There are three themes this week.
1. We are in earnings season so before you take a stab at any of these stocks first make sure you know when their earnings are and adjust accordingly.
2. There are A LOT of stocks with constructive charts, moving into highs, just as you would hope to see as the overall market does the same.
3. The semi’s are something you need to keep an eye on this year. Most are not quite ready, but the charts are shaping up nicely.
$AMAT breaking out hard on big volume. Don’t chase here but keep it on your list.
Sure, $PRKR is a small cap, but the chart is nice as it breaks a downtrend line giving you a nice tight risk/reward range to play a breakout above $2.50.
The range in $BRCM is narrowing as it rides above it’s 200ma.
$KLAC with a similar pattern testing its downtrend line.
Higher highs on $QCOM as it bases under a gap resistance level.
This five-year chart on $ALTR shows that once it breaks the downtrend line the first target on a swing would be the $50 area.
I’m not really sure what instrument best tracks another theme of mine this year, casinos, but here is the Worden Resorts & Casinos indicator as well as the Market Vectors Gaming ETF, both of which are breaking into four-year highs. If the economy really comes back this year, the best of breed casinos are going to fly again.
Along those lines, $LVS which has been grinding higher since last year has formed a tight flag here.
Yet another theme of mine this year is the return of the retail investor, which will benefit stocks like $SCHW. If you missed the previous two entry points it is providing you another tight risk/reward range to play it long on a breakout.
I’ve been talking about the turnaround in $FXI for a long time, but one Chinese stock that hasn’t been doing that great is $BIDU. However, it’s nearing the top end of a down channel and if it can break that, it may signal the beginning of a trend change.
Is the housing recovery real? Who knows, but $KBH broke out, retested that level and has been basing nicely since. Watch for a break of the downtrend line.
$KEYW is my weekly “I have no idea what they do” stock, but the chart looks sweet.
$PHRA is in the upper range of this down channel just 5% off it’s all-time highs.
Nice tight flag on $APC gives you a good risk/reward range.
After breaking a downtrend, $CF is consolidating in a tight range.
A nice tight range in $EGOV at all-time highs.
$ACI has done a lot of work since last year trying to bottom. Higher lows and finally a break above 200ma on good volume gives that “script” more credence.
Breaking above a gap resistance and the 200ma, combined with a tight range, $SVU is giving a good risk/reward setup here.
Basing below a definite gap resistance level is good. Buy is above $2.50 with a 10 cents stop.
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