Typically on a day like today where the market starts out hot and remains that way all throughout the day, I like to narrow down a list of stocks I am looking at for late afternoon trading. Unless you came into today locked and loaded it is tough to really knock it out of the park. Sure picking up a HDNG here or there is helpful, but 5 more would really make the day. So, rather than chase the stocks that are thrown out one by one and have already moved, I like to narrow down the list to some that may look perky but have not been found yet.

What happens is many out there are in the same boat and as the strength persists, they will search far and wide looking for stocks that haven’t moved yet. The key is to get there before them.

I came into today with a list of 50 or so stocks to watch, out of my data base that includes many hundreds currently. As the 2 o’clock hour rolls around I will start really honing in on a few that I am watching that could go either later today or within the next couple.

The key however, is to keep your stop tight. If the market action turns, you don’t want to be stuck holding the bag.

The market continues to act well however the S&P can’t manage just yet to get back above the trend line support, ditto *XLE which is keeping me dark there for now.

Trade ‘em well

Short XLE