Category: The Wagner Daily – Archives

In last night’s report, we mentioned that energy stocks are holding up well and could be in play after some chop. Given the action of the past two days, energy could be in play within the next few days if bull flag-like patterns emerge.

Energy ETF $XLE rallied 9% off the two-day low.  $HAL, $CLR, $DVN, $SLB, $APA, and $OXY are a handful of energy stocks potentially in play. Would like to see some sort of short term pause in these stocks to allow for lower-risk entry points (may just run without stopping).  

Note the strong accumulation the past few days.

No official entries yet, just monitoring the action.

$HAL is not an official setup.

Stocks recovered from an early morning selloff and ripped higher during the afternoon session. Although the S&P 500 and Nasdaq Composite only gained +0.3% and +0.6% respectively, both indexes closed more than 4% off the day’s low.  The bullish reversal action counts as day 1 of a new rally attempt.

Strong close.. and likely headed higher in the short-term.

Growth ETF $IWP is nearing a target projected from the head and shoulders topping pattern that has played out. The first drop from the head to the low of the right shoulder was 11.5%. The break of the neckline should lead to another 11.5% drop near 96.50 at the very least.   Maybe growth sees a bounce this week?

Possible shorts on weakness for a quick daytrade below Thursday’s low – $SCHW, $LYV, $ZIM 

Volatility could be high, so it may be best to do nothing and remain in cash.

$DIA and $QQQ are closing in on the 200-day MA.

In last night’s report we discussed a few unofficial short ideas in $TSLA and $XPEV. Both triggered and sold off sharply. $MU and $ON were on the unofficil watchlist and were hit hard as well.

There are no new official setups for Thursday. There wasn’t much out there in terms of low-risk entry points yesterday and after Wednesday’s selling the setups have really dried up.

There is one unofficial long idea in iShares China Large-Cap ETF ($FXI), which has pulled back into support from the rising 8-day and 20-day EMAs after a strong thrust off the lows.

A move through Wednesday’s high is the trigger.

$DIA lost the 50-day MA and 100-day EMA. Small-cap Rusell 2000 ETF $IWM closed below a big support level in the $207-210 area.

S&P 500 leadership is beginning to thin out with financials taking a beating the past few days.

$BAC (below), $GS, and $MS are a few examples of ugly selling.

The S&P 500 is back below the 50-day MA but holding on to the 20-week EMA or 100-day EMA on the daily chart. Not much to say here as the index remains in a series of higher highs and higher lows. A break of last week’s low would confirm the first lower high and lower low. Leadership is thin and not improving, especially if financials follow through to the downside after last Friday’s gap down.

$CUBI long – buy stop 72.52

$NAIL or $ITB short – entry below prior day’s low

$FAST short – entry below prior day’s low

Per intraday alert, we bought $F on a breakout from a tight range on the hourly chart at the 20-period EMA. The hourly chart below shows our entry. The daily chart has formed a bull-flag like pattern.

Energy stocks have performed best but are a bit too extended in the short term for a low risk buy point. 

Financials are also strong with $RJF potentially in play on a breakout. This is not an official setup.