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Major Chart Support Coming Up For This Leading Stock!
United Technologies Corporation (NYSE:UTX) is a leading provider of technology products and services to the building systems and aerospace industries around the world. This company recently struck a deal to acquire Rockwell Collins(NYSE:COL) for $140.00 a share. As usual, when a company buys another business the stock price will often suffer in the near term. That has been the case with United Technologies Corporation (NYSE:UTX).
UTX stock peaked out on July 12, 2017 at $124.78 a share. Since that high pivot the stock has declined down to $110.00 a share. Traders should note that the 200-week moving average sits around $108.66 and this level should serve as solid near term support for the stock price. This stock is now on my radar for a potential buying opportunity.
Nicholas Santiago
InTheMoneyStocks
Shares Of Applied Optoelectronics (AAOI) Near Key Bounce Level
Shares of tech growth stock Applied Optoelectronics Inc (NASDAQ:AAOI) are nearing the daily 200 moving average at $51.00. Just two months ago Applied Optoelectronics was trading above $100.00. This means it will be a 50% haircut. I believe investors can buy Applied Optoelectronics at the daily 200 moving average for a swing trade bounce for at least 10%. I personally plan to buy anywhere between $50-$51.
Gareth Soloway
InTheMoneyStocks
Bond Yields Plunge, Alert!
Today, the yield on the 10-year U.S. Treasury Note is declining lower by 7.0 basis points to 2.089 percent. This tells us that money is now pouring into bonds. Why would capital go into stocks if everything was so great? After all, the stock market ended higher last week ahead of the Labor Day holiday. Was that just a bull trap for investors? Perhaps it was, but the bond market has been know in the past to be smarter than the stock market.
The key support level for the 10-year U.S. Treasury Note yield had been 2.10%, but today that level is being sharply breached signaling much further downside in the yield. Remember, when yields decline bond prices rise. Lower bond yields will also hurt the financial stocks. This is evident today as you see stocks such as Goldman Sachs Group Inc(NYSE:GS) and JPMorgan Chase & Co.(NYSE:JPM), each falling by more than 2.0 percent on the session. Tonight, I will be releasing the next key support level for the 10-year U.S. Treasury Note yield in the Daily Market Report.
Nicholas Santiago
InTheMoneyStocks
Major Test For NASDAQ 100: Is This Bullish Or Bearish?
The NASDAQ 100 (QQQ) has seen massive buy interest in the last three trading days. The two areas seeing the most money flow are biotechnology and key stocks like Apple (AAPL), Facebook (FB), Netflix (NFLX). Basically the FANG names. As a pro, my eye jumps right to the high on the QQQ $146.00 previous high made on July 27th. When this high was made, we saw a massive reversal. Today, we have tested that high again. The big question for any pro trader is, will we close the day above that high? Why is that significant? On a technical basis it will erase that bearish reversal day from July 27th. Should the NASDAQ 100 (QQQ) close above that level, it becomes a bullish chart with likely further upside. However, if the QQQ fails to close above it, the bearish reversal from July 27th still has control. I hope this explains how an expert analyzes a chart to determine a bullish or bearish bias.
Gareth Soloway
InTheMoneyStocks
Wells Fargo & Co(NYSE:WFC) Keeps Falling, Where's The Bid?
As you all know, Wells Fargo & Co(NYSE:WFC) stock has been declining for quite some time now. The company was caught in a bogus account scandal that has resulted in numerous fines and congressional investigations. These problems at the bank are still lingering, but history suggests that Wells Fargo & Co will resolve these issues eventually.
Recently, the stock topped out on June 29th at $56.60 a share. Since that high pivot in the stock the price has now declined to $50.97 a share. The stock is also trading below its important 50 and 200-day moving averages. This formation puts the stock in a weak technical position. Traders and investors should watch the $46.00 area as the next major support level on the chart. This is an area that was defended in November 2016. Often, past levels that are support will be defended again when retested. This is a spot where the stock should catch a bid.
