Try 2 Fade

September 29

2010-09-30T08:32:00.000-04:00

Very slow day Wednesday. I only got involved in SBAY. The stock's move on Tuesday and flagging pattern Wednesday, along with the nice volume pickup, makes me believe it will head higher the next couple of days. I am holding the stock. Here is the stock(pretty isn't it?)

September 28

2010-09-29T08:54:00.001-04:00

MCP is another stock that has had an insane run up the last couple of months. Here is what it looks like since it IPOed.

Like I mentioned before, if today is the day it gets punished, it usually sells off right away. I was right in that respect, but the moves in the middle if the morning kinda came out of no where in my opinion, and it took me out. Unfortunately the move, though big, was temporary and MCP continued its multi point move down.

BIDU and AAPL made crazy moves down right off the open this morning. For a moment while watching AAPL, I thought we were headed for another flash crash, but it quickly bounced as did BIDU. Unfortunately BIDU did not go up for long and I was quickly stopped out on my long.

As for HSFT yesterday, thank goodness I got out when I did. Here is what happened today.

September 27

2010-09-28T12:26:00.000-04:00

I have been following HSFT for a while now waiting for it to make a move back down, but its quite stubborn. There are a lot of HSFT like moves in the market, and picking the top makes for a quick profit, but finding that top is tough. Here is the daily

I have noticed that when these things tend to finally break down, its usually when the first print of the day is the high and the move is straight down. I put some shares on around 25 and a little more at 24.50. The trade seemed to be working great until 1:15 when a big buyer came in. At such high levels it is likely that is a real buyer rather than a short covering his position, so that game me something to worry about. As it began to drift up I bailed because someone was still interested in getting more shares.

HRBN was a quick fade on some news they were entering into a joint venture with Harbin Electric Machinery in China. Is that news worth anything? I don't know, but I kinda doubt its worth a 15% pop in the stock so when it showed some weakness on the pop, I got short. It actually worked out as good as it possibly could. In and out in about 10 minutes with no fighting on the way down.