Thursday, September 24, 2009

IN THE HUDDLE-Casino Update

Last week I wrote about the casinos and airlines.

The bearish engulfing patterns on the daily tipped me off that they were about to me in play. Remember, we at TradingRM wait to see price action verify the chart patterns. We didn't short the casinos the day after I wrote my blog. There was no reason to. Today was a different story. Several traders' got short casinos off the open. Yesterday was the first day since I wrote last week, that MGM, LVS, WYNN closed on or near their lows. Moreover, these stocks opened at high of the day, and closed at low of the day. Game on! The bearish engulfing pattern has now been activated. Let's wait to see if WYNN can break below $67.90 for continuation lower.

Speaking of bearish engulfing, here is a daily chart of BZH. Look at the high on 9-23. Above average volume for the day. Don't be surprised if this stock is in play in the next week.

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