Friday’s Top Stocks From TradersWire
Be careful when a
stock gaps up at the open. St. Jude Medical (STJ) started the
day strongly well above our intended buy price. When this happens, don’t buy the
stock. As you can see below on the 5-minute chart, STJ gapped above the upper
Bollinger Band. This kind of momentum is not normally sustainable. Wait for a
pullback, and look for a better entry point.
United Therapeutics (UTHR) closed slightly above a flag. Can it follow
through to the upside?
That was a fake hammer. The Dow Jones Industrial Average lost more than 110
points and finished near the day’s low.
The Nasdaq Composite Index bounced off its 50-day EMA and ended slightly below
Wednesday’s close.
Now, three stocks for Friday the thirteenth:
Career Education (CECO): The issue could not move above a declining
trendline and shaped an inside bar. Short CECO if it slips below 32.50. The
initial target is 31. Risk 0.5-0.75.
Apollo Group (APOL): The stock is pulling back to the upper boundary of a
gap zone from the May 4 low. Short APOL if it trades below 70.50. The initial
target is 69. Risk 50-75 cents.
AstraZeneca (AZN):
The issue is testing the 38.2% retracement level after pulling back from the May
4 high. Long AZN if it takes out 43.05. The initial target is 44. Risk 45 cents.
If you have questions, feel free to
mail them to me.