3% (Morgan Stanley initiates with an Underweight and $33 tgt), AMWD -3.5% (reports OctQ), LFC -3.5%, CHINA -3% (shareholders approve mobile acquisition), FRO -3% (reports Q3), MT -2.9%, CHL -2.8%, LMC -2.4%, ACGY -2.3%, NOK -1.4% (provides cellphone foreacst).
Gapping Up
SKIL +9% (reports OctQ), PNTR +8% (momentum stock extends recent run), RITA +14% (to be acquired), SVM +5% (to explore strategic alternatives), AOB +5.3% (approved to switch from Amex to NYSE), CRDC +4.7% (receives milestone payment), SRT +4%, MTL +4% (reports Q3), AMC +3.1% (names new CFO), FNSR +2.6% (ticking up ahead of earnings on Thursday), EFUT +2.6% (momentum stock ticks higher), AZN +1.9% (co will work with FDA following a previously announced warning over promotional material for Seroquel - WSJ), GSK +1.1% (amends agreement with CYTK)... Under $3: MAMA +7.4% (launches job search site), ADLS +7%, CPST +4.7% (signs deal with Pemex).
Disclaimer & How I use this list
Why did you wait to do that gap fade instead of doing it right at the open? Looks like it worked for you. I did mine at the open and got stopped out. ;-(
What do you mean? I did the fade BEFORE the open... bought at 9:00:11 and sold for $43.63 at 9:36. Then for good measure I bought again at $43.49 @ 10:18 and just sold again at 10:41 @ $43.70 :d
Hi Mike,
Can you share why you decided to fade the gap? I'm rather weak in this area. Thanks
Just doing what I learned from John Carter's book. It just felt like the gap *had* to close after yesterday's big selloff.
Thanks Mike. I've actually got my hand on the book now, but not yet started reading. Looks like I better get started!
Those gap fades are my favorite. Good stuff.