5-11-2013 Comments

I finally caved on my ALXN short for a half percent loss. All of the short candidates are rallying, the Market Exposure model has us at 100% long in a power trend with declining distribution.

I currently hold LL, CELG, FLT, LCC. I have a teaser position in SBGI. I find that if I own something I watch it more carefully. SBGI may be setting up in a high-tight flag pattern which when they work they are the most powerful of patterns.

Normally I would have taken profit in LL by now. Most of my positions I take profit between 20 and 25%. LL is up 29% so far and is acting very well. I have decided to let this run some more. If I were seeing a lot of good buying opportunities I would have cashed in on LL and put the money to work elsewhere.

Most leading stocks are extended from safe buy points. We like to buy when the price moves up on high volume as it breaks above its buy point which usually happens close to making a new high. Here are some long ideas. I will not present any short ideas this weekend.

URI, needs to pull back to its 57.34 buy point. It isn't far above this.
CVRR, Cup and handle with a buy point of 35.01
CVI, Cup with a buy point of 62.60
CELG formed what we call three-weeks tight (the stock closes on a weekly chart at nearly the same price for three weeks. This is a sign of accumulation. Buy point 158.62
AMBA, Cup base with a buy point of $16.10, it could form a handle and offer a lower buy point.
TUMI, Cup base with a buy point of 27.08, it also could form a handle...
LCC, needs to pull back to 17.53, it is close enough to buy here.
AL, needs to pull back to 29.48, it is probably close enough here.