If you trade stocks online, invest in stocks, trade the stock market, looking for advise on how to trade stocks effectively and looking for the tools to effectively trade the stock market. Including the right tools to research for investing, or day trading or swing trading. Including but not limited to penny stocks and high beta momentum then this tutorial is for you. Technical Analysis Update
Monday, May 8th 2006
Closing Bell Update - AAPL, SNDK, SINA, & ADBE
I want to go over these 4 stocks because they are momentum stocks and they are liquid. Apple has gone up 10%, SNDK is up 10%, SINA is up 7% and ADBE is down 5%. These are the ones to own. No one should be down on these stocks. At this time I prefer to wait for new set ups. I want to see if the Nasdaq can take out key resistance levels before issuing new buy alerts. At this point in time, waiting and patience will be you best friend .
Apple Computer, Inc. (AAPL) - Daily Chart
The daily chart of AAPL illustrates that it has completed a wave (3) to (4) pull back. AAPL has now broken out of a falling wedge pattern, and it has also sliced through resistance at $72.45. This is also the Fibonacci 50% retracement level. If AAPL can take out the 65% retracement level, the wedge will turn into a continuation wedge. Furthermore, the MACD is supporting this upwards reversal and showing positive divergence as well as making higher highs along with price.
SanDisk Corp. (SNDK)- Daily Chart
The daily chart shows that SNDK has been in a wave 3 to 4 correction since the beginning of this year. SNDK has now broken out of the wedge. I am waiting on SNDK to take out the 65% retracement level for it to turn into a continuation wedge.
Sina.com (SINA)- Monthly Chart
As you can see, SINA has broken out above the down trend line and has also back tested the down trend line on the monthly chart. It has taken out the trend line going all the way back to 2004. Furthermore, SINA has gone through all of it's corrective modes. Since SINA has broken out, a lot of other stocks will follow. This breakout will bring a lot of momentum into the stock. I believe significant gains are ahead for SINA. We are up 7% from entry.
Adobe Systems, Inc. (ADBE)- Daily Chart
The daily chart of ADBE illustrates that it is in a wave (3) to (4) pullback. ADBE is in an ascending triangle pattern. If ADBE hits the uptrend line I would pick up some shares there. There is no bearish in the MACD. We are currently off by 5% in this stock.
April 15, 2005 5,609,077,523<---------Last Year
May 13, 2005 5,716,066,911
June 15, 2005 5,840,614,782
July 15, 2005 5,748,318,831
August 15, 2005 5,821,353,067
September 15, 2005 5,811,842,432
October 25, 2005 5,944,351,614
November 25, 2005 5,913,634,842
December 27, 2005 5,882,483,998
January 13, 2006 5,885,355,970
February 15, 2006 5,801,377,970
March 15, 2006 6,198,926,815
April 15, 2006 6,286,025,884<---------NASDAQ All time High Short Interest
AAPL (Up 10%% from entry) Falling Wedge Reversal or a Continuation Wedge
SNDK (Up 10% from entry) Falling Wedge Reversal or a Continuation Wedge
SINA (Up 7% from entry) Monthly Breakout and Backtest