If you are unable to view all the charts in this article, please visit the Purely Technical stocks blog and read the 'Stock Picks - October' article.

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There has been a huge number of stock picks on which profits have been booked so far in the month of October. In this write-up, we'll take a look at 30 of the mentioned stock picks and try to provide a bit of insight into why each of the trading setups was considered attractive enough to be featured in the list of trading picks at TheMarketMessenger.com.

As you know, the trend leading into the month of October was an extremely bearish one and, as such, it will be of no surprise to note that the vast majority of trading picks were on bearish setups that were placed on the Short Stock Picks list.

The first trading pick featured below is a short pick on ERIC. 

Short Stock Pick: ERIC - descending triangle

ERIC was about to break out of a descending triangle in mid-Sept when this bearish trading pick was featured. The height of the pattern was just over 2.50 points. The stock traded sideways for around a week before moving in earnest towards the target of 7.50.

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Short Stock Pick: BCSI - head & shoulders formation

BCSI was set to break out of a head & shoulders top when it was featured as a short stock pick. The height of the pattern was four points, which brought about a target of 11. The stock reached that target within a week of the triggering of the trade.

Short Stock Pick: IP - hybrid double top, head & shoulders top

The short pick on IP was a result of a hybrid double top, head & shoulders top pattern that had formed over August and September. The height of the pattern was four points and, as such, a break of the 'neckline' at 27 called for a move to 23 or so. That target was reached in just over a week. In fact, the stock doubled that move over the three sessions that followed.

Short Stock Pick: LVS - break of support on intermediate or major trend

LVS was selected as a short stock pick after a minor consolidation at and above an important support level on the intermediate trend. Traders were sitting on a profit of over 40% within four days of the triggering of the trading pick.

Short Stock Pick: SHLD - break of rising trendline

SHLD was placed on the short stock picks list after the stock had broken and retested a rising trendline on the minor/ intermediate trend. RSI was also showing a potential negative centerline crossover, which added to the likelihood of a reversal in trend. The position was showing a 30% profit when profits were booked less than two weeks later.

Short Stock Pick: ADSK - break of support on intermediate trend

ADSK was showing a bearish head & shoulders continuation pattern on the intermediate level of trend and the threat of a breaking of a longer-term support level, when we featured the setup as a potential Short Stock Pick. The stock fell the expected distance of 7 points within a week, leaving a 20%+ profit on the trade.

Short Stock Pick: BNI - break of support on intermediate trend

BNI was featured as a short stock pick based upon the potential breaking of an intermediate support level at 92. A move of 15-17.5 points in stock price was to have been expected and that's exactly what traders got, within a week of the triggering of the trade.

Short Stock Pick: DVN - descending triangle

DVN was displaying a 25-pt descending triangle when it was featured as a potential short stock position in late-September. A 20-25 -point move was to have been expected. It only took the stock a week to reach the target area of 60-65, allowing traders to book a quick profit of around 25% in that short span of time.

Short Stock Pick: DTV - break of support on intermediate or major trend

DTV was encroaching upon a significant support level on its stock price chart in late-Sept. A breaking of that level was expected to make way for a move of 5 points or so. It didn't take very long for such a move to occur, once support was broken on Oct 6th.

Short Stock Pick: HAS - break of support on intermediate trend

HAS was on the verge of breaking an intermediate support level at 34 when the stock was featured as a potential short stock trading pick. Given the height of the pattern, a 7-point move was to have been expected and that is what the stock ended up doing within 7 trading sessions. However, we ended up pulling the plug a little early and booked a 3.5-pt (10%) profit within four trading sessions.

Short Stock Pick: ITW - break of support on intermediate or major trend

ITW had broken an intermediate support level, one day before we featured the bearish setup on the stock. Prices were retesting the breakout level on the day the setup was presented with a note to consider opening the position the following day. The stock quick moved towards the target of 36 and a profit of nearly 20% was available for members who participated in the trade.

