Each week we scan about 7300 stocks and ETFs, checking fundamentals, performing technical analysis and looking for fresh BUY and SELL signals. Out of this process we generate the following lists:
- Alert HQ stock alerts - based on a combination of proprietary and standard technical analysis techniques, we identify stocks or ETFs that are undergoing reversals, either to the upside or to the downside
- Trend Leaders - just like it says, a collection of stocks in strong up-trends
- Cash Flow Kings whose free cash flow yield is 25% or greater
- Bollinger Band Breakouts - stocks or ETFs that have moved at least 3% above their upper Bollinger Band or at least 3% below their lower Bollinger Band
- Swing Trading Signals - stocks that have bounced off a higher or lower Bollinger Band
- Trend Busters - stocks or ETFs that have violated a current trend.
This week was the opposite of the previous week. This one started off positive and ended with a whimper. It was again a slow news week. The Fed's Beige Book held few surprises. Weekly jobless claims were slightly better than expected but still at a worrisome level.
Fed Ex raised guidance. This is generally considered a big positive for the market. When the company's outlook improves it means that economic activity is increasing and more goods are being shipped. This didn't move the market in a big way this week but it is certainly another welcome data point.
We had another "go figure" moment. Two semiconductor bellwethers raised guidance but semiconductors sold off hard on Friday. Maybe investors were "selling the news."
Geithner spoke to Congress and told them that more bailout money for banks would not be needed. The implication that the banking sector is on a firmer footing also helped stocks.
When all was said and done, Friday's losses didn't do much damage to the major averages which all turned in reasonable gains. The Dow lagged with only a 1.7% gain while the Russell 2000 logged a 4% gain.
At Alert HQ I am swinging from bullishness to near-term caution. Last week I wrote that the action in our Swing Signals presaged a bullish move in the stock market. That pretty much played out as expected. Our Swing Trading Signals are less exuberant today so, though I am by no means swinging to a bearish outlook, I think the market will pull back a bit here. Our Trend Leaders list has jumped from only 92 last week to 635 this week and we are getting a big number of bullish Bollinger Band Breakouts. These are intermediate term bullish signs but also quite possibly signs the market is a little "toppy" at this particular moment. This implies that this coming week might be a good time to focus on stocks as opposed to sectors. And we've got plenty of companies for your consideration at Alert HQ.
This week's results --
Here is the detailed breakdown for Alert HQ for this weekend:
- Based on daily data, we have 27 Alert HQ BUY signals and 12 SELL signals
- Based on weekly data, we have 2 Alert HQ BUY signals and 7 SELL signals
- Based on daily data, we have 635 Trend Leaders. 165 new stocks joined the list since Thursday and 15 fell off the list since Thursday.
- We have 177 Bollinger Band Breakouts based on daily data and 297 Breakouts based on weekly data.
- We have 810 Cash Flow Kings
- Based on daily data we have 30 Swing Signals of which 21 are BUY signals and 8 are SELL signals. We also have 1 Strong BUY.
- Finally, we have Trend Busters with 46 signals based on daily data (43 BUY signals and 3 SELL signals) and 58 based on weekly data (35 BUY signals and 23 SELL signals).
Visit Alert HQ and view or download your free lists of stock alerts. The alerts based on weekly data show those stocks that have exhibited some good follow-through after a recent trend reversal. If you want to be early in identifying the newest trend reversals, the lists based on daily data are for you. No matter which preference you have, there are bound to be a few stocks you will want to add to your watch list.
If you're a momentum trader, the Trend Leaders list is a good place to go shopping. If you have no faith in technical analysis, the Cash Flow Kings may be just what you are looking for. If you do favor technical analysis, check out the Trend Busters. And if you are a short-term trader or even a day trader, our Swing Signals may provide some good trading ideas. See them all at Alert HQ.
Remember, we also provide our latest updated Swing Signals, Trend Leaders and Trend Busters on Tuesday and Thursday nights.