Tuesday, April 28, 2009

A Few Stocks to Watch

I realized I haven't put out a watchlist with any ideas for a few days now, so here goes. Like I said earlier, I am trying my best to keep an open mind.

Longs - GAIA, DRL, PAS, APWR, VRTS, CAEI, GMXR, THC, FRPT, WGOV, NM, GLNG

Most of these are forming little flag patterns and could be playable here on a breakout or here on the pullback to their short-term moving averages which seem to be holding in most cases. Get out if they break below them. The main thing I don't like about this list is with only a few exceptions, most of these are very low-priced, and therefore low-quality stocks. These are not the type that are going to continue to lead this market higher in a healthy manner.

Shorts - LHCG, GE, SLH, TWP, RATE, SUN, WSBC, TMK

I am having a harder time finding great shorts here but some of these are setting up in little flag-type consolidation patterns that looked poised to break lower. Others, like GE, are running up into heavy overhead resistance that will be tough to get through.

Anyone trade DNDN today? Wow, down from $25 all the way to $7 at one point before being halted, and then back up to $25 in the after-hours. There is no way I could handle that volatility and is one main reason you will very rarely see me put biotech stocks on my watchlists. Anyway, good luck tomorrow.

1 comment:

Anonymous said...

Ironically, I thought of buying DNDN today but didn't. If I had, I would have pulled all my hair out by the roots..Janet