Wednesday’s Top Stocks From TradersWire
Let’s look at the daily
chart of Diamonds Trust (DIA) instead of the Dow Jones Industrial
Average. DIA has formed a morning star pattern. This is a bullish reversal
formation.
(Charts courtesy of QCharts)
The Nasdaq Composite Index recorded two straight winning sessions and closed
right at the lower boundary of a gap zone.
Cyberonics (CYBX) successfully traded above our entry point, and it
closed near the day’s high. We sold half at 42.64 and moved our stop to
breakeven.
Now, three stocks for Wednesday:
BB&T (BBT): The issue failed to take out the 50% retracement level and
finished poorly. Short BBT if it slips below 38. Target is 37. Risk 35-50 cents.
Cablevision Systems (CVC): The stock bounced off its support level and
closed near the best level of the day. Long CVC if it takes out 26.80. The
initial target is the 20-day MA (27.80). Risk 0.35-0.5.
Amazon.com (AMZN): The issue may be forming a bottom. Notice the RSI is
positively diverging. Long AMZN if it trades above 33.37. We are looking for 35.
Risk 50-75 cents.Â
If you have questions, feel free to
mail them to me.