🚀 AI-picked stocks soar in May. PRFT is +55%—in just 16 days! Don’t miss June’s top picks.Unlock full list

Top Trade Ideas - Week Of June 2, 2014: PNC Financial

Published 06/02/2014, 08:07 AM
Updated 05/14/2017, 06:45 AM
SPY
-
QQQ
-
PNC
-
IWM
-

Here is your Bonus Idea with links to the full Top Ten:

PNC Financial, Ticker: PNC.
PNC.
PNC Financial (NYSE:PNC) has been in a rising trend since October. The recent short term double top at 88 in March and April led to a 38.2% pullback from the move higher and it is consolidating in a symmetrical triangle since early April over that level. It is testing the top of that triangle with a RSI that is rising and bullish and a MACD that is crossed up and rising heading into the week. There is resistance higher at 85.50 and 88 and then free air higher and a target of 91.20 from the triangle break. There is support at 84.30 and 82.90 followed by 82 and 80.90 before 80 lower.

Trade Idea 1: Buy the stock on a move over 85.50 with a stop at 84.

Trade Idea 2: Buy the June 85 Calls (offered at $1.69 late Friday) on the same trigger.

Trade Idea 3: Buy the July 85/June 87.5 Call Diagonals ($1.66) on the same trigger.

Trade Idea 4: Buy the June 85/July 82.5 Put Diagonals (free) for a potential pullback.

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 Friday which, as May ends and June begins sees the equity markets looking very bullish. Elsewhere look for Gold to continue lower while Crude Oil has an upward bias. The US Dollar Index is biased to pullback in the uptrend while US Treasuries may consolidate or pullback in their stronger uptrend. The Shanghai Composite looks headed lower again while Emerging Markets are pulling back in the uptrend. Volatility looks to remain subdued and biased to the downside keeping the bias higher for the equity index ETF’s SPDR S&P 500 (ARCA:SPY), iShares Russell 2000 Index (ARCA:IWM) and PowerShares QQQ (NASDAQ:QQQ). Their charts show the SPY and QQQ in good uptrends while the IWM is consolidating with an upward bias. It may have the best potential. Gold moving lower and the potential for the Dollar to pullback and maybe Treasuries is a better scenario for equities. Use this information as you prepare for the coming week and trad’em well.

Disclosure: 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.

Original post

Latest comments

Loading next article…
Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.