END OF DAY NOTES

Another day of profit-taking. Above is a crude 3-day chart of the Dow. The trend clearly indicates profit-taking. And the yellow bar was the danger zone I pointed out this morning, 11300, which didn't hold. The Dow did manage to stage a slight and expected rally, but it wasn't strong enough to break free from the "profit-taking" channel. Once again, today's low, 11264 will become tomorrow's critical support, and that little peak at 11301 will be a tiny resistance.

I started off the morning really pissed off when I saw my stop loss was triggerred in CTCM! Lesson: don't set computer stop losses on low volume stocks. I ended up buying back the stock at 22.99. Yes, look at the high of the day, that was my trade... ouch.

• PALM - weak the whole day. Blackberry email can now be used on Treo... was that bad news?
• RMBS - making a nice comeback
• ILMN - got flushed down the toilet. This is one volatile monkey.
• ALSK - I panic sold my long. Maybe I should have held on.
• OLAB - struggling to stay above $7
• MED - used to struggle above $12, but failed, and now it's heading down below $11
• Home builder stocks, like TOL, may be weak for the rest of the year. Look out!
• XMSR - profit taking. A buy below $13 sounds good for now.