Leftovers
The reversal that we saw in the indices on Tuesday has carried
over to this morning. We still see a choppy market and light volume.Â
Today’s Watchlist:Â Â
(
INTU |
Quote |
Chart |
News |
PowerRating),
(
SCNT |
Quote |
Chart |
News |
PowerRating)
Intuit
(
INTU |
Quote |
Chart |
News |
PowerRating) has
come off its lows in the last two months. Last week, it hit a weekly resistance
level and retraced a bit. On Monday it failed to make the move a second time. On
the last pullback, INTU bounced off its 50-week MA. For this reason, we’ll watch
for a breakout above this week’s and last week’s high. Watch for a closing move
above this level followed by a continuation. If INTU takes out the low from last
week, the long play will be invalidated, and we will watch for a break of
the recent lows to provide a short play. Let’s focus on the current situation
first and switch sides based on price action.
Scient
(
SCNT |
Quote |
Chart |
News |
PowerRating) is poised to break down below support. On
Tuesday it gapped lower and headed straight down. The buyers came to the rescue
at the June lows. Add SCNT to your Shortlist and watch for another move below
Tuesday’s intraday low. Although the volume was driven by news on Tuesday, the
shares were still moving, and that is our greatest concern. Again, remember to
use tight stops, because the market is choppy, and as short-term traders, we
must protect our capital.
Today’s Non-Tech
Watchlist:
(
HDI |
Quote |
Chart |
News |
PowerRating)
Harley-Davidson
(
HDI |
Quote |
Chart |
News |
PowerRating)
has been resting near its highs for the last few days. It’s forming both a small
ascending triangle and a near-term consolidation. Look for a move above the high
of the triangle that I highlighted below. Ideally, we’ll see a close above this
level followed by a continuation the next day. Look for high volume during both
legs higher. If it takes out the low of the left side of the triangle, the play
is then invalidated.
Â
Until later,Â
Check back at 2:00PM ET
for Trading the Techs PM.