Nicholas Santiago
InTheMoneyStocks
Here Is Where $BBY Will Fall Before It Bounces Hard...
Shares of Best Buy Co Inc (NYSE:BBY) fell sharply as profit taking took control following solid, but not amazing earnings. Best Buy was one of the only retailers trading near/at 52 week highs. This made it vulnerable to selling even with a strong quarterly report. The stock is dropping by 12% today, trading at $55.00. Based on technical chart analysis, it should continue to fade in the coming days until it hits a major technical support at $50.00. The $50.00 level is a technical gap fill support point as well as the daily 200 moving average. I will look to potentially buy Best Buy Co Inc here for a swing trade bounce back to $55.00 (+10%).
Gareth Soloway
InTheMoneyStocks
Lower Highs Signal Further Downside For Home Depot Inc
Home Depot Inc (NYSE:HD) was one of the market leading stocks until May 16th when it peaked at $160.86 a share. Since that high pivot the stock has been making a series of lower highs on the daily chart. When a stock forms this type of pattern it will usually indicate lower prices ahead before a significant bottom is formed in the equity. At this time, HD stock price is trading below the important 50-day moving average which signals weakness in the near term. Traders should note that the next major support area on the chart for HD stock is around the $139.00 level. This is a level where the stock broke out in February 2017. Often, former break-out levels will serve as major support when retested.
Nicholas Santiago
InTheMoneyStocks
Insurance Stocks Dump After Hurricane Harvey
As you all know, many of the leading insurance stocks are selling off today after Hurricane Harvey hit Texas. The damage from the storm is unprecedented and the final costs to the insurance companies will not be known for a while. Insurance stocks such as Travelers Companies Inc(NYSE:TRV), Allstate Corp(NYSE:ALL), Progressive Corp(NYSE:PGR) and others are trading sharply lower during today's trading session.
Travelers Companies Inc(NYSE:TRV) is a leading component of the Dow Jones Industrial Average(DJIA). This stock is weighing on the DJIA today since this index is price cap weighted. Today, TRV stock is trading lower by $3.73 to $122.74 a share. The stock is now approaching its 200-day moving average which will be short term support. Unfortunately, by the time the dust settles on the damage in Texas this stock could actually decline further. Traders should now focus on the $118.00 area as the next major chart support level. This level was defended in April 2017 and will likely be major support again when retested.
Nicholas Santiago
InTheMoneyStocks
Southwest Airlines Co(NYSE:LUV) Is Now On The Radar
Yesterday, I talked about how all of the major airline stocks have been under pressure since early July. This industry group has been steadily declining over the past eight weeks. The sector is now getting very oversold, but that does not mean that these stocks will not trade lower in the near term. Many of these stocks in the group are now approaching very attractive trade levels.
Southwest Airlines Co(NYSE:LUV) is a stock that is now on my radar. This stock topped out on July 7th at $64.39 a share. Today, LUV stock is trading as low as $51.65 a share, so you can see how much this stock has sold off already. I will now be watching the $48.75 area as the next major support spot on the chart. This was a level that was tested in late January 2017 and should serve as major support when retested.
Nicholas Santiago
InTheMoneyStocks
Swing Trade Buy Alert: United Continental Holdings (UAL)
The whole airline sector is nearing major support. One of my favorites is United Continental Holdings Inc (NYSE:UAL). After falling from near $82 to its current $63, it is finally oversold and near major technical support. Investors should be looking at $61.50 as a huge bounce level. This is a great swing trade with an upside target of $70.00.
Gareth Soloway
InTheMoneyStocks
Airline Stocks Nosedive, When Will They Take Off Again?
Many of the major airline stocks topped out in early July. Leading airlines such as Delta Air Lines, Inc.(NYSE:DAL), American Airlines Group Inc(NASDAQ:AAL), United Continental Holdings Inc(NYSE:UAL), Southwest Airlines Co(NYSE:LUV) and others carriers have been all been falling lower since that peak. This decline in the airline sector comes despite the low price of fuel. Traders should now watch these stocks closely as they come into very attractive support levels on the charts.
