Stock Chart Analysis STP

Suntech Power Holdings Co., Ltd. (ADR) (Public, NYSE:STP)

STP looks like it is getting ready for a sharp move, and while it is currently in a bearish setup, traders should be on guard for a move in either direction. STP had been trading in a large base since early May, when it peaked after a tremendous rally off the March lows. STP had been oscillating between roughly $13-$20 as it consolidated for almost half a year. The first bearish clue appeared in September when a rally attempt in STP failed to move to the top of the range, and ended up resolving as a lower high. STP did hold up above the September 2nd low on the pullback from the lower high, but the bounce was even weaker than the preceding one, and STP followed through a few weeks later undercutting that low and the 200-day moving average in the process.

STP has been consolidating this breakdown in a tight range for about two weeks, and could be setting up for a continuation move lower. A consolidation below prior support is often a bearish development and STP could probably be shorted on a break below $12. However, and this is a big however. The current market has been punishing bears, and many promising looking short setups have been completely invalidated by the market's strength. While the setup favors continued weakness, there is a possibility that a short squeeze could occur. STP has earnings coming up in a week and a half and is still technically at the lower bounds of the existing base. The level on the upside to watch here, at least near term, is the $14 area which coincides with the 200-day moving average. A move back into this area could trigger some short covering and force prices higher.

Good Trading,

Joey

Stock Chart Analysis HL
Hecla Mining Company (Public, NYSE:HL)

I wrote an article last week for Investopedia mentioning that there might of been a buying opportunity present in Silver and in it I mentioned Hecla Mining Company (NYSE:HL) as a silver miner to watch, as it was close to testing an important support level. The support level mentioned was the $4 level, which was a prior high back in June. Notice how HL has been trading in clear horizontal channels over the past several months. It broke out of a base in April and came back to test it a couple of times in May and June. It held this level, and never looked back. It rallied in September to new highs, and has now come back to test the breakout area near $4 twice. It appears to have held that level, and HL had a very sharp move higher today after reporting earnings. Volume was up sharply, and there was also a sharp move higher in the iShares Silver Trust (ETF) (Public, NYSE:SLV) today as well, which could lead to new highs in Silver. It looks like the recent correction in Silver is ending and this could mean higher prices for the miners. I had started to pickup some SLV shares after writing that article, and picked up HL this morning as well. Even if Silver is not ready to go, at least there is a clear area under the recent test of support for which to place my stops.

Good Trading,

Joey

I would like to thank everyone that participated in helping us raise money for the TS Alliance through our first ever Stocktwits Charity Poker Tournament last evening. The tournament was a blast, as 38 Stocktweeps gunned for each others chips online. There was some drama with top bounty man Howard Lindzon initially zooming to the top of the leaderboards, and Brian Shannon almost busting out in the first few minutes. They ended up crossing each other again in opposite directions as Brian bounced back to finish in the top 10.

We are very pleased with the support we received from the Stocktwits Community and taken back by the generosity displayed by several individuals. The total amount pledged to TS Alliance was just over $3000, with more than $2000 coming directly from individuals. Before we get to the tournament results, I would like to thank the following people who donated directly to the charity:

• @inobrad
• @hamzeianalytics
• @johnwelshphd
• @hedgieguy
• @hippowl
• @wwwstockrake
• @stockguy22
  
• @agwarner
• @steelertrader78
• @marketnut
• @ppearlman
• @weeklyTA
  
• High Chart Patterns Group (no twitter)
  

I would also like to single out Phil Pearlman for really stepping up and partnering with me to help organize the tournament. The help from Stocktwits went a long way in helping make this event a success and I am very appreciative of the help. Fari Hamzei also worked diligently in the background to help raise money and I am also grateful for his help.

As mentioned before the tournament was a blast and we received very positive feedback from everyone involved. The Stocktwits stream was buzzing with excitement for the full two hours it took to complete. There was some drama, some bad beats, and in the end, an exciting finish as @forevercaroline took the top honors. There were also some great bounties won, and additional prizes beyond the cash pot.
Here are the final results (Doyles Room ID's)

1 fvercaroline
2 forbsie
3 budfox555
4 ppearlman
5 think2play
6 milktrader
7 jonomaz
8 sayem
9 alphatrends
10 jlcnuketrade
11 brasil61
12 fcagger
13 nsummy
14 cpruette
15 shag007
16 aiki14
17 maktruck
18 fasthowey
19 betacap
20 makc52
21 steelertrade
22 contrahour
23 mxgman
24 gofeltafish
25 dvid07
26 jersey hound
27 ldrogen
28 dtowntrader
29 chartaddict
30 genevate
31 afontwitter
32 royaltrend
33 stockguy22
34 ev4zpoker
35 5starjam
36 tgoddess
37 kosovar
38 johnwelshphd

The following is the Prize Breakdown.

