Yesterday saw a gap down and sideways kind of day until we saw a push up into and after Fed Chair Powell's speech, which was then followed by a selloff into the close. Overall we were left with pretty ugly looking daily candles on the indices. Technically, the charts look pretty weak and point to some continued pullback, but as we know this is a very news driven week. Early in the premarket, China made some comments indicating that it would be open to a partial deal, and we are up sharply in the premarket on those comments. Keeping in mind that the White House trade team has repeatedly said that they do not want a partial deal, I will be very cautious in my approach today on what is looking to be a gap up. Here a few names that I will be watching today:
PGTI has been very strong in a weak tape and has been consolidating above its sma20 with a nice TTM Squeeze on the daily. I like this over 17.70 for a test of$18 and possible move to the mid $18s
FRAN was on our watch list yesterday and I still like it today. Again this is one I would trade in small position size on a move over 15.20 area fro a push into the $16s
AIMT another one that I am recycling today. It showed some relative strength in a weak market yesterday. I like this over 23.50 for a push up to $24 or higher
WORK is one from our weekly watch list that has been giving nice trades every day. I like this either on a move over $26 or on a break of 26.28 as outlined in weekly watch list.
SCHW is right off the weekly watch list. I still like this over 35.80 for a push up to $37 or higher