5 Trade Ideas for Monday: Alcoa, Deere, E*TRADE, Johnson & Johnson and Zoetis

Alcoa, Ticker: $AA

Alcoa, $AA, moved lower from consolidation in October, finding a bottom in December. Since then it has bounced and consolidated against resistance. it ended the week back at resistance with the RSI rising into the bullish zone and the MACD turning positive. Look for a move over resistance to participate higher…..

Deere, Ticker: $DE

Deere, $DE, started to pullback in February last year and then transitioned into a broad sideways consolidation. After making a higher low in December it looks to have changed course again to the upside. In January it made a higher high and has been consolidating under resistance since. Friday ended a strong 3 day move up to resistance. The RSI is pushing into the bullish zone and the MACD turning back up and positive. Look for a push over resistance to participate…..

E*TRADE, Ticker: $ETFC

E*TRADE, $ETFC, started moving lower in June and also found a bottom Christmas Eve. It bounced from there and met resistance at the November consolidation range and was knocked back. It made a higher low and is now trying to turn back up. The RSI is rising to the bullish zone with the MACD positive and moving up. Look for a push over resistance to participate…..

Johnson & Johnson, Ticker: $JNJ

Johnson & Johnson, $JNJ, made a high in December and then reversed lower. It found support later that month and has moved higher since. Last week it consolidated a move up. The RI is rising in the bullish zone with the MACD rising and positive. Look for a push over resistance to participate…..

Zoetis, Ticker: $ZTS

Zoetis, $ZTS, made a bottom Christmas Eve and then bounced. It stalled at the 200 day SMA and pulled back to a higher low then reversed to the 200 day SMA again. Another higher low and then a fast move higher. It is consolidating that move in a bull flag with the RSI bullish and the MACD rising and positive. Look for a push higher to participate…..

After reviewing over 1,000 charts, I have found some good setups for the week.  These were selected and should be viewed in the context of the broad Market Macro picture reviewed Friday which heading into the last week of February sees the equity markets continuing to look strong but also continuing to remain below an all clear level.

Elsewhere look for Gold to possibly pause in its uptrend while Crude Oil resumes the path higher. The US Dollar Index looks to continue to move sideways while US Treasuries are consolidating at resistance. The Shanghai Composite and Emerging Markets are continuing their trends higher.

Volatility looks to remain very low keeping the bias higher for the equity index ETF’s SPY, IWM and QQQ. Their charts are looking a little extended but strong on the shorter timeframe, but remain very strong on the longer timeframe. Use this information as you prepare for the coming week and trad’em well.

The information in this blog post represents my own opinions and does not contain a recommendation for any particular security or investment. I or my affiliates may hold positions or other interests in securities mentioned in the Blog, please see my Disclaimer page for my full disclaimer.