Since everyone is fixated on the financials, let’s take a look at the XLF. Yesterday’s selling was nasty and will likely lead to further downside…but the longer term uptrend is still intact. I would not be a buyer of financials, but I suspect buyers will emerge towards 12.50 and 13.
Enough of this bearish talk…let’s look at a couple longs (and one short).
For the past month TTMI has been digesting its early August surge. We have two choices here…wait for the stock to breakout of its consolidation pattern, or buy near the bottom and sell on any break of support. If you want to get long near support consider bidding for TTMI near 9.90 with a tight stop under the 9.80 support…9.70 would seem adequate.
EXEL is a small stock that could provide momentum traders with an opportunity above 6.20. Traders will need to use their own discretion as far as an initial stop is concerned…but I certainly would not want to be in this stock under 5.82.
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Disclosure: No positions were held at the time of publication, though that may change at any time.
If broad market weakness persists and RVBD bounces any where near 19.20…I will consider taking a short position with a stop above 19.50.