Put Some Lipstick on On the Market if You Don’t Like It

‘The Transports are not confirming’, ‘there was a shooting star reversal’, ‘earnings expectations are due to fall’. Who cares! This is a bull market, and frankly the more people that are afraid to jump in today and will end up chasing it tomorrow the better. If you think this market is looks ugly then just put some lipstick on it and date it. Here are three stocks to look at to help you make the market look better.

Estee Lauder, $EL
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Estee Lauder, $EL, has been trading in a consolidation zone since mid August. The Relative Strength Index (RSI) is bullish and rising and the Moving Average Convergence Divergence indicator (MACD) is nearing a bullish cross to positive. Also notice that the Bollinger bands were tight and are now expanding to the upside. These are bullish support. A move over the top of the box at 62 carries a target of 70.50. That is some good lipstick.

Avon Products, $AVP

Avon Products, $AVP,is making a series of higher lows within a rounded bottom and a break out near 16.50. The RSI has held over 50 and the MACD is flat. It may not be ready yet, but what is not to like about a rounded bottom that is moving up through 16 and a half? Nineteen will come quick from there (Get your head out of the gutter).

Ulta Salon Cosmetics & Fragrances, $ULTA

Ulta Salon Cosmetics & Fragrances, $ULTA, traded in a broad channel between 82.50 and 97.50 until it broke over the top when it last reported earnings. It is retesting support at the breakout level and holding with a RSI that is bullish and strong but a MACD that diverging lower. Risk of a breakdown. As long as it holds over 97, then the target higher on the Measured Move is to 115.

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The information in this blog post represents my own opinions and does not contain a recommendation for any particular security or investment. I or my affiliates may hold positions or other interests in securities mentioned in the Blog, please see my Disclaimer page for my full disclaimer.

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