High Probability Setups – Week of 1/3/11

INTC
Started position on 1/31/10 and am looking to add if there is no breakdown. The stochastics are turning up and the underlying has been resting on the upward TL for 6 days.  It’s holding the 50 ema with strength as well.

LLL
Will look for an entry when the stochastics pull back more.  Probably Wednesday.

MU
I am anticipating a continued move this week.  Looking to enter this in the morning on Monday.

S
This is a common breakout pattern called a falling wedge.  I have found that sometimes it takes a while to play out but when it does, the move can be explosive.

WLP
This is another stock that will have an entry midweek although a small scale in on Monday or Tuesday would be a good idea.

High Probability Setups – Week of 11/29

High Probability Setups We Continue to Watch
SHLD – [chart]
RYL – [chart]
LLL – [chart]
PBR – [chart]
DE – [chart]

High Probability Setups We Have Entered
DO – Looking for a pop on multiple indicator setup. [chart] [trade1][trade2][trade3]
CME – Rising channel. Entered on support and cheap call premium. [chart] [trade1][trade2] [entry logic]
S – Support touched 3 times over 6 months. Entered on TL support. [chart] [trade1][trade2]
WFT – Short. Rising channel. Shorted at resistance. [chart] [trade1]

Wednesday Trades

WED (11/24)

Considering taking profits into continued strength on Friday.

OUT
LLL – Took profit into strength.

Holding
IEF (short)
MAR (short)
CME
DO
LMT
MU
OI
S

Tuesday Trades

TUES (11/23) [buy when there’s blood in the streets]

IN
MU – Started position. Great relative strength.
CME – Added to position. Cheap premium.
LMT – Falling wedge. Triple bottom.  sitting on the lows.
LLL – Started position on long-term TL support.

Watching
/ZN – looking to 126’05 to put on short position on the 10-years.

OUT
MELI – Took remaining profits.