Stocks I'm Watching Monday 8/10

I was on vacation all of last week in the Isle of Palms & had very spotty wifi. I took one position in Diplomat Pharmacy, and well, it wasn't a good one. $DPLO hasn't yet hit my stop of $44.00, but I am behind on the position with an entry of $47.85. I guess this is more of a note to self to not trade without my entire "toolbox" or reliable internet service. I did catch the headlines & noticed we dropped for the majority of the week. In the short term we look lower, but am watching for oversold signals to buy the dip.

The McClellan Oscillator ended the week at -10.55, which is "no man's land" with a bias lower. I'm guessing we head lower in the beginning of the week & start to ascend on Tuesday/Wednesday dependent upon headlines. This sell off seems pretty orderly for now, but caution is always warranted. There are a few troublesome signs out there, like the Russell 2000 closing below it's 200 day moving average & the continued weakness in the Transports & Commodities. Onto the charts I'm eyeing Monday...

Bluebird Bio Inc. created a very large dragonfly doji candlestick on it's daily chart last Friday. This is a very unique candlestick pattern & was found at the bottom of a intermediate term downtrend for $BLUE. The daily chart shows RSI dipping into oversold territory & Stochastics look like they want to cross upwards. I like this above Friday's high of $157.50, with a stop placed at $153.50. Earnings were last Friday, so they are of no concern.

Lions Gate Entertainment had a major reversal on Friday due to an earnings beat. Caution is still warranted in $LGF since all indicators are still in bearish zones (RSI < 50, MACD & Stochastics still with bearish signals). Ideally I'm watching for a retest of the 50 day moving average at $36.92 and even a retest of the $36.00 level to get in. If this does not happen, I'm looking for a rise above $38.15 for an entry, with a stop placed at $35.34.

Silver Spring Networks, Inc. popped last week off of an earnings beat. The RSI is overbought on the daily chart, so I will be watching for a pullback to the 50 day moving average at $12.50. MACD & Stochastics are very bullish for $SSNI. Eventually after a little rest, I think this one can test all time new highs around $15.

Seagate Technology Holdings, Inc. looks to have put in a short term top just above $52. $STX is well below it's 200 day moving average & has been since early May. All indicators are pointed down & look bearish. I will be watching for a weak bounce to slightly above $50 to short, with a stop placed at $52.35 My first target will be a retest of it's recent low around $44.

Boeing, Co. is the world's largest manufacturer of airplanes. If you have been paying attention to the headlines, the transports have been under performing all year long. $BA established a lower high on the daily chart & has proceeded lower. Also, on the weekly chart, $BA had a bearish cross of the 30 week rising above the 10 week moving average. I'll be watching for a weak bounce to the $144 area to short, with a stop placed at $145.75.

Stocks I'm Watching Monday 8/3

The McClellan Oscillator or $NYMO bounced from an oversold reading at the close this past Monday. It never reached the extreme oversold level that I like to trade off of (-80 or below), so I did not take a position in the $SPXL this past week. The market seems to be churning in a very tight range & has been very choppy over the past few months. I've been taking gains when I have them & keeping stops tight in this type of market. I'm only holding a half position in $ARIA, which is a speculative trade. I normally only go with a half position on any spec or levered type security due to the volatility. Going into next week, I have no direction bias, but I do believe we are going to get a big move in one direction or the other soon. My guess is it's to the downside, but that's purely speculation on my end. Onto the charts...

HDFC Bank is a foreign play, specifically India. India is one of the fastest growing economies & is widely considered one of the most attractive foreign markets. $HDB just about tested it's 50 day moving average last Monday & has since bounced back. It looks ready to test it's all time highs above $64/share. Stochastics had a recent bullish cross and is pointing to up; RSI is not yet overbought on a short term time frame. I like this above $62.63, with a stop placed at $61.50.

Ambarella, Inc. has been one of the hotter stocks in the past few years. It's in the semiconductor industry & makes the chip that is in GoPro's cameras (also a very hot stock), as well as many other popular tech products. $AMBA seems to be forming a cup and handle pattern on it's daily chart. This chart pattern is a very powerful one when it plays out as planned. I like this above $118.50 on volume (this would break above the down trend line of the handle in the formation), with a stop placed at $113. Earnings are 9/2, so not a factor.

Ciena Corp. is a technology company that specifically makes fiber optic networking equipment sold predominantly to telecom carriers. $CIEN tested and held it's 50 day moving average last Thursday. It looks ready to breakout to all time new highs above $26 & change. Stochastics is about to make a bullish cross & RSI is pointing steeply upwards, but not yet overbought. I like it above $25.67, with a stop placed at $24.30. Earnings are 9/2; so not a factor.

Incyte, Corp. is in the Biotechnology sector of the broader "healthcare" space. It has been rumored in a lot of buyouts, including Gilead Sciences. $INCY has corrected quite a bit from it's all time high's over $121/share. It's RSI & Stochastics are signaling oversold signals. Earnings are Tuesday, 8/4, before the market open, so if you play this one it should strictly be for a day trade/intra-day scalp. I do not recommend holding through earnings, as is the case with all stocks I watch. I like this above $105.25 with at $102.70.

Fitbit is in the wearable tech space, competing with the likes of Apple & Samsung. It sells fitness bracelets that track & record all of your health data. It is a newer IPO, first hitting the market this past June 18th. Newer securities tend to be more volatile on a daily basis, so this one is not for the faint of heart. On top of that, $FIT reports it's first public quarterly earnings on Wednesday, 8/5, after the market closes. The chart shows a recent test & bounce off it's 21 day exponential moving average. RSI is not yet overbought & is pointing up, while Stochastics had a bullish cross recently. I like this above $47.84, with a stop at $44 even. This would be only a 1-2 day hold with earnings coming up mid week.