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12/4/2007  Tue
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A Big Gap Warned Us Of A Reversal


Gapper's Eye utilizes our original unique stock scanner, Break Scan, and sophisticated chart software, CQG. With nominal fee, the Break Scan is available to our members.  

The Kamikaze Gap Play was introduced to the U.S. traders in the August 2005 issue of Active Trader Magazine.

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The Nasdaq gapped down on the open.

The green dot indicates the opening price.

Excerpts from Net Aid:

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2007-12-04 22:57:07 hatch shadow
Good eveningI

2007-12-04 23:02:30 hatch shadow
The Nasdaq was hovering over the 20-MA.

2007-12-04 23:02:59 hatch shadow
Currently, the futures suggest the gap down open.

2007-12-04 23:04:03 hatch shadow
GOOG will make the biggest downside gap, about 3.3 points.

2007-12-04 23:04:16 hatch shadow
It's going to be tough to long this this one after two consecutive down days.

2007-12-04 23:04:17 hatch shadow
‚c‚q‚x‚r

2007-12-04 23:04:26 hatch shadow
It will be down 2.6 points.

2007-12-04 23:04:41 hatch shadow
‚g‚n‚k‚w

2007-12-04 23:04:49 hatch shadow
Do you see a long down bar. This will not make a trading list.

2007-12-04 23:04:59 hatch shadow
‚`‚`‚o‚k. It has two straight down bars, and it will open about two points lower.@

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2007-12-04 23:05:23 hatch shadow
‚a‚h‚c‚t. This will probably make a long list.@

2007-12-04 23:05:33 hatch shadow
‚e‚v‚k‚s is not bad either.

2007-12-04 23:05:50 hatch shadow
‚`‚l‚y‚m

2007-12-04 23:06:01 hatch shadow
About 4 points down. Not bad.

2007-12-04 23:06:29 hatch shadow
SP‚v‚q is a long candidate, up three points.@

2007-12-04 23:06:38 hatch shadow
‚d‚r‚q‚w has a good pattern.

2007-12-04 23:10:19 hatch shadow
Let's see some short selling prospects.

2007-12-04 23:10:21 hatch shadow
‚b‚d‚k‚f

2007-12-04 23:11:04 hatch shadow
‚`‚l‚k‚m@

2007-12-04 23:11:58 hatch shadow
‚j‚k‚`‚b also looks weak.

2007-12-04 23:12:15 hatch shadow
‚l‚m‚r‚s

2007-12-04 23:12:53 hatch shadow
‚o‚b‚k‚m is in an uptrend.

2007-12-04 23:13:39 hatch shadow
‚v‚x‚m‚m is in a downtrend.

2007-12-04 23:14:00 hatch shadow
‚t‚`‚t‚` is another weak stock.

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2007-12-04 23:30:11 hatch shadow
The opening bell.

2007-12-04 23:30:53 hatch shadow
Here's hatch 3.

2007-12-04 23:30:55 hatch shadow
I see ‚a‚h‚c‚t.

Which one can you hold till the close?

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2007-12-04 23:31:09 hatch shadow
‚c‚h‚r‚g

Up $250 for 500 shares.

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Up $660 for 500 shares.

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2007-12-04 23:31:18 hatch shadow
Both issues were double-scanned.

2007-12-04 23:31:30 hatch shadow
‚a‚h‚c‚t.

Up $300 for 100 shares.

2007-12-04 23:32:34 hatch shadow
‚r‚o‚v‚q

Up $402 for 200 shares.

2007-12-04 23:33:47 hatch shadow
‚`‚`‚o‚k and  ‚f‚n‚n‚f.

Up $214 for 200 shares.

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Up $200 for 50 shares.

2007-12-04 23:36:32 hatch shadow
‚d‚r‚q‚w@has moved out of the gap.

Up $150 for 500 shares.

2007-12-04 23:38:40 hatch shadow
‚`‚`‚o‚k is moving.

Up $168 for 200 shares.

2007-12-04 23:39:04 hatch shadow
‚f‚n‚n‚f is ready here.

Up $123 for 50 shares.

2007-12-04 23:39:44 hatch shadow
The futures are trying.

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2007-12-04 23:44:46 hatch shadow
GOOG looks ready.

Up $171 for 50 shares.

2007-12-04 23:51:23 hatch shadow
It's getting weaker.

Three one- minute charts below indicate how they moved after my 11:52 post. 


Only $50 profits if you could exit properly.

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Probably no profits.

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Only $44 profits for 200 shares.

Trade the opening hour only if you want to make good profits ! 

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The Nasdaq formed a doji - bar.

It is hard to guess the direction of the market. Watch out for swing trading.


Gapper's Eye Index

Daytradenet Top


Charts courtesy of CQG

Source: 2006 CQG, Inc. All rights reserved worldwide.

 


Red and blue zones show the gap of the preceding day.
The Green zone indicates the profitable zone of trading
.

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