LFC, RHAT and QQQQ
Posted by btr Tue, 07 Dec 2004 01:34:31 GMT
LFC is building a tight base nicely It may break out again.
RHAT continues to its move and it's at the edge of breaking out. I have almost completed my scaling out. I left some money on the table as I underestimated the strength of current move, but I had to lock in some profits when it's more than 100%! I still hold a few calls on Dec 12.5 (deep ITM) and Dec 15 (ITM).
QQQQ (its ticker was changed after moving to NASDAQ from AMEX) is at its 3-year high (the comment in the chart was wrong after looking it more carefully) right now although it has not made much move during these four long years! Looking back at those dot com booming years, there is still a long way to go back to its old glory. I should've not sold my QQQQ Dec 39 calls though. I'm always nervious when it's at peak and worried about it's topping. To work around it, I choose to scale in/out in multiple lots.
MSFT is showing some weakness. The support is at 26.
LFC continues to move up since it broke out from base building between 24 and 27. The volume has picked up. It looks like we are heading towards 30 soon. I have sold Dec, Jan and Apr 30 Calls. They may get called away this time.
SUNW experienced a sudden drop today. It may pull back to 4.5 after steady run-up. I would add some more in my long term account between 4.25 and 4.5.
MSFT is moving towards major resistence at 30 once again. The volume is picking up and it's in overbought condition. Later this month, it will pay a special dividend of $3. The stock price, its SSF and options will be adjusted with the $3 change accordingly.
The monthly chart shows an ascending triangle indicating a possible breakout from 30. You may buy straddle (buy a call and a put at the same strike and expiration date) to capture this breakout, but with recent sharp move, you may have to pay more since its volativity is higher.
QQQ, RUT and SPX are all at or close to their 52 week high. The only exception is the INDU, which is breaking out from its downtrend line. Today's rally were wide spread, but the volumes were at about average levels. Whether or not the overhead resistences can be taken out it remains to be seen in the comming days. As the election was over, traders and invetors alike move their focus back to routine aspects.
SOHU was downgraded, big gap down. Obviously someone already knew it yesterday:-). Will open a small Dec Call position. Expecting the support around 16.