Good evening StockBandits!

The market was heading north this morning before news hit of another big earthquake in Japan (7.1), renewing radiation concerns which just recently subsided.  That sparked a wave of selling, but also resulted in the low of the day.  The first bounce led to a higher intraday low, and from there the market was able to stabilize and recover from its worst levels.  In the end, the indexes shed just a few points, continuing to cling near key levels.

We’ve seen this market essentially spend the week on hold, unable to gather any momentum to add to the recent rebound.  Given the size of the rally from last month’s lows, a pullback wouldn’t come as a big surprise to anyone.  However, what I find most interesting about today’s events is that the market had the perfect excuse to pull back and didn’t.  Instead, it simply marked time for another day, adding to the small base it’s been building this week.

Going forward, it wouldn’t take much to get each of the indexes back to 52-week highs.  The DJIA and RUT have already reached them, the S&P 500 is less than 1% away, and the NAZ is less than 2% from its highs.  If the most bullish thing the market can do is go up, then it’s done the 2nd-most bullish thing this week by quietly digesting the recent run without moving lower.

I’ll cover my game plan for tomorrow in the video, and as always, feel free to share your own thoughts, trade ideas, and questions down below in the comments section.

Here is tonight’s video:

The Bandit Broadcast Video – Click to Watch!

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Video Stocks Discussed: COV, CSX, ADI, CHK, GDP, FFIV, MGA, LEA, AKAM

Swing Trading Candidates:

AKAM looks to have stabilized since its correction with the establishment of a higher low in the near term.  I’m watching the descending trend line for a break just overhead with a push through $37.70 to indicate this one is continuing its recovery. As with all swing trades, my stop and target levels for this trade are found on the Hit List here inside the Hideout.

Chart courtesy of TeleChart

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The Hit List is a separate post which contains discussion on open positions and swing trade stops and targets, so be sure to check it for further details on swing trades.

Trade Like A Bandit!

Jeff

Good evening StockBandits!

The indexes tagged new recovery highs this morning with a strong open, but the highs of the session were set shortly afterward and the market drifted lower from there.  Each of the averages posted modest gains on the day, but the moves were far from impressive.

We’re still grappling with key levels.  The DJIA is still within spitting distance of the prior high at 12391, the S&P 500 barely pushed past 1332 today (finally!) but remains 9 points shy of the February highs at 1344, the RUT has eclipsed its 2007 high of 856 intraday for the past two sessions but still has yet to close above it, and the NAZ continues to test 2802 intraday without success in closing above it (highs at 2840 remain unthreatened, as does the 2/22 gap which extends to 2833).

With that said, the market is holding up well after its recent run from the March lows.  The pace of the advance has certainly slowed in recent days, but all things considered, the market appears to be digesting that move rather well.

The biggest thing I’m going to be watching for in the coming days is some unity among the indexes.  The DJIA and RUT are hitting 52-week highs, but the NAZ and S&P 500 both have yet to break out.  Eventually we’ll either see the former weaken or the latter strengthen, at which point I think we’ll be able to trade with a greater directional bias.  Right now, it’s a rest phase (read: short-term indecision) and that means shortened timeframes for me on new plays.

I’ll cover my game plan for tomorrow in the video, and as always, feel free to share your own thoughts, trade ideas, and questions down below in the comments section.

Here is tonight’s video:

The Bandit Broadcast Video – Click to Watch!

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Video Stocks Discussed: COF, JEC, COV, ROVI, FRO

Swing Trading Candidates:

NONE TONIGHT

[table “20” not found /]

The Hit List is a separate post which contains discussion on open positions and swing trade stops and targets, so be sure to check it for further details on swing trades.

Trade Like A Bandit!

Jeff

Good evening StockBandits!

Each of the indexes reached new recovery highs today, with the DJIA and RUT both tagging 52-week highs while the NAZ and S&P 500 pushed past key short-term levels at 2802 and 1332, respectively.  In the end, however, some late-day selling erased the day’s gains, leaving the market averages mixed and little-changed on the session.

