Dec 6 2009

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DD: Has a fairly sloppy chart pattern during the last several months. The trading range was strong from July to August and then tight sideways action into September. The retracement that occurred in September foretold a possible broadening of a distribution pattern taking place in the volume. The rise into October and December were not able to break out into new strongly higher territory. This was telling of selling behind the scenes. The Dec. 4th. breakdown in price indicates this weakness. Price dropped below the TL and MA. Price dropped below the two short term TL's earlier and now broke the longer term TL from the July/Oct. lows. More weakness and consolidation probable for the short term.

HPQ: Has one of the most beautiful charts in the market. The rise from July was positive and strong and the retracements were minimal with consistantly higher highs and higher lows. The only change in tone has come in Nov. with a high followed by a low followed by a lower high and a lower low. Price then broke the TL lower and consolidated at the 25 day MA. Price has stabilized and looks to move higher given any market positives. None of the move in this stock has resulted from tremendously powerful explosive activity. As you can see this is all powerful trend following type price activity with no wild swings one way or the other. Indicating strong institutional buying on the way up and buying on the dips to add to positions.

JPM: The end of Nov. breakdown in price crossed the TL from July/Oct. and broke the 25 day MA. Price was supported near the 50 day MA where it came back and hit the TL moving up from where it had just crossed. Price failed at that point and fell below the 50 day MA and finds some support at the TL from the May/Sept. intersection. The chart pattern looks very weak although price is currently holding near support in the 41 dollar area. I would be suspicious at this point about its future direction as it would take a strong upward move to regain its angle of ascent which would be a positive.

T: This stock traded very sloppily from Aug. to Oct. in a range of approx. 10%. The chart was not giving us good TL consolidation patterns until the first week of Nov. Once price hit the TL formed in the consolidation pattern in Oct. it immediately perked up and ran past its recent highs. As you can see we have TL's drawn from the Aug./Sept. lows which intersect with price at the Oct./Nov. lows. It is this TL that indicates support and from there price rises.