Recent Posts - My Stocks Investing

SNP500 ETF (SPY) – This is it! Shorting Time!

Post author:Marubozu
Post published:June 6, 2010

I have been waiting for a right time to short the S&P500 ETF (SPY) and finally I found clear signals to short this ETF by buying PUT Option.

Bearish Signals

Evening Star candlestick pattern.
SPY was unable to break the 200D MA resistance and bounced down.
20D MA is coming down very steeply to cross 200D MA.
MACD shows Bearish Convergence.
RSI and Stochastic started to reverse and head down.

I am expecting SPY to retrace at least 40% during this correction and my target price is $101.5 (38.2% Fibonacci Retracement Level).

SGX – Forming a Broadening Descending Wedge

Post author:Marubozu
Post published:June 6, 2010

SGX is forming a Broadening Descending Wedge Pattern. If SGX breaks down from this pattern, the price target is at least at $6.30 (50% Fibonacci Retracement Level).

Two critical levels to watch at the moment:

Whether SGX bounces down from the 20D MA resistance.
Whether the Broadening Top’s support is strong enough.

SingTel – Forming a Wedge

Post author:Marubozu
Post published:June 6, 2010

SingTel is currently forming a Wedge pattern. The stock is not good for long term investing using “buy and hold” strategy because the chart is showing “lower high, lower low” pattern. However, it may be a nice candidate for short term trading where I can enter the trade near the wedge support and exit near the wedge resistance.