The market gave us a bit of a pullback last week, and there are some signs that we may see some more, although these days so much is news driven that we have to take things day by day. The SPY and the QQQ both have a clean 3/8/20 cross down, and the DIA and the IWM look like the same could set up on Monday. We also still want to be aware of the large dark pool prints up near the recent highs for the SPY and the IWM, which are looking more and more like smart money selling the top. We will continue with our patient approach and will continue to focus on shorter term setups until we have a better defined direction and trend. Here a few names that we will be watching this week:
AFYA is a recent IPO that has been pretty beat up like so many of these, but it is starting to show some signs of life with a 3/8/20 cross and a TTM Squeeze just starting. We like this over 25.50 for a push up towards $27 or higher.
GGAL is a Argentine banking name that is very beat up and showing signs of a turnaround with a 3/8/20 cross and a TTM Squeeze on the daily. We like this over 13.20 for a push up towards the ema34 at $15
CYH made a strong move up in late August and early September and is now consolidating and letting its sma20 catch up, which it mostly has now. We like this over 3.69 for a test of $4 and possible move higher
ULTA had a huge gap down on disappointing earnings, and is setting up for a relief bounce here if it can move over Friday's high around 246.50 If this sets up we like this for a move up into the gap that starts around the $255 level
TREX is showing a lot of strength since gapping up on earnings in late July. It also has a TTM Squeeze on the daily. We like this over $90 for a move to $93 or higher
We will also be watching some names for potential short setups throughout the week, which includes MTCH, UPS, AMBA, BLL, CONN, ZM, TPX, and COUP