Trader Mike's Notes

CHWY - Chewy, Inc.

One of my favorite setups -- a Calm After Storm which shows up a few days after a big positive earnings reaction followed by a pullback. CHWY also happened to close that earnings gap today. I also like the tightening Bollinger Bands (note that it's also in a Bollinger Band Squeeze)

TWLO - Twilio Inc.

Here's another on that's not quite oversold based on stochastic but I do like that it found support at the January lows

ABNB - Airbnb, Inc.

An interesting juncture and set of signals for ABNB today. It managed to find support at both its 50 DMA and lower Bollinger Band. I wish its stochastic was in oversold territory but it's not quit there. If this is actually a re-opening play this could be a good area to get long -- with a stop loss of course!

CGNT - Cognyte Software Ltd.

Not a chart comment... This was spun out of VRNT today and the company description sounds a lot like PLTR. Given how hot PLTR has been this could be worth keeping an eye on.

TDOC - Teladoc, Inc.

One of several nice looking pullbacks I saw tonight while running a Combo Scan of "Calm After Storm" and "Non-ADX 1,2,3,4 Pullback". Full disclosure, I'm long TDOC in my long term account from much lower :-) BYND, SHAK, BLNK and BIGC also made my potential buy list for ttomorrow.

NFLX - Netflix, Inc.

I love these post-earnings gap fills. I’ll be watching for a narrow range bar or a hammer candlestick the next few days as a sign of a coming bounce.

CGEM - Cullinan Management, Inc.

The Hot IPO Pullback comes through again! This raced to a one-day 19.6% gain after signaling a Hot IPO Pullback yesterday.

X - United States Steel Corporation

A 17% breakout for X??? I highly recommend going through the Expansion Breakout scan for today. There were a ton of big moves which clearly reveal where money is rotating to -- IWM (small cap, Russell 2000), MDY (mid-caps), clean energy, cannabis, XLB (basic materials), etc. I'm adding a lot of stuff to my watchlists from that scan tonight.

CME - CME Group Inc.

This was an impressive breakout from a Bollinger Band Squeeze. (you know I like expansions out of a squeeze!). Given its still near oversold stochastic reading, I wouldn't be surprised to see this retest its old highs around $225

LAZR - Luminar Technologies, Inc.

I happened to notice this forming during today's session & made a note to see how it ended up after the close. It's not quite a Rising Three Methods but perhaps it's close enough. Let's see if it can pop on Monday.

ABNB - Airbnb, Inc.

This should be interesting. One of my favorite setups -- the Hot IPO Pullback -- popped up today (ditto for DASH). Let's see if it triggers an entry tomorrow.

BIGC - BigCommerce Holdings, Inc.

This was my trade of the week (a close second was a similar setup in another recent IPO, RKT, on Tuesday)... a beautiful follow-through of Thursday's Hot IPO Pullback setup. This is why I love trading recent IPOs in general (low floats) & this setup in particular. I wish they all were this easy :-)

GOOG - Alphabet Inc. - Class C

nice recovery for Google. It was looking a little sad after earnings at the end of July. Now it's looking like it's itching to break out of a cup with handle(ish) pattern, which started with the Covid selloff in February.

FSLY - Fastly, Inc.

One of many interesting stocks on the Greatest Percentage Losers over the Last 5 Days scan this weekend. FSLY has been on an incredible run but the fact that TikTok is one of their largest customers caused a big drop this week. It could be broken or this pullback could be a gift. Time will tell. In the short term, it looks destined to test its 50-day moving average.

QQQ - PowerShares QQQ Trust, Series 1

A fresh all-time high and it popped up on the Bollinger Band Squeeze and Touched the Upper Band scan tonight. This could easily turn into a walk up the upper Bollinger Band.

JPM - JP Morgan Chase & Co.

I found this and a few other financial stocks on the Expansion Pivot Buy Setup scan this weekend. (That scan essentially boils down to a stock rising above its 50 DMA with a wider than normal intraday range.) These stocks have been severely lagging the market but the action of Friday makes me sit up & take notice. JPM also appeared on these scans on Friday: Stochastic Buy Signal, Crossed Above 50 DMA, Crossed Above 20 DMA and 180 Bullish Setup. Definitely worth keeping an eye on. Upcoming earnings is a wild card though.

SPY - SPDR S&P 500

I really just want to mention the breakdown in the % of Stocks Above Their 50-Day Moving Averages (graph of that is on the General Market Overview page) today. A couple of weeks ago I wrote about how overheated it had become & mentioned the 65% level. Well today it slid from 77% to 64%. So clearly some of the froth has come out of the market. It seems like all the major indices, other than the Nasdaq, are in for tests of their own 50-day moving averages. Bulls will *really* want those levels to hold. The indices being so close to their 50 DMAs will add some exta drama to the upcoming earnings season.

SCHW - Charles Schwab Corporation (The)

Another one from the "Non-ADX 1,2,3,4 Bullish" scan. I also like that it's trying to find support at its 50-day moving average. This chart gives pretty clear-cut stop loss levels (the 50 DMA or today's low) and a price target (if that's your thing) of the June high.

DLTR - Dollar Tree, Inc.

One of tons of stocks on the "Non-ADX 1,2,3,4 Bullish" scan today. This stood out to me because it's also now closed its post-earnings gap from the end of May.

SPY - SPDR S&P 500

The melt-up we've been having came to a screeching halt today. The S&P 500 has given back about 3 weeks' worth of gains yesterday and today. Yet it's still solidly above its 50-day moving average.

Speaking of 50 DMAs, many of you know that I always keep track of the % of Stocks Above Their 50-Day Moving Averages (graph of that is on the General Market Overview page). I use that as an overbought / oversold indicator. I find it to be more useful to identify oversold than overbought conditions but once it rises into the mid-70s I get a bit worried about the market being overheated. Well it jumped above 80% a couple of weeks ago and even got above 90% last Friday! Today it plunged down to 75% as many stocks were driven back below their 50 DMAs. I view that as a healthy development (for now) as the action in many stocks had gotten ridiculous and this selloff is wringing out some excesses. My bullish side would like to see this indicator stay above 65% over the next few weeks. I'm building up a wacthlist of stocks I'd like to buy at or near their 50 DMAs