One airline that is coming into a major support level is Delta Air Lines, Inc.(NYSE:DAL). This stock peaked out on July 13, 2017 at $54.48 a share, today DAL stock is trading at $44.45 a share. I will be watching the $42.00 area very closely for a long(Buy) side trade. This price level was defended in May 2017 and will likely be defended again when it is retested. Many other airline stocks are also looking very attractive so stay tuned as those price levels will be released in the Daily Market Report(part of the Research Center) very soon.
Nicholas Santiago
InTheMoneyStocks
Is Apple Inc (AAPL) Making A Scary Head And Shoulder Pattern?
Shares of AAPL Inc. (NASDAQ:AAPL) may be forming a bearish head and shoulder pattern. This tells us that today's pop may just be a short lived move, helping to form the right shoulder. If true, the head and shoulder formation states that Apple should start heading lower by Thursday or Friday of this week, never taking out its all-time high. Once it breaches the neck-line at approximately $155.25, the stock will flush sharply, with a downside target of $147.00. I am putting this on watch.
Gareth Soloway
InTheMoneyStocks
Chipotle Mexican Grill, Inc.(NYSE:CMG) Is Starting To Look Delicious
As you all know, leading fast food restaurant stock Chipotle Mexican Grill, Inc.(NYSE:CMG) has been steadily declining since August 2015. At that time, the stock traded as high as $758.61 a share. Today, the share price of CMG stock is $306.54. Traders and investors can easily see how far this stock has plunged in just the past two years. Now the stock is almost trading down to a major whole round number at $300.00 a share. Often around major whole round numbers such as this the stock will find support and bounce sharply. This level looks extremely attractive for a long side trade in CMG stock.
Nicholas Santiago
InTheMoneyStocks
JetBlue Airways Coming In For Landing, Watch This Level
Leading airline stock JetBlue Airways Corp(NASDAQ:JBLU) has been steadily declining since July 13, 2017. At that time, the stock peaked out at $24.13 a share. Today, JBLU stock is trading at $20.27 a share. Traders and investors should note that JBLU stock bottomed on the weekly chart in February 2017 at $18.71. This tells us that this stock will have very good chart support around this level if it is retested. I'll be looking to pick up JBLU stock around the low $19.00 level with a weekly chart stop loss below $17.00.
Nicholas Santiago
InTheMoneyStocks
Why The S&P 500 Sell-Off Today May Be Different
The S&P 500 fell 1.5% today. In all fairness, we have seen one-day sharp drops in the market many times before. Every past drop has been an amazing buying opportunity. However, today's sharp decline is very different. Let me go over the reasons.
1. Volume was big. This implies institutional investors and hedge funds were selling.
2. This is the first drop in recent history that has taken out a previous drops low. This means on a technical basis, there is a lower-low in place, a bearish sign.
3. A trend line connecting the previous pivot lows throughout 2017 has been broken to the downside. This implies a key technical break.
4. CEO's abandoning Trump is a huge negative for moving forward business friendly objectives. Whether it is infrastructure spending, tax cuts or a corporate repatriation holiday.
The bottom line is, this may be different than past buy-the-dip opportunities.
Gareth Soloway
InTheMoneyStocks
Is Sturm Ruger & Co Inc (NYSE:RGR) Out Of Bullets?
Leading domestic firearms manufacturer Sturm Ruger & Co Inc (NYSE:RGR) has been declining since June 12, 2017. At that time, the stock hit a high of $68.80 a share. Today, RGR stock is trading around $48.15 a share which is over $20.00 lower than its June peak. The stock remains in a weak technical position by trading below its 50 and 200-day moving averages. Traders should note that the next major support level for RGR stock will be around the $45.00 level. It should be noted that this level was where the stock was defended in February 2015. Often, these levels will be defended when retested again.
Nicholas Santiago
InTheMoneyStocks
Trade Setup: Restoration Hardware (RH) Nears Major Buy Price!
