Stock market health is improving, but a likely bottom has not been confirmed yet. That means I’m buying some stocks (swing trades) but not loading up yet.
See the latest Stock Market Health Update for a look at the current market conditions and why I’m cautiously buying right now.
I only trade stocks that are on my swing trading stock watchlist, as shown below.
These patterns and others, when to trade (and when not to), and scanning for trades are covered in the Complete Method Stock Swing Trading Course.
US and Canadian Swing Trading Stock List
Because the market has sold off so much, I basically just scanned for stocks above their 50, 120, and 200-day moving averages. The stock has to be at least 30% above its 52-week low and no more than 40% below its 52-week high. Price above $0.5 and average volume above 200K per day.
There are no Canadian stocks this week.
US stocks: HRB, UTHR, BPT, DY, ENPH, ELA (low volume), SWIR.
From Last Week’s List:
MCK – Tried breaking higher on July 8. Looking for follow-through.
FNKO – running higher
ACHC – broke out higher
CTIC – broke out higher
ALKS – broke out higher
STNG – broke lower, no trigger, removed from my list
TRMD – broke lower, no trigger, removed from my list
How breakouts perform lets me know how easy it is to make money, and how much capital I should be deploying. If breakouts are working, I want to be involved and putting capital to work. If most breakouts are failing quickly, or not producing gains, then I know to stay mostly in cash and/or await better conditions.
The Passive Stock Investing Using ETFs eBook is now available! Follow the guide to compound money in the background—in good conditions and bad—with little effort, even while swing trading and day trading.
By Cory Mitchell, CMT
Disclaimer: Nothing in this article is personal investment advice, or advice to buy or sell anything. Trading is risky and can result in substantial losses, even more than deposited if using leverage.