Peter's Watch List January 28th

Good Morning,

We had quite the gap down day yesterday for the market, and so far today we are gapping up to just over yesterday's highs. I will be very patient at the open to see how this gets digested and whether this is just a relief bounce or something more. The corona virus fears are still out there today, but they do seem to be easing a bit. It will be important to see if we get any further news out of China on this either positive or negative. For the moment the VIX is gapping down, but it still remains at a relatively elevated level and bears watching today. Today's watch list is focused on names that showed relative strength yesterday to the market. Here are some names that I will be watching today:

PTON pulled back to its sma20 and key trendline support yesterday and then showed a ton of strength pushing off of those levels. I like this over yesterday's high of 31.38 for a push up to $33 or higher

ULTA is another name that pulled back to its sma20 and the made a strong push up in a weak market. I like this over 276.50 for a push to 280 or higher and would likely use call options to trade this if it sets up

UFPI also pulled back to its sma20 and pushed up nicely in a TTM Squeeze on the daily. I like this over 49.43 for a push up to test $50 and possibly move up to $51 or higher

XRAY showed lots of relative strength in yesterday's weak market. I like this over $60 for a test of yesterday's high and possible push to $62 or higher

SQ gapped down with the market yesterday but pushed up all day before having a late pullback with the market. I like this over yesterday's high of 72.45 for a move up into the large gap above

DDOG tested 3 major moving averages that were clustered together yesterday and made a nice push up with a high of day close. I like this over 41.50 for a push to $43 or higher

LYFT is a name I had on watch last week that pulled with the market but it found nice support yesterday off of its sma20. I like this over 47.65 for a push to $49 or $50

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