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A place for friends to gather and view stock market charts, discuss technical analysis and market outlook. What is your Principal Asset? How can it be developed? Each and all should do their own due dilligence and homework before investing. And by no means should you use anything I say or show here as a sole basis to buy or sell securities as everything is for educational experience only.

Monday, August 11, 2008

AZO, PG, and semi-conductors

AZO appears to be forming the right side of a cup. Question is will it retrace off of $140.29 or continue higher? A handle can retrace as much as 50% of the cup which would put a possible target of $121.68. Bottom line is AZO is an "on the move" volitile stock. Perhaps a play here could be a Long Call leaps and 4-6 month out $120 Puts.
PG is nudging up against the underside of a long-term support line setting up for a great short opportunity with a very tight stop. If PG pulls back away from this line it will take out the previous lows at $59.68. So $60 Puts 4-6 months out should be in order with a tight stop at $70.36. Everyone is raging about the semis being the leadership of old that fortells the tech market and therefore the overall market. Some are postulating this move is the catalyst for things to move higher. Well the last two weeks has been a move off of lower levels and appears to be a reversal of trend. HOWEVER, is it coincidence the SMH perfectly touched the 50% retracement line? Can you say BULLTRAP............

The overall trend is still down........
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