Tim Bovee, Private Trader: Tuesday's Finalists: FSLR, ANF, UPS

Tuesday, December 2, 2014

Tuesday's Finalists: FSLR, ANF, UPS

Of the 21 survivors of my early rounds of analysis (see "Monday's Prospects", one has made it through to the end: The solar energy company First Solar Inc. (FSLR), with a bear signal.

If the name seems familiar, that is because I analyzed FSLR last month ("FSLR: No longer a story stock"). I opened a position then, and it remains in my portfolio today.

FSLR popped up as a fresh bear signal because the price closed above the 10-day price channel on Nov. 26, sending an exit signal. However, it wasn't confirmed, as the price declined back within the price channel the next day, and so my position remains in my portfolio.

I won't be adding to that position as a result of the new signal.

The fate of the other survivors, all bear signals, was as follows: Nine failed confirmation, rising back within their price channel; six had insufficient open interest on their options to support a trade; and five had bid/ask spreads of greater than 10%, which runs against my preferences.

One symbol came under consideration for a trade keyed to earnings: ANF, which I analyzed before the opening bell today in "ANF: Volatility play".

And I've taken a preliminary look at a symbol from my list of innovative companies: UPS, which gave a bull signal on Monday. I intend to do a full analysis of UPS as trade under my shorter-term rules. It is ineligible for a trade under my longer-term rules since it has closed above the 12-month moving average for two months and remains well above the MA12.

-- Tim Bovee, Portland, Oregon, Dec. 2, 2014

References

My shorter-term trading rules can be read here. My longer-term trading rules can be read here. And the classic Turtle Trading rules on which my rules are based can be read here. My very short term volatility trading rules can be read here

Disclaimer

Tim Bovee, Private Trader tracks the analysis and 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 decisions for his or her own account, and take responsibility for the consequences.