The market started off the week with a bang mostly due to relief over the fact that the world did not end over the weekend in some kind of a Greek-induced Armageddon.
Today was a more subdued trading session and most indices spent the day in a sideways range. However, there was ample strength among individual stocks, especially some of the widely followed momentum names – Facebook (FB), Amazon (AMZN), Tesla (TSLA), etc.
The indices, particularly the Russell 2000 (RUT), look a touch extended, but all the signs point to current strength continuing. It makes no sense to fight it, in my opinion. That said, select trading ideas and setups may require additional patience and planning.
The following are five trading ideas that are on my radar heading into tomorrow’s session.
Ameriprise Financial Inc. (AMP) – The stock has formed a somewhat sloppy four-month consolidation base and is now flagging above its 20/50 day moving averages (right around the 130 level). Ameriprise (AMP) seems likely to break out and move toward 135 and possibly beyond.
Cameron International Corp (CAM) – There is a long and well developed six-seven month Cup and Handle price pattern. It is now flagging above its key moving averages and looks like it’s getting ready for a push toward 58-60.
Corning, Inc. (GLW) – Investors have seen a long, controlled pullback to support in the 20-21 area. Corning (GLW) has been trading slightly above its downward trend line. And GLW could be getting ready to push higher toward 22.
PolyOne Corporation (POL) – Another long, but somewhat irregular consolidation base that can be interpreted as a Cup and Handle pattern. POL could get interesting on a push through 41.
WuXi PharmaTech (WX) – There’s been a flat two-month consolidation that could set the stock up for a range expansion move toward 46-48.
Thanks for reading.
No position in any of the mentioned securities at the time of publication. Any opinions expressed herein are solely those of the author, and do not in any way represent the views or opinions of any other person or entity.