Stock Idea--JASO (JA Solar Holdings CO)

JASO is forming a Cup-And_Handle pattern. Buy point at $27.10 or above with no more than 8% risk (according to William O'neil). Target is at $37 to $39.

Stock Idea--SVNT (Savient Pharmaceuticals)

SVNT, Savient Pharmaceuticals is reaching the point of breadking out in a Ascending Triangle on the daily chart. Measuring from the distant of the Ascending Triangle, the target price that I expect to reach is $35.00.

On a 5 years weekly chart, SVNT is decisively on the uptrend.

S&P 500 Chart Analysis

The S&P 500 index closed down 5.35 poinst or 0.38% at 1,385.59 on a day when the Federal Reserve announced rate cut of 25 basis points to a flat 2% on the Fed Fund Rate. The Fed seems to be done with rate cut at the moment. With the financial sectors being stabalized compare to the mounting lose from the previous quarter, and the market didn't react extremely negative when the financial bad news came lately, the Fed's next phase of operation would likely be to curb INFLATION, and the best way for the Fed to do that is to increase interest rate.

On the April 11, 2008 post, I mentioned that the S&P 500 index might reach the Pink Trend Line even though uncertainty still loom within the financial sectors and that of the subprime debacle at the time. Well, today the S&P 500 is 5 points within the target range before the market dives down after the rate cut announcement.

As far as for the bullish argument concern, the Pink Trend Line (1) needs to be crossed and (2) it also needs to be tested before the bull can actually declare victory. This will take time.

At the same time, the investment guru super class like that of Warren Buffett, George Soros, Jimmy Rogers, to name few, had come out and warned the market that this recession we are experiencing may be alot longer than most would expect. I couldn't agree more especially if you look at your gas bill or the supermarket bill lately; and the end of foreclosure is nowhere in sight. On top of that, the market will need to deal with higher interest rate environment from the Fed's likely next phase of operation to neutralize inflation.

Thus, I am seeing sideway market at most in the coming months.

Stock Idea -- V for Victory --Visa That IS.

It takes Visa almost a month to break out its all time high of 69.00. Measuring from the Ascending Triangle pattern, the target for V (Visa Inc A) should be around $84.00.

Stock Ideas-- POT

The upper trendline of the Wedge formation act as a resistant for almost a week and finally can no longer hold the bullishness of POT's action. If it does not closed below that line, there will be more upside to come. Thanks Ragin Cajun for listing POT on your blog today.





It is scary to long such an overextended move isn't it? At least the market does not think so at the moment.

S&P 500 Chart Analysis

The S&P 500 index closed at 1,360.55, adding 6.06 points or 0.45% on retail like Walmart raise first quarter guidance, and upgrade of semiconductor group from Bank of American to Overweight with the expectation that the group is in a cycle low.

The chance for the market to head higher (at least to the Pink Trend Line) at the moment have just increased in the coming days.

PCU --Revisit

An inverse Head and Shoulder pattern. With weakness in U.S. dollars and strength in metal. I am looking for an upside target price of $162.00.

S&P 500 Daily Chart Update

The S&P500 closed at 1,354.49 and loss 11.05 or 0.81%. If it close down 2 more days, we should expect March low to be retest.

The solid line above (even though the drawing is not that great) should be known as the line on the sand that should delineate the forbidden area that the Bulls and the Bears try to fight for in the coming days.

S&P 500 Daily Analysis

The S&P 500 closed at 1,365.54 with a minus of 7 points today on what could be worst from the new of Washington Mutual big loss anouncement in the morning and that of the Fed minutes report during the day. The bull case would be for the market not to violate the BLUE trendline and for the market to cross above the RED trendline. With the market's ability to weather bad news lately, don't be surprised if it crosses the RED trendline during the earning season.



On the other hand, the bear is as lively as the wedge pattern that is building from the chart above. A violation of the lower BLUE trend line would give the bear all the ammunition it needs to take the market down...again. Let's see.

S&P 500 Daily Analysis

It's great to be back after one week of rest. And wow, what a different a week make. The market is building a short-term leg up with the S&P500 going up 2.14 points today.

The daily chart above also took out two of the intermediate trend lines that were in the many previous post. The only obstacle for the market to work at the moment is to take out the Green trenline above for the bull to declare victory.

In the mean time, the S&P500 needs to close above the red trendline.

Be Back In a Week

I am going to take a break. But in case anyone read this blog--Remember, this is still a bear market.

S&P500 Daily Analysis--Market Closed at 1,341.13 EXACTLY ON Support Mentioned Yesterday of 1,341 ;-)

The S&P500 Index closed at 1,352.99, went down 11.86 points or 0.88%. The index opened down less than a point, dived down the first trading hour with some sustained rallies that could not take it higher.

The support and resistant levels I will keep an eye on for Thursday would be:

R1: 1,359

R2: 1,379 (extreme level that provide high probability to short)

S1: 1,332

S2: 1,320

S3: 1,296 (exreme level that provide high probability to cover at least half short)

S&P 500 Daily Analysis

The S&P500 Index closed at 1,352.99. It went up 3.11 points or 0.23%. The index opened lower in the morning and rebounded to positive territory after going down for the first hour of trading. Since the index'd gone up for the past 3 days, I am expecting a slight pullback.

