- Economic Events
- Index Volume
- Portfolio Updates
The market rallied sharply on Friday, although volume declined across the board. The NASDAQ, still the weakest of the bunch, managed to bounce off its 21-DMA. The S&P 500 on the other hand, bounced off its short-term moving averages the week before and went on to to reclaim its 50-DMA and 65-EMA, in a show of strength to end the week.
The Russell 2000 has been trading above its 50-DMA and 65-EMA for the prior three sessions now, while the DOW, which is still the strongest major index of the bunch, reclaimed its long-term 200-DMA and is now trading just slightly below its long-term downtrend line.
Furthermore, we reclaimed the BP (bolded pivot) on Friday, which makes it day +1 above the BP.
Fortunately, the health and breadth of the market's leadership also continued to improve last week. Not only has the number of potential leading names grown within the industry groups we've been discussing recently, but the actual number of industry groups containing fundamentally sound, traditional growth stocks, forming constructive bases has also expanded.
This is exactly the sort of action we are looking for as the market attempts to rally. It is also the sort of action that needs to continue if we expect to see the latest rally attempt ultimately lead to a healthy, sustainable new uptrend in the general market from here.
So, continue to keep a close eye on how rotation is taking shape and be sure to maintain an updated watch list of the strongest stocks, in the strongest groups. Then, set alerts on your most actionable names and be ready to buy these potential leaders as entry areas present themselves.
However, it's important to remember that we are still very early in the process here. So, be patient, stick strictly to your discipline/rules and make the market force you in. Don't worry about what anyone else is doing and never forget, the only thing that matters is that your risk is managed.
Note: We are currently in the thick of earnings season, so be sure to check and double check EPS release dates prior to buying a stock. These dates change, and sometimes at the last minute.
The NASDAQ found support at its 21-DMA over the prior two sessions, bounced and rallied into its next level of resistance to finish the week.
The S&P 500 continued to exhibit more strength than the NASDAQ again last week. It reclaimed it short-term moving averages the week before the tech-heavy index and managed to close back above its key 50-DMA and 65-EMA in a show of strength on Friday.
The Russell 2000 has been trading back above its 50-DMA and 65-EMA for the prior three sessions, showing more strength than the S&P 500, although it is still well below its 200-DMA and long-term downtrend line, not nearly as strong as the DOW.
The DOW is the strongest major index of the bunch by far. The industrial index reclaimed both its 50-DMA and 65-EMA last Monday and then managed to close above its long-term 200-DMA on Friday, only slightly below its long-term downtrend line.
Sectors & Industry Groups
Potential Leadership Groups
- MEDICAL-BIOTECH, ENERGY-OIL/GAS, RETAIL, & FINANCIAL
Watch YELP for a big volume move through $39.27, with a sell stop at $37.86.
Watch OXY for a big volume move through $72.04, with a sell stop at its 23-EMA.
Watch BCRX for a big volume move through $14.47, with a sell stop at its 50-DMA.
Watch CORT for a big volume move through $28.75, with a sell stop at its 23-EMA.
Watch CPRX for a big volume move through $14.71, with a sell stop at $13.73.
Watch CTKB for a big volume move through $15.79, with a sell stop at its 21-DMA.
Watch HRMY for a big volume move through $52.52, with a sell stop at its 10-DMA.
Watch INMD for a big volume move through $36.37, with a sell stop at $34.39.
Watch REGN for a big volume move through $754.67, with a sell stop at its 23-EMA.
Watch SRPT for a big volume move through $118.75, with a sell stop at $113.62.
Swing Trade Ideas
Swing Trade Ideas contains a mixture of stocks. When the market is in a healthy uptrend, there will tend to be an overflow of stocks that were left out of the Focus List because they looked less actionable, despite being of similar fundamental quality, or were of lower fundamental quality altogether than the stocks included in the Focus List section above.
