Eight Stock Stocks Gapping and Trending Higher Feb 6

Feb 6, 2015: 12:27 PM CST

Intraday traders often scan for stocks that are strong and likely to get stronger so they can trade in the direction of the trend should it continue for the remainder of the session.

Here are eight selected stocks from our algorithmic scan this morning that are showing gaps and potential continual intraday movement in the trend direction, giving us possible pullback (retracement) opportunities:

Google (GOOGL), Flir Systems (FLIR), Wells Fargo (WFC), Buffalo Wild Wings (BWLD)

M&T Bank (MTB), Linked In (LNKD), Verisign (VRSN), and Moody’s (MCO).

Some of these companies are rallying on positive trader reaction to earnings reports and others are just showing relative strength.

The financial sector (broad ETF symbol XLF) is outperforming other sectors today so it may be worth your while to spend extra time finding strong trending financial stocks to trade.

Monitor the price action relative to the rising moving averages and look to trade in the direction of the bullish price action as long as price remains above the 20 EMA (5-min) along with the 50 EMA.

Trail stops under one or both of these averages (depending on your risk tolerance).

Sometimes a simple “flag” retracement trade is all it takes to “scalp” a bit of profit from the strong uptrend.

Afraid to Trade Premium Content and Membership

Follow along with members of the Daily Commentary and Idealized Trades summaries 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).

2 Comments

2 Responses to “Eight Stock Stocks Gapping and Trending Higher Feb 6”

  1. Moin Says:

    Trends are the biggest key and the easiest way to get into profits consistently so we should always be interested in things like these because they can guide us so much well as how to spot trends. I am lucky to be able to practice and for doing that I get chance to make money with OctaFX broker’s superb cTrader weekly contest, it’s so good for gaining education and experience but even the price money of 150 USD for first person is extra-ordinary.

  2. Kadir Says:

    It’s always perfect to have entry into such a strong trend, but still we got to make sure we keep the money management intact, it can be highly risky for anyone to trade without money management since that way we’re only going to lose, so that’s what we must be careful about. I trade with OctaFX and they are one of the best there is with endless benefits whether it’s from rebate program that gives me up to 50% back on all trading orders or if it’s with their swap free option that helps with long term trading.