RamtaJogi— Hacking Life for Money and Fame.

1. CAB – It moved from 6$ to 8$ based on earnings news. CAB is a specialized retailer for hunting, fishing and other related products. Today, it didn’t really come back down, but I think it should give back some of this massive 2$ move tomorrow. Another nice thing about the stock is that it forms an intraday trend slowly and surely. Gives me room to enter in a trade.

2. PALM – islandminister has a very nice blog titled ‘Trading to fund Mission Trips’ where he tries to short what Tim describes as ‘SuperNova’. His latest post about PALM reading is excellent. I agree with his analysis and I will be ready to short PALM based on the price action.

3. DRYS – Another stock which trends slowly but surely. It can be either a LONG or a SHORT.

4. AIG – AIG wants to go to zero. For some reason, I am finding it really hard to short AIG. I have the psychological barrier against shorting a stock which is already 50 cents. I need to get rid of that barrier. Based on the price action, I will try to take a very small position (say 500 shares) and short AIG.[Other insurance companies worth shorting are HIG and PRU. I think PRU is also a very high probability short.]

5. FAZ/FAS – The best stock to trade tomorrow. I am thinking there could be another sell off OR a rally. Either way, I don’t care. I am just going to jump on either FAZ and FAS train and make some money.

The biggest thing in this market is to realize that ANYTHING can happen and keep your mind open. I am still not there. I try to decide a lower limit for stock (e.g. AIG) or upper limit (e.g. FAZ, I thought it won’t go to 79$ today). It’s important to let go of any pre conceived notion and only trade the price/volume action.

I will also watch pre-market gainers and trade if there is right setup.

Trade well,
RJ.