5 reasons I really like $TRIP for a swing trade!

1. Price momentum - $TRIP has been on an absolute tear in 2013 and is easily one of the leading stocks of the current uptrend.

2. Sector momentum - $TRIP and its entire group ($PCLN, $OWW, $AWAY) have been hot in 2013.

3. High short float - Although $TRIP has a 100mil+ share float about 14% of this currently held short. This could fuel an explosive move should the stock rip into new all-time highs forcing shorts to cover!

4. Fundamentals - The stock has reported solid quarter over quarter revenue and earnings growth in its  two most recent quarters.

5. Technicals - Finally the chart has formed an outstanding technical set up just off all-time highs while the market have corrected over the past couple weeks!

Trading update and thoughts on the market!

With the continued constructive price action in the indexes and some leading stocks breaking out and acting well on Friday; it is my firm belief that the markets will see higher prices next week:



With my confidence that we get a new uptrend even stronger on the weight of clear evidence; I decided to increase my long exposure to around 140%. So I'm now on margin. First I added to my existing position in $XRM which closed very well. About 60% of my account is invested in $XRM. I missed out on $RVLT; didn't want to buy the $4.00 break out like I had planned to as it occurred in the first 15 mins of the session. Breakouts this early are very risky and highly prone to failure. So I passed on it and the rest is history with the stock closing up 11%+!

In place of $RVLT, I decided to initiate positions in $SOHU and $QIHU. A little over 50% of my account is invested in $QIHU and about 25% invested in $SOHU. I will be looking to add to $SOHU if it gives me the chance to do so. Both of these stocks have brimming fundamentals and have managed to move sideways during the market's current correction. If the markets can break out next week; I believe these stocks will be the first to touch new highs. In fact, $QIHU will be hitting new all-time highs out of a high tight flag! (Check my previous blog post here if you want to see my thoughts on $SOHU)



In addition to the above mentioned stocks I also really like $ANGI. This stock has all the characteristics of a stock that can make an explosive move like $TSLA if we a get leg higher in the markets over the next few weeks. Firstly it's growing its sales quickly although it has not yet turned profitable. It has a low float and is highly shorted. There are some very strong skeptics betting heavily against the stock yet its consolidating just off all time highs. If this stock can hit profitability in its next quarter; we might very well see a parabolic ramp up!





Those are my thoughts and ideas. Hope they help!

$SOHU: long idea

Update and my best ideas for 6/14/2013

I made a couple bone-headed moves in Thursday's session. Firstly, I initiated a short position in $SSYS although 1) it had not broken through its trigger ($81.00) and 2) the overall markets were bouncing like I had been anticipating the night before. Every now and again, I make some really bone-headed trades when I start getting over confident and this was one of them. I took a quick and some what painful loss as the stock spiked up to the low $82.00's in minutes which was the level I had set as my stop out point and that's where I got out.

After this trade, I was somewhat frustrated and when I saw a sharp sell off in $CSII, I sold it although it was no where close to my stop loss and the over all market was trending higher intra-day. I took a small loss on this trade as my planned risk was very small from the outset. I should have never sold out of this stock. It ended up closing well and still looks poised for higher prices; I was tempted to get back in but I didn't want to risk burning up a day trade on a stock which was not even one of my top 3 ideas.

Although the markets were very bullish for the entire session and I was seeing some nice set ups worthy of buying; I decided not to touch anything and that's exactly what I did. The only smart thing I did was to not sell $XRM which is my only position now:



Although I'm seeing many decent set ups; the stocks below are the ones I like the most and really want to add to my portfolio tomorrow if they can break out:

Watches for 6/13/2013

Pickings were extremely slim in my scans tonight. I only managed to find one long set up I like and a couple shorts I like. At this point I honestly do not have conviction on neither the short side nor the long side. Although I do have a couple long positions open, at the slightest signs of weakness coupled with continued ugly selling in the over all markets...I will exit! But on the other hand we are a bit stretched to the downside and might put in some sort of bounce even if only a mediocre one later this week. So caught between a rock and a hard place. Never the less, here are my watches for tomorrow:

Trading update...

I did not expect it but we had a very ugly sell off in the markets today. I thought it was a certainty that I would get stopped out of $XRM but it held like a champ and only closed in the red by 2 pennies! Just goes to show why it pays to stick to your trading plan. I will continue to hold onto it even in the face of continued selling in the overall markets as long as it does not hit my stop. I really like the set up and story of the company. If the markets bounce...I believe it will break out and rip to new 52-week highs!

Although I didn't get a chance to post my watches last night, I had my eyes on some really sweet set ups this morning. Namely: $CSII, $REGI and $TA. While the selling crept into $REGI and $TA forcing me to discard any thoughts I had of adding them to my portfolio; $CSII held up like a real champ. So I took a position in it right before the close at $21.60 and watched it closed right at the HOD of $21.65. The set up looks really good ahead of data the company will present next week Thursday on one of the devices its developing. Here's the chart:

Current position: $XRM

$XRM has carved out an almost perfect cup-with-handle base. When I see patterns like these especially at or near the end of a correction I get very excited because the upside potential is anywhere from 40% - 100% in only a few weeks as the stock runs up along side the overall market! I've already started a position in anticipation of the $10.00 break where I will be looking to add even more shares for the ride higher!