Thursday, August 14, 2008

Round Trip - Amgen, Inc. (Public, NASDAQ:AMGN)

The first chart is daily chart of AMGN, which shows why it is having such a hard time breaking out of the $64-65.00 range. There are lots of pivots dating back to 2006 which are getting in the way of a smooth BO. Last week it failed at $64.00, but has continued basing in a tight range so I have kept it on my focus list. Today, it finally broke $64.00 and was setting up a nice C&H pattern at $65.00. It was no surprise that the C&H pattern failed.

As you can see from the 5 minute chart below. I caught the break of the opening range for a fast vertical move. I held a partial for a sharp retracement and series of higher lows. I tightened the stop as the waves became shallower. Then just like, déjà vu, it failed at $65.00 and I was stopped out. The next trade was short the failure and that brought us all the way back home - round trip.

AEM has rallied 10 pts. from its bottom in just a few days. Today it set up a 3 pivot base & break short after forming a big top. I was expecting a bigger move, but I'll take what I can.

A false BO and small loss, was the trigger for a nice retracement on FWLT.

Also, caught a quick move in RIMM - break of 15 min. ORH. The so called H&S top didn't pan out obviously.

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