It’s interesting that we’re still seeing plenty of hesitation on the part of buyers to really produce a ramp higher in this market when given the chance.  We’ve seen selloffs get bought aggressively, but new highs aren’t leading to runaway breakout-types of moves.  That indicates to me that the shorts are still the ones wielding the wallets on dips, as they’re eager to cover into weakness due to a lack of downside follow through for the past couple of years.  The bulls, on the other hand, seem to be sitting tight for the most part, passively buying.

That’s not to say that this run lacks steam, because anytime we’re near 52-week highs, the market has ample strength.  However, it does suggest that the best plays for multi-day moves will be buys on pullbacks.  Other setups (ie: breakouts) can still be taken, but for the most part seem most productive for quick pops such as day trades.

It’s healthy to see the market putting in a little rest up here, and that’s really helping to build some bases on the charts of individual stocks.  I’ll continue to list setups here as they come available for swing trades, but for Wednesday I’ll be keeping an abbreviated timeframe for new plays.

I’ll cover my game plan for tomorrow in the video, and as always, feel free to share your own thoughts, trade ideas, and questions down below in the comments section.

Here is tonight’s video:

The Bandit Broadcast Video – Click to Watch!

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Video Stocks Discussed: CXO, ADSK, UNP, KEG, FRO, HMY, APA, SLW, PDC, LNC

Swing Trading Candidates:

NONE TONIGHT

[table “19” not found /]

The Hit List is a separate post which contains discussion on open positions and swing trade stops and targets, so be sure to check it for further details on swing trades.

Trade Like A Bandit!

Jeff

Good evening StockBandits!

Stocks began the new week on a quiet note today as an upbeat start failed to generate additional interest.  Instead, the market stayed in a somewhat narrow range for the entire day, putting in some healthy rest while respecting Friday’s highs.

The NAZ and S&P 500 each continued to cling near key levels at 2802 and 1332, respectively, while the DJIA and RUT each pushed to new 52-week highs on a closing basis.  That gives us a bit of a mixed market at the moment, but I do expect soon we’ll see more unified price action – one way or another.

The big question tonight is whether today’s pause indicates some kind of a potential turnaround for stocks in the short term.  While that’s not at all out of the question, it’s more likely that today we simply saw some rest.  Today’s light volume indicates as such, and the indexes have made sizeable moves in the past couple of weeks, so it’s healthy to see them pause for now.  It may not rest for long, so it’ll be important for us to stay on our toes and be ready for whatever comes along.  I’m eyeing both long and short candidates for tomorrow’s session, and will take them as they trigger.

I’ll cover my game plan for tomorrow in the video, and as always, feel free to share your own thoughts, trade ideas, and questions down below in the comments section.

Here is tonight’s video:

The Bandit Broadcast Video – Click to Watch!

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Video Stocks Discussed: ADSK, LULU, UNP, TEX, ETR, RCL, CAM

Swing Trading Candidates:

NONE TONIGHT

[table “18” not found /]

The Hit List is a separate post which contains discussion on open positions and swing trade stops and targets, so be sure to check it for further details on swing trades.

Trade Like A Bandit!

Jeff

Good evening StockBandits!

Encouraging economic data provided a positive start to Friday’s session, giving stocks a gap higher on the open.  Selling kicked in to erase some of the gains, but when the first bounce arrived, it led to a continuation push higher for the next two hours.  The NAZ went right to the 2802 level I’ve noted here multiple times of late, and then backed away for the rest of the session to finish well off its best levels.  In the end, the DJIA and RUT each pushed to new 52-week highs, while the NAZ and S&P 500 flirted with key levels at 2802 and 1332, respectively.

So at this point, the bounce continues despite short-term overbought conditions.  Some traders would point to indicators such as the McClellan oscillator, but I simply gauge overbought conditions on whether the pace of a rebound is sustainable.  Considering the indexes just tacked on more than 7% from the lows set just 13 sessions ago, it’s not a big argument to say that a rest at this point would be a healthy thing.  However, stocks still have upside momentum at this point, even after a weak finish on Friday.

