5 Trade ideas excerpted from the detailed analysis and plan for premium subscribers:
Alcoa (NYSE:AA)
Alcoa, $AA, has moved higher off of a bottom in June rising along its 20 day SMA since mid-August. It’s RSI is in the bullish zone but pulling back from an overbought condition while the MACD is stalling. Friday it found support at that trend line again. Look for a bounce to participate higher…..
American International Group Inc (NYSE:AIG)
AIG, $AIG, pulled back from a top at the beginning of the year, finding support in April as it moved under its 200 day SMA. It rose from there touching the prior high in August before selling off again. Since late August it has consolidated under lower resistance. Last week it started a push up to that resistance again as the RSI presses the mid line and the MACD rises. Look for a break above to participate higher…..
F5 Networks (NASDAQ:FFIV)
F5 Networks, $FFIV, gapped higher in October, rising to a peak in December. It pulled back slightly and then retested the peak, failing and eventually confirming a double top. It has continued lower since finding support in August and consolidating. Friday saw it push up to resistance, and over the 50 day SMA, only to settle back under it. The RSI is rising into the bullish zone and the MACD is moving higher. Look for a push over resistance to participate higher…..
Fiserv (NASDAQ:FISV)
Fiserv, $FISV, started higher in November, moving back over its 200 day SMA. It continued to trend higher until June when it morphed into a sideways consolidation. There was a failed break out at the end of July after which it fell back. Since the low in August though it has been moving back higher and is now at the prior resistance. The RSI is rising and bullish and the MACD is moving higher and positive. Look for a push over resistance to participate higher…..
YY Inc (NASDAQ:YY)
YY, $YY, started higher out of consolidation in April, moving over its SMA’s. It paused at the end of June and then continued to the Tweezers Top in August. After a pullback to the 50 day SMA it moved higher again and is back at that prior top. The RSI is bullish and rising while the MACD is about to cross up. 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 calendar turns to fall sees the equity markets continuing to look strong on longer timeframes but with some short term rotation out of the Nasdaq 100 and into the Russell 2000 as the end of the 3rd quarter approaches.
Elsewhere look for Gold to continue its pullback while Crude Oil pauses in its uptrend. The US Dollar Index also is moving sideways but in its downtrend while US Treasuries see their uptrend at risk. The Shanghai Composite is marking time in its uptrend while Emerging Markets slowly grind higher.
Volatility looks to remain at very low levels keeping the bias higher for the equity index ETF’s SPDR S&P 500 (NYSE:SPY), iShares Russell 2000 (NYSE:IWM) and PowerShares QQQ Trust Series 1 (NASDAQ:QQQ). The IWM is leading the charge now, disregarding the old adage to sell Rosh Hashanah, with the SPY consolidating and the QQQ looking a little tired. 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.