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5 Stocks To Watch: ABT, HON, JAZZ, NOC, ZION

Published 05/21/2018, 01:43 AM
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US2000
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SPY
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QQQ
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ZION
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NOC
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ABT
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HON
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DX
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CL
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IWM
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JAZZ
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SSEC
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Abbott Laboratories (NYSE:ABT)
Abbott Laboratories Daily Chart

Abbott Laboratories, $ABT, pulled back from a top in January to the 100 day SMA. It bounced there, returning to the prior high but stalled out again. Another pullback to a higher low saw consolidation through April and now a move higher. It is finding resistance with the RSI rising in the bullish zone and the MACD moving up and positive. Look for a push through resistance to participate higher…..

Honeywell International Inc (NYSE:HON)
Honeywell Daily Chart

Honeywell, $HON, ended a long run higher in January that began before the Presidential election. It started to pullback in choppy waves, breaking through the 200 day SMA at the beginning of April. The bounce to a lower high pulled back to find support at the same low and then reversed higher again. Last week it consolidated in a bull flag at the 200 day SMA. The RSI is trying to rise up off of the mid line and the MACD is now positive and rising. Look for a push over resistance to participate higher…..

Jazz Pharmaceuticals PLC (NASDAQ:JAZZ)
Jazz Pharmaceuticals Daily Chart

Jazz Pharmaceuticals, $JAZZ, started moving higher at the beginning of the year. The initial push was strong and then it fell back to the 50 day SMA. Subsequent moves have made higher highs and pulled back to the SMA’s, also making higher lows. The latest move has brought the price to 2 1/2 year high. The RSI is rising and bullish with the MACD moving up. Look for continuation to participate higher…..

Northrop Grumman (NYSE:NOC)
Northrop Grumman Daily Chart

Northrop Grumman, $NOC, moved in a strong trend higher until it met resistance in February. It consolidated there through the end of April before a fast pullback to the 200 day SMA. Since then it has started back higher, meeting resistance at the 100 day SMA and pulling back to a higher low. It has bounced off of that low and is now back at resistance. The RSI is rising at the mid line with the MACD crossed up and moving higher. Look for a push over resistance to participate higher…..

Zions Bancorporation (NASDAQ:ZION)
Zions Bancorporation Chart

Zions Bancorporation, $ZION, rose steadily out of a consolidation in June last year. It has had several pullbacks along the way, the last one to the 100 day SMA. The reversal off of that pullback reached the prior high and failed again, pulling back to a higher low. From there it rose again to a new high. It has been consolidating over the prior high as support since. The RSI is strong and bullish with the MACD rising. Look for a break of the consolidation to participate…..

Up Next: Bonus Idea

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 May options expiration behind and the last full trading week before Memorial Day kicks off the summer season ahead, equity markets are mixed.

Elsewhere look for Gold to continue its move lower while Crude Oil continues in an uptrend. The US Dollar Index also looks to continue to move higher while US Treasuries trend lower. The Shanghai Composite looks to continue to bounce off of support and Emerging Markets remain in consolidation building there bull flag.

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). Their charts are mixed though. All look strong on the weekly timeframe. And the IWM is leading to the upside making new all-time highs. The SPY and QQQ are in consolidation short term though with the QQQ looking the weaker of the two. 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.

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