A Full Monti

//A Full Monti

Hawk’s Scan Sentry Report November 21

Welcome to Hawk’s Scan Sentry Report. This is Sunday night with equities analysis from Jan Arps’ Scan Sentry Toolkit for the week beginning November 21.

Although I do not trade the news, I was intrigued that the economic troubles in Europe claimed the 17 year political career of Sylvio Berlesconi in Italy this week. Mr. Berlesconi, who was a media mogul before becoming publicly involved in Italian politics, managed to rise to the position of Prime Minister in Italy by virtue of the fact that he owned most of the newsprint, radio, and television media in Italy and therefore controlled the nature and message of the political dialog. The reason for the end of his political tenure is that Italy became the target of national bankruptcy speculation in the maelstrom surrounding the Euro, and Mr. Berlesconi and his policies were blamed.  What I find most interesting, however, is that the new Prime Minister, Mr. Monti, has decided to ban elected politicians from his cabinet of ministers, and instead place bankers, industrialists, and businessmen who have not been in politics to these positions of political power. In essence he cut out the ‘middle-men’. This may indeed prove to bring a little buoyancy to the financial markets. A similar alliance between industry and government arose in Italy in the early 1930’s.  It is important to remember that governments and corporations exist for different purposes… one is meant to promote the general welfare of its represented members, while the other is meant to serve the accumulation of wealth for its owners. They should not be modeled one upon the other. We’ll see how this plays out for the Italian populace as well as for the interested financial institutions… and the markets which we like to trade.

I don’t expect to do very much trading this week as many people (including myself) prepare for the holiday season. However, here are a few equities that I will be looking at this shortened week.

_____Longs_____

PPL

(This looks like a pullback to support to me. I like the strong bullish indication of the Radar1 Fear/Greed indicator, and the acceleration in an uptrend identified by Radars 2 and 3):

PLCE

(All three Radar indicators are bullish as well as the Triple Trender. This appears to have about 3 dollars of upside potential before finding resistance ):

REXX

(A nice pullback to resistance near the short-term Triple Trender. Radar1 Fear/Greed and Radar3 Trend Strength Index both bullish. If the Radar2 Price Leader can cross above it’s center-line into acceleration and coincide with a Bull Flag breakout I will be interested in buying):

_____Shorts_____

DAN

(The Triple Trender on the price chart and all three Radar Indicators below the price chart have just turned bearish after a ‘bearish pivot divergence’):

MAA

(Bearish Pullback 23 within a Bear Flag pattern and all three Trenders now bearish after a  pullback ).

PRU

(All three Trenders are now bearish with the Radar2 Price Leader decellerating amidst more selling pressure identified by the Radar1 Fear/Greed  histogram):

May the trend be with you,

Hawk

Jan Arps’ Traders’ Toolbox is not an investment advisory service nor a registered investment advisor or broker-dealer and does not purport to tell or suggest which securities customers should buy or sell for themselves. Examples presented on this site are for educational purposes only.  It should not be assumed that the methods, techniques, or indicators presented in these examples will be profitable or that they will not result in losses. There is a high degree of risk in trading.  Readers using this information are solely responsible for their actions and trade at their own risk. Readers should always check with their licensed financial advisor .

2018-01-08T08:06:32+00:00November 20th, 2011|Hawk's Picks|