Market was having a big tug-of-war b/w the buyers and sellers today; however, the daily chart looked like the correction might be over soon.
$TSLA started off the gate fighting to maintain altitude and I was debating whether to sell at the open or gave it some room to breath. I took the middle ground by moving the hard stop to below the pivot point. Needless to say, I was stopped out with 77% of my gain intact.
As you can see on the daily chart, price bounced off the 89 XMA resistance line. It was because of this overhead resistance that I decided to move up the hard stop to protect profit. These 79 & 89 MA lines are effective as a guiding posts for supports as well as resistances. It pays to watch for these areas for either profit-taking against resistance or buying for bounce at the support.
With half of the cash available from the sales of $TSLA (the other half was locked in the three days settlement), I added to $CUR and $PXD.
$PXD, despite its weather situation, was acting very bouncy so I decided to join the party by adding more.
The daily chart looked strong giving that it almost closed above all three MA lines (5, 15, and 89). I wouldn’t be surprised if price continued to take out the 79 MA this week.
Although $CUR was down at the time I added in the morning, I just got this feeling that price would bounce later.
I was correct. The chart looked good for a breakout soon.
$XONE finally traded above all four MA lines today.
Now, I like to see the 5 MA crosses over the 15 MA.
$KGJI did great today by trading above the 5 and 15 MA lines today.
Don’t forget that both the 79 & 89 MA lines are trading up; thus, the overall underlying tone is still bullish for this stock.
$GALE put me underwater after opening but recovered nicely later in the day and put me back in the black solidly.
The rally looked strong on the chart.
$TINY continued to correct some more today.
However, I like the fact that price closed above the 79 MA line. Can it bounce from here? We’ll see. I’m committed to holding for the 2014 rally.
Thanks to rally from $KGJI, $XONE, $PXD and a few others, my portfolio continued to gain ground.
LRAD, KNDI, CERS, KGJI, XONE, GALE, AMRN, PXD, TINY, CUR and 4% cash.
My 2 cents.
Categories: Daily trading Journal