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Krispy Kreme Doughnuts Chart - 60-minute interval.

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Since gapping down on November 14, we've waited patiently for shares of KREM to consolidate, and then show some signs of weakness. Today looks to be that day with the recent breaking of support near $79. We'd follow a short position with a stop just above at $82. Volume has started to dry up and this one could provide a tradable move to the downside. Preliminary target for traders would be $73 and if horizontal support at $72.50 is broken, there could be more downside from there.

Dow breaks support

The Dow Industrials wasn't able to hold support on our 60-minute chart and when a "strong" index begins showing further sign of weakness, we want to play the overall trend.

Dow Industrials Chart - 60-minute interval.

With the Dow breaking support and potential damage being done to investor psychology, we want to get a short position to offset our long position in JDSU. While we're not hedging a sector or group, we're trying to buy near resistance and short a breakdown. Traders should understand that both of these trades were short-term in nature and we'd expect to benefit one way or the other if the election is settled short term.

-Staff Analyst

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