I have no idea what the market will do in the next day or the next week. I mean, I have a better chance of winning at Blackjack in AC than I do in knowing what the market will do. I do know one thing though, it's going to get harder. Ask yourself some tough questions here as we embark on a new journey with volatility. Do you prefer fast, volatile markets or are you better off waiting for things to calm down? Are you trading today because you think "this is how the big money is made", or are you trading according to your plan on your terms? Do you feel nervous this morning, like you are struggling to ponder and read as much as possible about what will happen with the market today? Talk to yourself. It's important.
Let's start with some constructive charts. First in biotech land, as I try to come up with sectors less likely to get polluted by systemic volatility. ACRX had a nice reversal candle yesterday during a horrible market day. I'm calling AMRI, AUXL, CLDX, and OPTR undecided on direction and unaffected by yesterday's market. I will watch for a new direction in each. INFI and SNTA will be top short ideas today. THRX is a potential gap fill/20 day long candidate but will need intra-day relative strength for me to buy. IPXL is a best idea long.
Airlines will potentially offer some long opportunities today. AAMRQ put in the best candle yesterday, while DAL seems to have the best relative strength among the majors (UAL, LCC). ALK is interesting because it's small and seems to have been thrown out the window. I'll have an eye on that one for any bounce.
Natural gas was curiously strong yesterday. EQT, LNG, CHK, SWN, RRC, and PXD all have constructive charts. An important point is to be made here regarding which stocks you choose to trade. Every stock has a personality, as does every human. CHK is slow, thick, and steady and can be managed relatively easily. PXD is a violent beast that can reward you in minutes, or destroy you in seconds. Know which stocks you are comfortable with. I'll round out the energy commentary with coal and refiners. WLT is my favorite long in that sector and I will be watching CLF, BTU, and CNX as well. They had great relative strength yesterday. PSX held up fantastically yesterday, and is my favorite refiner for the day. Eyes on MPC and VLO as well.
OK enough talking, here are the creme de la creme longs from my pathetically biased eye. Best ones are bolded
OWW, NTWK, SUPN, UNIS, EDU, JCP, LOCK, MDRX, NCMI, VVUS, BCEI, TRIP, DISH, FLO, GM, MNKD, SFUN, TCK, WNR, ZTS, HFC, ONXX, OSIS, GRPN, HALO, HK, INFN, MCP, MDXG, P, PBI, SFY, SPRD, TNGO, TTWO, SGYP, SREV.
Now from the get down you filthy, horrible company short list. Best ones bolded.
AEM, FNSR, JNPR, KKD, ENDP, ROVI, RAX, VCLK, IQNT, TRLA, NTE, PTIE, AXLL, EXPE, AMRN, AVEO, EOX.
Best of luck to all!