Monday, March 21, 2011

Today's trade review...

Patient and cautious was the name of the game today. Perhaps a bit too cautious but I prefer to look back on missed opportunities and sigh than to be licking my wounds after hasty trades. I missed a few nice set ups today for a variety of reasons and took one solid trade in the after noon which turned out to be successful. Here are the charts of some of the best set ups I missed today and the trade I took this afternoon:

I should have take more profits out of $PRAN which was clearly in play right from the open on some sort of drug news. All in all not a bad day. Metals and mining stocks are clearly in play. Take a look at the chart below.

If silver hits new highs, it could pull a lot of metals and mining stocks with it. So keep and eye on these stocks for possible plays tomorrow.  Uranium stocks are also clearly in play so continue to watch these as well. Bio tech stocks continue to break out also. Apart from these sectors, I recommend caution as I believe the markets are setting up for a second dip lower. In fact, I am contemplating buying call options on the $VIX or puts on the spyders but I hate trading monthly options! The spreads are too wide for the time frame that I trade. So I may either trade the weeklys or not trade this idea at all.

Will post my watch list later tonight...

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