Trade Ideas: AVZ, JRN, GPS, KNL, PTP, VZ, FCH, JCI

Tech is having a great day and is pulling the other indices up with it. I took a quick look at Richard Lehman's Trend Channel Stockchart public list and he has the Nasdaq breaking upside from a 3-year rising channel (The S&P did something similar back in October). The Trade Ideas scan was surprisingly limp considering; 8 picks covered a time span of 13 minutes - yesterday's buying was better than today's, even though today marked a significant technical break (i.e. an end to Nov-January sideway channels).

Two picks: Gap (GPS) and Johnson Controls (JCI) made it over the 20 appearance mark at 30 hits and 22 hits apiece. Stocks liks Amvescap (AVZ) and Platinum Underwriters Holdings (PTP) linger in the high teens on the daily scan hits.

As for bullish MA crosses inside the last 2 months: Amvescap (AVZ), Gap (GPS), Platinum Underwriters (PTP), Verizon (VZ), and Felcor Lodging Trust (FCH) all made the grade.

As mentioned recently, Amvescap (AVZ) is shaping a cup-and-handle. Gap (GPS) is building a scrappy sideways consolidation wedged between $19 and $21. Look for move to $26 when it break. Knoll (KNL) has formed a 'cup', but as yet, no 'handle'. When it does, look for a move to $27. Platinum Underwriters (PTP) has formed a 4.5 month bullish ascending triangle; buy break of December highs and look for a move to $36. Verizon (VZ) has shaped a mini-base of 2 months; a measured move target would be $42. Felcor (FCH) should be kept on a watch list until it clears $22.50 given it has spent the last year meandering between $19 and $22. Johnson Controls (JCI) has formed a handle-on-a-handle. A break of $90 could see a move to $115.



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