Short Stock Pick: MXIM - head & shoulders bearish continuation

The MXIM stock chart above looks different than the others featured in this article because there happens to be a glitch in the chart that our regular charting service has provided. In any case, the stock was featured as a short stock pick when a head & shoulders continuation pattern was spotted on the chart. A 5.50-pt move was expected and that's exactly what we got, barely a week after the trade was triggered. That move converted to a 30% profit for traders who participated in the trade.

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Visit Us today! for Stock Picks, Options Picks, a Model Portfolio for Swing Traders and Daily Stock Market Commentary from TheMarketMessenger.com 

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Short Stock Pick: BUCY - bearish rectangle on minor trend

BUCY broke out of a bear rectangle on the minor trend when it was featured as a bearish trading pick early in the month of October. Healthy profits of upwards of 20% were available within two trading sessions.

Short Stock Pick: CLR - bearish rectangle on minor trend

The stock chart of CLR was about to break out of a bearish rectangle on the minor trend when the stock chart was featured. Profits of upwards of 30% were available when the target price of 20 was reached barely a week after the breakout.

Short Stock Pick: CYBS - double top

CYBS had apparently broken out of a double top and was retesting the broken support level from the pattern, when we listed it as a potential short trading position. A target of 13 was set on the trade. That level was reached (and bettered) barely week after the position was to have been opened.

Short Stock Pick: FTI - bearish minor rectangle

FTI had been in a downtrend for over two month before spending most of Sept. consolidating in a range between 43 and 53. The stock eventually broke support on Oct 2 and got within a point or so of our target of 32.50, four days later (it eventually reached and surpassed that level just over a week after we'd closed off the position upon a big intraday drop on Oct 6th).

Short Stock Pick: GRMN - consolidation within intermediate downtrend

GRMN was displaying a pristine rectangle between support at 32 and resistance at 39/40, when we featured the chart as a potential short stock trade in late-Sept. The pattern had a height of 7-8 points and, as such, called for a move to 24 or thereabouts. That target price was achieved within a week or so.

Short Stock Pick: GRMN - hybrid head & shoulders top, triple top

GRMN held up a little longer than most stocks did and provided the late comer a chance to participate in some of the downside action, when stock price finally fell below intermediate support (also the neckline of a hybrid triple top, head & shoulders formation) at 75, on Oct 6th. The stock quickly played catch up with the rest of the market dropping towards the target of 65-66, within three trading sessions.

Short Stock Pick: GOOG - bearish rectangle on minor trend

GOOG, which had been ekeing out lower levels in a stair-step fashion for several months, had broken support at 416 and was retesting that level, when we featured it as a short stock tip. We ended up underestimating how far the stock would go but nevertheless traders had the chance to take profits of between 10-15% within a handful of trading days.

Short Stock Pick: HOLX - consolidation within intermediate downtrend

HOLX was set to break out of a bearish consolidation when the chart was featured as a short stock pick. Profits were booked after a big intraday drop on Oct 8th, just short of the intended target of 14.50, which was eventually reached a few days later.

Short Stock Pick: KNDL - hybrid head & shoulders top, triple top

KNDL had just broken out of an ugly topping pattern and was hovering around the neckline of said pattern, when we featured the stock as a potential short pick early in the month. The expectation was that the stock would move towards the level (36.0) at which it had found support a few months prior. The target ended up being reached merely two sessions after the trading pick was opened.

Short Stock Pick: UTHR - bearish reversal rectangle

UTHR broke out of a bearish reversal rectangle that measured two points in height on Oct 3rd. It reached the target of 90.50 in the session that followed, leaving a quick 10-12% profit for members who participated in the trade.

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Visit Us today! for Stock Picks, Options Picks, a Model Portfolio for Swing Traders and Daily Stock Market Commentary from TheMarketMessenger.com 

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Short Stock Pick: NVS - descending triangle

NVS broke out of a descending triangle on Oct 8th and was showing profits of 10% the day after the breakout.

Short Stock Pick: AAPL - took aggressive short position upon retest of old major support level

AAPL had fallen from a level of 180 to a level of 85 within two months. By mid-October, the stock had gotten severely oversold and bounced strongly for two days. However, it was rather obvious to the trained eye that the stock was looking to retest an old major support level at 116 (which can be seen on longer term charts) before most likely falling, once again. Accordingly, we suggested that traders look to take on a short position if the stock jumped to 116 or so.

