Trader Mike's Notes

  • EBAY - eBay Inc.

    I like the pullback here. It's closed the post-earnings gap but I'd like the market to firm up before I'd touch this given that it's still so close to its highs.

  • SPY - SPDR S&P 500

    SPY

    Quite a set of signals for SPY today. Stochastic reached oversold, a bounce off the 200 DMA, a bullish doji... We need to get some follow through next week. The 50 DMA is the obvious resistance level to keep an eye on. For many years I've referred to stocks (or indices) that are between their 50 and 200 DMAs as being in no-man's land. They're stuck between being bullish for long(er)-term investors and bearish for intermediate term investors/traders. It will be interesting to see which group wins.

  • SPY - SPDR S&P 500

    SPY

    Another selloff today which pushed the SPY and QQQ beneath their Tuesday lows! The % of Stocks above their 50-day moving averages (chart attached or view it on the General Market Overview page) has dropped to 20, so by that measure the market is officially oversold. That doesn't mean that it can't become even more oversold, but I like to use that as a sign that it's time to start covering my shorts and possibly look for some bargains.

  • VTI - Vanguard Total Stock Market ETF

    VTI

    Another good day to review the General Market Overview page. This Wilshire 5000 ETF tells the same story as what happened on the Nasdaq, S&P 500 and Dow today -- they all got rejected by or dropped back under their 50-day moving averages. I'll be watching those moving averages closely over the coming days. Remember cash *is* a position! No reason to force things. Preserving capital for easier times is a very valid strategy. I've been content to sit and watch the last couple of days. I'd really like to see the % of stocks above their 50 day moving averages drop under 20. Then I'd feel better about all the sellers being flushed out. Barring that, I want to see the indices close above their 50-day moving averages.

  • NVDA - NVIDIA Corporation

    Like I said on Friday, in times like these you should check out the "Strong but Oversold" scan. It's a place where you can often find some good bargains among the market's leaders. I found NVDA there today. It dropped 9% today and closed just above its 50 DMA. Be warned though, it reports earnings in a few days...

  • VTI - Vanguard Total Stock Market ETF

    VTI

    Obviously a bad day for the bulls today, with all the major indices down around 4%. What's striking to me is the % of stocks above their 50-day moving averages. (See that indicator on the General Market Overview page). It's dropped to 27%. That's the lowest level in over a year. I pay close attention to that indicator during broad selloffs. Once it gets below the mid 20's that's usually a sign that the market is oversold. So we're really close...

  • OLED - Universal Display Corporation

    Full disclosure, I'm long OLED in my retirement account from much lower levels... This looks washed out to me. It got crushed the last couple of weeks over AAPL & iPhone fears. So I was pleasantly surprised at how well it held up today given how hard Apple got hit. OLED reports earnings in a couple of weeks though...

  • FDX - FedEx Corporation

    FDX

    I found this on the "Strong but Oversold" scan today. It's been a while since anything interesting has been on this scan but it's getting good now. This is a good scan to run to find names to add to your watchlists. The idea being that when (and if!) the market firms up, these may be some of the best performers.

  • SPY - SPDR S&P 500

    SPY

    Be sure to check out the General Market Overview page today. A lot of red added to the index trend table today as ADX / Directional Movement has swung to "Strong Downtrend" for the Dow, S&P and Wilshire 5000. SPY looks like it could easily reach its 50-day moving average in another day or two, as there's not much resistance between here & there. The lower Bollinger Band is also around the same price as the 50 DMA, so that area *should* be able to provide some support.

  • VMW - Vmware, Inc.

    VMW

    Some wild action here of late. Check out the news about a rumored reverse merger with the now private Dell, which caused that violent selloff. I'm considering buying a little in my retirement account, as I've liked the company for a long time but somehow have never bought it.

  • GILD - Gilead Sciences, Inc.

    I really like the pattern this has made since September. It's sort of a cup & handle forming. But it's reporting earnings early next week, so I'll leave it alone until after the report...

  • MATX - Matson, Inc.

    Here's an interesting one which popped up on the "Top 50 Bullish" scan today. It's a little too thinly traded for my liking though.

  • KBH - KB Home

    KBH

    I'm *still* watching this. It bounced off its 50 DMA today. If it can't rally from here...

  • GGAL - Grupo Financiero Galicia S.A.

    My favorite chart among those on the "Top 50 Bullish" scan today... Oversold, bouncing (attempting to) off the lower Bollinger Band and the 50 DMA and a Bullish Engulfing candlestick.

  • KEM - Kemet Corporation

    KEM

    This is an interesting chart (which I found on the Calm After Storm scan). It's hit the wall at $20 but refuses to drop very far. That $20 mark is also the bottom of a nasty gap down back in November (post-earnings, I assume). It's due to report earnings soon, so that may be the catalyst it needs to start attacking that gap.

  • KBH - KB Home

    KBH

    I had buy orders in for this above 35.50 early last week but they never triggered and I got bored with it. The selloff today has put it back on my radar. Stochastic has now reached oversold and it continues to print the 1,2,3 and 1,2,3,4 Pullback signals...

  • PETS - PetMed Express, Inc.

    Here's one of my post-earnings "Calm After Storm" setups that I like so much. Plus a nice collection of other signals...

  • CLDR - Cloudera, Inc.

    I used to watch this former hot IPO closely. Today's Expansion Breakout is making me put it back on my radar (adding it to a watchlist).

  • SFIX - Stitch Fix, Inc.

    There's been a bit of a battleground in this recent IPO over the last week or so. It's now reversed all of its breakout from last week and is perched right on (what should be) support from the mid-December highs and I like the 1,2,3 Pullback it made today.

  • ESIO - Electro Scientific Industries, Inc.

    This is FINALLY lifting off from its 50-day moving average. It's got a nice collection of signals on this today. It's no wonder why I found it on the "Most Bullish Alerts" scan.