Wang’s Happy Trading

Yesterday in my evening post, I said,
“So, what now? Well, the market seemed to have successfully vented after Thursday’s big jump. Tomorrow’s market actions will be very important. If the market finds overall strength, it still has room to extend this rally. VIX bounced off $18 today (as I’ve noted the support for the past few days), but, could not close above $19. If it falls below $18 again, I think $16 could be coming. So, we’ll be watching VIX closely for some indications.”

This morning, on the member site, I said,
HappyTrading
Posted May 6, 2008 at 8:02 am | Permalink (Edit)
market
seems to want to extend this rally; financials coming back up; VIX down.

HappyTrading
Posted May 6, 2008 at 8:07 am | Permalink (Edit)
market
look at the daily charts of the major indices; we could get another big green day out of this rally.

The market opened lower today, but quickly reversed its course and headed higher. Energy stocks led the market, as crude made another record high today. I took the chance to cash out on another bagger trade in the morning:
HappyTrading
Posted May 6, 2008 at 6:43 am | Permalink (Edit)
HES
WOW! bagger trade and still going!

Which made many members quite “happy”:
optiondragon
Posted May 6, 2008 at 6:45 am | Permalink (Edit)
Nice Happy!!!!! ccccchhhhaa ching!!!!

angar
Posted May 6, 2008 at 6:45 am | Permalink (Edit)
HES - wow !! wow !!! Thanks happy ! do you want to keep it going or taking some profits
thanks !

bluetick
Posted May 6, 2008 at 6:47 am | Permalink (Edit)
Happy very nice !

Gator
Posted May 6, 2008 at 7:28 am | Permalink (Edit)
Happy
Been months sinced I had time to play, but I picked a great time to come back!
Thanks for HES! In at 4.5 out at 11.1 - Top Notch!
Thanks

Thanks to all and welcome back Gator!!

With all the energy stocks flying, solar plays finally woke up. Then, financials started to turn green, with MA topping $300 today! The agriculture stocks also saw strong buying as MOO jumped +3.32%! The Dow was up +51.29 points; SPX added +10.77 points; Nasdaq jumped +19.19 points:

Most sectors were up. Commodities: USO (oil) +1.7% (another new all-time high), OIH (oil services) +2.54%, XME (metals and mining) +1.69% (X traded as high as $173; RTP jumped almost to $518 at one point, up almost $70 in 3.5 trading sessions!; FCX also did well). Techs were also strong: INX2 (Internet) +1.24%, SOX (semiconductors) +1.55%, SWH (software) +1.11%. PBW (clean energy) gained +2.9%. XLF (financials) added +1.07% while HGX (housing) was up +0.93%. FXI (Chinese ADRs) turned green in the afternoon with a $1.09 gain.

SPX

SPX added +10.77 points to close at 1418.26. It tested the 10-day MA today and bounced back to close MUCH higher. Its daily MAs and MACD looked healthy.

Nasdaq

Nasdaq jumped +19.19 points to close at 2483.31. The daily MAs and MACD went higher.

After a gap-down open, the market closed higher, highest close since early January! VIX got pushed back down to almost $18. Breaking this support, it is likely to see $16 soon. This is good for the market. I also mentioned the nearest resistance levels for the market in my Market Forecast (SPX 1425; Nasdaq 2500), which are coming up soon. Breaking above these levels, the market could be heading towards where it opened this year (Jan 2: SPX 1450-1470; Nasdaq 2600-2650).

CSCO reported earnings that beat the estimates. It is only up +1.1% in AH, but, traded above $27. CSCO’s charts do show room to go higher, with $27 being a resistance. Above $27, it could sail to $29 before seeing too much pressure. PCP reported good earnings this morning. It went lower after the market open, but, quickly jumped higher and traded above $131 intraday. PCP closed at $128.2, up +6.83%. PBR, mentioned again yesterday, continued to show strength, up almost +3% today.

The solar plays were strong today: SPWR +6.62%, FSLR +3.63% (I have a position in this), CSIQ +18.16%(!!), STP +6.24%, LDK +4.63% (I have a position in this), JASO +9.26%, and TSL +6.99%. PBW (clean energy ETF) has been trading flat for a while and could have a lot of room to go up. Among the clean energy stocks, solar plays can really move. I’ll be watching these with great interest.

Good night and HappyTrading! ™