Research Center's, Hot Charts & Alerts Arcive

The markets started the day on shaky ground after Non Farm Payrolls came in at just 36,000. This was far under the estimate of 150,000. The Dollar was moving higher as well, putting added pressure on the markets. As volume dropped off into lunch and the Dollar slowly faded off the highs, the Friday Effect took hold. Notice how there was no external event today like last Friday. Egypt caught the Federal Reserve off guard.  The jobs data? Just a small issue as they spun it with a much lower 9.0% Unemployment Rate. Remember, the Unemployment Rate considers you employed if you worked one day in January or even if you gave up looking for a job and just did not bother to look.

The $131.00 - $131.50 level still remains, as the SPY closed at $131.15. Into the close I picked up my first short position, SDS. This is 7.5% of my entire swing trade account to give everyone an idea.

PCBC is still being held. This is a small bank stock that looks cheap to me. I have held it from my entry of $27.75 a couple weeks ago. Today it closed at $29.04. I would like to see it get to $30-$31 before I unload it.

NIV continues to float lower but I am not worried at all. The stock is a small cap play that makes a ton of money. To me it is a long term hold.

Overall, I am holding just one short position and a few long positions, mostly small caps. I am holding a large cash position which is being used for the appropriate short term swing trades as they pop up.  This week, Ford Motor Co. was a no brainer. Nick's PST was also an amazing call.

The market is clearly still fully controlled by the Federal Reserve. This makes it tough to load up on a lot of shorts regardless of the markets being over bought.  Take it easy picking up shorts. One or two here and there. Next week, we will follow the $131.00 - $131.50 level and see if it holds. Should we confirm above that level, $135.00 could be next. Watch for global issues over the weekend. Should more unrest develop, we could see a drop on Monday. Otherwise, neutral to positive on Monday.

It has been another fun filled solid week. I enjoy having you folks and appreciate your loyal following. I will continue to do my very best to bring the best trades and analysis to you all every single night. Enjoy your weekend.

Sincerely,

Gareth Soloway
Chief Market Strategist

Chief Market Strategist Gareth Soloway picked up a position in SDS at $21.78.

Traders that took the PST Long Trade Alert can take 1/3 of the profits off the table around the $44.00 level and hold the rest into the $45.00 and $46.00 targets. All stops should be moved to break even or in the money.

Ford (F) nailed gap fill today at $15.20. This was major support and noted below on the Hot Charts and Alerts. The buy level was there. For those of you that bought, congrats! You are in the money nicely already and riding towards target.  Take HALF OFF THE TABLE at $16.65 here. Also, put a BREAK EVEN STOP on the remainder at $15.20. Hold the rest for a move to $16.05. Great trade folks. Let the charts tell you when to buy and sell. It works!

Here is the link from the previous alert https://www.inthemoneystocks.com/hot_charts_and_alerts_single.php?id=617

DPTR is an oil and gas play on the dead bottom of the chart. Small oil and gas plays have taken off to the upside. A good example of this is LNG. Note the two charts below. DPTR if it gets squeezing, could make a move to $0.80+ and maybe even $0.90-$1.00 over time. Keep it on high alert in this environment. This looks attractive under $0.75. It is a possble swing trade and carries small cap risk to it.

IBM looks like a possible short between $164.35 and $165.35.

XOM confirmed above $80.00 today as Chief Market Strategist moved out of it at a price of $83.85 into the close. That is a stop out of 9.75%. To be a true master trader, rules must be utilized to keep losses in check. No more than 10% should ever be lost on any one position. On to the next one!

SPY into the master level of $131.00 now. The actual pivot high is $131.51. Be on point as Chief Market Strategists will start to accumulate multiple shorts in the coming days.

Ford Motor Co. (F) was slammed on Friday on sales numbers. In the short term, if Ford falls into the key gap fill at $15.20, a long signal will trigger for a swing trade. This is good for this week only. A 1-3 day bounce is possible and good for $0.50-$0.75. The stop would be confirmation below or $0.50, whichever comes first.