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Bulls won yesterday’s screen game by 16 to 5. 21 total signals is an extremely low number. That’s because there have been so many buy signals in the past week or so that there are few left to trigger. By the same token, there’s no new wave of sell signals. In fact 4 of the 5 sell signals from yesterday were pharma stocks. The rest of the market essentially zippo. So were still in the residual momentum stage of the 153 to 6 bull stampede on May 14.
That suggested a new bull swing phase. It hasn’t really materialized yet but it still could. I wrote last week, “In fact, if I believe this data, and I do, I’d say that it still should. Over the last 5 days there’s only been one day where bearish signals exceeded bullish. That was yesterday’s 29 to 21 bear win where 6 of the sell signals were bond ETFs. The net of 23-21 was hardly a bearish signal for common stocks.”
The 5 day total is now 148 to 66 sells, a spread of +82. That’s down from +88 on Friday, and a peak reading of +218 on Thursday, May 20. So there was quite a surge of buy signals over the prior week as the market gyrated wildly. It shows that bunch of stocks are set up for rallies. There are no guarantees of course, but the setups revealed by these unbiased screens are what they are. I don’t manipulate them. I don’t argue with them.
The market averages were volatile but rangebound as the short term swing buy signals increased. It suggested basing. It suggested that the dealers were shaking the trees to pick up the low hanging ripe fruit inventory. We’ll just have to see if the numbers are right. If these numbers mean anything, a lot of stocks will break out to the upside, or at least move up to the top of their ranges.
That may have started to happen yesterday as we saw a little range breakout. That has seemingly been consolidating overnight and in the premarket.
I screen all stocks and ETFs from the NYSE and NASD, excluding those with less than an average of 1 million shares per day traded, and selling for less than $6 per share. The table below shows swing trade buy signals and sell signals from yesterday’s action. The numbered columns represent the time frame of the support or resistance trend around which the signals were generated.
Here is today’s output. The number 1 indicates that the condition is true. 0 is false. The numbers on the right half of the chart represent the time frames in days of the support or resistance areas where the signal was triggered.
| Symbol | Buy | Sell | 500 | 200 | 125 | 50 |
| GOOS.K | 1 | 0 | 0 | 0 | 1 | 0 |
| CLVT.K | 1 | 0 | 0 | 1 | 0 | 0 |
| FATE.O | 1 | 0 | 0 | 1 | 0 | 0 |
| GRPN.O | 1 | 0 | 0 | 0 | 1 | 0 |
| HUN | 1 | 0 | 0 | 0 | 0 | 1 |
| IJH | 1 | 0 | 0 | 0 | 0 | 1 |
| JELD.K | 1 | 0 | 0 | 0 | 1 | 0 |
| NI | 1 | 0 | 0 | 0 | 0 | 1 |
| NTNX.O | 1 | 0 | 0 | 0 | 1 | 0 |
| PXD | 1 | 0 | 0 | 0 | 0 | 1 |
| SCHO.K | 1 | 0 | 0 | 0 | 0 | 1 |
| SO | 1 | 0 | 0 | 0 | 0 | 1 |
| SPMD.K | 1 | 0 | 0 | 0 | 0 | 1 |
| MDY | 1 | 0 | 0 | 0 | 0 | 1 |
| EMLC.K | 1 | 0 | 1 | 0 | 0 | 0 |
| VNO | 1 | 0 | 0 | 0 | 0 | 1 |
| ALDX.O | 0 | 1 | 0 | 0 | 0 | 1 |
| ONTX.O | 0 | 1 | 0 | 1 | 0 | 0 |
| TEVA.K | 0 | 1 | 0 | 0 | 0 | 1 |
| VRTX.O | 0 | 1 | 0 | 0 | 0 | 1 |
| WETF.O | 0 | 1 | 0 | 0 | 0 | 1 |
| Totals | 16 | 5 | 1 | 3 | 4 | 13 |
This is raw data. These are not recommendations. They represent charts that have triggered short term signals near key cyclical support or resistance levels. Pick through these and see if there are any that you like using your own charts. Feel free to post your charts here with comments.
Every weekend I use the previous week’s screens to select charts that have potential for a move, and I post them for subscribers.
The Meat Grinder Prevails – Swing Trade Picks For Week of May 24, 2021
You can see which ones I actually pick each week by subscribing to Technical Trader. Try it for 90 days risk free (first time subscribers).
Here are a few sample charts from today’s screen that look interesting. These are NOT RECOMMENDATIONS. They’re interesting for different reasons. Feel free to comment.
Click the chart to enlarge
