daytrade diaries... august 13, page-3

morning guys,

still quite amazing the strength that this current rally continues to show.

at this point there is still plenty of money to be made riding the trend, keep a look out for large spikes in volume and don't be scared to book profits and make sure not to be the last one out of the trade.

some trading themes that continue to work:


Mining services companies:

have had a stellar run recently, if the momentum continues have a look at the likes of BLY,AAX,VMG,EHL,BDL,MND,BKN.

I think there is more upside in both BDL and BLY


REITS:

has been some huge volume going through the likes of VPG,MDT,CER this week, it is likely that at least one will breakout today, keep an eye out for early volume as an indicator.


Resource Specs:

FMS - massive volume last two sessions, has been fueled by speculation of another upswing in iron ore, be very careful here, it has topped out a couple of times at 9.5c this year, if volume holds up there will be scalping opportunities.


PEN - another massive volume move yesterday, good to see it comfortably hold above the 4c level, wouldn't surprise to see it test 5c today and then some profit taking to set in.


CTP - oil/gas exploration play, very large targets just needs to commence drilling to gain a foothold above 9c, has been an excellent range trading stock buy low 8c's then sell at 9c.


ITC - oil/gas producer/explorer, yesterday announced some very positive exploration results from their snatcher 2 well in the cooper basin in S.A. The key here is not many people realise ITC are testing for a continuation of the Santos/Origin/Beach Charo Oil Field which would lead to an enormous re-rating of the company. After the success of snatcher 1, we should find out early next week if the 15 metres of oil shows in snatcher 2 are another commercial discovery.


RCP - caution needs to be taken here, but can be a very profitable trade, with further exploration results due from Redbank in coming weeks. Accumulate on any weakness and sell into any positive exploration results.