NFLX Overbought | Stocks to Trade 11.24.15

NFLX OverboughtDay traders need to be disciplined this week. It can be easy to get suckered into a light volume breakout.

To reduce these account draining, frustrating trades, be sure to check current volume against average daily volume. (If you don’t know this number in the stocks you trade, shame on you).

  • If trading volume is on par with average volume, you can safely trade the breakout on the first close (of your trigger time frame).
  • If volume is light, wait for the first 3-5 candlestick pause above the range.

Stock Market Today: Map of the S&P 500

(click the map for a full view)

NFLX Overbought

 

Day Trading Game Plan: The SPY ETF Outlook

The SPY shifted from four consecutive well-bid days to well-offered. This means a lower-low and lower-high, although on anemic volume (65 millions shares). Four out of five doji candlesticks tells me the market is not going higher. The 2015 resistance in the SPY will hold unless we get an interest rate catalyst.

(click the chart for a full view)

NFLX Overbought

Pete’s Notes:

  • Without the financials participating, it will be challenging to make new 2015 highs.
  • Basic materials have buyers.
  • Consumers services and consumer good, powerful moves higher the last 5 days. (HD, SBUX and LOW)

Charts in Focus

NFLX Netflix, Inc.

Impressive price action higher for NFLX the last six trading days. Into resistance and overbought, but keep it in your tracking journal for the next breakout higher.

(click the chart for a full view)

NFLX Overbought

 

 

NFLX Overbought

NFLX Overbought | Stocks to Trade 11.24.15

Relative strength yesterday compared to the SPY negative change from the open: CLDX, SRPT, TSN, QUNR, LULU, HZNP, PBF, CLR, TDC, M, ADSK, VIPS, CYH, ANF, TSO, CF, ADM, GME, MPC

> 20sma | positive week | closed 2% higher from the open: CLDX, SRPT, TSN, LULU, HZNP, CLR, ADSK, ANF, TSO, MPC

<20sma, negative last 5 days and closed 2% lower from the open: fit, pypl, wpz, mxim, twtr, prgo, race, adi, gpro

Bullish Ideas ATR/Volume/Price: FB, BABA, NFLX, DIS, HD, TEVA, MPC, VLO, SRPT, LOW, MCD, AMZN, AMGN, LLY, BIDU, CRM, NKE, CTRP, NSC, ADSK, PSX, ACE, TAP, DLPH, GOOGL, TSO, WTW, ADBE, COST

Bearish Ideas ATR/Volume/Price: vrx, qcom, m, fit, dks, cvs, gmcr, stx, scty, jwn, dg, de, cf, etp, akam, wdc, mdvn,

Weak Stock Weak Close: race, wpz, prgo, feye, scty, unp, gmcr, adi, fit, twtr, vrx

Strong Stock Weak Close: NVDA

Weak Stock Strong Close: cyh, cf, adm, apc, gme, m

Strong Stock Strong Close: SRPT, PBF, ANF, ADSK, MPC, TSO, TSN

20 day Breakdown: pfe, gpro, fit, adi, cvs,

20 Day Breakout: TSN, JD, ANF, A, HD, DLTR, CLDX, MPC, SRPT, LOW, MDRX, AMZN, PBF

2x Normal Volume: PFE, VRX, TSN, GME, AGN, EA, ANF, ADI, DKS, A, CLDX, FCS

Watch List Longs: GE, KO, SBUX,  DIS, JNJ, HD, VLO, MCD, TRV, COST, DD, DOW, LUV, ADBE, LOW,

Watch List Short: adm, bby, cvs, axp, tgt, akam, qcom, m, wynn, lvs, nue

Inside days: ge, ko, qcom ,lvs, tmus, slb, bby, syy, pep, urbn, mo, dg, dd, yelp, lly, feye, cf, crm, skx, nov, axp, pm, akam, mbly, yum, tsla, wynn, toku, dfs, uri

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