You often hear me speak about the market needing to hold higher (or lower for shorts) and when this occurs I generally by my stocks. Currently we are doing this very thing, it would be nice to hold Friday’s lows for at least one more day to really confirm the holding higher thesis. However, the bearish thesis is obviously not holding much strength right now as we continue to RIP higher. If you are looking to enter some stocks, I would say, wait for another consolidation day and then analyze them. If you are looking to short, wait for a confirmed break down by holding lower and then try some shorts.
I am not going to cover as many stocks as I sometimes do in other posts because of the the The Week Ahead Post I do every sunday. If you do not know what this, I highly recommend you come to check it out on Sunday. I make two video, one sector Analysis video, and one security analysis video. I also provide about three paragraphs of commentary on the past week and the week ahead. Finally, I upload about 20 ANNOTATED charts with my thoughts on them. The purpose in all of this is to provide you a resource to jump start your research for the upcoming week. Look forward to seeing you there.
Now into a couple charts… Come to Sunday for the rest.
Apple ($AAPL) showed some strength today and has formed three higher lows now. Still has a lot to prove from a weekly perspective but from a micro daily perspective it looks as if we could be setting up for a bounce back into the 50 SMA.
Google ($GOOG) had earnings this past week and popped nicely on that. If you are looking to buy it here, I would give it some more room – the $794 level is a key level to hold in the coming days. A consolidation above that would be healthy.
With that said, I hope you have a great weekend and I see you back here on Sunday.