Thursday, April 19, 2007

Thursday Morning

Added to AKS because it was showing an oversold condition (RSI(2) < 2) along with the SPY this morning. Eventually I'll be up to a full load on that one. I began looking at other steel companies and the ones that have reported to now are all talking high profits (which is known) and guiding higher ahead which is what causes the market to react. As a result, unless something else happens, I'm taking my chances with AKS through its announcement next Tuesday.

Knot put out an oversold reading but I'm still wary of that one and am not going to add until it gets some momentum going. GGB hit S1 and bounced like a rubber ball. It is already a quarter up on the day but I'm overweight GGB already so I'm standing pat.

Last but not least I added AMAT off a breakout scan and an oversold reading this morning. It isn't going anywhere and if it doesn't start climbing the wall I'm selling it before COB. As it is I've got a tight stop.

What caused all of this was the fact that both the SPY and the Q's reversed off their gap downs and are trying their best to close them up. Actually the Q's have already closed the gap but pulled back a bit at this moment. It appears to me at least that we are going to have a net up day or, at worst, another mixed day.

Good trading everybody.

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