Shares of Restoration Hardware (RH) have fallen from a recent high of $80.00 all the way down to near $51.00 I have a major trade level of support at $50.00 and it also happens to be a 75% Fibonacci retrace level. This gives major credence to this level as a bounce point and bullish swing trade. I think it is also important to understand that the stock has not fallen on bad news, but more profit taking. That is a big distinction and why I will be looking to buy Restoration Hardware at $50.00.
Gareth Soloway
InTheMoneyStocks
Volatility Has Plunged Again, Where Is Support?
Last week, market volatility surged higher as the major stock indexes sold off. The catalyst for the surge in volatility was due to increased tension between the U.S. and North Korea. Now that the so-called geopolitical tension has subsided near term the CBOE Volatility Index(INDEXCBOE:VIX) has declined by nearly 6.0 points from last week's high of 17.28. Is there a support level where traders should look for a bounce in the $VIX? At this time, the major daily chart support level in the $VIX should be around the 10.96 level. Please note, this chart level is a major retrace area from the high and also a spot where the 20 and 50-day moving averages are on the daily chart. This is a level where I will be looking to get involved on a move back higher in volatility.
Nicholas Santiago
InTheMoneyStocks
ALERT: Bullish Inverse Head & Shoulder Breakout On Teva Pharma (TEVA)
Shares of Teva Pharmaceutical Industries Ltd (NYSE:TEVA) have finally put in a near-term low. The stock is jumping over 3.5%, but more importantly, broke-out of a bullish inverse head and shoulder pattern. The breakout signals further upside. I have a penciled target in of $20.35. Teva Pharmaceutical Industries has fallen sharply of late, dropping from near $33.00 to $17 in the last few weeks. The bounce I expect is only a near-term move, over the next month or so. Once the upside target is achieved, exit and look to buy the pull back.
Gareth Soloway
InTheMoneyStocks
Dicks Sporting Goods Stock Price Still Has Lower To Go
Today, leading sporting goods retailer Dick's Sporting Goods, Inc.(NYSE:DKS) is plunging lower by more than 20.0 percent. The catalyst for the decline in the sporting good giant is simply a lackluster earnings report that was released before the opening bell this morning. Traders should note that the next major technical chart support level for DKS stock price will be around the $22.60 area. This spot on the chart is going to be the major retrace level where the institutional traders should defend the equity. Unfortunately for DKS stock this support level is still another $5.00 lower than its current share price which is $28.84.
Nicholas Santiago
InTheMoneyStocks
Retail has been ugly. Stocks like J.C. Penney (JCP) that were already trading at multi-year lows fell sharply on earnings. In comes Wal-Mart Stores Inc (NYSE:WMT), trading near 52 weeks highs and reporting Thursday. Is Wal-Mart Stores Inc different? The bottom line is this. At 52 week highs, Wal-Mart Stores poses a ton of risk for an investor holding into earnings. They somehow must have a stellar retail quarter, avoiding all the havoc that every other retail company is facing. In addition, there is a trend line on the daily stock chart that shows Wal-Mart is into major resistance. This adds credence to being extremely careful and even bearish on Wal-Mart Stores going into earnings.
Bearish investors into Wal-Mart Stores Inc earnings report
Gareth Soloway
InTheMoneyStocks
Tomorrow morning is a big day for retail. Companies such as Coach Inc(NYSE: COH), TJX Companies Inc(NYSE: TJX), Home Depot Inc(NYSE: HD) and Dicks Sporting Goods Inc (NYSE: DKS) are all scheduled to report earnings ahead of the opening bell tomorrow. What do all of these companies have in common? They have all been hurt by the Amazon effect. Even Home Depot Inc(NYSE: HD) saw its stock drop after Amazon announces that it will sell appliances from Kenmore which is owned by Sears Holdings Corp(NASDAQ: SHLD).
Traders and investors will want to watch the SPDR S&P Retail (ETF)(NYSEARCA: XRT) very closely as this will be driven by these leading retail stocks. Since June, the XRT has been in a trading range between the $41.75 and $38.75 levels. Now we will see if these retail giants will move the needle in the XRT tomorrow.
