SPX – I know that the inverted head & shoulders pattern is typically a bottoming pattern, but this is standing out to me. It would seem there are still too many top pickers for the market to roll over here. Weekly bias is bullish for me. Thinking we see a minimum of 1527 on the ES_F.
DX_F – Weekly chart. If this volume continues to come in — this trend line will be a non-issue. But, consider the time frame.
JNK – High yields may be at risk. Head and shoulders pattern on increased selling volume. May find support on the 200ema.
LONGS:
CMG – Likely going to make its move this week. Could clear this pennant either way. I have a bullish bias on it because of the overall negativity. However, I’ll be watching for a play on either side. Volume is key.
AAPL – Open gap to fill at $425.10. There is also some pretty serious volume support right here at 425. Depending on the price action & volume this week, the JUL 500 calls are starting to look pretty tempting. If Tim Cook is serious about returning 3b to investors over the next three years we may see signs of accumulation.
BAX – Nice ascending triangle pattern. Been consolidating at recent highs for 3 months+. Looks to be under accumulation.
BWA – Back on the list and I’m still in a starter position. Cup & Handle pattern is intact and I’m looking to add another 1/4 size clearing this descending channel.
RNDY – Credit to @paulwoll. Nice clean chart and large channel with second higher low put in Friday possibly. Like it clearing 6.10.
FOSL – Worked off overbought levels and maintained its price and this rising trend line. The island reversal two weeks ago was a bull trap so be cautious. This is going to need a lot of volume to get over resistance. Less than 100% won’t cut it.
MA – Watching this consolidation pattern near the recent highs. Would like to see it move higher, clearing volume resistance, preferably on over 1.2m shares.
VHC – I’m hesitant to put this one on the list because it’s being news driven with the lawsuits. They are going to be settling with AAPL with in roughly 40 days per the judge’s orders but thinking that may be the catalyst for this ascending triangle to play out. May take more time to play out. But, could easily test the highs. Don’t stick around if this pattern fails.
SHORTS:
PPG – Low risk/reward short opportunity. Stop is clearing volume resistance. First target is the gap fill.
FB – Possible head & shoulders playing out. If it confirms, I am looking for a target of $24.00-$24.50.
EMN – Descending triangle. Possible 8/50 MA bear cross this week. Increasing selling volume.
JNK – See chart above.
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For what it’s worth, I adjusted the 20ema on my charts to the 21ema. I found it correlates better to the candles for the time being. We’ll see if it lasts.
Trying to conquer these fears I thought were gone,
@AffluenzaVirus
