Yesterday was a tight range, mostly sideways day that continued to move the market up a bit, and this morning we are pointing to a modest gap up in the major indices ahead of the jobless claims numbers at 8:30. We are into a gap above that fills around 332.50 but progress up into the gap is not coming easily. Overall the SPY chart continues to lean bullish for me, but we certainly run the risk of a sharper pullback at any time. We will continue to take shots with a long bias, but we will limit risk through modest position size and not too many overnight positions at once.
Yesterday I took new positions in SBUX calls and CAKE calls and both are off to nice starts as they head into their earnings reports next week. I will likely be quick to take profits or at least put in some in profit stops on any continued push up since I do not want to hold any of these names through earnings. I just want to get the run up into earnings.
Here are a few names that i will be watching today:
TUP from yesterday's list I still like over $8 with volume
CODX from yesterday's list I still like over 22.25
SONO has been side watch for me for a while, and it looks like its getting ready for a bigger move. I like this for a day trade over 17.25 or would be interested in a swing on a pullback to the 16.50 to 16.75 area
FIVE made a strong move over a key anchored vwap level yesterday and I like this on a red to green move today for a push up to $115 or higher
TWNK has earnings in early August, and I like this on a pullback and hold of the sma20 for a push up to the sma200