Yesterday the market closed pretty much flat after gapping up and going up and then fading the rest of the day. This morning in the premarket, the major indices are all pretty much flat as the market struggles to understand how serious the corona virus situation will be. It would be very normal to see some sideways consolidation here, but I am keeping an open mind to all possibilities here. I will continue to take shots to the long side and manage my position size so that I can handle a pullback if it comes. Here are some names that I will be watching today:
SDC is a highly shorted name that pulled back from highs and now looks to be rounding back up. I like this over 13.75 for a test of $14 and then possible move towards $15
NTNX had a nice gap up in late November and pulled back to mostly fill the gap and looks ready to break higher. I like this over 36.50 for a test of $37 and possible push to the mid to high $37s
ULTA is a name that I will be watching for another test of the ema8 on the daily and ideally I would like to see a drop below the ema8 with a push back up through it for entry.
LYFT is a name that I had on watch yesterday and it gave a pop and then faded. I still think the setup is intact and like this on a soft open and then a break of $48 for a push up to $49 or higher
ROKU is another name I had on watch yesterday that gave the move I wanted very early and then pulled back in sharply. I still like this on a move over the sma20 around $136 for a test of the ema34 at $137 and possible push much higher
LK is an unusual one for me , but we may see a test of the sma20 on the daily with this pullback, and that has been a spot that has been bringing in aggressive buying. I like LK on a test and hold of the sma20 which should be around 41.25 today