The MTG Stalk Sheet
February 9, 2010

The MTG Stalk Sheet presents you with the best individual stocks that Morpheus Trading Group is stalking for potential trade entry each day, all in a concise and easy to understand format. Please be sure to read the MTG Stalk Sheet User Guide in order to understand the terminology below and to receive the maximum benefit from your subscription. Enjoy!

"FULL-SERVE" STALK LIST

Yesterday's broad market action may have disappointed those looking for a strong follow through to the upside from Friday's bullish reversal bar. If the broad market averages can climb above yesterday's high and hold, then we could see a short-term rally that tests the 20-day EMA on the S&P 500 and Nasdaq Composite.

There are no official setups this morning, however; we have a few new setups we are monitoring from the self-serve watchlists below. We may look to grab a long or two (with reduced size) and play for a quick 10% move. If any new trades are made we will promptly send an intraday alert.

"SELF-SERVE" STALK LIST - UPDATED EVERY MONDAY (Click here to view the "Self-Serve" Stalk List section of the user guide.)

LONG WATCHLIST AND TRIGGER PRICES - (changes to trigger prices are highlighted in red)

Pullback entries - (2-5 day pullback in a strong uptrend or pullback to the 20 & 50-day MA's)

- New setups

BIIB - 53.71 (holding support from lows of range)

DAL - 11.65 (pullback to 50-day MA)

MMR - 15.50 (holding support of 20-day EMA)

- Previous setups

- Triggered

UTHR - 57.40 (move out after pullback to 20-day EMA)(reports 2/18) (triggered 2/8)

Breakout entries - (from cup and handles, bull flags, flat bases, and downtrends)

- New setups

NETL - 49.20 (breakout above three-day high)

MR - 36.10 (break of downtrend line)

MJN - 46.63 (breakout from tight range)

IPXL - 14.06 (break of downtend line)

- Previous setups

- Triggered

SHORT WATCHLIST AND TRIGGER PRICES

- New setups

- Previous setups

- Triggered

Daily Stalk Summary

Below is an overview of all "full-serve" open positions, as well as a performance report on all "full-serve" positions that were closed only since the previous day's newsletter. Net P/L figures are based on the $100,000 Stalk Sheet model account size. Changes to open positions since the previous report are listed in red text below. Please review the MTG Stalk Sheet Subscriber Guide for important, automatic rules on opening gaps and stop prices:

Open positions (coming into today):

(flat)

Closed positions (since last report):

(none)

Current equity exposure ($200,000 max. buying power):

Notes:

BIDU reports earnings today after the close.

Be sure to check for earnings before making any trades over the next few weeks.

Market Conditions / Gameplan:

Markets are in distribution mode after a short lived rally.

Market Leaders:

Monitoring the price action of leading stocks is the best way to gauge the health of the market (when the market is trending higher). Keep a watchlist of these symbols up at all times and review the price action every night after the close. This list of leaders is updated every Monday.

Current / Potential Leadership

UTHR MNKD NKTR JAZZ MMR TRGL TII ALGN BEXP CGA GMCR BIDU BIIB GILD GENZ LOPE

Open Position Detail:

Flat

Have you had a complimentary trial to Morpheus Trading Group's other newsletter services?

Edited by Deron Wagner,
MTG Founder and Head Trader

DISCLAIMER: There is a risk for substantial losses trading securities and commodities. This material is for information purposes only and should not be construed as an offer or solicitation of an offer to buy or sell any securities. The Company and/or its affiliates, officers, directors and employees may or may not buy, sell or have a position in the securities discussed in The MTG Stalk Sheet and may profit in the event the shares of the companies discussed in The MTG Stalk Sheet rise or fall in value. Morpheus Trading, LLC (hereinafter "The Company") is not a licensed broker, broker-dealer, market maker, investment banker, investment advisor, analyst or underwriter. This discussion contains forward-looking statements that involve risks and uncertainties. A stock's actual results could differ materially from descriptions given. The companies discussed in this report have not approved any statements made by The Company. Please consult a broker or financial planner before purchasing or selling any securities discussed in The MTG Stalk Sheet. The Company has not been compensated by any of the companies listed herein, or by their affiliates, agents, officers or employees for the preparation and distribution of any materials in The MTG Stalk Sheet. Past performance never guarantees future results.

Copyright Â© 2002 - 2009 - Morpheus Trading, LLC
All Rights Reserved