Longs for Your Shorts: 3 Bullish Pullbacks for Swing Traders
Stocks weathered an afternoon sell-off to close higher on Wednesday.
In our Top 25 PowerRatings Stocks, we are seeing a mixed bag. In addition to the short/inverse exchange-traded funds linked to sectors like semiconductors, basic materials and technology in general, our Top 25 include a number of stocks that have flown under the radar of most traders.
These stocks are trading above their 200-day moving averages, but have pulled back in recent days to become increasingly oversold. As such, they represent an interesting opportunity for swing traders who trade stocks and/or trade ETFs who are looking for some upside exposure.
Three of these stocks are noted below. All three have Short Term PowerRatings of 8 which, according to our research into short term stock price behavior going back to 1995, means that these stocks are likely to outperform the average stock by a margin of more than 8 to 1 over the next five days.
Unifi Inc.
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PowerRating) Short Term PowerRating 8. RSI(2): 25.35
Nash-Finch Company
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PowerRating) Short Term PowerRating 8. RSI(2): 24.34
Cubist Pharmaceuticals Inc.
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PowerRating) Short Term PowerRating 8. RSI(2): 23.82
Again, we are still seeing short ETFs like the ProShares UltraShort Semiconductor ETF, SSG
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PowerRating) and the ProShares Ultrashort Basic Materials ETF, SMN
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PowerRating). And traders should consider opportunities in these names, as well. But for traders who have been waiting patiently for opportunities to buy stocks, the three high Short Term PowerRatings stocks in today’s column are a great place to start looking.
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