Nicholas Santiago
InTheMoneyStocks
Tomorrow Morning Is A Big Day For Retail
Tomorrow morning is a big day for retail. Companies such as Coach Inc(NYSE:COH), TJX Companies Inc(NYSE:TJX), Home Depot Inc(NYSE:HD) and Dicks Sporting Goods Inc(NYSE:DKS) are all scheduled to report earnings ahead of the opening bell tomorrow. What do all of these companies have in common? They have all been hurt by the Amazon effect. Even Home Depot Inc(NYSE:HD) saw its stock drop after Amazon announces that it will sell appliances from Kenmore which is owned by Sears Holdings Corp(NASDAQ:SHLD).
Traders and investors will want to watch the SPDR S&P Retail (ETF)(NYSEARCA:XRT) very closely as this will be driven by these leading retail stocks. Since June, the XRT has been in a trading range between the $41.75 and $38.75 levels. Now we will see if these retail giants will move the needle in the XRT tomorrow.
Nicholas Santiago
InTheMoneyStocks
MetLife Retreats After Spin-off, Watch This Level
Leading insurance and financial firm MetLife Inc (NYSE:MET) has declined since it announced and completed its spinoff of Brighthouse Financial (NASDAQ:BHF). MET stock peaked out on July 6th at $50.42 a share. Since that high pivot in the stock price the shares have declined to $46.85. Traders and investors should note that MET stock does not have major chart support until the $43.00 level. This is a spot on the chart where the stock broke out in November 2016. As I have stated many time before, when stocks retest major break-out levels they will usually be support by the institutional money. Keep MET stock on the radar when it trades down to the $43.00 level for a long side trade.
Nicholas Santiago
InTheMoneyStocks
Why I Am Bullish On Earnings Tomorrow By Macy's Inc
This past week we have seen good retail reports from Michael Kors Hldg (KORS) and horrible reports from Fossil Grp Inc. (FOSL). This is the first quarter in recent history where there has been a mix, both good and bad earnings. Over the last few quarters, it has just been bad for every retailer. So what makes me bullish on Macy's Inc (NYSE:M), who reports tomorrow morning before the market opens? The answer can be found in the stock chart. While still near its multi-year lows, the stock has inched over the daily 20 and 50 moving averages. In addition, the stock has been consolidating for the last week, making a bullish flag pattern. This pattern increases the odds of a surge on earnings. Being a stock chart trader and investor, I am using that to my advantage. I am strongly bullish on Macy's Inc into earnings tomorrow. The company is expected to report earnings of $0.45 on $5.49 billion in revenue. The real key will be margins and guidance going forward.
Gareth Soloway
InTheMoneyStocks
Know This Major Technical Chart Level For Citrix Systems
Technology leader Citrix Systems Inc (NASDAQ:CTXS) is trading at an important chart support level right now. The stock is basically sitting on its 50-week moving average at $75.97. Should CTXS stock price break this important chart level on a weekly closing basis it will likely signal a move lower in the share price. The next major chart support level for CTXS will be around the $72.90 level. This area is a major retrace spot where the institutional traders will often defend the stock. It is also an area where the stock broke out earlier this year, so keep this level on the radar in the near term.
Nicholas Santiago
InTheMoneyStocks
The S&P Signal Every Investors Should Be Aware Of...
The S&P raised the white flag on Tuesday. After initially surging sharply higher, the market reversed and closed lower. This came on the back of a President Trump verbal threats against North Korea. Whatever the catalyst, the market reversal came after it made a new all-time high. The reversal put in a topping tail, a bearish topping signal. While the topping signal is significant, it is not the first one that has shown itself in recent months. All past bearish topping signals have failed. Investors should view this bearish topping tail with caution until confirmed with a secondary down move. Stay tuned and be aware.
Gareth Soloway
InTheMoneyStocks
Earnings Season: Know When To Hold Em, Know When To Fold Em
It's earnings season! This is when corporations will report their quarterly results and usually issue future guidance for the company. This is also a period when stocks will often have big price swings after the earning announcement. For many traders and investors it can be an exciting time to trade, but danger lurks when market participants hold stocks into an earnings announcement.