Because this section also includes stocks that are at times, devoid of fundamentals and typically only included for technical reasons, extreme care should be taken when trading these names. These stocks are there for experienced traders with a shorter time frame, that has a thorough understanding of position sizing risk and management.
CP – Constructive Pullback
PP – Pivot Point
SS – Sell Stop
TS – Trailing Stop
A – PP $140.00, SS $135.00.
DV – CP $29.09, SS 23-EMA. LF $29.09, SS 23-EMA.
IT – PP $305.25, SS 50-DMA.
NTNX – PP $27.59, SS 10-DMA.
YELP – CP $36.34, SS 50-DMA.
CBOE – PP $125.51, SS $121.70.
CEG – CP $90.18, SS 10-DMA. LF $87.40, TS $90.18.
CTVA – CP $64.30, SS 23-EMA. LF $63.24, SS 23-EMA.
DECK – CP $352.23, SS 50-DMA. LF $352.23, SS 50-DMA.
DVN – CP $75.27, SS 10-DMA LF $75.27, SS 10-DMA.
FLR – CP $29.05, SS 10-DMA. LF $29.05, SS 10-DMA.
FSLR – CP $130.25, SS 50-DMA.
GLNG – PP $28.00, SS 50-DMA.
NSSC – PP $28.81, SS 50-DMA.
OLLI – PP $58.55, SS 65-EMA.
SLB – CP $49.83, SS 10-DMA.
XMTR -PP $61.63, SS 60.00.
ACLX – CP $20.00, SS 23-EMA.
BIIB – CP $283.44, SS 10-DMA.
CINC – PP $35.43, SS 21-DMA.
DAWN – PP $21.58, SS 50-DMA.
DICE – PP $36.52, SS 10-DMA.
HALO – CP $46.12, SS 23-EMA.
NBIX – CP $109.26, SS 50-DMA. LF $109.26, SS 50-DMA.
RYTM – CP $24.44, SS 50-DMA.
SAVA – PP $37.00, SS 23-EMA.
TMCI – PP $24.18, SS 23-EMA. LF $24.18, SS 23-EMA.
VERV – CP $37.43, SS 50-DMA.
XENE – PP $38.71, SS 50-DMA.
LNTH SWAV FSLR TMDX AXSM CHWY DGII ABOS MYOV WOLF INBX PRTA PRVB CMG GKOS ALNY CELH SRTS DICE PI WING CHX MEDP CALX GILD ACGL TMUS
SGML STEM RIVN SG ASAN ASO CPNG CEG PFHC UDMY EMBC ABNB ARHS ARRY
MAXN ENVX PTCT COMM COMM RVNC ALDX PI BCAB MRSN GTHX AEHR EVTL RYTM TH GOSS DBTX COGT AMLX CPRX FNGR IMUX
A ABOS ACLX ADM AEHR AKRO AMGN AMLX AMPX ARGX AXNX AZPN BCRX BHVN BIIB BMRN BOWL CAH CALX CBOE CCRN CDRE CEG CF CHRD CINC CLFD CLH COGT CORT CPRX CRBU CTKB CTVA CVLG CYTK DAWN DECK DEN DGII DICE DV DVN DXCM ELF EOG ESMT EXTR FCFS FGEN FIX FLR FN FREY FSLR GLNG HAE HAL HALO HLIT HRB HRMY IBKR IMXI INBX INMD IONS IRDM ISEE IT KEYS KNSL KRTX KRYS KURA LEGN MEDP MODN MPC MUR NBIX NDAQ NOTV NSSC NTNX NUVL OLLI OXY PAYO PBF PBRA PCVX PI PLRX PRCT PRTA PYCR REGN RMBS RYI RYTM SANM SAVA SGML SLB SMCI SNDX SPXC SRPT STKL STLD SWAV TDW THS TJX TMCI UAN UI UNM VERV VERX VRNA VRRM VRTX VTYX WING WWE XENE XMTR XOM YELP