@ForeverCaroline took a huge cache of prizes

• $380 Cash for top finish
• Knocked out Brian Shannon for the following bounties

One year subscription to Marketclub ($350 value) – MarketClub is an online charting system that is constantly scanning 317,000 symbols with buy or sell signals deigned to help traders research, get in and out of trades as quickly and efficiently as possible. MarketClub puts all of your research tools in one easy to use package that together gives you the edge you need to build and manage your investments. Take time to check out the MarketClub Trader’s Blog to learn more about MarketClub and the team behind it

If anyone is interested in trying INO marketclub, INO is offering 2 free months in addition to the 30 day money back guarantee to participants in the Stocktwits Tourney.

One year subscription to INO TV Premium ($100 value) – INO TV Premium is an online collection of over 500 trading seminars from some of the foremost experts in their areas. It’s designed to help new and seasoned traders alike learn trading techniques from the comfort of their home. With 11 channels covering Day Trading, Options, Forex, and more, INO TV is able to help educate even the foremost trading expert!

• Won a free copy of Brian Shannon's excellent book “Technical Analysis: Using Multiple Timeframes” .
• Won a three month subscription to High Chart Patterns Newsletter ($115 value)

The High Chart Patterns group writes a daily newsletter geared towards short term trading, with a focus on only the best setups and patiently waiting for the proper risk versus reward. To learn more about their service visit their site and sign up for a free two week trial.

• Knocked out Phil Pearlman for a Bottle of Patron Tequila
• Won awesome Poker Chips kit offered by Howard Lindzon

@freindofforbsie (Forbsie)

• $228 Cash for Second place finish
• Won a free copy of Brian Shannon's excellent book “Technical Analysis: Using Multiple Timeframes” .

@nhowe (BudFox555)

• $152 Cash for Third place finish
• Won a free copy of Brian Shannon's excellent book “Technical Analysis: Using Multiple Timeframes” .
• Won a bottle of Grey Goose from @downtowntrader for knocking out @weeklyTA
  

@ppearlman

• $114 Cash for fourth place finish (donating to charity)
  

@thinkingtrades

• $76 Cash for fifth place finish
  

@sayemislam

• Knocked out Howard Lindzon for the following bounties

• Stocktwits Schwag Package courtesy of Stocktwits
  

• $200 cold hard cash courtesy of @johnwelshphd
  

• 6 Months Free to @hamzeianalytics HFT Package ($600 Value) courtesy of Fari Hamzei
  

The HFT Package from Hamzei Analytics is a private twitter feed with access to web based live chart streaming used to trade index futures and equity options. There is also a java based backup chat room. The offering is moderated by several pro traders including Fari Hamzei, Brad Sullivan, Rich Gula, Tom Bohn and Scott McCray. For more information please visit the HFT product information page.

Again, we would like to thank everyone that participated and if you missed the tournament and would still like to contribute, you can still donate at the tournament's home page. We will look to run a few of these in the future for different charities, as well as making this one an annual event.

If anyone has comments or feedback we welcome them.

Thanks again,

Joey

I continue to be amazed by the generosity shown by the members of the Stocktwits community. I originally expected a few signups to the tournament and to maybe raise a halfway decent amount for the TS Alliance. Completely unexpected by me was the unsolicited generosity from people like @johnwelshphd and John Lee (@weeklyTA) who have made donations directly to the charity. Also, Phil Pearlman has just run with the tournament idea and managed to help raise a lot of money and get the word out. Towards the end of this week, I received news that Fari Hamzei of Hamzei Analytics had pledged an extremely generous donation as well. Fari has pledged 6 Months Free to their HFT Package ($600 Value) and he will also donate $400 directly to the charity. This a huge offer by Fari and is the single largest donation so far. I am very appreciative of his offer and it's amazing that people I have never met before are just flat out stepping up to help.

