August 4th, 2017 Watch-list
Hey gang! Let's get right to it. Overall market posted a small green day today with the DJIA being in the red early, but rallying and closing in the green by 9.86 points. Overall the DJIA daily chart looks ready for a pullback in the next 3-5 days of some sort in my opinion. We're still, for the most part, going to look to trade stocks that are not super connected to the overall minor market movements. We've found better success with that as of late. Daily chart for the DJIA is below with key support and resistance labeled for review, followed by a new play added to watch.
New Potential Trade Added to Watch:
AMAT: Here we have a stock that has performed very well in recent years and has been, for the most part, on a steady climb. We have seen a pullback shorter term right towards a key ascending support trend line (dark green line below). That is where we will look to target this one for a reversal. Right off the bat, earnings are exactly 2 weeks away, so we are making somewhat of an exception on the earnings rule for this one. Reason being, this one appears ready to give a buy signal in the next day or so. If that happens, we should have enough time to trade this one towards our conservative profit targets. With that said though, anything can happen. If we do not get a buy signal by next Tuesday, we will remove this one from watch. If we do get a buy signal, we'll look to be out of this trade before earnings, no matter what. Very straight forward play here. Chart is below for review. If earnings were not right around the corner, we would target this one for more of an extended move, but due to circumstance we'll remain very conservative.