Top Trade Ideas for the Week of November 25, 2019: The Best

• Posted by Greg Harmon
• on November 24th, 2019

After reviewing over 1,000 charts, I have found some good setups for the week. This week’s list contains the first five below to get you started early.  These were selected and should be viewed in the context of the broad Market Macro picture reviewed Friday which heading into the shortened Thanksgiving week gave equity investors a lot to be thankful for with stock prices sticking near all-time highs.

Elsewhere look for Gold to continue the pullback while Crude Oil rises in consolidation. The US Dollar Index looks to continue to drift higher while US Treasuries bounce in their downtrend. The Shanghai Composite is pulling back in consolidation while Emerging Markets mark time moving sideways at resistance.

Volatility remains very low keeping the bias to the upside for the equity index ETF’s SPY, IWM and QQQ. The SPY and QQQ both sit above the 20 day SMA’s and look strong after a digestive week while the IWM continues to churn in a wide consolidation. Use this information as you prepare for the coming week and trad’em well.

Cleveland-Cliffs, Ticker: $CLF

Cleveland-Cliffs, $CLF, made a top at the end of September 2018 and started moving lower. It has bounced along the way, stalling at falling trend resistance, the last touch in July. The fall from there was sharp and fond support in September. It has built a rounding bottom since and Friday pushed over short term resistance. The Bollinger Bands® are shifting higher as they open and the RSI is pushing into the bullish zone. The MACD has also turned positive as it rises. There is resistance at 8.08 and 8.55 then 9.25 and 9.90 before 10.65 and 11.20. Support lower comes at 7.70 and 7.05 then 6.65. Short interest is extreme at 42%. Enter long on a move over 8.10 with a stop at 7.75. As it moves over 8.45 move the stop to a 40 cent trailing stop. As an options trade consider the December 8 Calls (offered at 38 cents late Friday) and trade them like the stock trade (using the stock price a s a trigger, stop and target).

Expedia, Ticker: $EXPE

Expedia, $EXPE, dove lower following their earnings report but the stock has now settled in and is consolidating. Friday a confluence of 3 things happened. The RSI started to turn higher, the MACD started to turn up moving towards a cross, and price made a 8 day closing high on upward movement all day. There is resistance at 98.60 and 101.45 then 115 and 125.50 then a gap to fill to 135. Support lower sits at 94.25. Short interest is moderate at 5.4%. Enter long on a move over 97 with a stop at 95. As it moves over 98.50 move the stop to break even and then to a $2.50 trailing stop over 99.50. As an options trade consider the December 97 Calls ($2.50) and trade them like the stock trade.

Hilton, Ticker: $HLT

Hilton, $HLT, made a top in July and then started a shallow pullback. It found support in August and moved mainly sideways for almost 3 months before starting to move higher again. Now it is at that July high, with a RSI rising in the bullish zone and the MACD flat but positive. Notice also that the tight Bollinger Bands are opening and shifting higher. There is no resistance higher. Support lower comes at 100.80 and 98.70 then 97.60 and 96.20. Short interest is low at 1.6%. Enter long on a move over 101.50 with a stop at 99.50. As it moves over 103 move the stop to break even and then to a $3 trailing stop over 104.50. As an option trade consider the December 100 Calls ($3.10) and trade them like the stock trade.

Manitowoc, Ticker: $MTW

Manitowoc, $MTW, pulled back from a top in August to a low at the end of the month. After a small bounce, it dropped again to a lower low. The move up from there confirmed a bearish Shark harmonic that topped this month and then retraced nearly 50% of the pattern. Friday saw the retracement end as the price broke a bull flag to the upside, giving a target to 17.50. The RSI is rising in the bullish zone with the MACD flat but positive. There is resistance at 16.50 and 17 then 18.60. Support lower comes at 15.50 and 14.90. Short interest is moderate at 6.6%. Enter long on a move over 16.20 with a stop at 15.60. As it moves over 16.50 move the stop to break even and then to a 40 cent trailing stop over 16.60. As an options trade consider the December 17 Calls (55 cents) and trade then like the stock trade.

Terex, Ticker: $TEX

Terex, $TEX, fell to a low in August and then rebounded. The move failed in September and price fell back to retest the low. It held and rebounded to a move higher, and confirm a double bottom into October. It has made two higher highs now and Friday turned up to confirm a second higher low. The RSI is rising in the bullish zone and confirming a Positive RSI Reversal with a target to 33.20. The MACD is leveling ad positive after a pullback. There is resistance at 28.20 and 29.50 then 31.30 and 32.15 before 33.20. Support lower comes at 27.25 and 26.30. Short interest is moderate at 6.8%. Enter long on a move over 28.25 with a stop at 27.35. As it moves over 29 move the stop to break even and then to a $1 trailing stop over 29.25. As an options trade consider the December 29 Calls (75 cents) and trade them like the stock trade.

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