WGO Daily Chart
WGO caught my eye this week on Wednesday 3/22/17 when it gapped up nearly 2 points and opened at 29.75 (above the previous day’s open of 29.55) and quickly sold off all the way down to 27.55 which erased the entire gap up, followed by immediate buying and rallying up two points, bringing it back towards the level of the day’s open and ultimately closing at 29.55, two points off the low. WGO also had higher than usual volume that day, about 1.4 million shares versus an average around 600k. On the next trading day (Thursday 3/23/17) the stock again opened higher and and had a high of 30.58 which is a remarkable place to find resistance. See the above chart which I highlighted in blue a handful of times that WGO has reacted with support or resistance at this level. Also seen, the two candles that touch the 200 day moving average (red line) are Tuesday’s and Wednesday’s trading sessions of this week. What does all of this mean? Well, the week started off with a lot of selling pressure followed with a lot of turbulence on Wednesday but ultimately resolved higher for the week. In summary, here are a few things observed this week that I find interesting and could be clues that the stock is about to go higher.
- The 2 point gap up, selloff, and rally on Wednesday 3/22/17
- Huge volume behind Wednesday’s action
- Oversold stochastic for the past two weeks, starting to climb higher
- Approached 30.60 level 3 times in March, numerous times in the past 6 months
- Resolved higher for the week
If I were to be trading WGO, I would want to see a clean break above the 30.60 level in order to initiate a long position. Would be targeting a move back towards 35 and stop below recent lows around 27.50. Also worth noting an upcoming 10 cent dividend, with an ex-dividend date of 4/10/17.
CROX daily chart
Taking a look at where I stand with CROX, I’m glad to be sticking to my original game plan from the initial trade idea on 3/1/17. After what looked to my eye to be a potential reversal candle on 3/1/17, I first bought shares on the following trading day as CROX continued to be strong and took out the high of 6.94 from 3/1/17. Since then it has sold off a bit and appears to have found some support around 6.50 which is good. Upon making the original trading plan, I had noted that the area of 6.50 would be potential support and thus decided to add shares at 6.57 giving me an average price of 6.68. The stock closed on Friday 3/24/17 at 6.66, two cents lower than my purchase price. From here, I think CROX presents a pretty good risk/reward with an upside target at 8 or above which aligns with the 200 day moving average and a stop level around 6.20, the low from 3/1/17.
Losing trades are the worst. Today’s market wide selloff was brutal with all major averages falling over 1%. Shortly after the open I dumped JWN at 42.15 for a loss. Thought the signals from 2/26/17 were indicating a reversal but I was wrong. Moving on.
MYGN daily chart
I’ve been holding MYGN since 2/15/17 at 17.21 and today took partial profits at 19.04. Slightly deviating from my original plan of selling around 20, but I’ve decided to sell some shares at this level because the stock went up to 19.90 earlier this week (Monday 3/13 and Tuesday 3/14). During this time I had my limit sell order in for 19.95 and was so bummed to come within a nickel two times. Since then, it’s pulled back to the low 19’s and I the reason I took some profits today is because I believe MYGN will find some resistance around the 20 area, which it casually approached this week, but not quite. Maybe I should have set my limit for 19.85. From here, looking to close out the position on a pop towards 20 and using the area around 18.50 as my limit to the downside.
NUS daily chart
I’ve been watching NUS since March 1 when it transacted an unusually large number of shares. Since then, it’s been clinging to the 51 area without breaking thru having made it within .25 of 51 five times since 2/24/17. Today was the first day it was able to break above 51 and a couple hours into the trading session my stop of 51.10 was hit and my order was filled at that amount. From here, looking to start taking profits around 55 and using February’s low of 47.10 as my stop.
QCOM daily chart
QCOM has been behaving very nicely since I initiated a long position at 54.41 on 2/13/17
. For starters, I managed to capture the $0.53 dividend on 2/27/17. Then yesterday (3/10/17) I sold 2/3 position at 58.74 with QCOM hitting my predetermined profit target area of 58.67 which represents the high from the massive selloff on 1/23/17. From here, looking to sell the remaining shares at or around 60 which I believe there will be some resistance as the area acted as support in July, August, and September 2016.
CEF caught my eye this evening after trading higher today by 3.28% and forming a bullish kicker candlesick signal. After Tuesday’s trading session CEF was entering the oversold stochastic territory. Today’s volume is well above average trading 3.4MM shares versus a 10 day average of 821k. Given the oversold condition and rallying very nicely today with bullish action on higher than normal volume, this could indicate higher prices to come. I am in interested buyer of CEF tomorrow if it continues through today’s high of 12.68. I’d be looking to open the position in the range of 12.72-12.75 and target around 13.50 to take profits while using Tuesday’s low of 12.20 as a stop.
- 3/9/17 update- CEF is a no play. Traded lower today and failed to continue bullish action
Had my eye on CROX today and bought shares at 7.01 as it broke above yesterday’s high of 6.94. From here, targeting above 8 to take profits and will consider adding more if it pulls back into the 6.50’s. Using yesterday’s low of 6.26 as my stop area.
Today’s volume in NUS is certainly something to take note of. The stock traded 9.4M shares versus a 10 day average of 1.4M. Volume escalated in mid February with the major gap down selloff and since then has stabilized a bit, still on high volume, and for the past 4 days has started to look bullish as it’s closing back up around the 8EMA. Potentially could use this weeks high of 51 as an area to go long. If NUS can hold above that I think it should be able to get back to 55 quickly, while using the low of 47.10 from 2/23/17 as a stop.
Today’s action in CROX reminds me a lot of RLGY in November when it bottomed. Earnings gap down and immediate reversal to close near highs, and on much higher than average volume. Going to follow CROX closely and interested in opening a long position on 3/2/17 if it continues through Wednesday’s high of 6.94. If this is the case, it could make its way back up to 8 or even 9 in the near future.