Just yesterday, I closed out a long trade in Dean Foods Co (NYSE:DF) at $14.99 a share. The reason I exited the position was because the company was scheduled to report earnings this morning before the opening bell. Unfortunately for me I lost 0.11 cents on the Dean Foods trade as my entry was $15.10. I know, nobody likes to take losses on trades, but sometimes that is the best move to make ahead of an earnings announcement. If you take a look at the reaction today in Dean Foods Co today after earnings it is not pretty. In fact, DF stock is trading lower by $2.80 to $12.17 a share today after reporting earnings. Believe it or not, this is a decline of nearly 19.0 percent on the day. Now my 0.11 cent loss looks like a victory after this terrible reaction to the Dean Foods Co earnings report.
Now to be fair, sometimes stocks can rocket higher after earnings reports. Many traders will often celebrate with excitement if they hold a stock and are on the right side of the earnings reaction. Just think how I would feel if Dean Foods Co was trading higher by $3.00 after I sold it yesterday, probably not very good. After trading for so many years I have realized that trading earnings is very much like gambling, the odds are simply not in my favor to make that bet. So I have accepted the fact that holding stocks into earnings is extremely risky and simply not my style of trading.
If you do decide to hold a stock into an earnings announcement it is best to hold a low beta stock. A low beta stock is an equity that is less volatile, will historically move in a smaller and tighter range. Earlier this earnings season I held Bank of America (NYSE:BAC) into earnings. The stock traded down about 0.30 cents before ultimately recovering and making new highs. BAC stock is a low beta equity and I was actually in the money on the trade before earnings, so there was not a lot of risk of a major decline. Either way, holding stocks into earnings is extremely risky, every trader and investor should understand the odds are no longer in your favor ahead of a corporate earnings report.
Nicholas Santiago
InTheMoneyStocks
Finding The Institutional Buy Level For This Stock
Cooper Tire & Rubber Company (NYSE:CTB) is a leading tire manufacturer that has been steadily trading lower on the charts over the past few months. The stock peaked out at $44.50 a share on April 3rd, 2017, today CTB stock is trading at $34.97. Traders should note that the stock hit its 200-week moving average today and this should serve as short term chart support. Please understand, a close below the $34.00 level on a weekly basis could trigger a further decline.
The institutional buy level for CTB stock will be around the $30.50 level. This is a chart area where the stock was defended in June 2016. This price level will usually be defended again by the institutional crowd when it is retested.
Nicholas Santiago
InTheMoneyStocks
ALERT: Massive Headed And Shoulder Pattern On Tesla Inc (TSLA) After Earnings...
Tesla Inc (NASDAQ:TSLA) reports earnings after the close of trading today. Investors and analysts have no idea what to expect. Based purely on the chart, there is a looming head and shoulder pattern. Head and shoulder patterns are very bearish. While it has not triggered, this tells me that whether on earnings or a month later, Tesla Inc is going sharply lower. Please understand, because the head and shoulder pattern has not triggered, earnings are a question mark. However, the bigger pattern signals a trigger in the future. Be ready, it should be a fun trade when it triggers.
Gareth Soloway
InTheMoneyStocks
Amazon (AMZN) Confirming Top: Here Is The Targets You Need To Know...
Amazon, Inc.(NASDAQ:AMZN) reported a nasty quarterly miss. Considering their upcoming acquisition of Whole Foods (WFM) and the money that will take, they are not in a good place. The stock sold off only 2.8% on Friday after earnings. However, Amazon is selling another 2.5% today. The second solid sell day off all-time highs confirms a top. This means that Amazon will head lower with only small bounces along the way. The first downside target is $945.00 and the second target is $885.00. The first target on Amazon will have a small bounce once hit, the second target will likely have a large bounce. I personally think Amazon could see the first and second targets hit within weeks.
Gareth Soloway
InTheMoneyStocks
The Chart Trend In The Airline Sector Is Down, Where Will It Land?
