5 Trade Ideas for Monday: Arconic, Biogen, Cigna, General Electric and Johnson&Johnson

Arconic, Ticker: $ARNC

Arconic, $ARNC, started higher off of a base in July. It stalled when it reached the 200 day SMA in September and eventually rolled lower. The drop found support at the prior low at the end of December. It has moved up fast from there and met resistance last week. The RSI is on the edge of the bullish zone with the MACD about to go positive. Look for a break of resistance to participate….

Biogen, Ticker: $BIIBWealth Strength IndexAAPL is Extremely Up and trending Up

Biogen, $BIIBWealth Strength IndexAAPL is Extremely Up and trending Up, dropped out of consolidation in October, finding support later that month. It rose back up to resistance at the 100 day SMA from there and held until dropping back again in December to a lower low. Since then it has moved higher and is now back at the November resistance. The RSI is rising and bullish with the MACD moving up and positive. Look for a push over resistance to participate higher…..

Cigna, Ticker: $CI

Cigna, $CI, moved lower off of a December high, with 2 steps down. The second found support late in the month and bounced. The bounced stalled just over the 200 day SMA and it pulled back to a higher low. A second move up is now breaking through that early January resistance. The RSI is rising at the mid line with the MACD crossed up and rising. Look for continuation to participate…..

General Electric, Ticker: $GE

General Electric, $GE, had a horrible 2018 capped off with a 50% plunge from October to December. It settled, forming a double bottom, and has started moving higher into January. Last week it moved over its 50 day SMA and then consolidated. The RSI is rising in the bullish zone with the MACD rising and positive. Look for a push over resistance to participate…..

Johnson & Johnson, Ticker: $JNJ

Johnson & Johnson, $JNJ, was on a tear to the upside when it was interrupted in December. It dropped quickly below the 200 day SMA and found some footing a week later. It has been moving higher from there against resistance. The RSI is rising toward the mid line with the MACD crossed up and rising. Look for a push over resistance 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 as the first full week of 2019 concluded sees equities posting a positive follow up to last week with some digestion at the end of the week. Good news but still shy of a confirmed reversal higher.

Elsewhere look for Gold to possibly pause in its uptrend while Crude Oil moves higher with some digestion short term. The US Dollar Index looks to drift lower in broad consolidation while US Treasuries pull back in their uptrend. The Shanghai Composite looks to continue the downtrend with Emerging Markets possibly putting in a bottom and reversal.

Volatility looks to settling back to normal levels clearing the way for equities to show if they have strength. Their charts show the equity index ETF’s SPY, IWM and QQQ, continuing the bounce higher and consolidating the move at the end of the week. 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.