I'm putting these down now, before I write out exactly what I am doing, just to note the trades I entered today as I start 2011. All stop losses represent the point at which I risk 1% of my total bankroll.
DTV: entered at 41.08, initial stop 40.06, R=$1.02.
MIPS: entered at 16.30, initial stop 15.45, R=$0.85.
PHM: entered at 7.79, initial stop 7.24, R=$0.55.
WYNN: entered at 108.57, initial stop 102.92, R=$5.65.
Direct TV has been a stock I've laid off of for awhile. There's a nice, easy stopping point at the bottom of its trendline here if this doesn't go well, but I can definitely see a rise up the channel. I am very bullish on MIPS and WYNN and have been waiting for the right time for each to break out. The setups look good for both to run.
I believe the home builders are going to do very well in the coming year, as I can't think of any negative information that isn't already priced in. Really, how's it supposed to get worse? Lennar was my first choice to try the temperature out in the sector, but Pulte will have to do. Quality setup with a decent shot at turning around the long term downtrend in the stock.
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