Monday, March 27, 2006

Trade of the Day - NVDA, MDG

I only executed two trades today and since they are different setups, I am posting both charts.

My alert for NVDA was triggered in the pre-market as it took out Friday's high. I watched it trade in a narrow consolidation prior to the open. I set a buy stop order 5 cents above the consolidation high and was filled at $52.17. I sold my entire position as soon as I noticed that the QQQQs had hit resistance at $41.50. I had it in mind that today's action would be narrow range given the FOMC meeting, so I was happy to grab this much profit right off the open.

MDG gapped up this morning and had an orderly, shallow pullback to the rising 10 period EMA. The entry was made after the stock had demonstrated a few higher lows (15 Min. view) in the support area of its 10 EMA. The stop was just under the low of the previous bar. 50% profit was taken when price stalled in the $29.20-.25 area. The balance was sold on weakness shortly after a failed retest of the high.

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