Tuesday, October 19, 2010

LVS Watch

The gambling resort company Las Vegas Sands Corp. (LVS) moved to bear phase on a major technical tool, ending a 33-trading-day rise tha was punctuated bya a couple of one-day signal whipsaws but no price setbacks.

LVS $37.90

The bear phase from Person's Proprietary Signal (pps) prompted me to close my bull position for a 13.2% gross profit over 25 calendar days, or, annualized, 192.7%. (In keeping score of my trades, I like to annualize as a way of putting all positions on a level footing.)

Most of the LVS universe remains in bull phase: The parabolic sar, the macd, the price position well above the 20-day and 200-day moving averages.

However, the Heikin-Ashi candlestick trend also turned down, lending some support to the pps signal.

The signal came as Credit Suisse began coverage of LVS with a neutral rating, which, in the inflated world of stock analysis, usually translates to "turkey".

Earnings will released for the open on Oct. 28, and at that time we'll all see whether Credit Suisse knows something that we don't.

On the Person's chart, the price dropped below the midpoint and touched the lower weekly pivot level.

Person's Table
ppspps openupper pivotlower pivot
LVS $37.90 $38.36 oct19 $39.68 +4.7% $37.57 -0.9%

After setting a swing high on Oct. 12, the stock has yet to set a meaningful lower low. So my pure daily price analysis, LVS remains in an uptrend. For that reason, I don't yet see it as a bear play.

Reversal Levels
  • $39.59, +4.5% (swing high)
  • $37.90 --- You are here.
  • $36.38, -4.0% (20-day moving average)
  • $35.42, -6.5% (recent low)
  • $24.49, -35.4% (200-day moving average)

For slow traders relying on the 50-day / 200-day moving average crossovers, the stock remain in bull phase, as it has been since July 2009.

Slow Trading
LVS $24.48 $32.55

Bottom line: I remain bullish overall on LVS, but am quite happy as a fast trader to exit before earnings, in case there's a nasty little surprise over the horizon. I've not elected to open a bear play, and won't consider without evidence of a downtrend, such as a persistant drop below the 20-day moving average.

Tim Bovee, Private Trader tracks the trades of a private trader for his own accounts. Nothing in this blog constitutes a recommendation to buy or sell stocks, options or any other financial instrument. The only purpose of this blog is to provide education and entertainment.

No trader is ever 100 percent successful in his or her trades. Trading in the stock and option markets is risky and uncertain. Each trader must make trading decision decisions for his or her own account, and take responsibility for the consequences.


  • h-a trend - Heikin-Ashi trend.
  • pps - Person's Proprietary Signal.
  • psar - Parabolic Stop and Reverse
  • ma20 - 20-day moving average
  • ma200 - 200-day moving average
  • macd - Moving Average Convergence-Divergence
  • sto - Fast Stochastic

About the glance: The colors indicate the state of each signal.

  • h-a trend: Determined by the Heikin-Ashi candlestick, green for up, red for down. Heikin-Ashi averages six days for high, low and close, signalling uptrend if the close is in the upper half of the range and downtrend if it is in the lower half.
  • sto: green for bull, red for bear.
  • sto zone: green for overbought (80+), red for oversold (20-), yellow for neutral zone
  • psar, pps, macd: green for bull mode, red for bear.
  • macd trend: green for rising, yellow for sideways, red for falling.
  • neutral.
  • ma20, ma200: green for above the average by more than 1%, red for below the average by more than 1%, yellow for within 1% either side of the average.

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