Wednesday evening

Despite the bounce, PCLN appears to be in some trouble.  A rally up toward the 50dma would look like a short to me.  Careful with this one.

Wednesday Afternoon

COT Report - Euro futures (Sentimentrader.com)

With all the chatter about the Euro breaking down today... I thought it would be a good time to take a look at the latest COT report showing traders positions. I don't have much to say that you can't see for yourself... but one thing is obvious: Commercials are building long positions into this decline... and they are not doing it lightly. After watching the commercials build equity index shorts for months, and then the change in trend that followed... I am wondering what information they have that would encourage them to put such large Euro long positions on.

It could just be part of a broader currency hedging strategy... which would suggest this report isn't worth putting much weight on. Something tells me that isn't the case though, and that we will soon hear about some "plans" that have been going on behind the curtain. Whatever the situation may be... I thought it was something to be aware of.

Wednesday Morning

Gator's Chart of the Day: GEOY

GeoEye has been in the news recently as it made a bid for its rival, DigitalGlobe (DGI).  DGI is much bigger and it looks like the takeover will not happen.  In fact, now the speculation is that GEOY will try to sell itself.  With a P/E under 9 and its stock down 24% in the past two weeks it could be attractive.

The green arrow is pointing at the upper Bollinger band which is just starting to hook.  That frequently coincides with a change in price direction.  The stock is a bit thin with average volume just over 250k shares traded and its market cap is under $500 million so it's not a trade for the squeamish but it can be very low risk with a stop just under Monday's low of  18.96.

Of course if the general market condition is negative or if the news about Greece continues to be unrelenting and bad ..... take a pass.