Monday evening

Monday Afternoon - Superman stock?

Daily chart of LL (11:10AM)

If you believe that housing has bottomed and that new construction is now turning up from the very low levels it has been posting for .... oh .... years ... then this may be a good time to buy some LL.  It's come back to a longer term trend line here and is showing a buy signal on the daily stochastic.  Volume needs to be a bit higher but this one is worth watching.  I nibbled some Feb55 calls @ 1.35.

By the way, if you wonder what the connection to Superman is it's the initials LL.

Monday Morning - Hold the ForTiNeT

Gator's Chart of the Day: FTNT

Fortinet has now moved into the gap created when the market didn't like the earnings report.  Friday's open and close were both above 20.81 (beginning of the gap) and volume was 30% higher than Thursday and 10% above the 50 day moving average.  Buyers are coming.  The stochastic is in overbought territory at 89.05 but strong stocks stay overbought as they make their move higher.

I'm in the trade using January calls and I'm looking for the stock to test the top of the gap before they expire.  I'm not expecting the move to be without a red candle or two but I plan to hold a core position as long as the stock remains in the gap.