| The Penny Sleuth Features: Penny Stocks, Options and High-Growth Opportunities! |
 |
     |
Editor’s Note: I’ve just received word that the latest issue of Mayer’s Special Situations is slated to reach readers tomorrow. In it, Chris Mayer outlines exciting new plays that could make you serious profits in 2010. To get all of his research for just $1, you only need to click here by Thursday at 5:00 p.m.
Stocks Should Tumble When the S&P 500 Hits 1150
By David Grandey
March 10, 2010
Don’t be fooled by the market’s apparent recovery in the last week. With technical indicators pointing to a market top at 1150 for the S&P 500, the short sellers could be benefiting in a big way later this week. Here’s everything you need to know to make a smart downside trade…
Before we go and buy stocks blindly based on emotions, we need to take a look at the indexes first. Why? Because most stocks trade in tandem with the indexes and success in the market is all about knowing what’s happening and executing your trading plan based on that.
At first glance, the market’s near resistance, the Relative Strength Index (RSI) is in the overbought zone, volume is questionable, and full stochastics are overbought. Digging deeper, fans of Elliott Wave Theory may notice that off the March lows we have an Elliot Wave 5-waves pattern showing.
Harness the Power of Options for Your Portfolio!
Last year, I recommended 37 trades to my readers, every one a winner… With a total gain of 4,647% you could have claimed $232,381 in Profit! Click here to get in on the action…
This means we’ll likely either top out right here at a retest of the highs or this is the final leg of this rally.
As far as the chart above goes, it’s all about that little pink line, a downside break of it and expect markets to move lower. But until then I wouldn’t make any broad bets against the market…
The same goes for the NASDAQ Composite, except it had some volume to it. Look at every time the RSI peeks at or above the 70 level (circles in red up top) – both of the last two that RSI level was met with a top in the market. It’s likely we’ll see the same thing happen this time around.
You Could Get Rich Investing in Scientifically Selected Penny Stocks
My CXS Money-Multiplier Strategy helps me find enormous gains. And I’ve made it incredibly easy. I do all the work, telling you when to buy and sell. The profits can be awesome. You’ll HATE Yourself if You Miss This One!
From a daily perspective, these two charts are telling us to stay away and wait for some sort of a pullback in the indicators. With investors becoming increasingly bullish right now, that’s an important contrarian message to take heed of.
Moving on to the 60-minute time frequency we see the same things. RSI is overbought, full stochastics are overbought and near trend channel resistance.
As you can see though,this index is just an opening gap away from the 1150 level. The big question is whether or not we’ll end up testing that 1150 level. Since I’m not a buyer at that level, hitting it matters a whole lot less to me than bouncing back off of it does.
Tired of “Gurus” Giving You Recommendations That Lose Money?
In 2008, my readers had the chance to claim $232,381 in profits after I nailed 37 consecutive winning trades. And in 2009, they’ve had a shot at bagging another potential $91,127.
All told, every powerful options play I’ve sent my readers since 2006 has made money. No exceptions.
I suspect that even if we do hit it, it won’t initially stick anyway. I need to see some sort of pullback and the RSI and full stohcastics to get oversold to get interested on the long side, and even then it would be hit and run – get in, get your point or two and run..
Under the surface there is no denying that there were some names that just came right up and out into new highs like a rocket. Some of these names were out of sound bases and others had no basing structure. Ultimately, we’re going for a bearish bias right now, so we’ll avoid racking up long positions that could work against us in the next week on a bounce off of index resistance.
I’ll let you know when it’s time to take action once again.
Sincerely,
David Grandey
AllAboutTrends.net
P.S.: That’s not to say that there aren’t some actionable plays to be made right now. They’re just a bit too small and fast moving to send out to all 400,000 Penny Sleuth readers. If you want to take a look for yourself, just click here to read more. But hurry – these trade set-ups won’t last forever!
Penny Stock Watchlist of the Day: DENN
Denny’s (NASDAQ: DENN) restaurants are probably one of the most well known chain in America. And it also happens to be a penny stock. The company operates 1,541 diners – including five abroad. But this stock could be in for a jump in price following a break above resistance and a bullish moving average crossover.
Keep an eye on this play.
Editor’s Endnote: Remember to send all of your comments and suggestions for the Penny Sleuth to editor@pennysleuth.com.
Turn $200 into $1 Million or More Using the CXS Money Multiplier
I do all the hard work, analyzing what to buy, when to buy it, and when to unload your shares.
My CXS Money Multiplier has already lead to small-cap gains of 61%, 82%, even 279% so far this year… And with my last 2 picks still in buying range, now’s the time to take a look at my full portfolio…
|
|
|
 |
|
|
The Penny Sleuth, a free e-letter, offers independent news and commentary on small cap stocks, options and high growth opportunities. We sent this e-mail to BESTPENNYSTOCKBROKER@gmail.com because you or someone using your e-mail address subscribed to this service.
Are you having trouble receiving your Penny Sleuth? You can ensure its arrival in your mailbox by: Whitelisting Penny Sleuth.
To end your Penny Sleuth e-mail subscription, click: Unsubscribe.
The Penny Sleuth is your free and independent source for analysis, commentary and news on small cap stocks, options and high growth opportunities. At the Penny Sleuth, we give your our 100% independence pledge. That means that we never receive compensation to talk about any stocks we feature. Our editorial staff never owns a position in any of the stocks we mention at the time of publication. And we only recommend stocks that we come across in our own original research. Our pledge also means that we won’t collaborate with companies who don’t live up to our independence requirements.
Nothing in this e-mail should be considered personalized investment advice. Although our employees may answer your general customer service questions, they are not licensed under securities laws to address your particular investment situation. No communication by our employees to you should be deemed as personalized investment advice. We expressly forbid our writers from having a financial interest in any security recommended to our readers. All of our employees and agents must wait 24 hours after on-line publication or 72 hours after the mailing of a printed-only publication prior to following an initial recommendation. Any investments recommended in this letter should be made only after consulting with your investment advisor and only after reviewing the prospectus or financial statements of the company.
© 2010 Agora Financ
ial, LLC. All Rights Reserved. Protected by copyright laws of the United States and international treaties. This newsletter may only be used pursuant to the subscription agreement and any reproduction, copying, or redistribution (electronic or otherwise, including on the World Wide Web), in whole or in part, is strictly prohibited without the express written permission of Agora Financial, LLC. 808 Saint Paul Street, Baltimore MD 21202.
|
|
