Category: The Wagner Daily – Archives

$SWAV gapped open and set a new all-time high in reaction to earnings. The 17% move on 2.9x greater than average volume is an intermediate-term buy signal that should lead to higher prices over the next few months. In the short term, we are looking for a brief pause or a pullback to the 10-day EMA as an entry.

After a failed breakout attempt at new highs from a cup with handle pattern, $HRMY has formed a 5-week long flat base (only 15% deep) above the rising 50-day MA. If market conditions do not deteriorate and $HRMY holds the 50-day MA, then it may have a shot of breaking out down the road.

The monthly chart below shows $EVH setting a new all-time high after basing out for a few months around the prior high. Not many charts have strong eps and sales growth over the past few quarters along with a chart breaking out to a new all-time high after a few years of chop.

Per intraday alert,  $XBI was sold into strength for a 6% gain.  $SWAV was sold just for a small gain due to the lack of profit buffer heading into earnings (Monday after the close).  For those still long $SWAV, consider holding until late Monday afternoon and making a decision to exit based on the profit buffer.  If up 10% or more, consider holding the full position.  If up 5-8%, maybe cut back on size.  If less than 5%, consider selling all or cutting size down to 20% or less of a full position.

The model portfolio also stopped out of $LNTH at breakeven.

We first bought $GWW above the gap up day high.  We plan to add to the position above Wednesday’s high, which would put the price back above the gap up day high as well.  

For the second day in a row, the Nasdaq Composite stalled above the prior day’s high and closed well off the highs of the session. Volume did pick up on Tuesday and combined with the poor close, one could argue it was a subtle distribution day.

If Tuesday’s low fails to hold, then expect more selling down to the 10-day EMA. Some short-term weakness would likely help produce lower-risk buy points.

Per intraday alert, we re-entered $PWR after bouncing off support of the downtrend line and 8-day EMA.

There is one new official setup for Monday in $GWW, which gapped up and broke out to a new all-time high on earnings last Friday. The big volume advance is a buy signal. We are taking a small starter position over last Friday’s high with a stop beneath the low of the same day.

$PWR broke out on volume from a 3-month long base ahead of earnings on 8/4. We have a buy limit order in place at $141, which is the 38% fibo-retracement area measured from the 7/27 close to Thursday’s high. Because we are entering ahead of earnings, we are going with a small 1/4 position.

$ENPH gained 18% on a 320% jump in volume. A major buy signal. For those who bought the open above the 1-2 minute high as suggested in yesterday’s report, consider adding to the position (small add) over the day’s high.