I have a list of roughly 30 stocks that I’ll be watching this week, rather than post them all and clutter this with too much information I will talk about my favorites and update throughout the week as the charts and setups change.

Starting with the SHORTS:

AIZ – Failed this rising trend line. I’d be interested in shorting on a clean break below the 200ema.

EIX – Watching this one to fail this rising wedge on above average volume.

CAKE – Failed the rising trend line. Watch for a move below the 200ema on heavy selling volume.

MCD – This is on my short and long watch list. I would like to short if we lost $97 support on above average selling volume. However, if we get buyers stepping in with the bullish engulfing candle and break higher above the descending trend line I will start a long entry around $99.50-$100.

LONGS:

FFIV – Still working nicely inside this pattern. Triggers haven’t changed from last week. I wouldn’t recommend an options position with common price below $140, consolidation will eat into your profits.

RTN – Buy trigger is $53.15 with above average volume.

BLK – Buy Trigger is $209.80 with above average volume.

LULU – Buy Trigger is $76.75 with above average volume.

MRX – Had nice volume on Thursday. Looking for a possible continuation move to the resistance level, then consolidation before moving higher.

FTNT – Nice bull flag forming just under resistance. Watch for heavy volume before a push higher.

ALXN – Buy trigger is $95.05 with above average volume.

PPG – Thursday gave us over 500% average daily volume. Volume precedes price (FOSL 4.3.12 is a good example). My first entry is $96.30 — I will most likely add to this position on Monday.

TXT – Buy trigger is $28.90 on above average volume.

Other stocks that I am watching are: WAG, LNKD, EOG, NKE, DNKN, MAR, ENDP, EMN & MHP. If they show any relevant action I will update via this blog & twitter.

Enjoy your Zombie Sunday,

@affluenzavirus