Trading SKF XAU BIDU GOOG OIH 121707

The market is getting short-term oversold after today’s 61 point slide in the Nasdaq. That doesn’t mean it can’t get more oversold here, but I won’t be trading as aggressive on the short side.

I took a trade long in SKF using the 15-minute chart. Entry was over 100.63.  A stop was set under the day’s pivot low of 99.63. I had a target of 102. The trade was almost stopped out, but held on. I did sell earlier than 102. I filled in the 101.70’s. The market was heavy without too many bounces. Maybe I should have just sold half, and held the rest until day’s end. Profits in this market environment can disappear quickly though.

Anyone shorting gold stocks has done well since the breakdown. It’s getting too late to short there now.

High flyers BIDU and GOOG both found their50 day moving averages. Expect a bounce.

OIH is trading at it’s long-term support trendline from August. It should bounce here.