------------ STOCKS TO WATCH - THURSDAY - MARCH 17 ----------------
EL had a breakaway gap on huge volume the day before yesterday. It was followed up with a narrow range bar just under resistance at both the 50 and 200 day moving averages.
EL had smashed through both of those levels and pulled back to just under that level of resistance. If EL can trade above the 50 and 200 day moving averages today, that would confirm the bullish move from 2 trading sessions ago.
Even though the price was down slightly yesterday, the MACD indicator grew in strength. This is indicating that if the market can show any amount of strength today, EL should be able to follow through.
stockcharts.com[h,a]daclyiay[d20041217,20050317][pb50!b200!f][vc60][iut!Lah10,30,5!Lc20]&pref=G
Entry target $44.56. Price target $46.00-$47.00. Initial stop loss $44.10.
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AOC (short). AOC has been having a slow steady decline in price down to the 50 day moving average. Although this is where one would expect a bounce, if it were to come, I think the chart of AOC is very weak. This is confirmed by the gap down in price yesterday on low volume. The low volume indicates to me that we haven't seen a climatic sell off yet.
Even if the price moves up to $24.00, I think it will turn down again. I want to short it if the price can drop below the 50 day moving average.
With a negative MACD and heavy money outflows, I think this supports a short on any additional weakness.
stockcharts.com[h,a]daclyiay[d20041217,20050317][pb50!b20!f][vc60][iut!Lah10,30,5!Lc20]&pref=G
Entry target $23.26. Price target $22.00. Initial stop loss $23.85.
dabum |
