1/11/18

Good evening!  Interesting day in the market.  We had an early sell-off that recovered.  I see this as a mere pause in the action before charging higher.

I’m still holding $HD calls.  Nothing exciting happened today.  Had some time decay.  My stop is at $191, so I still have a dollar or so at risk before potentially getting stopped out.

Let’s take a look at some potential plays for tomorrow, my favorites being $AXP, $DIS, and $LVS.

Breaking Out:

$AXP and $JPM are both breaking out.  Personally, I like the $AXP play better than the $JPM play because $AXP has a slightly cleaner chart and more room to run, but both have good potential.  I would apply the 5min rule before getting into either of these positions.  $AXP Target 1:  $102.50  Target 2: $105.    $JPM Target 1: $111.06  Target 2: $114.69.  AXPJPM

Second Target Push

$FB and $NFLX paused yesterday, but had better days today, particularly $NFLX.  I really like the $NFLX play here assuming it satisfies the 5min rule.  My biggest concern with $NFLX is that it’s reporting earnings after market close on 22 January, so there isn’t a lot of time to let this trade breath.  In either event, assuming I got into the trade, I would set my stop at the low of today’s candle.  $FB Target 2:  $193.73  $NFLX Target 2: $222.24. FBNFLX

Still Trying to Breakout-Out

A number of stocks are still on the cusp of breaking out.  I’m keeping an eye on: $IWM, $JNJ, $PYPL and $SBUX.  Of all of these, $JNJ is probably my favorite since MACD crossed and is bullish.  A potential $10 gain for a $2.5 risk.  However, be aware that $JNJ reports earnings on 23 January.  I would not get into any of these until the last 5-15 minutes of the day with price solidly above the breakout price.PYPLSBUX.pngJNJ.pngIWM.png

Bouncing

$LVS is bouncing off of it’s 50EMA.  Stochastics are turning up, as is MACD, although MACD has yet to cross.  RSI has plenty of room to run.  It has a reward of $9 with a risk of just $1.5. Keep in mind that earnings is on 24 January.  Targets:  1:  $72.24  2:  $75.3  3:  $79.25LVS

$DIS.  This trade could easily go against you based on the technicals.  However, if the bullish trend continues as it has over the last few weeks, we could see a bounce with a nice gain.  Notice the ascending trend line that has acted as support 3 times in the past.  If it holds a fourth time, I’d be looking at a target of $113.16.  I’m not sure I would hold beyond that due to overhead resistance, but for a swing trade, there’s extremely low risk.  I would get in on the 5minute rule OR, if $DIS gaps up and comes back down to the trend line, I would enter a small position with a tight stop.  I’ll have  my eye on this one tomorrow.DIS

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