Top Trade Ideas for the Week of May 2, 2011: Bonus Idea

• Posted by Greg Harmon
• on May 1st, 2011

Here is your Bonus Idea with links to the full Top 10:

Allot Communications, Ticker:$ALLT

Allot is testing a double top at 16.55 after a series of steps higher. It has a rising Relative Strength Index (RSI) and a Moving Average Convergence Divergence (MACD) indicator that has just crossed positive and is increasing. Both support more upside. If it can get through that resistance then there are targets from a series of Measured Moves (MM) higher at 18, 19 and 20.75. Use the breakout level as a place to put a stop and roll it higher as the targets are attained. Earnings are released on May 3rd.

The First 5

The Rest

(As always you can see details of individual charts and more on my StockTwits feed and on chartly.)

After reviewing over 700 charts, I have found some good setups for the week. These were selected and should be viewed in the context of the broad Market Macro picture reviewed Saturday which looks cautiously higher for both Gold and Crude Oil. The US Dollar Index looks to continue it death march lower searching for new all time lows while US Treasuries continue to favor the upside. The Shanghai Composite on support has more downside potential and the Emerging Markets look to be in a range, with a bias higher. Low and stable Volatility look to continue to support an environment for the Equity Index ETF’s, SPY, IWM and QQQ to move higher, with the SPY and IWM looking to have the best prospects in the short term. Use this information to understand the major trend and how it may be influenced as you prepare for the coming week ahead. Trade’m well.

If you like what you see above sign up for deeper analysis and trading strategy by using the Get Premium button above. As always you can see details of individual charts and more on my StockTwits page.

The information in this blog post represents my own opinions and does not contain a recommendation for any particular security or investment. I or my affiliates may hold positions or other interests in securities mentioned in the Blog, please see my Disclaimer page for my full disclaimer.

blog comments powered by Disqus