Wednesday’s Top Stocks From TradersWire
September crude oil lost
3.6% of its value and closed slightly below a rising trendline. This
is not a decisive breakdown. Watch out for tomorrow’s U.S. oil inventory report.Â
Sears Holdings (SHLD) staged a powerful rally and hit our target price of
155 easily. Indeed it was a nice summer trading day.
The Dow Jones Industrial Average gained more than 110 points and formed a wide
range bullish bar. Now, the index is facing the 38.2% retracement level and the
200-day EMA to overcome. The Nasdaq index bounced off the 50-day EMA and safely
returned above the 2050 level.
Let’s look at three stocks for Wednesday:
Cognizant Technology Solutions (CTSH): The issue is attempting to rally
out of a pullback from the June 17 high. Long CTSH if it takes out 47.50. We are
looking for 50. Risk one point.
Mylan Labs (MYL): The stock broke out of a channel and finished near the
day’s high. Long MYL if it trades above 19.40. The initial target is 20. Risk 30
cents.
Oil Service Holdrs (OIH): The issue broke down below a rising trendline
on increased volume. Short OIH if it slips below 101.70. The initial target is
the June 22 low (100.60). Risk 50 cents.
Feel free to mail me your
questions.
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