Charts

SPY


FXP/FXI





JPM/GS





USD

SPY | X | FSLR | FXI | JPM

SPY - 2 yr chart

SPY - 6 mo chart

X - short term overbought

FSLR

FXI

JPM

Chinese stocks looking weak

This is a picture of Chinese stocks.

And here are two ways to play it.

Too far, too fast.

Be aware of earnings announcements and volatility - the following are based on charts only.

SHORTS:
In most cases these are stocks that are due for a pullback or have broken support.
LVS (this was my favorite until they talked about it on CNBC but nonetheless)
WYNN
CME
FDX
XLE
MA
NMX


LONGS:
In most cases these are stocks that have been beaten down too much too fast (i.e. UNG) or are presenting a low-risk entry (i.e. AMZN) at support
UNG
AMZN
DBA
FXI

...after the bounce

SPY has a good chance of climbing back to its "double bottom" levels of 126 (former support) as the oversold conditions get worked off. And if (when) it does, I would seriously consider taking the opportunity to lineup your next round of shorts. Follow the market's lead - look for individual stocks that have also recently broken support and are climbing their way back to the underside of a pre-existing support/trend line, then pick up some puts.
Below are some future suggestions - you will notice that currently NONE of them are at a low-risk entry point, so be patient.
FDX
GS
FXI
BIDU

My favorite is FDX. Short it when it gets back to low 80s. Energy stocks continue to get whacked - stay away from them, that goes for coal, steel, and ag stocks too. They are all technically broken. There will likely be a good time to get back in but it's not now. Consider picking up some calls on these; however, once the market hits overhead resistance (to remain delta neutral).

setups

LONGS:

USO and WDC are presenting low risk setups to the long side.


SHORTS:
FSLR
The following oil, gas, steel, and coal stocks all look like crap after their technical breakdown earlier this month:
SLB, OIH, HAL, APA, DVN, BP, XOM,
X, AKS
ACI, BTU
If you happen to like any of the oil driller/service/equipment names, stick with CHK or RIG.


WATCH:
FXI (125)
BIDU: bearish but oversold, short on a bounce


OptionSpot

FXI | MON | POT | SPY

What a difference a day can make. It's already time to revisit some recently mentioned setups.



FXI: Overbought. Overall, nice looking chart for the longer-term.















MON: Oversold. Monsanto is among a list of stocks that got hammered after reporting good numbers and raising their outlook. All else equal, it is simply presenting an opportunity.













POT: Another example of a stock that just got hammered after reporting good numbers and raising their outlook. The difference here is the enormous amount of volume that traded today - proceed with caution.












SPY: I thought the bulls were going to do it today but the 139/140 resistance continues to hold. I think it will break sooner than later, especially if XLF can string together another couple days like it did today....

FXI | MON | RIMM | POT

The following have been getting a lot of mention, forming some nice setups, and should be on your watchlist:



FXI - Huge breakout on big volume. FXI got as high as 160.90 before ending the day 157.61. Still overbought so be patient. Look for a small pullback and look to go long.







MON - Perhaps taking a breather...before rocketing past 140...









RIMM - has been drifting upward for a while but hasn't been able to breakout yet. It has a very low ADX reading, implying a lack of a trend. It still seems like it's formed a nice base and may be preparing for another leg up.






POT - Big red candle. I don't see any reversal in sight so maybe it will present an opportunity to those of us who missed the last 20 pullbacks.




Keep in mind these are just setups and not your signal for entry. You should have (or will need to develop) some criteria to help you identify your entry signals.