Newcastle Investment Corp. (NCT) had another nice white candle. I think this move is getting over-extended. It should make for a nice short on green/red action, although it might have another up day.

GreenHunter Energy, Inc. (GRH), China GrenTech Corp. Ltd. (GRRF), and GENCORP INC (NYSE: GY) all had big gains on Friday and are on watch for continuation. GY had the strongest close so I may look to buy it if it shows strength tomorrow. However, considering it has some resistance in the $4.50 to $5.00 area (from last October-November) it may also fall and it could make for a nice short when it goes negative for the day.

Disclosure: No positions. I have a disclosure policy.

#1 by Preston on August 16, 2009 - 9:08 pm
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Hey Michael, ready for another work week.
Have you looked at CNAM, really low volume but a big move on earnings and a one time transaction that without this transaction would have been a decrease for the period. They should start to fade out during the week, shares to short might be hard to find though.
#2 by Reaper on August 16, 2009 - 9:17 pm
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CNAM gapped higher on earnings report and stayed strong throughout the day. Who am I to presume it was a bade quarter? Anyway, the low volume and it being OTC is enough to keep me away all but the most perfect of charts (like CBIS … now at 1/3 where it was when I last wrote about it).
#3 by Preston on August 16, 2009 - 9:45 pm
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Ok, I have to get in my head that earnings don’t matter, only price action… Blahhhh. I get so strung out on reading that I forget the rules of day trading that you have put out for me to follow.
#4 by Preston on August 17, 2009 - 11:29 am
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I was able to trade QGLY, buy 3000 @ 2.88, sell @ 3.10.
660 paper trade profit.
But I got rooked on CNAM, you will find that funny I’m sure. Buy 1000 @ 2.70, sell 1000 @ 2.25.
Hope your having a good day.
#5 by Reaper on August 17, 2009 - 11:31 am
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what are you using to papertrade? Are you using TOS or IB’s papertrading functions or just making notes. 3k in QGLY wouldn’t work well–too low of volume.
#6 by Preston on August 17, 2009 - 11:56 am
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TOS paper trading and I was wondering about that. I’m sure this can’t be that accurate on these stocks.
It’s at least giving me a chance to work with the screen and buying/selling orders, scans and charts.
#7 by Chris on August 17, 2009 - 3:13 pm
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I’m sure you know this but just a reminder, that papertrading with the ToS platform has 20 min delayed quotes, but their charts are live. So don’t look at their charts if you want the “real” feel of trading.
#8 by Preston on August 17, 2009 - 3:50 pm
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Yeah I noticed that, thanks. I have my real portfolio open as well so I see the delay. It seems a bit complicated to me but I guess you have to get use to it, I see what Michael is talking about.