Monday, August 5, 2013

Monday evening

Hu's on first base ...
Some indexes up and some down.  Confusing?  Sure.  Sooooo since it's summer here's Bud and Lou.

http://www.youtube.com/watch?v=WQXwt83hYkE

Monday afternoon


Looks like we are climbing the wall of worry ... and there is plenty to worry about. Between the elevated security concerns that have closed many of our embassies and stocks trading at all-time highs ... but there is also good news.  Congress has gone home for a month and nobody seems to be taking Anthony as a serious contender.  Perhaps sanity has a chance.  Now if mayor Bloomberg would stop attacking freedoms ...

Monday morning

PHM Daily Chart
Pulte Homes reported earnings on 7/25 and they were not inspiring.  Since then it has found support and moved up about 6%.  Volume for the last 2 trading days has been below average but increasing and the stock has begun filling the gap. Thursday the stochastic printed a buy signal and Friday the price moved up 3%.  I'm not looking for 24 but I do think the 200 day simple moving average is reasonable and that would be a 12% move.  I would set the stop reasonably tight; say 16.87 if the stock opens higher or 50 cents below the entry if it opens lower and bounces.