Support and Resistance levels

Support and Resistance levels and Rangebound trading
We hear every one talking about this, what does this mean, is there some element behind these numbers, i was skeptical so i began to watch how the market behaves around these levels
Currently lets assume the range for SP500 is between 1040 to 1110
what we need to watch is to see how the buyers get into the market when SP 500 is at 1040 and how sellers / institutions get out to book profits when it flirts around 1110
If thats how we are going to be until end of the year it presents opportunities to book to 20 to 30% returns in a calendar year if we have 3 cycles such corrections
So far in CY2010 we have had 2 .
Feb 2010 - first week
April 23-26th 2010
Im not sure the current correction we are in is over and we are headed towards 1110 SP500 and 11,000 DOW ( thanks AA DOW 30 is a drag now)
But when we do there is a great opportunity to make use of range bound market activities.
Since MARCH 2009, we have had 4 such corrections - July 2009 , Oct/Nov 2009, Feb 2010, May 2010
So its a matter of PURE PATIENCE and not getting swayed by market movements

WHAT A DAY ---- DID YOU USE THE OPPORTUNITY

What a day guys
amidst all the technology trading companies my little SHAREBUILDER - thanks to costco
ROCKED, every one of my trade went through fine
what about you guys ?

Flirting at Highs and Searching for Value

Overpriced Equities and Searching for undervalued picks
I guess this is a constant struggle for any investor, looking at the current trends and politics beating stocks down, im beleiving that the following equities are good 6 month long plays
GS
BRKB
BP
C
I was talking about the line up refresh in CROCS for this summer /spring - already up today by 6% so i add that to my watch cluster
CROX
Any body any reads on ANF ?
the high brand maker is a good flirt when the economy rebounds just like people craving to buy Estee lauder perfumes

Also i was looking into REDBOX and see numbers behind it
CSTR that owns redbox already shot up, i was looking into Netflix/nflx and hping to catch a wind in coinstar but the wind is blowing very very hard
Just watch it closely
GS
BRKB
BP
C

Activity players
CROX
ANF
UA
CSTR
NFLX

Pls share your thoughts --