Daily Stock Picks Newsletter from September 2nd, 2008
Oil dropped harder than expected to an intraday low of $106.80 and closed at $109.70. All of the stocks on last night’s report dropped below the bottom part of the channel as I discussed in a video last week. I think some of these oil stocks may be worth buying like XTO for example. Two more hurricanes look strong although Hurricane Hannah will go on the Atlantic side into the Carolinas this week.
MITI, Micromet is acting well as a short. Sometimes these bullshorts can take up to a month to mature but this won’t take much more than a week from here. My target price to cover is $5, possibly lower in time.
CRD.B went up 74 cents of 5.2% today. This could develop into a problem short but the odds are it does not exceed the recent high set in the 2nd week of August. Usually these drop down on this kind of rebound from the $9.50 low set 2-3 weeks ago to now $15. I’ll watch this one carefully in case it runs sharply higher, although I don’t think that will happen.
I shorted BDSI, Biodelivery Sciences today and made a good scalp out of it. I covered it because developing bullshort. I think I’ll get another chance tomorrow on a better price too.
I’ll also short STSI tomorrow again too, probably at a higher price.
I also shorted, TAYD, Taylor Devices and that did quite well. I did not get most of that big drop today.
FNM and FRE had a big close in the last hour. Favorable comments and news came out that drove them up over 15%.
We saw a big upward opening today of over 245 points on the Dow but came all the way back to close at -26 pts for the day. There is still no clear sign or indication of what the short or intermediate term trend will be for the averages like DJ-30 or Nasdaq Composite.
I am waiting a little longer before trying to go long swing trades of 1 week to 2 months. I’d like to see a little stronger contraction first (going down).
There was definitely more activity with more traders today. I think we are going to get some great opportunities on this kind of volatility.
Have a great day.
Mitch King
www.TradeStocksAmerica.com
Mitch King is the founder of TradeStocksAmerica.com. All material presented herein is believed to be reliable but we cannot attest to its accuracy. All material represents the opinions of Mitch King. Investment recommendations may change without notice and readers are urged to check with their investment counselors before making any investment decisions. Opinions expressed in these reports may change without prior notice. Mitch King and/or the staff at TradeStocksAmerica.com may or may not have investments in any stocks cited above before or after this newsletter is prepared. Opinions expressed in these reports may change without prior notice.
Disclaimer – Stock investing or trading has large potential rewards, but also large potential risk. There is risk of loss as well as the opportunity for gain when buying or selling stocks, bonds, option contracts or engaging in any strategy listed in the Daily Stock Report, The Wizard Training Course, The Trading Room and our seminar or workshops. You must be aware of the risks and be willing to accept the risks when investing or trading in any financial markets. Don’t trade with money you can’t afford to lose. This website is neither a solicitation nor an offer to Buy/Sell stocks. No representation is being made that any account will or is likely to achieve profits or losses similar to those discussed on this website. The past performance of any trading system or methodology is not necessarily indicative of future results.
|
Web Special