The support and resistant levels I will keep an eye on Wednesday would be:

R1: 1.362

R2: 1,379 (same as yesterday--Extreme Level)

S1: 1,341

S2: 1,332

S&P 500 Chart Report--Market Closed ALMOST EXACTLY at the Resistant Level of 1,350 Mentioned Yesterday Entry

The S&P500 index closed at 1,349.88, went up 20.37 points or 1.53%. The market opened about a point higher and never looked back until the last one and a half hour that it gave back some of the gain. Since the market crossed the short-term trendline and been upward move from last Tuestday, expecting limited upside for tomorrow would not be unreasonable.

The support and resistant levels I will keep an eye on Tuesday would be:

R1: 1,362 (also closed to intermediate trendline--red)

R2: 1,379 (extreme level for resistant)

S1: 1,344

S2: 1,

S&P 500 Market Chart Report--Index's Friday Closed 3 Points From Thursday's Resistant Level & Day Low Hit Less Than Support Level Mention on Thursday

The S&P 500 Index closed 1,329.51, up 31.09 points or 2.39%. The market opened Friday at even, worked its way higher, took some breather before began resuming uptrend toward the closed. It was strong indeed.

The support and resistant levels I will keep an eye on Monday would be:

R1: 1,332 (same as Friday since the market closed 3 points away)

R2: 1,344

R3: 1,350 (extreme level--might be good to Sell Short with tight stop)

S1: 1,305

S2: 1,295

S&P 500 Market Chart Report--Closed 2 Points From Support Level Mentioned Yesterday

The S&P500 index closed at 1,298.42, down 32.32 points or 2.43% giving back more than half of yesterday's gain. I guess the best part of this down move was it closed 2 points away from the support level that was mentioned on this blog yesterday. ;-)




The trading strategy for tomorrow is to watch the R1 (first resistant level) at 1,332 and R2 is at 1,344 which represent the extreme level. I will sell if the index reach this level. It represents a high probality trade.



The S1 (first support level) to watch is 1,296. If market moved down crossing that level, the S2 would be 1,270. Let's see if the market is going to hit these targets.

S&P 500 Market Chart Report

The S&P 500 index closed up 54.14 points or 4.24% at 1,330.74. The index's one day gain erased all the losses that were built up from the last 4 trading days. As the old saying goes, "Do not fight the FED" sure resonated in today's trading.

The trading strategy for tomorrow is to keep an eye on the resistant price levels of 1,332.59 which held well since the index last tried to cross but did not. The next resistant price level is 1,344 and the 3rd level (in case if today's strong momentum can carry through) is 1,353. That's as far as I would go for the bullish scenario. But it had often proved that I can be wrong. ;-)

And the bearish support that I will be watching tomorrow is today's reaction low after the FED announcement at 1,296. We'll see.

No posting for today

Today, I am going to relax and not do a thing. Need to reward myself to do nothing once in awhile. :)

S&P 500 Market Chart Report

The S&P 500 Index closed at 1,288.14 on Friday, down 27.34 points or 2.08% in one of the most wildest ride I'd seen for awhile. The market opended a little bit higher in the first 5 minutes and began diving throughout the whole session before staging the last hour rally without much commitment. The moved on Friday proved one thing that is I will be wrong at guessing where the market will go all the time. I said even with an unexpected bad news come out, the 1,303 would considered to be an extreme level of intraday support. I am so glad I was wrong on it. So keep your hope up, if any of you are reading this and I hope you should expect more of this mistake to come in the future. ;-)

The good thing about the conclusion I came up on Thursday's analysis was I did not expected the S&P 500 will cross 1,332--AND it didn't...by the miles--LOL. Although I did make a right call before the market opened on Friday on WallStreak.com when I saw the S&P 500 future hit the initial target point which I pointed out on Thursday, but I did not realized it was such a big moved:

GM everyone. I am waiting to sell.
Reply to the bulls are s... in stocks on Mar 14 8:13am

Anyway, since I am writing this and I just saw the new about Goldman Sach getting hit for $3 Billion, I will just have to use 1,303 for initial overhead resistant for tomorrow and 1,310 is the higher resistant and the January 22 2008 low as a support.

S&P 500 Market Chart Report

The S&P 500 index closed at 1,315.48 up 6.71 points or 0.88%. The index got a low openning, went lower and hit our minisupport level before staged a reversal and closed higher. The total point range for the day volatility was 40 plus--a great day for daytrader.

1,310 would be the 1st support that I will be watching for tomorrow and if there's any unexpected bad news 1,303 would be considered as an extreme intraday support given the strenght of the rally today. The primary target resistant is 1,332. It is just hard to go beyond that in a bear market.

S&P 500 Market Chart Report

The S&P 500 index closed down 11.88 or 0.90% at 1,308.77. The S&P 500 index opened up, went up for 2 hours then sold off until the close, gave up roughly 1/4 of yesterday's gain.

The R/S (Resistant/Support) worked quite well in today's trading session where the intraday roughly touched it then the sell off commenced.

There's not much change to the level of intraday R/S (Resistant/Support) lines for tomorrow except an add to the support of 1,285 in case we have a sell off to keep an eye on. And of course, we need to correct the first resistant line to 1,332, which I mentioned yesterday as 1,322 (a typo and many more coming as I continue to do this blog--;-).