Another Leading Pharma Stock Coming Into Major Chart Support $PFE
One leading pharmaceutical stock that is starting to look attractive is Pfizer Inc (NYSEFE). This pharma giant peaked out on December 4, 2018 at $46.47 a share. Today, the stock is trading lower by 0.76 to $39.89 a share. Currently, PFE stock is trading below its 200-day moving average which signals near term weakness. The next key support area that I'm watching for PFE stock will be around the $38.00 level. This important support level was where the stock broke out late July 2018. One of my favorite strategies is to look for stocks that are trading back into their prior break-out levels. The institutional money is usually there to support and defend the equity.
Does The Retail ETF $XRT Have Another Pop in The Cards?
One of the big winning ETFs since December market low has been the SPDR S&P Retail ETF (NYSEARCA:XRT). This highly followed ETF rallied higher by 18.0 percent since its recent low made on December 26, 2018. The current pattern on the charts suggests that there could be another pop in this ETF very soon. You see, since the XRT hit its 50-day moving average on January 9th, 2019 it has been consolidating sideways. Currently, the XRT is trading at $44.01 a share and forming a nice sideways base. Often, when a stock will consolidate in this manner it is setting up for another move higher very soon. The equity might need to continue this sideways action for another week or so before making a resuming move to the upside. The upside target for the equity would be around the $47.00 area. This equity is now on my radar for a long trade should we consolidate throughout the rest of the week.
Here's A Major Trade Level For This Leading Biotech Stock $ABBV
AbbVie Inc (NASDAQ:ABBV) is a leading biotechnology firm that has been sliding lower since early December 2018. At that time, the stock traded as high as $94.98 a share. Today, ABBV stock is trading around the $77.70 level. In the near term, the shares are oversold so a short term bounce from an oversold condition is possible. However, when I look at the bigger picture the stock is in a downtrend and has fallen below all of its important daily chart moving averages. This tells me that we need to look lower before finding a major bottom in the stock price. One level that stands out to me is the $66.00 area. This level is where the stock broke out to the upside in June 2017. Traders should keep this level on the radar for a long side trade and a potential major bottom in the stock.
Cisco Systems $CSCO Strong Short Level Approaching
Shares of Cisco Systems (CSCO) are up nearly 20% in the last month. The vertical nature of the move has all technical indicators screaming overbought and a pullback is near. The exact price comes to us from a gap fill at $47.50, Cisco Systems less than $0.50 away. Pro traders signal a high reward, low risk short at $47.50. The downside target is $43.75, the stop that can be used is a daily close above $49.50.
The Leading Networking Gear Stock Was Crushed After Earnings, Here's The Trade $JNPR
Juniper Networks Inc (NYSE:JNPR) is a leading provider and developer of networking gear such as routers, switches and software. Last week, the stock was crushed lower by more than 11.0 percent after reporting earnings that obviously did not impress the street. Today, JNPR stock is trading at $25.84 a share. It is also important to note that the stock is now trading below its important 200-week moving average, this is generally viewed as a negative for the stock in the near term. The next important support level that I will be watching is the $24.00 area. This is where JNPR stock was defended in April 2018. Often, prior support levels will serve as solid support again when initially retested.
Here's The Chart That Every Market Pro Is Watching $JNK
As you all know, the major stock market indexes staged a sharp correction in December. The S&P 500 Index bottomed on December 26, 2018. Since that low pivot, the S&P 500 Index has rebounded higher by more than 15.0 percent. Since that rally began many things have happened. First, the Federal Reserve has moved into a more dovish stance. Second, it looks as if the U.S. And China are getting close to an actual trade deal. While these important factors are major catalysts for the recent rally many market participants like myself prefer to follow a chart indicating that liquidity is in the system.
Now here is the chart that every pro trader and investor is following, it is the SPDR Bloomberg Barclays High Yield Bond ETF (JNK:NYSE Arca). You see, this ETF tracks the U.S. high yield corporate bond market. This has been used by myself and many professional traders to track liquidity in the system. Simply put, when there is liquidity in the system it allows stocks to move higher. When the liquidity drys up it tells us that stock can no longer climb the wall of worry. This was the case in February 2016 when the S&P 500 Index staged its last major correction. The latest low for the JNK was on December 26, 2018. So now you can see the correlation. Tonight, in the Daily Market Report I will update everything that I'm seeing in the JNK going forward.