Most of the major airlines stocks have topped out recently. Leading airline stocks such as United Continental Holdings Inc(NYSE:UAL), American Airlines Group Inc(NASDAQ:AAL), Delta Air Lines, Inc.(NYSE:DAL), Southwest Airlines Co(NYSE:LUV) and Alaska Air Group, Inc.(NYSE:ALK) have now made lower highs on the daily chart and are trading below their important 50-day moving average. This puts the daily trend of these stocks in a down position. Often when stock decline in this fashion it is a sign of a bigger correction on the horizon for the sector.
Earlier this year, Alaska Air Group, Inc.(NYSE:ALK) was the leading stock in the industry group, but now it is the laggard. Today, the company reported earnings and it is declining lower by nearly 4.0 percent on the session. The stock is now trading below its 50-week moving average which is very negative. Traders and investors must now watch the $78.00 area the next major support level. This is a major retrace level for the stock and it should be defended by the institutional money when retested.
Nicholas Santiago
InTheMoneyStocks
This Is Where I Will Buy 3M Co (NYSE:MMM) For A Bounce...
3M Co (NYSE:MMM) is taking a beating after releasing its quarterly earnings. The stock is down over 5% and things are not looking good. Based on chart breaks, I expect a general trend lower to continue until $191.50 is tagged. That will be major gap fill support and the daily 200 moving average should be there as well. This gives huge support and a likely bounce in the stock. This is where I and smart investors will consider buying.
Gareth Soloway
InTheMoneyStocks
HCA Healthcare, Inc. (NYSE:HCA) Needs A Doctor After Earnings
Today, leading hospital owner and operator HCA Healthcare, Inc.(NYSE:HCA) is coming under heavy selling pressure after reporting earnings. HCA stock is trading lower by $3.40 to $82.54 a share in today's session. The stock is still holding above its daily chart 200-day moving average which is at $81.47. Should the stock close below this key level on a weekly chart it would signal that another bearish move is coming. HCA stock does have major chart support around the $77.50 area should it decline further from here. This should be a level that will be defended by the institutional traders and investors, so keep it on the radar.
Nicholas Santiago
InTheMoneyStocks
This Leading Retail Stock Will Soon Be In Play
One of the leading retail stocks that is starting to look attractive is The TJX Companies, Inc.(NYSE:TJX). This retail company operates stores under the T.J. Maxx, Marshalls, HomeGoods, Winners, HomeSense, T.K. Maxx, and Sierra Trading Post names. The company also has an online presence with e-commerce sites such as tjmaxx.com, tkmaxx.com, and sierratradingpost.com.
The stock topped out on the daily chart on May 10, 2017 at $80.92 a share. Since that pivot top the stock has declined sharply lower. Today, TJX stock price is trading at $67.64 a share. Traders should now watch for the $62.70 level as the next major support area. This is a mathematical support level that should provide a significant bounce in the stock when tested. Keep this trade level on the radar as we wait for this leading retail stock to drop into my buy level. Please note, the company is expected to report earnings on August 15, 2017.
Nicholas Santiago
InTheMoneyStocks
BUY ALERT: This Is Where You Should Enter Home Depot (HD)...
Shares of Home Depot (HD) have been falling sharply in the last month. After topping out around $160.00, the stock is trading below $147.00. Part of the issue is that Amazon (AMZN) is encroaching on their business. After chatting with institutional investors, and analyzing it myself, it appears there is a strong buy trade level approaching. The level is found by connecting the pivot highs from October 2016, May 2017 and August 2017. After connecting these pivot highs and drawing a trend line (as seen in the chart below) the trend line expects to $142.25. That will be a major support level. In addition, at this exact level lies the daily 200 moving average. The fact that these two factors converge at this level, gives investors a high reward, low risk buy on Home Depot.
Gareth Soloway
InTheMoneyStocks
Will Retailers Ever Fight Back Against Amazon?
