Did the Market Pop a TicTac?
Despite the bad breadth and all the uncertainty from this banking situation select individual names continue to hang in and Friday felt like a different type of day. I saw mass movement across many different names. For the first time in years, I am starting to see so many names that fit the style of stock I like to trade act well. My focus is still on large caps but is diversifying into other faster moving opportunities. I will have a select list of names but will track all of them. This is better than any breadth indicator out there. What are the stocks that fit your style doing based on how you interpret price???
Tracking earnings gappers has been the key and I think it is going to continue to be key going into next week. Grooming a strong list of 15-25 names to focus in on and track for setups through this earnings period is all that matters to me. Either for gap up opportunities or just to track what is responding well for future opportunities if you are not comfortable buying gap ups. I rarely buy gap ups in names I have not traded before or just don’t feel comfortable with but that doesn’t mean they don’t provide great feedback.
For example, this past week the GRBK gap up further reinforced the homebuilder theme after seeing BLDR blast higher and many other names responding well to earnings. A few names going into this week I will be watching are ABNB SWAV HIMS PGNY BROS CPNG TMCI SQSP EVGO. Again, you don’t have to always be interested in buying a gap up to be interested in the report.
Here is a scenario to display how I might try to identify a new idea that is likely on very few peoples’ radar. They have installed new EVGO charging stations at the local supermarket I shop at. When they gave guidance on 3/30 it had a bull snort and I put it on my watchlist as that volume potentially confirmed what I see in the supermarket parking lot. Now they installed two more across the street from the post office in front of my doctors office. Who knows if it matters or not? If it puts in a strong report Tuesday morning that is more information this could be a name to pay closer attention to. (Sorry for the ramble but I think important. Have found some of the best stocks like this. The best winners are found before they are on the IBD 50, talked about on twitter, etc.)
SPX CASH-Still consolidating under the 4200 level with the range continuing to tighten.
QQQ-Strong up day Friday after putting in another higher low and more or less continuing to respect this six-week range. I interpret this as a major shakeout on 4/25, a mini shakeout to start May and right back at the highs.
Bitcoin Weekly- Four-week flag taking shape right around this big 30,000 level.
MSFT-Huge weekly breakout through 292, consolidation, and now price strength re-confirmation on Friday. Looks good for higher prices. If MSFT AAPL head higher this market is very unlikely to go lower.
AAPL Weekly-Pushing out of the large weekly descending channel on earnings. $176.15 the next resistance level. Looks good.
NVDA-Shaking out the 280 level but holding the breakout/20EMA support and turning back up. Looks good as long as we hold Friday’s low/20EMA.
UBER-Resting nicely after breaking out on earnings. Building a flag so far. As the moving averages catch up looking for supportive action and another buy/add area to develop.
ONON-Pushing out and closing at new highs Friday. Looking for follow through. Best to buy/add off the 20EMA to me but could be worth reviewing for follow through.
DKNG-Monster bull snort after reporting earnings. Clear weekly close over the big $21.50 breakout level now. With a few days rest looking for another buy/add area.
TSLA Weekly-Pushing through the hammer candle high and potentially building a new double bottom base inside this large descending channel.
TSLA-Took this long Friday as so easy to manage risk with stops at a loss of the 10 day. With three unfilled gaps needs much more work before considering it as a conviction trade but lets see if it can turn up off these levels or not and game plan from there. Risk/reward spots is the name of the game.
NFLX-Long idea for next week through $324.50ish/10 day moving average. Needs a close above the 20EMA to hold it. $331.25 would be the next resistance level and is last weeks high. A close above there and this is a nice 5 week flag.
ISRG-Continues to drift higher since the gap up undercut. Worth watching for follow through. Current stops still below the 5/2 support hold. Above $308.50 would raise to $300.
CMG-Continues to set up. As the 10 day catches up to price looking for supportive action in this developing flag pattern.
CELH-Re-confirming price strength confirmation with a close to new highs. Stops up to the Thursday low. Could still keep around 200SMA/May 1st low if wanted to give it more room.
AMD Weekly-After a poor earnings reaction strong response to news of a partnership with MSFT. Through $91 looking for this to work towards the $100/$105 neckline level. This feels similar to the inverted head and shoulders bottom we saw on NVDA in January to me. Watching for it to follow through next week. Love to see LRCX MU (showed weeklies last week) get humming even though unlikely to trade them.
ABNB-The main earnings report I am interested in this week. Believe it has liquid leader potential like UBER. Flagging at the descending channel line with its report coming Tuesday after the bell. Watching for a gap up.
SWAV Weekly-Three weeks tight as it builds a handle after holding the magic line on the lows.
HIMS-Nice handle building in this cup after breaking out at $10. Earnings this week could send it either direction. Watching for a buyable gap up after the report.
PGNY Weekly-Nice angles going into earnings this week. Watching for an earnings gap up through $35/$35.50 and the 200SMA (Daily).
SHOP-Monster bull snort on earnings this past week. Was hoping for more rest but will continue to track and be patient for a long opportunity in time.
GLBE Weekly-Igniting on the SHOP report and still like how this weekly pattern is coming together.
STNE-Monster bull snort off the lows and re-confirming higher this past week. Worth keeping on the watchlist and watching for pullbacks to the moving averages.
GRBK-Monster monster snort on earnings this past week. A missed opportunity for now but in time tracking for an opportunity.
BLDR-Monster bull snort on earnings. With another day or two of rest could set a nice flag pattern. Watching for the moving averages to catch up.
TMHC-After pushing higher on volume building a clean bull flag into the 10 day moving average. Through $42.50 with confirmation above $43.20 could catch momentum.
LNTH-Strong response to earnings Thursday with light volume rest Friday. $91.50 is a support level to watch as it builds out a post-EPS bull flag.
The FinViz scan I use to track bull snorts is below. I used to have this set at 3x volume and the more volume the better. I switched it to 2x so I get more names to comb through. Then I add the ones of interest to my list. It is also important to scan for large unfilled gaps, which will often have heavy volume and have overlap with your snort scan. Pay attention to who is reporting earnings. For whatever reason, names that clearly fit the criteria sometimes do not show up.
Here are some current names on my snort list. This just helps build a group of “farmable” names. In reality, I end up trading very few of them but the couple you get involved in that work out can make your quarter. When a stock like AAPL/MSFT has a snort it is on my core list so I don’t always add it to my snorts list.
My Gappers scan just to be thorough:
