Day Trade - Amazon.com, Inc. (Public, NASDAQ:AMZN)

AMZN was an earnings gap as discussed in Thursday's post. I placed my fibs from PDH to ORL. Price consolidated in the retracement zone and rolled over. Took a partial after 3WRBs and closed the position after AMZN carved out a hammer after tagging the weekly pivot P.

If the 20 EMA holds as resistance in early trade Monday, we could get a continuation play as we did with QCOM after its earnings gap.

QCOM was an earnings gap short on Thursday, but relatively disappointing given that we didn't get more sellers. The late day move up towards the downsloping 20 EMA proved to be resistance as it had no follow through and breached the PDL in early trade Friday for a gap continuation play.

I'll be watching AMZN for a similar setup tomorrow.

AAPL - Scalp trade - I knew that AAPL would attempt to BO of the base forming at the blue line. Once the triangle formed, it allowed for an early entry. Good thing, because the rally out of the base turned out to be lame.

Scalping - Amazon.com, Inc. (Public, NASDAQ:AMZN)

AMZN held support of last week's lows, formed a mini inverted H&S on the 1 minute timeframe, setting up a scalp long. I took a partial at full extension. Price then retraced back to base of initial entry for a successful retest of the base. Added back full share size on break of next mini-base. Exit at 200% of initial setup. Final scalp into the close.

Continuation Plays -

AGU and POT set up nice continuation plays after yesterday's gap up. I liked AGU because yesterday's daily printed a NRB. Break of PDH (previous day high). Exit after 3 WRBs just about 10 cents away from the Fib. target.

X gapped into the R-zone and consolidated for about 45 minutes before breaking the ORH. X didn't reach the Fib ext. As noted is last night's technical post, the downsloping 50 DMA is a resistance area on the daily.

NASDAQ futures scalping. The blue line base for my long entry was a resistance area midday yesterday. Exit at R1. Shorted a lower high prior to the break of a descending triangle but got stopped out on a breach of the trendline. That turned out to be a head fake and I got back in to finish the job back down to P.

Dummy Gapper Trades - Walter Industries, Inc. (Public, NYSE:WLT); Fording Canadian Coal Trust (USA) (Public, NYSE:FDG)

WLT and FDG were earnings gaps. WLT opened strong but retraced 75% before finding a bottom and beginning the base building process. I saw a 3 PP base at $94.00 and jumped in. Took a partial on weakness and then folded after it took out the morning swing high and gave it back.

I thought that FDG was setting up for a flat base breakout so I took an early entry. Once I was in the trade, I didn't feel any volume coming in, so I traded not to lose by moving stop after each completed 15 min. bar. After tagging the ORH twice, it failed and my stop saved the trade.

Failures usually lead to fast moves in the opposite direction. So I managed to make FDG work for me by short scalping it twice. The first scalp was a break of a bear flag. The second scalp set up after a full retrace back to the base and a mini C&H heading south.

Watch List Short - Hansen Natural Corporation (Public, NASDAQ:HANS)

We talked about shorting HANS on Monday. We said we wanted to short HANS on the next test of support at $37.00. HANS tested $37.00 three times before breaking down. The first chart is 1 min. The first test swoons from far away so we do nothing because price will consolidate and we want to hold out for a better setup. The second test holds our number and bounces. The third test carves out a NR which is perfect for a low risk entry. Cover when price fails to hold S2.
Price retraces 62% of the move from the ORH to the morning swing low. It fails to close above the 20 EMA and carves out an inverted hammer. Short as price takes out inverted hammer. Partial at the whole $ number on a huge volume spike which marks the end of the move for now. Still think that this one is going lower.

Trade of the Day - Arch Coal, Inc. (Public, NYSE:ACI)

Talked about this ACI setup in the comments last night. Yesterday's failed B&B BO could result in a breakdown.

Here's my trade on the 5 min.

I was watching ESRX for a C&H pattern yesterday afternoon but it didn't pan out. This morning my alert went off. But I didn't react quickly enough.

Just managed a scalp.

My gapper trade started off nicely. Thought it might form a C&H when it stalled, but it retraced too deeply.

Interesting little video on GOOG