Trade Ideas for 07/13/09

Not much happened Friday as the S&P printed another doji on the daily chart, making it three dojis in a row. The key fact for me was that the market didn't break Wednesday's low. The resulting formation, three small-range days in the vicinity of the 200-day moving average, is a credible base from which a rally could occur, provided that we stay above Wednesday's lows, and preferably Friday's, too. Well, perhaps "rally" is too strong a word; the market may just end up postponing further downside for a few sessions.

We bought SRS and SZK Friday. SZK broke the initial sell-stop before triggering, so the new sell-stop is the low of the day.

Current Holdings
Ticker	Basis	Closing Price	Perf.	Sell-Stop	Additional Exit Guideline	Chart
SKF	46.27	47.49	+2.6%	45.44	N/A	Chart
ZSL	10.17	10.65	+4.7%	10.13	N/A	Chart
AEIS	10.21	10.25	+0.4%	9.79	N/A	Chart
AHL	23.43	23.57	+0.6%	23.13	N/A	Chart
SRS	23.17	22.75	-1.8%	21.38	N/A	Chart
SZK	65.33	65.05	-0.4%	64.14	N/A	Chart

I'm going to go with some longs Monday (mostly). While the market may be able to bounce at its 200-day moving average, some of the stronger charts could correspondingly bounce at their 50-day averages. I wouldn't risk too much on the long ideas though, as the market remains in a medium-term downtrend.

New Trade Ideas

Ticker	Entry	Exit A	Exit C	Chart
DXD (Ultrashort Dow 30)	52.24	50.99	50.39	Chart
EJ (E-House)	15.81	14.99	N/A	Chart
TQNT (TriQuint Semi)	5.29	4.99	N/A	Chart
TC (Thompson Creek Minerals)	10.24	9.49	N/A	Chart

Please refer to "How To Trade The Ideas" (right-hand side) to read this table.