Another doji bar today meant the bear had lost its mojo. Usually a doji bar against the backdrop of the 79 & 89 MA resistances would result in a high probability drop the next day; but the bull did a great job checking that drop today.
Due to the failure of the bear to drop as expected, there’s a pretty good chance market will continue upward tomorrow. My put option is still on albeit taking in a little water; my stop has not been reached yet since Friday high was not taken out today. Look like I may be stopped out tomorrow.
$DMRC was under attack not long after the open. Either someone wanted to get out real bad in the morning or the shorts were trying to chill out the opening buying surge. Seeing the drop, I decided to sell some of my $AMRN position (the bids were there) to buy more $DMRC. By the end of the day, price recovered most of the ground to close.
While down a bit, price still closed above the 89 XMA resistance. There are two more days to the Walmart’s 22nd Annual Meeting for the Investment Community. Will there be a statement made about using Digimarc invisible barcode? Can’t wait to find out.
$AMRN was on a defensive all morning and price was dropping along with $DMRC. Since Digimarc has a “possible” catalyst from the Walmart meeting with investors this Wednesday and the Amarin & FDA settlement is at the end of October, I decided it would be more productive to shift more chips over to the one with the closest time to catalyst. It was a good decision for today giving that $DMRC recovered most while $AMRN dropped further after I sold some.
It is important that $AMRN bounces tomorrow to avoid dropping below the uptrend line.
$AKAO tried to run up early in the day but gave back most gain by closing bell.
Nevertheless, price is still on top of the uptrend line.
$BIOC corrected a bit today.
Price is now at the point where all four MAs (5, 15, 79, 89) meet. If this support holds, price will continue to head higher. If it doesn’t hold, price may correct some more.
$ONCY and $ARTH were both neutral for the day so I won’t pull up chart.
So far, the week started off without a big bang either way. Let’s see what is in store for the rest of the week.
Main port: DMRC, AKAO, AMRN, ONCY, BIOC Trading port: ARTH
My 2 cents
From my camera (click on photo for enlarged version):
Categories: Daily trading Journal