Mike
06-15-2013, 04:12 PM
IBD placed the market back into confirmed rally based on Thursday's move up on the S&P500, it was a day-6 follow-through day. The action on leading stocks has been okay but the down trend damaged some of the leading stock bases. What is remaining on the long side looks okay:
LL is bouncing at the 50-day and could be bought on that basis
OAS is 4% above its last buy point
FLT, V and CREE have formed what is called 3-weeks tight. This is a 3-week pattern where the weekly closes of the last 3 weeks has closed at nearly the same price. This is a sign of institutional accumulation. A buy point is established when the price breaks above the entire 3-weeks range.
PRLB has established a 5 week flat base with buy point of 59.84.
The action on Friday was not good follow up to the follow-through day so the short side could fall back into place. If the market deteriorates here is what may set up:
ALK short range 57-58
BIDU short range 98-100
COH short range 59-60
EXPE short range 58-59
CTSH short range 65-66
AAPL short range 430-440
EW short range 70-71
SLW short range 23-24
LL is bouncing at the 50-day and could be bought on that basis
OAS is 4% above its last buy point
FLT, V and CREE have formed what is called 3-weeks tight. This is a 3-week pattern where the weekly closes of the last 3 weeks has closed at nearly the same price. This is a sign of institutional accumulation. A buy point is established when the price breaks above the entire 3-weeks range.
PRLB has established a 5 week flat base with buy point of 59.84.
The action on Friday was not good follow up to the follow-through day so the short side could fall back into place. If the market deteriorates here is what may set up:
ALK short range 57-58
BIDU short range 98-100
COH short range 59-60
EXPE short range 58-59
CTSH short range 65-66
AAPL short range 430-440
EW short range 70-71
SLW short range 23-24