Trade Ideas: CHI

This will be the last post until after Christmas. The markets took another step down, but the damage was slight and the volume light. The Trade Ideas scan was quiet; it was tough to find stocks making more than 4 or 5 appearances over the course of the day. Eight picks covered a time span of 2 hours - its full on holiday season.

Calamos CV (CHI) was one of the few pick to make 15 appearances. The income fund broke to new reaction highs, but has larger resistance at $20.41 to look forward too. The long term chart shows frequent positive tests of the 40-week MA (*corrected from "40-day MA"*). As for a target; the point-n-figure chart of $26.50 looks reasonable. The fund pays a 9.0% yield.

Calamos Convertible Opportunities & Income Fund is a closed-ended fund managed by Calamos Advisors LLC. It seeks to make its investments in the consumer discretionary, financial, energy, consumer staples, information technology, industrials, materials, healthcare, utilities, and telecommunication services industries. The fund invests in the public fixed income markets of the United States. It primarily invests in high yield fixed income securities and convertible securities that are either investment grade, BB rated, rated B and below, or unrated. The fund employs a fundamental analysis to invest in value securities. It seeks total return through a combination of capital appreciation and current income.



If you would like to try a full version of the Trade-Ideas software, follow this link for a free 7-day trial.


Popular posts from this blog

S&P "Bull Trap"?

Image
I thought there was sufficient evidence to argue against a "bull trap" in the S&P, but it would appear the market wasn't interested in such thoughts and sellers were quick to reverse the initial push above 4,200.  Adding to the pain were new 'sell' triggers in MACD and On-Balance-Volume, although the former occurred above the 'bullish' zero line, making it a weak signal. Selling volume ranked as distribution as selling momentum picked up speed.  The index is also underperforming relative to the Russell 2000. 
Read more

"Black Candlesticks" are a concern for the S&P and Nasdaq

Image
A bright start for bulls on the back of positive $NVDA earnings wasn't enough to generate a day of meaningful gains.  However, it did help stall the losses of the last couple of days. The Nasdaq was the biggest beneficiary of today's action, but not enough to see an end-of-day finish that cleared last week's swing high, nor delivery of a large white candlestick, despite the morning breakout gap.  Technicals are net bullish and relative performance against the S&P has become consistently stronger since the start of May.  While today's candlestick I would view as typically 'bearish', today's volume ranked as confirmed accumulation (bullish). Overall, I would be looking for higher prices from here. 
Read more

Round 2 for the bearish "black" candlestick in S&P and Nasdaq

Image
The Nasdaq started brightly but ended up closing below its open price, but above yesterday's close. The S&P did something similar, although the intraday range is narrower. These two setups are somewhat complicated by the new 'buy' triggers in On-Balance-Volume for both the Nasdaq and S&P. And the new MACD trigger 'buy' for the S&P. Price action is key, so I would expect the candlestick to trump the technical picture; watch for lower prices tomorrow.
Read more

Archive

Show more