PBH trade ideas
US Swing-Trading: Best STOCKS to buyAll Stocks on our watchlist are absolute top picks and fulfill Minervini's Trend-Template criteria and are selected using IBD's CAN SLIM criteria. Also, they all have low risk entry points.
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Featuring a few stocks:
PBH
With its next quarterly earnings report set for around Aug. 4, Prestige Brands (PBH) is trading approximately 10% shy of its all time highs. The stocks built a low risk entry in this range which we would call a cup with low-handle pattern.
Swing-Traders can build a first smaller position in this range and then add to the position as the stock enters new all time highs.
The entry is based on a first-stage consolidation.
Understand that buying a stock just ahead of earnings involves risk since you typically don't have enough time to build a profit cushion before the latest quarterly numbers come out. Be sure to follow sound buy and sell rules to minimize your exposure.
Prestige Brands reported 15% EPS growth in its most recent report. Sales gains came in at 12%.
Analysts are looking for earnings growth of -8% for the quarter, and 3% growth for the full year. Annual growth estimates were recently revised lower.
MCK
Mckesson (MCK) is forming a base offering a 340.04 buy point with its next quarterly report expected on Aug. 3. The entry is based on a second-stage flat base.
Keep in mind that jumping into a stock right as it gets ready to report means you likely won't have enough time to build a profit cushion before the release. That leaves you exposed to a sudden downturn if the company disappoints investors with poor numbers and/or weak guidance. You can reduce your exposure by waiting to see the actual numbers and the market's reaction. Using an options strategy during earnings season is another way to put yourself in a position to profit, while minimizing the potential downside.
Earnings growth dropped last quarter from 34% to 15%. But revenue moved higher, from 10% to 12%.
Consensus analyst estimates call for EPS growth of -5% for the quarter, and an -1% gain for the full year.
The company has a 97 Composite Rating and holds the No. 1 rank among its peers in the Medical-Wholesale Drugs industry group. Amerisourcebergen (ABC) and Cardinal Health (CAH) are also among the group's highest-rated stocks.
Is $PBH ready to go higher?Notes:
* Strong up trend
* Health care sector showing strength
* Breaking historical all-time-highs of $57.9 with a very bullish week
* Recently bounced from the 200 Day line and the 10 week line with very bullish price-action
Technicals:
Sector: Healthcare - Medical Distribution
Relative Strength vs. Sector: 3.34
Relative Strength vs. SP500: 1.82
U/D Ratio: 1.35
Base Depth: 22.61%
Distance from breakout buy point: -6.66%
Volume 12.47% above its 15 day avg.
Trade Idea:
* Better trade entry would've been on Thursday but you can still enter now as the price is still close to its 50 day line
* If you're looking for a better entry you can get in around $59, it's been serving as a pivot point
* Manage risk under 57.9
PBH broke out again with volume!* Great earnings
* Strong up trend
* High RS in the Healthcare industry
* Breaking out of a ~13 week consolidation with higher than average volume (93.18%)
* Recently broke back above $57.53 that has been resistance since 2016
Trade Idea:
* If you can stomach a little volatility, now is the perfect time to get in since the price isn't too far from the broken level and it's breaking out on higher than average volume.
* However, looking at the weekly chart I think PBH may consolidate for a couple of days before heading higher.
* If you're not getting in now, do keep an eye on this one for sure!
Dow drops once again #32 (PBH)Technical Concept: Support broken becomes Resistance (Red Arrows= Resistance) (Blue Arrows= Support)
I not use sophisticated Technical jargon in an attempt to "Persuade" and "Impress" the reader because I not a Charlatan
I do not use fancy Charts plenty of Indicators, Oscillators, and other stuff, all in a stock chart in an attempt to "Impress"
the reader with my knowledge because I not a Tutor or Mentor.
I am not either a Business man, Engineer, Doctor, Inventor or Innovator; this requires different skills and personalities
Who I am?
I am End of Day Analyst and Stock Picker, I support myself in Charts, but I not self-proclaimed Technical Analyst Expert
I do not fall into the mistake of comparing and affirm that Technical Analysis is better than Fundamental Analysis .
I am a person without Higher Education, and not have Math Skills.
I am a right brain oriented person and I focus in my strengths, for this reason I use Charts and
I no try to become a Quantitative Trader, since it is a lost cause, in my case.
I dedicated 10 lonely years of deliberate practice and in this process, I eliminated all kind of thoughts.
I open and reset a lot of Demo Accounts for this purpose
I tried and practice with different Markets (Forex, Options and Stocks) with different Time Frames (Intraday, Scalping, Swing/Position).
I tried Mechanical Trading too, But definitely I am Discretionary Analyst or Qualitative, It took me years to know it, and a lot of books.
I've learned by myself, but I do not think I'm smarter than others, “Ego is a sin”
What I do?
I pick Stocks manually I watch one by one without the use of a Stock Screener
I follow approximately 1300 to 1400 Stocks , with different market cap
I have no preference for a particular industry I follow 10 Industries even Public Utilities
I do not follow Penny Stocks and Over-The-Counter stocks
I not follow Stocks with an Avg_Volume bellow 100,000 with (Low Liquidity)
I use a simple method based in Support and Resistance , accompanied with moving averages, and I do a Top down Analysis with multiple time frames
My first view of a Stock is a 10 year Weekly Chart, Then I do a zoom in and I focus in the action of the last 2 or 4 Years, I look my Daily Chart and 4-Hrs Chart too
I understand the concept of Short Selling and spend hours searching this kind of patterns including the weekends.
What I can do for you?
I can put ideas in the desk of Professional Traders, the ideas are based in Price Patterns + Price Action
and they can trade with your own system or set up
My ideas are not influenced by the media or my neighbors,
This was my Resume and Cover letter
Sincerely
Alex_Quiroga