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.
- Gap Signals - stocks or ETFs gapping up or down during the last 5 sessions
Back to back weeks of declines slam stocks down to support levels. The small-cap Russell 2000 led the week's losses, dropping 3.1%. The NASDAQ fell 2%, the S&P 500 and the Dow dropped 1.8%.
After a nice rebound on Monday, it was downhill all the way for the rest of the week. Pretty much every economic report disappointed. Poor employment data from ADP, higher than expected weekly claims and a weaker Non-Farm Payrolls report all contributed to the dour mood. Consumer confidence, Chicago PMI and ISM Manufacturing also came in below expectations. The lone glimmer of hope was a better than anticipated consumer spending report.
As I mentioned above, stocks are sitting at important support levels on the daily charts. With the S&P 500 at 1025, it doesn't have much leeway before a minor pullback turns into a major pullback.
Our signals reflect the weakness and what could be an over-sold condition. We were unable to find a single daily Alert HQ BUY signal this week but we easily came up with 142 SELL signals. The number of stocks on our Trend Leaders list continues to plumb new lows. Sell signals outnumber BUY signals on the rest of our lists. The only hopeful note among these dismal indications is that things don't usually stay this bad for long.
I would ignore the doom and gloom bloggers and commenters but keep an eye on those support levels. And keep checking Alert HQ for stocks defying the downturn or beginning to rebound.
This week's results --
Here is the detailed breakdown for Alert HQ for this weekend:
- Based on daily data, we have 0 Alert HQ BUY signals and 142 SELL signals
- Based on weekly data, we have 3 Alert HQ BUY signals and 23 SELL signals
- Based on daily data, we have 144 Trend Leaders. 10 new stocks joined the list since Thursday and 84 fell off the list since Thursday.
- We have 109 Bollinger Band Breakouts based on daily data and 156 Breakouts based on weekly data.
- We have 830 Cash Flow Kings
- Based on daily data we have 19 Swing Signals of which 8 are BUY signals and 11 are SELL signals.
- We have Trend Busters with 64 signals based on daily data (25 BUY signals and 39 SELL signals) and 75 based on weekly data (1 BUY signal and 74 SELL signals).
- Finally, we have 199 Gap Signals based on daily data of which 93 are SELL signals and 106 are BUY 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, Gaps and Trend Busters on Tuesday and Thursday nights.