Here is an updated list of individual charitable contributions:
Fari Hamzei $400 Cash
@johwelshphd $200 Cash plus $100 if Howard Lindzon is taken out on a bad beat.
John Lee (@weeklyTA) $100 Cash

And an updated list of bounties

Howard Lindzon

• Stocktwits Schwag Package courtesty of stocktwits.com
• $200 courtesy of @johnwelshphd
• 6 Months Free to @hamzeianalytics HFT Package
  ($600 Value) courtesy of Fari Hamzei

Andy Swan

• Bottle of Pappy Van Winkle "World's Finest" Bourbon courtesy of Andy Swan

Phil Pearlman

• Bottle of Jose Cuervo

Trader Alamo

• Stocktwits Hat@Aiki14 (Jim Gobetz)
  

@Aiki14 (Jim Gobetz)

• Stocktwits Beanie

The tournament will be held this weekend and if you plan on participating please complete the sign up steps as soon as possible. There are a few steps to complete so don't let time run out by waiting till the last minute.

Also, don't forget to register for the tournament once you are in Doyles Room with the password provided when you fill out the RSVP page. It seems like many are waiting or forgetting this last step, so please be sure to actually register for the tournament. Also, especially if you're new to online poker, try to play in a few free games just to get used to the software, etc. If anyone has questions, feel free leave me a comment or email me at downtowntrader@gmail.

Here is a list of people who intend to participate

Howard Lindzon
Phil Pearlman
Jim Gobetz (Aiki14)
Andy Swan
@downtowntrader (Joey Fundora)
@TheTradeAlamo
@Stein
@inkstainstudios (Robert Fundora and twin brother to downtowntrader)
@Shag007 (Fernando Alvarez)
@jonomaz
@ev4z
@adamsussman
@nicksummy
@KoSoVaR
@genevate
@betacap
@maktruck11
Brad Sullivan

This adds up to $450 for the prize pool , plus an additional $450 going directly to the charity.

I think this tournament will be a blast and hope to see you guys there.



Joey

Stock Chart Analysis MCO
Moody's Corporation (Public, NYSE:MCO)

There is an interesting pattern developing in MCO and the resolution could lead to a big move. MCO broke down from a consolidation in September on a large increase in volume. This move came after several months of drifting lower, as it corrected a sharp move higher from March through May. On a weekly chart, MCO still looks like death, so the recent breakdown looked like the beginning of an eventual break back to new lows. Over the past couple of weeks, MCO has been rebounding back into the prior area that was holding as support which often provides a great shorting opportunity.

However, MCO has yet to really show weakness on this bounce, and is now peeking its head back into the base. This market has had a plethora of failed bearish breakdowns, and its interesting to see if MCO will now join the list. Who knows if this move is related to options expiration tomorrow or not, but MCO would surely catch a lot of bears off guard if it could rally a few more days. My inclination would be to short this on any weakness at these levels, but I am open to anything occurring at this point. As traders, we should always prepare for multiple scenarios so that we are not caught scrambling by the unexpected.



Good Trading,

Joey

First off, I would like to personally thank @johwelshphd for offering a huge reward for anyone knocking out Howard Lindzon from the Stocktwits Charity Poker event. He has pledged $200 to any of his followers that knocks out Howard, plus an additional $200 directly to the charity. This is a total contribution of $400 and frankly, surprised the hell out of me. I am extremely appreciative of his generosity and it goes to show you that our community is full of great people. The list of beers I owe to someone grows by the day.

** Update - @hamzeianalytics has also added to the bounty on Howard with a free three month sub to their HFT offering. Many Thanks!!!

We have some high profile Stock Tweeps already registered with Howard, Phil Pearlman, Jim Gobetz (Aiki14), Trader Alamo all committing. We will also have a another big hitter to announce this week who has also pledged a bounty on his own head. This event should be a blast and there is still time to sign up and compete for cash and prizes in the event, and help advance a worthy cause. For more information on how to sign up go to our sign up page.

See you there!

Joey

I've been working on organizing an online Poker tournament for charity for the past few months. I reached out to the folks at Stocktwits.com and they were more than happy to help a lending hand, for which I am very appreciative. I decided to organize this event to help a friend of mine who has a child with Tuberous Sclerosis and raise money for the TS Alliance. Tuberous sclerosis complex (TSC) is a genetic disorder that causes tumors to form in many different organs, primarily in the brain, eyes, heart, kidneys, liver, skin and lungs. Today I'm happy to officially announce the tournament.

The tournament will take place Sunday October 25, 2009 at 6:30EST. The tournament should be loads of fun as it offers a chance for members of the Stocktwits community to compete directly with each other and win prizes. There will be bounties placed on community members as well which should make the tournament even more interesting. The tournament will be No Limit Texas Holdem with a total buy in of $50. $25 will go towards the charity and $25 will go towards the prize pool. If anyone is interested in participating please visit

www.pokerformycharity.com