MarketWatch:ETR

We will be dipping in for some Entergy (ETR)here either today or Monday. Entergy's $9 crash from $74 has been mighty, but the chart above tells me that it's fall has probably stopped.

The selling has been massive as indicated by successive large gaps and huge red candles all this week. Now look at the enormous amount sell volume which occurred shown by the huge red volume bars at the bottom of the chart. Message to world is all or most of the potential sellers have sold. When all of the potential sellers sell it spells bottom. I can't prove that no one else will sell, but you can see that there are a lot fewer potential sellers than we started the week with.

The stochastics are way oversold. They are not perfect, but they are flattening out.

Now take a look at the three year chart in the weekly time frame. You can see the support at $60 in October of 2009 and bet that it is no accident that this range held. Prior support usually holds.

I think we will step in with a one half position with a tight stop. I may wait until Monday to avoid exposure to any uncertainty over the weekend.