Apple Inc $AAPL Collapses But Tags Dual Factor Buy Level Shares of Apple Inc (AAPL) collapsed sharply today after the company warned of a major shortfall in earnings and revenue. The stock is down nearly 9% on the day, $70 billion lost for shareholders. While the situation looks ugly, investors are noticing a dual epic level tagged on the weekly stock chart. Apple has tagged the weekly 200 moving average today. In addition, a second factor of support is the 61.8% Fibonacci level for a retrace from the low of 2016 to the high of 2018. The combination of these two key technical signals alerts investors to a possible buy today on Apple stock. Gareth Soloway InTheMoneyStocks
$LRCX is falling sharply this morning. Day traders should watch the $132.45 area for intra-day support. $TWLO is pulling back today after making a new high at the open. There is a huge gap fill around the $88.50 area if it gets there, but there could be some other levels in play first. I will update when the key levels are hit!
Medtronic $MDT Went Into Cardiac Arrest Yesterday, Here's The Trade Yesterday, leading medical device maker, Medtronic PLC (NYSE:MDT), plunged lower after presenting at the Annual J.P. Morgan Healthcare Conference. It should be noted that MDT stock was trading as high as $99.41 a share on December 4, 2018. Today, the stock is trading lower by 0.25 cents to $82.19 a share. Many traders are now watching the important 200 week moving average which is at $81.67 for support. While this may hold up in the near term the pattern ultimately suggests lower prices are in the cards for the stock. I will be waiting and watching for the $76.00 area for major chart support. This is where the stock was defended by the institutional money back in January 2017 and should be support again if retested. Nick Santiago InTheMoneyStocks
Applied Materials $AMAT Downside Likely Until This Epic Target Reached Shares of Applied Materials (AMAT) have bounced recently from an oversold condition. However, the bounce is likely just temporary as an epic target has yet to be reached. Shares of Applied Materials show a major support at $25.00 on the monthly chart. This is the likely target for the in the coming months. AMAT is down from over $60 in the last year, an almost 50% decline. The washout is likely to come and buyers should be ready to pounce. Gareth Soloway InTheMoneyStocks
Here's Where You Want A Dose Of This Pharma Stock $BMY One pharmaceutical stock that has been declining recently is Bristol Myers Squibb Co (NYSE:BMY). Earlier this week, the company announced a takeover of Celgene Corp (NASDAQ:CELG) for $74 billion. As often happens when a company buys another firm BMY stock declined on the news. Many traders and investors are now wondering where this stock should now trade. One level that looks solid on the charts is around the $40.00 area. This is a major retrace level and also where a breakout took place in March 2013. Generally, these factors will cause the institutional money to step in and defend the stock around this price area. Nick Santiago InTheMoneyStocks
Boeing $BA Nears Major Resistance Shares of Boeing (BA) have surged from $293 back to a high today above $350. This move coming in two weeks. Analysts are jumping back on the Boeing bandwagon and investors love it again. However, the chart signals a pull back coming, likely down to $330. The short level is anything above $350 as there is a major trend line sloping down from the pivot highs of September 2018 and November 2018. Note the chart below. Gareth Soloway InTheMoneyStocks
The Easy Money Has Been Made, Now It's All About the Pattern Since December 26, 2018, the S&P 500 Index (SPX) has bounced higher by over 240.0 points. The rally from the December low has been nothing short of amazing, but this is what happens when stocks decline as sharply as they did from the September 20th top. Many talking heads on television are now looking at Fibonacci retrace levels and other technical tools trying to call the next top in stocks. Often, it is not always the retrace levels that will identify a top, it is usually a reversal pattern in combination with some other factors. The point that I'm trying to make here is that the market is not a one trick pony. If this business was easy everyone would do it. These days everyone seems to be a market technician. Last year, everyone on Wall Street was a fundamental investor talking about P/E ratios, book value and the rest of the fundamental factors that the investing crowd follows. It's amazing to see how that has changed so quickly with a simple stock market correction. Now traders and investors will need to be nimble and combine all of the important factors using price, pattern and time. 2019 is expected to be a traders year. This means that there will be opportunity on both the long and short sides of the market. The difficult part of investing and trading in 2019 is going to be when to pull the trigger on such trades. This is where pattern recognition comes into play. For example, if you have a good bullish chart pattern setup and you enter a long side trade you must know when and if that trade turns against you. This is the secret to trading, knowing when you are wrong. Remember, the best market moves will often come from failed market moves. Hint, you must have the discipline to admit when you are wrong and more importantly be able to get out of that losing position. For now, the easy money has been made, so you better know how to read the patterns going forward. Nick Santiago InTheMoneyStocks
Options Expiration Week Is A Time For Institutional Game Playing This coming Friday is options expiration for the month of January. Usually, the trading week leading into options expiration is filled with a lot of game playing by the institutional crowd. This is generally a time when there will be a lot of rumors, ridiculous upgrades / downgrades and often some other far fetched news event. The bottom line, expect the unexpected during options expiration week. Since December 26, 2018, the major stock indexes have surged sharply higher. Now with so many stocks trading off of their lows we could see a pullback this week. But then again, I have to think that after the Christmas Eve sell-off there are probably a lot of retail investors still holding put options into this expiration on a lot of the leading indexes and popular stocks. If this is the case, then the major stock indexes will probably hold up this week. This week is also the start of earnings season. As you know by now, the street is looking for the earnings picture to be weak. At least that is what the market usually looks for when we have such a sharp correction like we have seen. In other words, market expectations have been lowered. So any surprise in earnings could certainly help the markets this week. Either way, traders will have to look at every stock on an individual basis. Many market leading stocks are trading into resistance, while many others are still lagging and should have a way to go before reaching a major resistance point. Just remember, this is a week to be on your toes as options expiration is usually filled with game playing and lots of whipsaw. Nick Santiago InTheMoneyStocks
