Daily Stock Picks Report Archive

It is excellent we had another day up today which makes 3 up days in a row, the last time was over 6 weeks ago in early September.  The odds are that we see a down opening tomorrow with a couple mild down days as a minimum.  Whether we get the same vicious selling into this rebound we just had the last three days as we saw on all previous rebounds seems a little less likely this time around.   I haven’t seen any evidence of aggressive short selling or redemption-margin call selling these past few days but it could continue if a selling pattern continues.

Light Sweet Crude Oil prices moved up moved back down to $65.96 per barrel or 2.3% yet oil stocks yet the major oil producers, XOM, BP, COP and CVX continued to move up today.  (Interesting note is regular unleaded in Portland, Oregon area reached $2.22 today with 30-40 minute lines to fill up).

Let’s review some charts of a few of these stocks quickly as well as the indices.  This is for educational purposes to show teach you how markets tend to act out of a deep bottom like we just had.

List of most profitable and highest quality stocks with percentage change up the last FOUR trading days.

V, Visa International       +21.7%
MA, Mastercard             +16.2%
KO, Coca-cola              +10.6%
SLB, Schlumberger       +30.8%
DD, Dupont                   +18.2%
DOW, Dow Chemical     +17.1$
BP, British Petroleum    +28.2%
COP, ConocoPhillips     +16.6%
CVX, Chevron               +24.7%
WMT, Wal-Mart Stores   +12.9%
PG, Procter & Gamble   +11.0%
IBM, IBM                      +15.9%
BRKB, Berkshire            +11.9%
GSK, GlaxoSmithKline   +7.5%
BAC, Bank of America   +17.3%
PEP, Pepsi-cola            +13.4%
GOOG, Google             +12.8%
AAPL, Apple Computer +21.6%
APA, Apache Energy     +25.1%

Potential short swing stock picks:  POT, MON, AGU, AMZN, AAPL, BP, IBM, and APA.

I did short a small amount of MON, MOS, AAPL and went long SKF just before the close today as the first three stocks ran up at the close.  I am not looking to make a killing, maybe 7-12% profit tomorrow through Monday morning on a swing trade.  I may add a short position in POT and AGU tomorrow morning as well.  A very small position can be opened near the open on the short side in anticipation that these sell down similar to what I have shown in the video tonight.  This is an anticipation trade based on what has been consistently happening for most of the previous weeks.  I didn’t short at or near the open these past few days knowing that the market has been moving up.

Day Traders/Intraday stock ideas:  The pattern that has been most every morning that stocks have a big sell down, just like you see in the video tonight.  Look for that big drop and set your charts on a 3 minute 1 day chart and look for the signal to buy.  The bigger the drop, the better the bounce.  Favorite stocks that I have been working with on intraday trades are RIMM, AAPL, MON, MOS, POT and APA but many stocks will work with this technique.  Remember to wait for a big drop and if this doesn’t happen, then I tend to shy away from this idea and not trade.

You can always find a good high quality idea if you look and wait.  The hardest part is waiting for the right setup.

Keep your position sizes small and no leverage.

Have a great day and I’ll talk to you tomorrow.

Mitch King

www.TradeStocksAmerica.com

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