INDU Video

SPX Video

COMPQ Video

• The inverse of a Cup & Handle Chart Pattern.
• The stock bounces off of a support level and moves higher on unremarkable volume.
• A “Rounded Top” forms and then subsequently moves lower on increasing volume producing “The Cup”.
• The pattern is completed when a Bear Flag forms producing the handle.
• The breakdown occurs when the stock breaks the low of the handle on increasing volume.

 

Join Mark Espy (aka Robin Hood) to learn about

the “Dynamic Collar” trade.

Imagine trading without fear of losing money, yet putting yourself in position to ride the bullish and bearish trends as they present themselves!  The worst case scenario is that if the stock remains stagnant, you still have the opportunity to generate income. 

On Monday February 8th, Mark Espy will reveal to you a personal secret that has already transformed the lives of a lucky few.

 

Think about what it would mean to steadily build your account and do it with confidence and consistency.  When you learn the secrets of  Mark’s strategy, you will have the gift of a lifetime- financial independence.

 

Trading expert Mark Espy of MarketTamer.com will present a webinar next week on the subject of “Taming the Market with the Dynamic Collar Trade.” And there’s no charge for it!

 

This event will be presented Monday February 8th, 2010 at 9pm ET (6pm PT)

the presenation will be about 1 hour.

 

REGISTER HERE

  

Mark Espy is a renowned expert, and is a specialist at finding innovative trading opportunities.  And there is no better organization for traders and investors to have on their side than MarketTamer.com.  Mark and his partners are the real deal.

 

Following last year’s market turmoil, there’s no better time to take advantage of the market through innovative, income-producing opportunities.

 

But enough of the bio.  When you attend, you will become eligible to receive Mark Espy’s weekly Market Survival Guide for FREE.  Each week, you will gain valuable insights from Mark’s proven ability to call the markets, FREE.

 

Doesn’t it make sense to do everything possible to keep informed and stay on the right side of the markets?

 

Mark will teach us about trading stocks while remaining hedged with a Dynamic Collar and adjusting to optimize bullish and bearish trends.   For many traders, the stock market can be an intimidating and stressful experience.  The workshop will teach you Mark’s methods that remove fear from trading.  The workshop will begin with finding a solid stock using CallWriter’s “Super Put” list.  Finding the right stock is crucial, but it is just the beginning.  Mark will cover:

 

 

Please – don’t miss this extraordinary event…

 

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Whatever your plans, PLAN for a prosperous future and pencil this important event in!

 

More about Mark Espy…

 

Mark Espy is the Vice-President of Education at MarketTamer.com, the ultimate stock and options training resource for self-directed investors. MarketTamer.com specializes in teaching motivated investors how to responsibly manage risk and reward through sophisticated options strategies that are tailored to novices and advanced traders alike.

 

About Market Tamer

Market Tamer is the ultimate online training resource for stock market investing. Their coaches are experienced investors, who collaborate to provide their students with a proven investment system that utilizes options to profit in bull and bear markets.

 

This event will be presented Monday February 8th, 2010 at 9pm ET (6pm PT)

the presenation will be about 1 hour.

 

 

REGISTER HERE

  

 

The INDU is headed for 9700, which is a 10% pullback from the top at 10700.  This is a healthy correction and has been needed for awhile.  The volume accompanying the current bearish movement confirms the investment community is definitely participating.  This retracement has not surprised us as we have adjusted our positions to take advantage of the move.  We are longer term bullish, so in our opinion, this move is no need to panic. The analysts who are predicting a double dip recession are still alive and well however, we are not in that camp.

The SPX is the same story as the INDU.  Look for 1030 and then 975 on the pullback and then hop back on board the “Bull Train”.  There will be some buying opportunities as the index begins to bottom.  As mentioned in last week’s post, do not underestimate the power of momentum.  There were some that felt that the consolidation on Monday through Wednesday was a bottoming sign which was misguided.  You have to expect periods of consolidation on the way down so don’t be fooled.

The COMPQ fell hard out of the Bear Flag on Thursday and Friday on increasing volume.  We are targeting 2114 and then 2024.  The COMPQ has posted impressive gains since the March 2009 bottom and it is not a surprise to see the index leading the major averages lower.

 The broad market finished lower in January, which does not bode well for those that believe that ’how January goes so does the year’.  We happen to believe that this move is a short-term bump in the road and will provide us with some outstanding buying opportunities going forward.  The key to success in trading is to follow the market.  Don’t fight it with your preconceived beliefs.  Although, we have definite ideas about where we feel the market is going, we will submit to the market and follow it because in the end, the market is always right.  We would rather make money than stubbornly trying to be right.  We wish you a fantastic week ahead!

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•  The inverse to the Bull Flag, the Bear Flag is a bearish continuation pattern that appears in a downtrend after a significant bearish move with volume.

•  The Bear Pennant is very similar to the Bear Flag.  The difference is that the consolidation is in the form of a small symmetrical triangle.  The bearish entry is just below the lower trend line of the triangle.

•  The stock will cease its fall as shorts cover their position.  The stock should consolidate in a sideways to slightly bullish fashion with decreasing volume.

•  The short entry is the break of the low of the flag.  The target should be the initial move down added to the bearish breakdown point.  Look for increased volume on the breakdown from the flag.

•  The stock falls quickly on increasing volume and smart traders begin to take profits as the stock moves sideways to up on decreasing volume.

•  The bearish entry at the low of the flag provides an excellent entry as the stock continues its’ move down on increasing volume.

•  The projected target is the length of the initial move down to the flag added to the breakdown point out of the flag.  Increased volume on the move will confirm the quality of the continued bearish sentiment.

 

 

ECONOMIC REPORTS

MONDAY 2/1

Personal Income, Personal Spending, Construction Spending, ISM Index

TUESDAY 2/2

Pending Home Sales, Auto Sales, Truck Sales

WEDNESDAY 2/3

Challenger Job Cuts, ADP Employment Change, ISM Services, Crude Inventories 

THURSDAY 2/4

Initial Claims, Continuing Claims, Productivity-Prel, Unit Labor Costs-Preliminary, Factory orders 

FRIDAY 2/5

 Nonfarm Payrolls, Unemployment Rate, Average Workweek, Hourly Earnings, Consumer Credit

 

 EARNINGS OF NOTE

MONDAY 2/1

ACV, APC, GCI, HUM, MNKD, PCL, SOHU, TUP

TUESDAY 2/2

 AFL, ADM, CTRP, CMI, DHI, FISV, JDSU, MTW, MAN, MRO, MEE, MET, MYGN, NETL, PBG, SU, DOW, HSY, UPS, UNM, GRA, WHR

WEDNESDAY 2/3

 AKAM, AMP, BDK, BRCM, CBG, CSCO, CMCSA, EFX, HMC, INSP, IP, MWW, NOV, NVLS, PFE, RL, BCO, TWX, V, WLT, YUM

THURSDAY 2/4

 BEBE, BKC, CME, CI, DB, DO, GSK, HIT, K, MA, MCO, NOC, PENN, PBI, SLE, SNE, HOT, SUN, TM, UIS

FRIDAY 2/5

 AET, AON, BZH, PC, TSN, WY