That should keep things tricky in the days ahead as traders consider whether to chase this move, lock in some profits, or shift to the sidelines while waiting for more technical clarity.  While the indexes have all seen a rebound in the past couple of weeks, we are getting some mixed signals with the DJIA and RUT making new highs for the year, while the NAZ has yet to clear the prior bounce high and the S&P 500 sits right at short-term resistance.

It’s probably best at this point to stick with a disciplined approach and avoid chasing momentum names which badly need rest.  If the market is able to sustain its strength, rotation will occur, and stocks which have been basing may be poised for a push.  And should we see some selling pressure arrive, then maintaining high levels of cash will of course be a good thing.

I’ll cover my game plan for tomorrow in the video, and as always, feel free to share your own thoughts, trade ideas, and questions down below in the comments section.

Here is tonight’s video:

The Bandit Broadcast Video – Click to Watch!

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Video Stocks Discussed: COF, OPEN, UNP, SIVB, MXIM, ARG, WY, MTL, CAM, RIMM, SNDK, RCL, ANR, CCL

Swing Trading Candidates:

ANR recently made multi-week highs by leaving its trading range on strong volume, and has since consolidated for several days.  I’m watching for a push through the $61 level to signal the start of another advance, so I’ll be using that as a trigger for a buy. As with all swing trades, my stop and target levels for this trade are found on the Hit List here inside the Hideout.

Chart courtesy of TeleChart

CCL continues to act weak relative to the market with a steady decline in recent weeks.  The stock is now resting on support, so I’m watching for a breakdown at $37.85 to trigger a short sale. As with all swing trades, my stop and target levels for this trade are found on the Hit List here inside the Hideout.

Chart courtesy of TeleChart

[table “17” not found /]

The Hit List is a separate post which contains discussion on open positions and swing trade stops and targets, so be sure to check it for further details on swing trades.

Trade Like A Bandit!

Jeff

Good evening StockBandits!

The market was quiet today ahead of tomorrow’s highly-anticipated jobs report, and as a result we saw mixed results and minor net changes for the indexes.  The NAZ and RUT were able to tack on a few points, while the S&P 500 and DJIA gave up just a little ground.  Volume picked up with today’s action, although it didn’t translate into anything meaningful on the technical front and was likely just attributed to end-of-the-quarter activity.

With tomorrow’s nonfarm payrolls gathering all the attention in the premarket, it could quite easily produce a significant gap on the open.  Toss into the mix the recent tendency (although March was an exception) of the market to tack on gains on the first trading session of the month, and we could see a sizeable move.  The indexes are still stretched in the near term, so a pullback from here wouldn’t be a big negative (even for the bulls).  However, the current momentum is to the upside, so it’s important not to go hunting shorts simply because we’re overbought.  Remember, we could stay that way for some time.

My plan for Friday will revolve around a handful of day trade candidates in stocks which look ripe for short-term dips or rips.  This is still a tricky environment at the moment, so I’m still looking to limit swing trades to those setups which I feel offer good risk-reward profiles and which are not extended.  All else I’m simply looking at as rentals, whether on the long or short side.

I’ll cover my game plan for tomorrow in the video, and as always, feel free to share your own thoughts, trade ideas, and questions down below in the comments section.

Here is tonight’s video:

The Bandit Broadcast Video – Click to Watch!

–

Video Stocks Discussed: MTZ, ARBA, TEX, MGA, CAM

Swing Trading Candidates:

NONE TONIGHT

[table “16” not found /]

The Hit List is a separate post which contains discussion on open positions and swing trade stops and targets, so be sure to check it for further details on swing trades.

Trade Like A Bandit!

Jeff

Good evening StockBandits!

The seemingly nonstop rebound off the recent lows continued today with a strong open being followed by additional buying.  That took each of the major indexes to new recovery highs, and in the case of the RUT to new 52-week highs.

