Watchlist for the week of May 14-18, 2012

The market has been pretty weak of late, and even the oversold bounces have not been very convicing. All the indices appear to be forming bear flags on the daily charts and we are likely headed lower. The bear flags might be too obvious, and often when everyone is watching the same pattern, these patterns don't work out... so be ready for anything!

We are getting close to some interesting areas of support, but I will try not to jump in on the long side too early this time. On the SPY, I'll be watching these areas of support: ~133, 130 and 128.

Here's some stocks that I'm watching this week:

Long: HW, AWAY, MRH, POWI, BLDR, HDSN, APOG

Short: SUNH, IMOS, THLD, ALSK, ANSS

Parabolic short: ARNA, RPRX, RST, AXK, HTH

Dead cat bounce: CHK, NANO, FOSL, SFY, MAKO, HLF, DECK, BODY, TAST, RNDY, CPNO, RNF

For a quick view of charts, you can copy the tickers and paste them into Finviz, check it out:

http://finviz.com/quote.ashx?t=HW,AWAY,MRH,POWI,BLDR,HDSN