5 Trade ideas excerpted from the detailed analysis and plan for premium subscribers:
Anthem, Ticker: $ANTM
Anthem, $ANTM, rose to a top at the end of January. It pulled back quickly from there to the 50 day SMA and started moving sideways. That consolidation expanded into a range and continued into June. The move higher in June found resistance at a higher high and consolidated last week. The RSI is in the bullish zone with the MACD rising and positive. Look for a push over resistance to participate higher…..
HD Supply, $HDS, moved out of a consolidation when it broke above resistance at the end of May. It gapped up and has continued to move higher since. The RSI is in the bullish zone with the MACD rising. Look for continuation to participate…..
HP, $HPQ, went into broad consolidation expanding at first then contracting, starting in October. It touched the 200 day SMA in February and bounced but then fell back to retest the 200 day SMA 3 more times. The last time was at the end of May, and since then it has moved higher. It built a bull flag and Friday started to move up out of that flag. The RSI is rising and bullish with the MACD flat but positive. Look for continuation to participate higher…..
PPG, $PPG, started higher off of an August 2017 low and continued through October. It slowed from there and started to round lower, definitively breaking below the 200 day SMA in April this year. In May it was back at that August low found support. A sharp bounce was followed by a pullback to retest the low and it has moved higher since. Coming into the new week it is back at the bounce high and peeking over the 20 day SMA. Look for continuation to participate higher…..
Verizon, $VZ, peaked in January and started to move lower immediately. It found support in March and moved up from there to a lower high. Another drop back to a May low then followed. Since then it has moved back to a lower high again and then a higher low in June. Last week it pushed up again to a slightly higher high at the end of the week. The RSI is moving up in the bullish zone and the MACD has crossed up. Look for continuation to participate higher…..
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 with Summer officially started and only one week left in the second quarter saw stocks looking to enter the last week with a bit of weakness in the short term but remain strong in longer timeframes.
Elsewhere look for Gold to continue lower while Crude Oil reverses and resumes the uptrend. The US Dollar Index is pausing in its uptrend while US Treasuries continue to mark time moving sideways. The Shanghai Composite and Emerging Markets both continue to look weak and ready for more downside. Volatility looks to remain subdued keeping the bias higher for the equity index ETF’s SPY, IWM and QQQ. Their charts show consolidation or minor pullbacks in the short term with the IWM and QQQ near all-time highs but the SPY continuing to lag. Use this information as you prepare for the coming week and trad’em well.