After opening higher, the market quickly turned lower and sold off after the ISM Index came in significantly below economist's estimates, sparking further fears of an economic slowdown. The Dow and S&P500 are down over seven percent from all time highs, officially in correction territory.
The good news for short term traders, the indexes are getting extended to the downside setting up a potential bounce later this week or next. While many Leading Growth Stocks need more time to complete their consolidations, a few have managed to hold up.
Chipotle Mexican Grill (CMG) broke out of a double bottom base on Friday after posting a stronger then expected earning's report. The stock has pulled back below the 548.24 break out pivot point and setting up a potential secondary entry point.
Taser International (TASR), after doubling from its summer breakout, is now forming a flat base on top of a flat base. Investors and traders should be looking to enter the stock above its fifty two week high of 18.88. The stock is scheduled to report earnings on February 26th.
Kapstone Paper and Packaging (KS) has almost doubled from its summer breakout. The stock has held up well compared to the market correction and is setting up a flat base pullback to the fifty day moving average and poised to breakout above its fifty two week high of 29.16 ahead of its earnings report February 11th.
Traders and investors have to remain cautious. Short setups are now too extended to be considered until the market attempts to rally again for more then just a day, and diligent enough to be on the look out for strong stocks holding up and setup to run with any short term bounce in the market.
The good news for short term traders, the indexes are getting extended to the downside setting up a potential bounce later this week or next. While many Leading Growth Stocks need more time to complete their consolidations, a few have managed to hold up.
Chipotle Mexican Grill (CMG) broke out of a double bottom base on Friday after posting a stronger then expected earning's report. The stock has pulled back below the 548.24 break out pivot point and setting up a potential secondary entry point.
Taser International (TASR), after doubling from its summer breakout, is now forming a flat base on top of a flat base. Investors and traders should be looking to enter the stock above its fifty two week high of 18.88. The stock is scheduled to report earnings on February 26th.
Kapstone Paper and Packaging (KS) has almost doubled from its summer breakout. The stock has held up well compared to the market correction and is setting up a flat base pullback to the fifty day moving average and poised to breakout above its fifty two week high of 29.16 ahead of its earnings report February 11th.
Traders and investors have to remain cautious. Short setups are now too extended to be considered until the market attempts to rally again for more then just a day, and diligent enough to be on the look out for strong stocks holding up and setup to run with any short term bounce in the market.
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