Long ideas for the week are ARST and QSII as they continue to break out to all-time highs. We are also watching CPSI, DRI, and PNRA to consolidate and make another push higher if the broad market chooses to do so as well. Shorting into resistance we have FWRD, HRS, and VIVO. A big week filled with economic news and earnings ahead, tread lightly. Preserving capital should be your #1 goal.
As we are expecting a gap down on Monday we are looking at a few select longs to buy early in the week those names are ADBE, CTRP, ESRX, LFT, MYGN, and SMG. We will follow up later in the week once a market sentiment is established. Remember we are still in earnings season so expect whipsaw action.
Last weeks watchlist was solid once again, with a few of our longs FDO and FNF bringing in quite a profit. Be cautious heading into next week as Economic News will be the catalyst for movement. Here are the tickets we like thus far… LongCTR – On a breakout of $19.DLTR – On a breakout of $45.LANC – On a breakout of $43.MJN – Potential entry on this recent IPO, easy to manage the trade with a stop under Friday’s…
Week 14’s watchlist was quite profitable once again. We’re looking for the rally to continue in week 15, but as always want to stay balanced with our longs and shorts. Long:FDO – A move above Friday’s hammer should lead to a return to the $34 area for this stock. Otherwise watch for a consolidation here at the $30.50 – $32 level. FNF – We like this stock on a breakout and retest of the $20.50 level.HGG – A nice Ascending…
Long: CPSI – Pulled back to support making for a great entry point.CCK – An ascending triangle is forming on CCK. We typically trade a move like this in one of three ways, an anticipatory trade here, buy the breakout, or buy the retest of support.CLB, MOS and RCII can be traded in the same way as CCK. GMCR – Very nice triangle consolidation pattern forming. A break in the direction of the trend should result, which in this case…
While we found more bearish signals over the weekend, many of these weak stocks are holding at their 10 and 20-Day Moving Averages, and remember, a stock will be most likely to act in the path of least resistance. Easing into the week and staying Delta Neutral will help keep your portfolio balanced until a clear trend is established.Long:AAPLAZONFLX Short:CHTTFASTIARTPLLWATWWW More Shorts (Caution: 10/20-Day MA’s turning higher):AEEAVYBKHCLHNATIPAYXSWXVVCWCN
The longs overpowered the shorts last week making some nice gains. Click to see last weeks watchlist in detail. ARO & XLNX – Broke out and is retesting the old resistance (which is now new support)BR – Holding sidewaysGEOY – Fell back to the prior swing low where a new entry was established over the high of 3/16, earnings are coming up so be warnedSVR – 7 up days in a row and climbing ADBE – The stock moved higher…
LONG ARO – Sitting right at the 200-MA and showing increasing volume on the current rally. Enter close to $24 with a stop under the prior swing low. BR – Broke out nicely on good volume. Buy on a pullback at prior resistance around $16.50-$17.00. HANS and SA are acting similar to BR. Use BR’s chart as a reference when drawing your support and resistance trend lines. GEOY – Buy on a break of $20.30 (Resistance). The trade can be…