The stock, along with the rest of the market, opened with an upwards gap on Oct 14th. Conveniently, the stock was trading virtually exactly at 116 at the open and a short position was to have been opened, at that point, according to plan.

A profit of as much as 20% was available two day's later.

Short Stock Pick: ABX - break of support on minor trend

ABX had formed a minor support level at 30 through the first half of October. A short trading position was to have been considered if/when that support level was breached, as was the case on Oct 13th. Profits were booked when a trailing stop was triggered a week later. Profits of up to 20% were available at the previous day's lows.

Short Stock Pick: CVS - aggressive short position upon failed break of declining minor trendline

CVS is a horrible stock to trade. It can be extremely choppy and instigate a lot of heartburn to the stock trader. Nevertheless, we suggested a bearish play on the stock based upon a presumption that the minor downtrend would remain in place. The stock had been trading within support at 28 and resistance at 32 for a few days and was sitting at the upper end of the range when we featured the short trading pick. As an aggressive measure, we placed the trigger just above the middle of the range - at 30.50 - instead of at the base of the pattern. It turned out to have been a good move because the stock ended up moving 10% in the two days following the triggering of the setup.

Short Stock Pick: GG - break of minor, intermediate support

GG was at the cusp of an important support level when we featured the stock as a viable short pick. Profits of 20-25% were there for the taking merely two or three days after support was broken.

Short Stock Pick: MBT - aggressive short position upon retest of old support level

MBT had dropped from 70 to nearly 30 in a month and was deeply oversold when it looked like it was ready to experience a dead cat bounce. The hunch was that the stock would move close to the mid-Sept lows at 50 and then reverse course after testing that level. As an aggressive play, members were suggested to consider a short position upon any retest. The gap-up open on Oct 14th presented such an opportunity. Two days later, profits of over 20% were there for the taking.

So far, we've looked at several short stock picks. There were also one or two Long Stock Picks that did rather well...

After the drubbing that the markets had encountered over the period leading into the October lows, we'd elucidated that it didn't make much sense trying to play John Wayne in trying to pick stocks that might make gains upon the striking of an interim bottom. We reckoned that the markets themselves were oversold enough to provide quick gains of 10-15% within a couple of days.

As such, we highlighted potential bullish opportunities in the Nasdaq-100 Tracking ETF (QQQQ) and the S&P-500 SPDRs (SPY)...

Long Stock Pick: QQQQ - deeply oversold readings on RSI

QQQQ was showing deeply oversold readings as per RSI for several days leading into Friday, Oct 10th. On the weekend that followed, we'd enlisted a number of reasons why we believed that a strong bounce was near and that traders might want to consider a position in a couple of market index ETFs early on Monday morning. For traders who opened a position in the QQQQ, early on Monday, profits of 10% were available by the opening on the day that followed.

Short Stock Pick: SPY - deeply oversold readings on RSI

SPY was showing deeply oversold readings as per RSI for several days leading into Friday, Oct 10th. On the weekend that followed, we'd enlisted a number of reasons why we believed that a strong bounce was near and that traders might want to consider a position in a couple of market index ETFs early on Monday morning. For traders who opened a position in the SPY, early on Monday, profits of upto 16% were available by the opening on the day that followed.

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The preceding has been a rundown of 30 stock trading picks that have been closed so far in the month of October. It has been quite a good month for the stock trader who has had the courage and the foresight to play the short side of the market, as you can see. However, while the Stock Picks lists have done quite well, the Options Picks lists on our website have far exceeded even that performance (and, as a matter of fact, so has our Model Portfolio).

We'll feature a big collection of recent Options Picks and provide a rundown of the Model Portfolio performance within the next couple of days.

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Visit Us today! for Stock Picks, Options Picks, a Model Portfolio for Swing Traders and Daily Stock Market Commentary from TheMarketMessenger.com