Selloff or Market Correction? Either Way, Here's What to Do NextSee Overvalued Stocks

5 Trade Ideas: ADP, Arconic, Colgate, McDonald’s And Morgan Stanley

Published 03/18/2019, 01:14 AM
XAU/USD
-
MCD
-
SPY
-
QQQ
-
CL
-
MS
-
DX
-
GC
-
CL
-
ADP
-
IWM
-
SSEC
-
VIX
-
ARNC
-

ADP, Ticker: $ADP

ADP, Ticker: $ADP

ADP (NASDAQ:ADP) ran to a bottom on Christmas Eve, like most of the market. From there the stock started higher, slowly at first, until it crossed its 200 day SMA at the end of January. It accelerated from there and kept going to a new all-time high in February. It went through a digestive pullback at the start of March and is now moving to new highs again. The RSI is bullish and rising with the MACD about to cross up. Look for continuation to participate.

Arconic, Ticker: $ARNC

Arconic, Ticker: $ARNC

Arconic Inc (NYSE:ARNC) started moving lower from a bounce in October. It made a bottom in December and then retested it in January. The move higher since January has met resistance and the stock has been consolidating under it for 6 weeks, making higher lows. The RSI is drifting higher toward the bullish zone with the MACD crossed up and positive. Look for a pushover resistance to participate.

Colgate-Palmolive, Ticker: $CL

Colgate-Palmolive, Ticker: $CL

Colgate-Palmolive (NYSE:CL), started moving lower in September, finding support at the end of October. It reversed to a lower high into December before falling back and retesting the October low. Since then it has moved higher, confirming a double bottom in February and then to a higher high. It pulled back to retest the December top and has revered again to run back to the prior high. The RSI is rising in the bullish zone with the MACD about to cross up. Look for a new high to participate.

McDonald’s, Ticker: $MCD

McDonald’s, Ticker: $MCD

McDonald’s (NYSE:MCD) made a bottom in August and then moved higher. The run stopped in November and pulled back to the 50 day SMA. Since then it has made a series of higher lows and lower highs as it consolidates. Short term, it is coming into the week at resistance with the RSI rising in the bullish zone and the MACD crossing up and positive. Look for a push over resistance to participate…..

Morgan Stanley, Ticker: $MS

Morgan Stanley, Ticker: $MS

Morgan Stanley (NYSE:MS) moved steadily lower from a top in March last year. It accelerated and found a bottom in late December. Since then it has pushed up into mid-January and entered into consolidation. Last week ended with the price pushing to the top of the consolidation range and a nearly 2 month high. The RSI is rising into the bullish zone with the MACD lifting off of the zero line. Look for a break over resistance to participate.

Up Next: Bonus Idea

Elsewhere look for Gold to continue to pull back in its uptrend while Crude Oil moves higher. The US Dollar Index looks to move lower in broad consolidation while US Treasuries stall under resistance. The Shanghai Composite and Emerging Markets are back in consolidation mode, moving sideways.

Volatility looks to sit at very low levels, giving support to equities to continue higher. Their charts show the SPY and IWM taking a pause in the shorter timeframe while the QQQ continues to blast higher. On the longer timeframe, all 3 have recovered from their 1-week pullback and continue to show strong uptrends. Use this information as you prepare for the coming week and trad’em well.

Disclaimer:

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

Original Post

Latest comments

Loading next article…
Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.