Fannie Mae (NYSE: FNM) TheSUBWAY Stock Traders Pick of the Day
This morning we are getting into Fannie Mae (NYSE: FNM) again. We are seeing relative strength with FNM up over 10% in a negative tape:
Our daily chart is not showing a trend developing yet in Fannie Mae (NYSE: FNM), but more of consolidation range so we will step into FNM with a small initial position. We will look for FNM to break our trendlines to the upside and we will add to our position, keeping our tight stop in, around 5% today:
Last week saw a nice uptrend in Fannie Mae (NYSE: FNM) in our 15 Minute Chart, which has flattened out since Friday. We are looking for this upward momentum to continue if the two houses pass this 700 Billion Bailout:
Our Weekly chart is not showing an upward trend:
Though our Phils X2 is blue, which signals institutional buying in the stock:
Our Phils X1 is showing Fannie Mae (NYSE: FNM) above support of .42 with the next resistance at $2.27. Volueme is light compared to the last few days, we suspect traders are waiting to hear what the two house decide about the 700 Billion Dollar Bailout. It is also under the 50, 100 & 200 day moving averages, so we are not looking for Fannie Mae (NYSE: FNM) to be an investment, but only a trade:
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