August 17 Range Reversal Update and Trending Stock Scan

Aug 17, 2015: 2:13 PM CST

The broader consolidation continued as price reversed strongly off support this morning.

What levels are we focusing on now? Let’s see!

First, be sure to view Monday’s “Thrilling, Non-Stop, Exciting Trading Range of 2015” for context.

We have an update THIS Monday of more of the same:  “Yes, We’re STILL In the Trading Range.

A “stab” into the 2,080 support level resulted in a huge bullish buy-impulse and short-squeeze up away from this support level.

PRice rallied up into the 2,095 midpoint and then exceeded that with the current rally – on divergences – into the 2,100 Round Number Reference.

We’ll be carefully focusing all our attention on the 2,100 pivot and will continue trading bullishly above it within the range… neutral between 2,095 and 2,100… and bearish under 2,095 for simple level planning.

Follow along with members for more precise daily planning, analysis, and education.

Let’s see what our Breadth Chart reveals about current market strength (or weakness):

Energy again is the weakest sector for the day.

Our Defensive Group – Utilities and Heath Care – are the strongest today.

All other sectors trade above their 50% Breadth Line, supporting today’s rally but casting a bearish or cautious cloud over the action due to the strong performance in the defensive groups.

Here are today’s strongest trending (intraday) names – candidates for pro-trend continuation:

Ubiquiti Networks (UBNT), Starz (STRZA), Potash (POT), and Garmin (GRMN)

Bearish downtrending candidates include the following stocks from our “weakness” scan:

Estee Lauder (EL), KKR, Chevron (CVX), and Advance Auto Parts (AAP)

Follow along with members of the Afraid to Trade Premium Membership for real-time updates and additional trade planning.

Corey Rosenbloom, CMT
Afraid to Trade.com

Follow Corey on Twitter: http://twitter.com/afraidtotrade

Corey’s book The Complete Trading Course (Wiley Finance) is now available along with the newly released Profiting from the Life Cycle of a Stock Trend presentation (also from Wiley).

1 Comment

One Response to “August 17 Range Reversal Update and Trending Stock Scan”

  1. Srikanth Says:

    We have seen such extreme level of movements in last few days, so that’s why we need to be very careful in how we work, I prefer doing scalping, so this is a golden opportunity for me to collect decent amount of profits and thanks to OctaFX broker, I am able to do it easily with their awesome platform cTrader, it’s really smooth and allows me to trade so much easier which is why I love to analysis with this and always get profitable results.