Marubozu - My Stocks Investing

Europe PIGS Debt – I owe you, you owe me! Who is going to pay?

Post author:Marubozu
Post published:May 7, 2010

Banks and governments in these five shaky economies owe each other many billions of euros — converted here to dollars — and have even larger debts to Britain, France and Germany. Arrow widths are proportional to debt amounts.

JP Morgan Chase (JPM) – A Good Candidate to Short?

Post author:Marubozu
Post published:May 6, 2010

JPM has just broken 200D MA support and looks like a good short candidate in May. In addition, the cloud is still very dark in the financial sectors on top of the “Sell in May & Go Away” sentiment.

Things to watch:

Whether JPM can stay above 200D MA. If not, the next immediate support will be $40.923. If this 61.8% FR level support is broken too, JPM will be very bearish and starts the down trend.
If JPM bounces back from 200D and breaks the 50D MA resistance at about $44.00, the bull will be coming back.

I have entered my JPM SEP 43 PUT position and will be watching very closely these two levels.

Citigroup (C) – Testing 50D MA

Post author:Marubozu
Post published:May 6, 2010

US Financial stocks have been very bearish recently due to the debt concerns over PIGS (Portugal, Italy, Greece and Spain). This may present a good opportunity to buy some good financial stocks during this correction in May. Citigroup is one of the financial stocks for long term investing and I am waiting for the right entry point. Base on the chart, C is currently testing 50D MA. I am waiting to see whether C can stay above 200D MA support at $4.00 before deciding my entry point. If this 200D MA support is broken, $3.655 (61.8% Fibonacci Retracement Level) looks like a good entry point to start stock accumulation.