Tuesday, January 29, 2008

Chart Play


This following pick is a purely technical play. SOLF was a previous high flyer that doubled soon after a recent breakout all the way to $40. The market's recent breakdown and the stock's over speculation made it fall all the way to under $15 the past couple of days. The solar group itself suffered some very bad loses recently but some stocks in that group have found bottoms and are coming around. SOLF is one of them and as you can see it has made a significant stochastic crossover and will probably breakout of this box I highlighted. Buy point is now if the markets can get going tomorrow. I put no targets on stocks since it's not a good idea to sell a stock that's going up but SOLF will probably find resistance somewhere around $22.

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