Watch this 2-day setup in GOOG

Jea Yu has been involved with the equities markets for over 10-years. He specializes with intraday trading in the U.S. equities and futures markets.To receive a free 7 day trial to Jea Yu's Underground Trading Pit, click here or call 1-888-484-8220 ext 1.

In my last article I pointed out the daily pups on (SIRI | Quote | Chart | News | PowerRating) and (AAPL | Quote | Chart | News | PowerRating) that formed with upside targets sitting at 7.41 and 63.95 respectively on their upper daily Bollinger Bands. The next morning, SIRI and AAPL both tagged their daily upper Bollinger Bands as yesterday's pup pattern foreshadowed the strong move. Pup patterns are when the 5-period simple moving average stalls sideways as the 15-period simple moving average continues to rise. Eventually, steam builds in the contracting trend channel to cause an explosive breakout above the 5-period moving average usually with upside targets at the upper Bollinger Bands.

There is another daily pup forming on (GOOG | Quote | Chart | News | PowerRating) and (ADBE | Quote | Chart | News | PowerRating). GOOG has daily upper Bollinger Bands near 420 but they look to be peaking so would look for a nominal target near 410 levels. The daily 5 support sits at 394. ADBE daily 5 sits at 32.90 with 33.60 as its daily upper Bollinger Bands. The main key is that the daily 5's hold against any daily candle closes. These are typically 2 days patterns which will be very interesting as we close in on options expiration Friday.

Be aware and be assertive. Good trading all!

Jea Yu