Trade of the Week
Seasonal Stock Setup: Beverage Giant Breaking Above Value
Starbucks (SBUX) - Keeping with the theme of strong Consumer Discretionary stocks, Starbucks recently reported earnings and gapped lower but swiftly ramped higher back above its 200 day EMA and YTD VPOC. Now seeing a 8/21 EMA bull cross as the stock holds above...
ETF Sector Relative Strength Corner: Communications Sector Poised for Bullish Rotation
Communications (XLC) The XLC Communications ETF has been one of the few sectors to not yet make new highs recently. The group has shown relative strength the past week with a strong weekly candle regaining its 8/21 week EMA and back above YTD VPOC on the volume...
Trade Idea in Identity Management Leader
Okta (OKTA) shares are consolidating below $265 and the top of monthly value with a large rising channel forming off the March 2021 lows. Shares are in a big consolidation under $280 after running strong since 2018 and a breakout extends the bull trend. OKTA has seen...
Credit Spread of the Week: Consumer Products Leader Basing at Key Support
Whirlpool (WHR) - Whirlpool is part of the Consumer Discretionary group that has been one of the strongest sectors in the market of late so it makes sense to be looking to play the catch up theme with WHR which has started to put in a bottoming base pattern. The stock...
Seasonal Stock Setup: Housing Stock Coiling up Into Year End
Toll Brothers (TOL) - Toll Brothers is a homebuilding stock part of the ITB Home Construction ETF that is poised to work out of a weekly bull flag into year end. The group has seen some outperformance from key holdings like HD, LOW, and SHW but the home builder...
Seasonal Stock Setup: Consumer E-commerce Leader Ready to Catch Up
Amazon (AMZN) - Amazon has been mostly range bound this year between 3100-3500 and is primed to play catch up into the busy holiday shopping season as seasonality favors an upside advance in November ahead of Black Friday. AMZN is also potentially where money may flow...
Seasonal Stock Setup: Global Online Consumer Growth Leader Breaking Out
Sea Limited (SE) - SE operates across e-commerce, digital entertainment, and digital payments and financial services. The stock has consolidated in a range since late August and was mostly flat from Sept-Oct but has regained its 21 EMA and looks poised for new highs...
ETF Sector Relative Strength Corner: Industrial Strength Breakout Into November
Industrials (XLI) The XLI is the Industrial ETF that gives exposure to a variety of offerings including stocks related to transportation, commercial and professional services, and manufacturers of capital goods. The group has shown relative strength of late after...
Seasonal Stock Setup: Entertainment Leader Oversold Into Strong Year End Setup
Disney (DIS) - Disney has underperformed the market as of late pulling back to under its 200 day EMA since August when it put in a swing high near 187. The end of summer is seasonally a weaker time period for DIS going back the prior 10 years showing slightly negative...
Credit Spread of the Week: Semi Stock Catching Support in Bull Wedge
Lam Research (LRCX) - Lam Research has consolidated in a wide range for most of the last 6 months after a very strong rally late 2020 into early 2021 peaking near 660. Since August LRCX has pulled back into its 200 EMA and formed a base near 550 with a falling wedge...