$SPX Daily: Divergences starting to form. Waiting for a turn up in the MACD.
IBM: It still looks like it's going to push up to the prior high, which supports the market.
XLF: The worst sector in the world is trying to bottom on divergences! A turn up in the MACD would be sector and market friendly!
$TRAN: Another sector looking to bottom on a big divergence.
My Watch List: From the long side of the trade, the patterns that seem like candidates are momentum stocks that didn't sell off that much who have returned to favor, or stocks that did sell off, but seem to be making a bottom on divergences. I have a couple ideas that fit the later.
JNPR: Sharp move up with divergences in formation.
FDX: Stock bouncing hard off divergences forming. If we are in bounce mode for the next few months I would expect transports and Fedex to participate.
UNP: Possible ending diagonal on divergences. Quality pattern with good upside volume.
From My Trading Desk: This morning I scalped a nice little gain with a half long on AA. I was trading the theme of stocks bouncing off divergences building. I was out of the office most of the day and that was my only trade.
It seems like there are plenty of charts out there that fit a stock trying to bottom and bounce off divergences. For that long trade, it seems smart to stay with big names the market knows and likes.
Happy Trading.
J.D. Rosendahl, Rosey