Daily Stock Picks: RYAAY, SXE, NVTL, APOL, MCCC [A Look At Day Trading]

As I called for yesterday, and even Intraday today, the market moved slightly higher in an attempt to reenter the triangle formation that the markets have been in for awhile. While the markets are still below the lower line of the triangle, I believe that tomorrows up will will have us approaching that lower line of the triangle. This, in my opinions, will setup us up nicely for the sharp sell off coming on Tuesday or Wednesday of next week (in the ultimate show of buy the optimism and sell the event of the Obama Inauguration). Which way this market breaks is on the shoulders of the government in general, and Obama in particular. I've seen nothing to indicate a recovery in economic activity in the second half of this year which is what a long term market rally here would require. All the market is likely to get is a recovery back into the trading range, whose window is quickly closing anyway.

Rank	Previous Rank	Symbol	MLT+Swing	Days in Top 5
#1	(#1 --)	RYAAY	1.08	3
#2	(#2 --)	SXE	0.98	3
#3	(#5 +2)	NVTL	0.84	3
#4	(#3 -1)	APOL	0.83	3
#5	(#7 +2)	MCCC	0.74	1

Following is a chart of today's action with the Dow vs. the XLF and it clearly shows how nimble, quick, and how closely that you have to watch this market. The middle of the day, starting a little before one in the afternoon the Dow started to bump up against the 8050 area on increasing volume, which was enough to grab my attention. You will also notice the the XLF was strengthening over this same period. Both broke out at the same time and both traded back to the resistance becomes support lines and rallied sharply, which confirmed the breakout and the buy. Later in the day as the market shot up you can see the the break of the trend and how the XLF reversed the relative strength from earlier, that was your exit point. A quick 5-6% gain in the UYG with little risk if you were watching and paying attention. In all likely hood both the Dow and the XLF will rally tomorrow up to these now resistance lines, at which point they will have a chance to breakout or fail at.