Trade Ideas for 01/07/08

Wow, the market held up much better than I thought it could. Yesterday's lows held, pretty much across the board, and a sizable minority of charts broke out and stayed above their breakout points. I mentioned the possibility that yesterday's correction was all the rest the market needed. Counting today as another day of rest, it's looking more likely that further upside is in store.

The pessimistic after-hours action yesterday didn't carry through to today, and instead we have a very nice chart in TSL. FAF, after struggling positive/negative for a week or two, finally dropped below the sell-stop, and we sold it for a -0.33R loss. We bought a few other stocks though.

Current Holdings
Ticker	Basis	Closing Price	Perf.	Sell-Stop	Additional Exit Guideline	Chart
TSL	10.41	10.26	-1.4%	9.25	Consider selling on a close < 9.46	Chart
VMW	24.11	24.58	+1.9%	23.15	Consider selling on a close < 23.63	Chart
QCOM	37.14	37.15	+0.0%	36.04	Consider selling on a close < 36.34	Chart
DDM	34.01	33.64	-1.1%	31.86	Consider selling on a close < 32.79	Chart

I don't like to have too many strongly correlated tickers among the holdings, but these charts look good. If you don't like the idea of doubling down, don't take ENER if you have TSL, nor GE if you have DDM.

Trade Ideas for 01/07/08

Ticker	Entry	Exit A	Exit C	Chart
EV (Eaton Vance)	22.26	21.34	20.34	Chart
GE (General Electric)	17.26	16.45	N/A	Chart
GRMN (Garmin)	22.06	19.69	N/A	Chart
ENER (Energy Conversion Devices)	30.33	27.64	26.93	Chart

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