Thursday, January 3, 2008

solar and ag stocks and QSC

I think the solars go higher but need a breather. When you see what I call the "junior solar" plays get red hot after the big solars go parabolic it may be time to take a breather. Today they opened very strong, SOLF, for example, opened gangbusters,traded sideways for a good part of the day and then filled the opening gap entirely before it staged a late 3:30pm rally. Some "smart money" thinks that mid-January they may come down like a house of cards. I don't think that far in advance as most of my trades are closed by 4pm. I may miss an occasional FSLR up 50pts. in aftermarket, but I also miss the BIIB's down 25 pts in the aftermarket. It just helps my sleep pattern. I am still bullish on the group but am being more cautious.
If any one thinks the agricultural stocks are perhaps a bit long in the tooth a good way to play shortside is Market Vectors Agribusiness ETF on the short side. The symbol is MOO. I love the group and am a huge believer in buying strength and selling (shorting) weakness. I think it is a strong group just a tad toppy.
QSC- i mentioned it in Tuesdays post. I thought if the stock could get through $6-6.25 with authority, (volume)- it could run to $8-8.50. It looks like it is under some serious accumulation as the stock traded to $6.24 on very good volume today. I still want to see breakout type volume around 1.5 million shares. Keep it on the radar.

Great Trading


About Me

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I am a former hedge fund manager, broker and capital markets dude who now trades for his own account. I love what I do. I will try to post some stocks and an occasional chart that looks attractive for entry.I will also try to point out the idiocy of conventional wisdom and the lack of value added by the mainstream financial media. These postings should not be viewed as recommendations.