Watchlist 08/03/11 Part Deux

Part 1

$KGC:  If you have read any of my watchlist posts, you know that I like to talk about smooth transitions through what I like to call the “sweet spot”.  I realize that’s a bit esoteric…the concept is pretty simple and easier to comprehend when you see it.  $KGC is a great example of what I’m talking about.  That big red candle on 7/27 followed by price indecision accompanied by lower-than-average volume over the next three sessions.  There is no excuse for me not being all over this at the close on Monday.  Shit.  Live and learn.  I like it to at least 17.50.

KGC 2011-08-03

$MOS: I historically have not had as much luck with dip buying stocks that just starting to make higher highs and lows.  IMO, this type of trade is better suited for breakouts as there is often a lot of momentum in stocks as they regain traction and begin to climb in price.  $MOS is an interesting stock right at 70.  If it can get through 75, I see no reason why it can’t go to 80.  Therefore I may take a very small, very speculative OTM call option position in this stock based on this observation.  I really like how it finished the day today after dropping to just above 67 early on.

MOS 2011-08-03

$POT: In the matter of a day, $POT went from not getting a second look to being put on my watchlist.  Great defense of the lower BB and 63 EMA today.  I have a target of 61…and I’ll move on with a break of 56.

POT 2011-08-03

$LLY: Again, another stock that I wasn’t paying much attention to yesterday, but tonight has really caught my eye.  Target: 39, watching to see how it continues to act around 37.

LLY 2011-08-03

$ATVI: This one is right there for the taking.  I should have been paying attention to this…it has bottomed out perfectly.  Not a huge profit potential, as I’m only looking for a target of about 12.2.  Stop at 11.5.  Still, I think this is a great looking chart.

ATVI 2001-08-03

$HOG: Things were looking pretty grim around noon for Harley-Davidson…then I double-take when I viewing the final quote.  Quite a reversal.  Again, I would think about getting in this one, but this industry is a piece of crap.  There is great reward potential here, as I could see a climb to at least 45 in a broad market rally.  The stop is still a little wide (40.5), so I probably would be pretty light on my positioning…but the potential is there for a great trade.

HOG 2011-08-03

This blog has allowed me to keep my thoughts much more focused and organized.  I feel like by sharing my ideas with the world, I’m able to analyze what I’m doing from a more objective perspective.  I’m excited about writing here, so if you are still reading and find what I’m doing here is at all insightful/boring/whatever, please let me know in the comments…I would really appreciate it.  Feel free to follow me on Stocktwits for all post updates and trades.

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