Watching this week

We're feeling bullish this week, but remember the indices MUST be moving in our direction prior to entering any new long trades. There is a good possiblity the DOW is going to "digest" it's big move last week, and perhaps form a "flag" here for a few days.

While it does so, we'll monitor it, but once it starts to move again (either up or down) from the flag, we'll look for new entries. We're expecting a few days of rest, and then a continuation of the up trend. Consequently, some new longs we're keeping our eyes on include:

TXU - a very nice TTC-a entry. We'll need this and the markets to be up to enter a new long.

RAI - a nice breakout above resistance on clearly higher volume happened on Friday. A move up is expected shortly. Another nice long.

FCX - a breakout from a converging channel, on nice volume. Yes indeed, another nice long entry.

WCG - one to watch, but last time I checked it had little open interest. Be careful to look at that, and the spreads on price prior to considering this. Still, a nice looking chart.

A few others we're keeping our eye on: HAR, RAIL, CAM, BUCY

One more needs to confirm, but the trend on this chart is very nice--CEO.

Those will be enough to keep us busy this week, but again, the key is that the markets MUST be moving in our direction. Given the schizophrenic nature of the markets lately, we'll want to be sure all our ducks are marching in the same direction prior to entering new trades.

Good trading to all this week!

Two more addtions, both "channel breakouts": NEU and TRMB. Both of these might be new entries today. Very nice breakouts on strong volume! Both have made big moves (so we'll need to be wary of profit taking) but ones to watch certainly.