Dec 16 Stock Scan and Market Update

Dec 16, 2014: 2:57 PM CST

This time, buyers rushed to buy value at a test of the key 1,980 confluence level.

Let’s update our levels and highlight the strongest trending stocks to trade for the moment:

Yesterday had us focus on the 2,000 index level and today we’re seeing a strong rally (at least initially) up from the 1,980 higher timeframe confluence support (with divergences).

Tomorrow will be a FED Day so monitor these levels and real-time price action carefully.

Despite the initial bearish activity, Sector Breadth is flashing a slight bullish signal:

We see a somewhat bullish ‘stair-step’ progression of strength from Financials to Energy sectors and weakness in Discretionary and Health Care.

This once again spreads out the signal instead of concentrating strength in the defensive or offensive groups.

We have potential bullish trend continuation plays in the following stocks:

Ubiquiti Networks (UBNT), Magna (MGA), Cooper Tire (CTB), and Genesis Energy (GEL).

Potential downtrending candidates exist in stocks showing relative weakness today:

Navistar (NAV), Harley-Davidson (HOG), Nucor Corp (NUE), and Google (GOOG).

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Corey Rosenbloom, CMT
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1 Comment

One Response to “Dec 16 Stock Scan and Market Update”

  1. Samreen Says:

    I disagree as I don’t think we need to rush anything but wait for good entry as it might be highly tempted towards buy but at the same time there is no confirmation here so going with just gut instinct can be wrong and costly. I do trade when there is such a huge opportunity but only after proper analysis and I have got the terrific cTrader platform, it is a true ECN platform provided by OctaFX and where we get up to date charts and latest technology so that makes things perfect.