Volume improved slightly with today’s action, although it remained below-average.  That has been a glaring technical concern throughout this bounce, yet the buyers are still driving prices higher – whether bulls putting capital to work or bears in desperate need of covering short positions.

The bounce is approaching melt-up pace at this point, but it’s important to remember that even though price is quite stretched here, some stocks will still see rotation in the coming days.  The trick to playing a bounce like this is to participate in names which aren’t yet extended, so that’s my plan for new buys heading into tomorrow.  I’m still going to keep a close eye on potential short setups, because at some point this rally will relent, but for now it seems traders are doing their best to get positioned for another possible start-of-the-month advance (which could occur Friday) like we’ve seen so many times recently.

I’ll cover my game plan for tomorrow in the video, and as always, feel free to share your own thoughts, trade ideas, and questions down below in the comments section.

Here is tonight’s video:

The Bandit Broadcast Video – Click to Watch!

–

Video Stocks Discussed: MEE, STJ, MCHP, ICO, MTZ, PXP, CVC, SM

Swing Trading Candidates:

SM continues to base beneath resistance while maintaining its uptrend.  A breakout with a push through resistance at $75 could free up this one to move higher, so I’ll be going long if that level is cleared for a swing trade. As with all swing trades, my stop and target levels for this trade are found on the Hit List here inside the Hideout.

Chart courtesy of TeleChart

[table “15” not found /]

The Hit List is a separate post which contains discussion on open positions and swing trade stops and targets, so be sure to check it for further details on swing trades.

Trade Like A Bandit!

Jeff

Good evening StockBandits!

Monday’s late-day selling carried over into this morning as a minor downside gap was followed by some additional weakness.  However, it didn’t last long as the lows of the day were set about 15 minutes after the open, and from there the market never looked back.  The morning deficit was quickly erased as each of the indexes moved into positive territory, where they stayed for the remainder of the session.

Today’s downside head-fake no doubt has some bears trapped tonight, as the recent V-shaped rally was seemingly set for at least a short-term pullback after weak finishes Friday and Monday and a poor start today.  Follow through to the downside failed to unfold, and instead we saw the indexes tack on gains just shy of 1%.  We’re now back facing some important levels, with potential to climb back above the prior bounce highs.  The RUT and DJIA are both not far from 52-week highs, but they’ll need the participation of the NAZ and S&P 500 to make meaningful moves going forward (as usual).

Despite how far this market has carried in just two weeks off the recent lows, tonight there are a lot of charts exhibiting bullish behavior.  But just as it wasn’t advised to short two weeks ago after a sizeable selloff, this is an equally difficult spot to be making new buys.  Some stocks have great setups with risk/reward that justifies long-sided entries here, provided that risk is kept in check just in case we see selling return.  Overall though, it’s a trader’s market and we have to expect some shifts of direction while caught between the lows and highs of the past few weeks.

I’ll cover my game plan for tomorrow in the video, and as always, feel free to share your own thoughts, trade ideas, and questions down below in the comments section.

Here is tonight’s video:

The Bandit Broadcast Video – Click to Watch!

–

Video Stocks Discussed: WNR, JBHT, TRN, CCL, MGA, MDR

Swing Trading Candidates:

MDR has pulled back from its recent high, and has kept its uptrend intact.  Price is now resting just beneath a trend line, which if cleared at $25.10, could set this one free to move higher.  I’ll be using that level as a trigger for a buy. As with all swing trades, my stop and target levels for this trade are found on the Hit List here inside the Hideout.

Chart courtesy of TeleChart

[table “14” not found /]

The Hit List is a separate post which contains discussion on open positions and swing trade stops and targets, so be sure to check it for further details on swing trades.

Trade Like A Bandit!

Jeff

Good evening StockBandits!

Following a couple of rather lively weeks, the market started out the new week on a rather quiet note today.  The indexes never saw any real momentum arrive in either direction, and instead spent the majority of the session in a rather choppy trading range.  In the final hour, the positive tone and minor gains from this morning were erased as selling took the market negative for the day.