Here's The Twitter $TWTR Trade Level That Every Investor Should Know
Recently, leading social media stock, Twitter Inc (NASDAQ:TWTR), reported earnings that disappointed Wall Street. The stock peaked out on February 6, 2019 at $35.21 a share. After earnings, the stock plunged lower by more than 10.0 percent and is currently trading around the $30.20 level. There are some short term support levels for TWTR stock in the near term, but the next major level is much lower. TWTR stock is currently trading below its important 50 and 200-day moving averages which put the equity in a weak technical position near term. Traders and investors should now look at the $25.00 level for major support. This is where TWTR stock broke out in February 2018 on massive volume. Often, when a past breakout level is tested for the first time it will be defended by the institutional money. Keep this trade level on the radar.
Watch This Trade Level For This Leading Insurance Stock $RE
Everest Re Group, Ltd (NYSE:RE) is engaged in the underwriting of reinsurance and insurance in the United States, Bermuda and international markets. Today, the stock is falling by more than 3.5 percent after reporting earnings. Traders and investors should note that the stock is now trading below its important 50-day moving average. This technical chart pattern puts the stock in a weak position. The stock has also been making lower highs since July 2017 and this is also a sign of weakness in the near term. The next major support level looks to be around the $194.00 area. This level is where the stock broke out in October 2016. Often, prior breakout levels will serve as solid support when retested.
TripAdvisor Heads South After Earnings, Here's The Trade $TRIP
TripAdviser Inc (NASDAQ:TRIP) is a leading provider of online travel content. Today, the shares of the company are declining sharply after reporting earnings last night. The stock is trading lower by 7.0 percent to $56.10 a share. It should be noted that TRIP stock is now trading below its 50-day moving average. The volume in this decline has also increased indicating further weakness in the near term. Traders and investors should now watch for major chart support around the $47.50 level. This is where the stock broke out in late October 2018. Generally, when a stock tests its prior break-out level it will be defended. There are also other factors around that level creating a solid risk / reward trade setup.
Blue Apron $APRN: Classic Bull Setup Headed To This Target
Shares of Blue Apron (APRN) have emerged from a nasty downtrend. After their IPO in 2017, Blue Apron went straight down, bottoming out at $0.65 from above $10.00. The stock has now advanced back to $1.60 and a bullish daily chart pattern is signaling a move to $2.00, the daily 200 moving average. Look for this move to come within weeks.
Today, leading airline stock, Southwest Airlines Co (NYSE:LUV), is falling lower by $3.09 to $54.58 a share. The decline comes as Southwest gets a downgrade to sell by Goldman Sachs. The company is also facing a series of negative reports regarding a bunch of issues. The stock is now testing its 200-day moving average, a close below this important moving average would likely signal more downside in the near term. The next major price level that looks solid for support would be around the $48.00 level. This is where the stock broke out of a daily chart base in mid-January. It was also an area that was defended in October 2018, so it has shown institutional sponsorship in that area before and will likely again if tested.
Trade: Incredible Move On The Russell 2000 $IWM May Have Peaked
The Russell 2000 (IWM) has surged an incredible 25% since the December 26th, 2018 low. This is one of the most insane moves in any index in such a short period of time. While all indicators are flashing overbought, the real story can be seen in the daily chart. The Russell 2000 ETF $IWM is kissing the 200 moving average as well as pivot resistance points from November and October 2018. If there is any pull back, it will come within days on here. A retrace to $150 is the likely first target.
Wix.com $WIX Got Slammed After Earnings, Watch This Trade Level
Wix.com Ltd. (NASDAQ:WIX) is a leader in web development platforms that helps businesses and organizations to create and manage their digital presence. The company sold off sharply after reporting earnings on February 20, 2019. The stock peaked before earnings at $125.84 a share on February 19th and is currently trading around the $108.00 level today. It should be noted that the stock ran up into the earnings announcement, so most of the good news was probably already factored into the stock price already. One support area that I will be watching closely to get into the stock will be around the $96.50 level. This is where the stock broke out in early January. Often, stocks that retest their breakout levels will likely be defended when initially tested.
