By Gareth Soloway on May 21st, 2010 1:18pm Eastern Time
The markets closed at their lows of the day yesterday. The SPDR S&P 500 ETF (NYSE:SPY) closed at $107.54. The fear was palpable as the futures overnight and this morning sold even more. As the fear spread at the open, the markets gapped lower. The SPY gapped down to $105.91. This was exactly what a true swing and day trader was looking for to buy the markets.
Exxon Mobil Corporation (NYSE:XOM) was one of the longs played, picking it up at $59.55 on the open. The alert was given in the Research Center on the Hot Charts and Alerts. Profits were taken just two hours later for a $1.00 gain at $60.55. In addition, other plays had been accumulated and given as alerts. These plays were in the solar sector. Suntech Power Holdings Co., Ltd. (NYSE:STP), Trina Solar Limited (NYSE:TSL), Canadian Solar Inc. (NASDAQ:CSIQ) and SunPower Corporation (NASDAQ:SPWRA) were all discussed and given in the Research Center as well. They were highlighted because of a major oversold situation and the fact that as a Chief Market Strategist, I saw the Euro was going to bounce this week. The CurrencyShares Euro Trust (NYSE:FXE) was given as a trade to the long side at $122.48. Today it hit a high of $125.59. What a gain! In addition, solar stocks have a ton of exposure to the Euro and have been hammered by the falling Euro. In that case, logic stated a bounce in the Euro would bring a pop in the solar stocks. Sure enough after making a beautiful bottoming tail on the charts, the solar stocks raced higher. More profits to all.
Always understand the markets folks. When everyone is ready to jump off a cliff, accumulate longs and profit. By reading the charts and sentiment, you can become one of the elite swing traders in the world. This is what we do, these are the profits just over the last day or two.
Gareth Soloway
Chief Market Strategist
www.InTheMoneyStocks.com
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