By: Scott Redler
The market went from oversold to overbought in just five sessions. SO if you use a little common sense, you will sell some longs after a 50-60 handle move off of the 1,044 low and maybe even look to test some shorts. Combine that with all the new chatter about Goldman and Greece, JP Morgan and Italy, and you just might get some pressure on the banks today.
Tech was an easy read:
- Apple (AAPL) traded into resistance at $2or-206 and was an easy short the up open yesterday. Now it’s not so compelling. I will be covering into this down open today.
- Research in Motion (RIMM) is still setting up long, as it continues to hold the $68-69 area. It could soon bust through $71-72 and get into that gap.
- Amazon (AMZN) was a nice short yesterday, but it’s not “breaking down” just yet.
- Google (GOOG)–something’s wrong here. I got stopped out of my long. It seems like we’ll need some clarity with regard to China or some other catalyst in order for this one to get going again.
- Priceline–reported really good earnings and is opening near old highs. See how it holds up at its old high of $231.50. Use that level as a pivot.
I put these three on the radar last week to break “wedge formations”:
- Cree (CREE) is a rock star as it’s back at old highs.
- VMWare (VMW) is back near old highs as well.
- Intuitive Surgical (ISRG)–not quite at those old highs, but getting there.
The Rundown:
- Casinos are getting some pressure off of Las Vegas Sands’ (LVS) earnings report. There might be some opportunities there.
- The banks have a lot of chatter this morning.
- Goldman Sachs (GS) was on the receiving end of a real negative research report and there continues to be Greece finger-pointing.
- JP Morgan (JPM)–the Mob is after these guys as well, saying they misled them. Watch the stock’s reaction.
- Freeport McMoran (FCX) and U.S. Steel (X) were great shorts on the open yesterday and giving some follow-through this morning.
- This is how you “trade ranges”
In New Jersey this morning, Governor Chris Christie was awesome. This is the first time I really listened to him on CNBC and I agreed with everything he said. An individual contributes $112,000 to a pension and gets paid out $3 million over the course of retirement. GIVE ME THAT DEAL! State governments are busting the system and there MUST be pension/benefit reform. There is a 70% discrepancy between the average salary and benefit package between the public and private sectors.