U.S. Cellular $USM Stock Has Been Falling, Here's The Trade
Leading wireless provider, U.S. Cellular Corp (NYSE:USM), has been falling sharply since February 22, 2019 when it missed on earnings. The stock has fallen by nearly $10.00 from last Friday and is now trading at $47.79 a share. Traders should note that the stock is now trading below its 50 and 100-day moving averages. This decline puts the stock in a weak technical position and will usually indicate lower share prices ahead. Traders and investors should now watch the $42.20 area for important chart support. This level is where the stock broke out In August 2018. Often, a stock will be defended by the institutional money when it back tests its prior breakout level. At this time, the stock is very weak relative to the overall market so it is important to patiently wait for the shares to reach this support area.
The S&P 500 ETF $SPY has rallied more than 20% in the last two months. It is now testing the major pivot highs from October 2018, an epic pivot point. This is resistance, but the markets are strong. Every big trader and institution is watching this level. A break above with confirmation, signals a move to test the all-time highs. If the S&P 500 fails here, a likely 200 point S&P drop ensues. Volume is extremely light in the market over the last few weeks signaling big investors are on the sidelines. That generally is not good for the long-term health of the market. However, near term it means nothing, in fact as long as the light volume remains, the markets could float higher. Note the chart below. I myself am heavily short here for a pull back.
Shares of Xerox Corp (XRX) have surged 75% since late December 2018. Finally, today there is a topping tail, a bearish indicator that signals a pull back. Pro traders are pulling the trigger on shorts today, looking for a pullback to $27.75.
Discovery Inc $DISCA Sinks After Earnings, Watch This Level
Discovery Inc (NASDAQISCA) is a leading global media company. Today, the stock is falling lower by more than 7.0 percent to $27.12 a share after reporting earnings. Traders and investors should note that the stock is now trading below its 50 and 200-day moving averages. This puts the stock in a weak technical position and further downside is possible in the near term. Traders must now watch the $25.00 area for major chart support. This is where the stock formed a high volume reversal day on January 2, 2019. The $25.00 area was again back tested on January 30, 2019 with very high volume. This signals institutional sponsorship and the stock will likely be defended again at this level if retested.
Watch This Trade Level For This Leading Heath Insurance Stock $CI
Today, many of the leading health insurance providers are coming under sharp selling pressure. The catalyst for the decline in the industry group seems to be related to a proposal from Rep. Pramila Jayapal (D-WA) who wants Medicare for all. Leading heath insurance stocks such as Cigna Corp (NYSE:CI), UnitedHealth Group Inc (NYSE:UNH), Humana Inc (NYSE:HUM), WellCare Health Plans Inc (WCG:NYSE) and others are trading deeply in negative territory this afternoon.
Over the next week or so I will be watching Cigna Corp (NYSE:CI) closely. The stock is currently testing a key daily chart support level around the $180.00 area. A break of this important support level could lead to further downside in the stock. Traders should watch for major chart support around the $170.00 area. This is where the stock was defended in July 2018 after forming a bearish basing pattern. Often, when stocks rally from a negative pattern that is a sign of institutional sponsorship. I will be keeping this swing trade level on my radar in the near term.
Keurig Dr Pepper Inc $KDP Plunges After Earnings, Here's The Trade
This morning, leading beverage manufacturer and distributor, Keurig Dr Pepper Inc (KDP:NYSE), is falling lower by more than 6.0 percent after reporting earnings. The stock cut below its important 50 and 100-day moving averages today. This fall puts the stock in a weak technical position on the charts. Trader and investors should note the next major support level for KDP stock will be around the $22.00 area. This level is where the stock was defended in October 2018. Often, stocks will have excellent support when they retest an important pivot from the past. I will be watching KDP for a long side trade when price gets down to this level.
HP Inc $HPQ Slammed: Here Is The Quick Swing Trade
Shares of HP Inc (HPQ) tumbled almost 20% on the back of weak sales numbers. The stock is trading at $19.40 on its way to a double bottom on the daily chart. Based on technical analysis, HP Inc will likely cross briefly below $19.00 before staging a technical bounce. This is a quick swing trade, likely playing out in a day or two once the target buy level is achieved. Upside could be as high as $20 but once in-the-money by $0.40, use a trailing stop until $20.00 is hit.
FE). This pharma giant peaked out on December 4, 2018 at $46.47 a share. Today, the stock is trading lower by 0.76 to $39.89 a share. Currently, PFE stock is trading below its 200-day moving average which signals near term weakness. The next key support area that I'm watching for PFE stock will be around the $38.00 level. This important support level was where the stock broke out late July 2018. One of my favorite strategies is to look for stocks that are trading back into their prior break-out levels. The institutional money is usually there to support and defend the equity.
