Where is Today’s PowerRatings Edge?
Each day, TradingMarkets publishes a new set of proprietary lists based on
our PowerRatings (for Traders) historical research. Basically, we try to
highlight conditions which have led to higher prices, and we group together
stocks that are trading with a similar edge.
For example, one of our most popular lists is the
9’s and 10’s. The 9’s and 10’s list lays out all the stocks in the
PowerRatings (for Traders) universe that have a PowerRating of 9 or 10. If you
could have just one list to work with, this would probably be it.
In addition to finding new trading opportunities on the list, you can also
gauge broad market conditions by counting how many stocks are rated 9-10. If
there are hundreds in the list, that would mean the market has sold off
recently, and is geared towards a short-term bounce. If there are very few 9’s
and 10’s, that would probably indicate that the markets have rallied in the past
few days, leaving few stocks primed to bounce from oversold conditions.
9’s and 10’s
Today, there aren’t that many stocks on the list. The rally that lasted
through the week last week has thinned the universe of stocks with a short-term
edge to the long side.
Broadcom
(
BRCM |
Quote |
Chart |
News |
PowerRating) has a PowerRating (for Traders) of 9. After a
massive gap-down last week, BRCM is set for a move higher over the next week.
Bea Systems
(
BEAS |
Quote |
Chart |
News |
PowerRating) has a PowerRating (for Traders) of 10. In
mid-October, BEAS gapped up, and has fallen since. Watch for a move higher out
of oversold conditions.
