Monday’s Top Stocks From TradingMarkets
Did anything else go up
besides crude oil? Where did market participants moved there money
to? One stock stood out today was TXU Corp (TXU, an electric utility
company). It powerfully rallied out of a pullback and closed at a new 52-week
high on heavy volume. Not extreme, but the 14-period RSI is negatively
diverging. It looks like the stock needs to rest for awhile.
Nasdaq-100 Index Tracking Stock (QQQ) formed a wide range bar and closed
right at the 200-day MA. It looks bearish, but a rising trendline is still
intact. On the other hand, Diamonds Trust (DIA) failed to defend its
support line and finished at a 52-week low.
Let’s look at three stocks for Monday:
Dover Corp (DOV): The stock bounced off the 50% Fibonacci level and
closed near the day’s low. Short below today’s low (36.89), and our target is
around 35. Place a stop slightly above today’s high (37.68).
JP Morgan Chase (JPM): The issue has failed to take out 38 and finished
the day poorly. Look to sell below 37.40, and aim the October 20 low (36.32). A
stop can be placed just above 38.
SBC Communications (SBC): The stock is testing the 200-day MA and
coinciding 50% Fibonacci level. Long SBC if it trades above 25.70. Our target is
the prior rising trendline. A sell stop can be set just below the 200-day MA.
Have a nice weekend!
If you have questions, feel free to mail them to me.