After a three-day pullback, the Nasdaq located the winner's circle Wednesday, with good participation up and down the growth sector. The action, while welcome, did little to improve a landscape barren of pattern setups for the breakout trader.
Our Watch List, at 108 names late last week, is currently at 87. This is still an abundant list, though it is littered with growth titles that had gotten ahead of themselves and may need time to build new bases.
As a consequence, there is just one breakout candidate in the discussion below, along with a trio of pullback ideas.
To enlarge the following charts, please click on them.
BJ's Wholesale Club Holdings (BJ)
Futu Holdings (FUTU)
Life Storage (LSI)
In sum, the market rally remains on track following today's move higher. This is still a go-slow market as fresh-money buys are hampered by a paucity of pattern setups. Let's be patient and allow the growth leaders time to form new bases.
For intraday ideas and analysis: https://twitter.com/mardermarket
All stock charts created using MarketSmith unless otherwise noted. ©2020 MarketSmith, Incorporated. All other charts created using TradeStation. ©2001-2020 TradeStation Technologies. All rights reserved.
The views contained herein represent those of Marder Investment Advisors Corp. At the time of this writing, of the stocks mentioned in this report, Marder Investment Advisors Corp., Kevin Marder, or an affiliate thereof held no positions, though positions are subject to change at any time and without notice. Estimate data provided by FactSet. Expected earnings release dates provided by EarningsWhispers.