Scalper1 News
Major averages tiptoed lower on lower volume after Tuesday’s big selloff. The market was unable to manage a bounce though the small and mid cap indices were up on the day. With the number of smaller stocks outnumbering the larger ones, breadth was actually positive on both the NASDAQ Composite and NYSE. Futures are up as of this writing. Despite the recent weak market action over the last few days, two names showed constructive patterns leading to the following pocket pivots: Chinese online discount retailer Vipshops (VIPS) had a pocket pivot. It gapped up after its most recent earnings report. Earnings and sales are skyrocketing, ROE 61.3%, group rank 70. Pharmaceutical ingredient maker Cambrex Corp. (CBM) had a pocket pivot. It gapped up after its most recent earnings report. Earnings are accelerating, group rank 18. Since the general market has displayed weakness over the last few days, any buying should be done with caution and in measured fashion. Members should keep in mind that pocket pivots are technical facts, and only become actionable under the right circumstances and market context. However, as we’ve pointed out previously, stocks issuing pocket pivots during a market pullback or correction are showing contrarian strength and therefore should be watched carefully in the event the market stabilizes and resumes any rally phase. Scalper1 News
Scalper1 News