Today’s sluggish action and poor finish points to some short-term fatigue, which isn’t surprising after Friday’s finish off the highs.  The indexes have carried a long way since the lows of just two weeks ago, and traders are at a bit of a standoff waiting to see which will continue, the bounce or the correction.  Some stronger volume could have offered a bit more clarity on that today, but instead the verdict is still out.  The next few days should prove noteworthy as we see which way this all plays out.

More patterns are emerging for plays on the daily charts, which I’m encouraged by.  I am eyeing several plays for Tuesday’s session, including longs and shorts and day and swing trades.

I’ll cover my game plan for tomorrow in the video, and as always, feel free to share your own thoughts, trade ideas, and questions down below in the comments section.

Here is tonight’s video:

The Bandit Broadcast Video – Click to Watch!

–

Video Stocks Discussed: JBHT, STJ, PCX, GE, MAN, RCL, MET

Swing Trading Candidates:

RCL has worked its way steadily lower in recent months, and now rests on key support.  A breakdown at $40.40 will trigger a short sale for me as this one heads back down toward the unfilled gap from last October. As with all swing trades, my stop and target levels for this trade are found on the Hit List here inside the Hideout.

Chart courtesy of TeleChart

MET has bounced back from its lows of two weeks ago, but volume has failed to confirm the bounce.  Additionally, we have several lower highs already in place, reminding us that until proven otherwise, this looks to be a bounce within a downtrend.  I’m looking to short this one if it breaks the rising trend line at $44.70, expecting a move back down toward the recent lows. As with all swing trades, my stop and target levels for this trade are found on the Hit List here inside the Hideout.

Chart courtesy of TeleChart

[table “13” not found /]

The Hit List is a separate post which contains discussion on open positions and swing trade stops and targets, so be sure to check it for further details on swing trades.

Trade Like A Bandit!

Jeff

Good evening StockBandits!

The major averages continued to rebound last week, showing some upside follow through to the previous Thursday and Friday bounce attempt from the March low.  The indexes went 4-for-5 on the week, making new recovery highs on Friday.  At their best levels on Friday, the indexes had rallied 5-6% from their lows of just 7 sessions prior, leaving little doubt that the bounce has become short-term extended.

Adding validity to that claim are the lack of recent upside volume, as well as Friday’s finish well off the highs.  We’ve seen consistently light volume over the past several sessions, showing us on the daily charts that as price continues higher, it does so with limited participation.  And Friday’s finish off the session highs may have merely been profit-taking ahead of the weekend, but the fact remains that many stocks are short-term stretched, and therefore ripe for some rest.

At this point, trading the long side is extremely difficult to trust for any timeframe but day trades.  We know many stocks (and the market) have become extended, that prices have risen accompanied by light volume, and that Friday’s turn from the highs may point to some fatigue setting in.  Additionally, we still have the remaining possibility of another lower high forming on the daily charts, particularly if prices turn lower from here without threatening the early-March highs.  It’s still a time for caution, as well as an open mind with more changes of direction likely to come our way in the weeks ahead.

Traders will closely monitor the news flow this week for clues, knowing the market has responded often of late to the headlines.  As a result, it’s in our best interests to stay on our toes, knowing the market momentum can turn on a dime and the correction can resume.  I’m planning to keep my trading timeframes short for Monday, but am open to adding some overnight exposure if the right setups present themselves in the coming days.

I’ll cover my game plan for tomorrow in the video, and as always, feel free to share your own thoughts, trade ideas, and questions down below in the comments section.

Here is tonight’s video:

The Bandit Broadcast Video – Click to Watch!

–

Video Stocks Discussed: CBE, BEXP, CIE, FFIV, RCL

Swing Trading Candidates:

NONE TONIGHT

[table “12” not found /]

The Hit List is a separate post which contains discussion on open positions and swing trade stops and targets, so be sure to check it for further details on swing trades.

Trade Like A Bandit!

Jeff