It is safe to say that Amazon.com (NASDAQ:AMZN) is doing to retail what Apple Inc (NASDAQ:AAPL) did to BlackBerry Ltd (NASDAQ:BBRY). Amazon.com is basically decimating the retail stocks. The brick and mortar business model is now prehistoric and Amazon.com has been the biggest beneficiary. When will the major retail companies start to defend themselves against Amazon.com who is basically putting them out of business?
Wal-Mart Stores Inc (NYSE:WMT) and Costco Wholesale Corporation (NASDAQ:COST) have been holding up the best against Amazon.com, but they have been facing pressure if you look at their stock price recently. Yesterday, companies such as Home Depot Inc(NYSE:HD), Lowe's Companies, Inc.(NYSE:LOW), and Whirlpool Corporation(NYSE:WHR) were hurt as Amazon.com announced it will sell Kenmore appliances.
When are the retail companies going to turn themselves into an Amazon.com? Wal-Mart and Costco are best positioned to fight back against Amazon, but they have not really been effective lately. So who is going to be Amazon's biggest competitor in the next 10 years?
One company that nobody is talking about is Alibaba Group Holding Ltd(NYSE:BABA). This company is basically the Amazon of Asia and the stock price has been soaring in 2017. Traders and investors should note that BABA stock price is very extended at this time, but this company is positioned to invade the North American and European markets in the future. This company is poised to be Amazon's biggest competitor in the years to come.
Nicholas Santiago
InTheMoneyStocks
$CSX Corp (CSX) Falls On Earnings, Here Is The Downside Target Price...
Shares of CSX Corporation (NASDAQ:CSX) fell after the transport stock reported earnings that beat Wall Street expectations. Does it sound weird, it is falling on an earnings beat? Upon a closer look, some accounting maneuvers allowed for that beat. If you back out those shady dealings, CSX Corporation actually missed earnings. This explains why it is falling. Being a technical chart trader, I have been bearish on CSX Corporation. I just cannot make sense of a railroad stock trading at a 30 P/E ratio. Are we living in the late 1800's? On a technical chart basis, CSX Corporation had a significant breakdown today. The stock gapped below the daily 20, 50 moving averages as well as a major trend line (seen in the chart below). This signals further downside is very likely. I have a $47 target penciled in, and should be achieved within the next month or so. Once at $47, CSX Corporation should see a solid bounce higher.
Gareth Soloway
InTheMoneyStocks
Transport Sector Dumps, Is This A Warning Sign?
This morning, leading transportation stocks such as CSX Corporation(NASDAQ:CSX) and United Continental Holdings Inc(NYSE:UAL) are declining sharply after reporting earnings. These two transportation giants are putting pressure on the highly followed iShares Dow Jones Transport. Avg. (ETF)(NYSEARCA:IYT) which is trading lower by 1.40 percent today. Many traders and investors will track the transportation sector as a leading indicator for the overall market. At this time, the transport sector is still in an up-trend as it remains above its 50-day moving average on the daily chart. So today's decline is simply nothing more than a pullback at this time. This moving average is very important for the trend and is watched by many institutional traders. A daily chart close below the 50-day moving average could signal trouble for the transportation sector and the overall stock market.
Nicholas Santiago
InTheMoneyStocks
Look What This Stock Chart Pattern Is Saying
Chart patterns tell traders and investors a lot about a stock. Depending on the formation of the chart it could be signaling the direction of the money flow into or out of a particular equity. Recently, leading retail coffee company Starbucks Corporation (NASDAQ:SBUX) has been coming under some decent selling pressure. Traders should note that the stock peaked out on June 5th, 2017 at $64.87 a share. Since that high pivot in SBUX stock the shares have declined to $58.17. The current pattern is still signaling weakness as it trades below its 50-day moving average. Traders and investors should now watch the $55.00 area as the next major support level for SBUX stock. This is a chart level where the stock was supported in March 2017. This area will usually be supported by the institutional money once it is retested. Starbucks Corp will report earnings on July 27th, 2017 after the closing bell.
Nicholas Santiago
InTheMoneyStocks