Top Trade Ideas for the Week of July 22, 2013: Bonus Idea
- Posted by Greg Harmon
- on July 22nd, 2013
Here is your Bonus Idea with links to the full Top Ten:
Keycorp, Ticker: $KEY
Keycorp, $KEY, consolidated in a very long and loose Rising Three Methods pattern between 11.50 and 12. It is now on the verge of breaking that higher with support of a rising and bullish Relative Strength Index (RSI) and a Moving Average Convergence Divergence indicator (MACD) that is turning back higher after avoiding a cross down. There is no resistance over 12.15 until 13.60 and 15.10 from 2008. Support lower comes at 11.50 and 11 followed by 10.50 and 10.25. The Measured Move higher takes it to 13.50.
Trade Idea 1: Buy the stock on a move over 12.15.
Trade Idea 2: Buy the August 12 Calls (offered at 30 cents late Friday) on a move over 12.15.
Trade Idea 3: Buy the August 12 bullish Risk Reversal (4 cents) on a move over 12.15.
Trade Idea 4: Buy the September 12 Risk Reversal (1 cent) on a move over 12.15.
Trade Idea 5: Buy the September 11/13 Risk Reversal (3 cents) on a move over 12.15.
If you like what you see sign up for more ideas and deeper analysis using the Get Premium button above. As always you can see details of individual charts and more on my StockTwits feed and on chartly.
After reviewing over 1,000 charts, I have found some good setups for the week. These were selected and should be viewed in the context of the broad Market Macro picture reviewed Saturday which, closing the books on the July options cycle and moving in to August the markets are making new highs but looking a bit overdone. Look for Gold to continue the bounce in its downtrend while Crude Oil continues higher. The US Dollar Index looks lower or may consolidate while US Treasuries are bouncing in their downtrend. The Shanghai Composite looks weak again and headed lower as Emerging Markets are biased to the downside in their bounce in the downtrend. Volatility looks to remain low and biased lower keeping the bias higher for the equity index ETF’s SPY, IWM and QQQ, despite the moves higher last week. Their charts are also biased to the upside in the mid term with the QQQ looking lower in the short term while the SPY and IWM could stand to consolidate their moves. Use this information as you prepare for the coming week and trad’em well.
Join the Dragonfly Capital Views Premium Membership
Want to learn more about Dragonfly Capital Views?
Dragonfly Capital Views Performance Through July 2013 Expiry and sign up here.
If you like what you see above sign up for deeper analysis and trading strategy by using the Get Premium button above. As always you can see details of individual charts and more on my StockTwits page.
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.blog comments powered by Disqus
Gregory W. Harmon CMT, CFA, has traded since 1986 and held senior positions including Head of Global Trading, Head of Product Development, Head of Strategy and Director of Equity. (More)
- Premium Earnings 9-27-16: Nike and Blackberry
- Australian Dollar is Back to Being a Commodity Currency
- The Debate, Gennifer Flowers and Match.com
- Top Trade Ideas for the Week September 26, 2016: Bonus Idea
- Top Trade Ideas for the Week of September 26, 2016: The Rest
- Top Trade Ideas for the Week of September 26, 2016: The Rest Premium
- Top Trade Ideas for the Week of September 26, 2016: The Best
- SPY Trends and Influencers September 24, 2016
- Macro Week in Review/Preview September 23, 2016
- How This Week’s Top 10 Performed September 23, 2016