Tuesday, October 17, 2006

Dummy Trade of the Day - Global Crossing Ltd. (Public, NASDAQ:GLBC)

Daily Timeframe

15 Minute Timeframe

I ran a gapper scan shortly after 10:00. After sifting through all of the hits, I decided to focus on three stocks, LEA, SNPS, and GLBC. I finally decided to go with GLBC because of volume and the narrow consolidation. I took a long entry following a NRB with the 10 period MA coming up just below as support. I took 50% of my profit after a 1 pt gain. My target was $24.80 - $25.00 based on the 50% Fibonacci extension (from yesterday's low to the OR high) and the next resistance level on the daily view, however, that target proved too much under today's market conditions.

This was my only trade today. When I saw the weakness on the open, I was hoping for a bounce off of support on some of my usual suspects, but most stocks just meandered sideways after the initial drop.

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