Good morning!
It is the busiest week of the quarter for earnings, and whether it is earnings or another reason, it hasn’t been a great week. That’s important because as we showed on Tuesday, we have both the S&P 500 and a lot of individual stocks sitting just below resistance.
This week we are looking at:
Good and Bad earnings reactions
Key levels for stocks that have yet to report
Defensives perking up
Medical devices breaking out
and more!
Good and Bad earnings reactions
Good: CMG
Holy Guacamole. This is what you call a PEG or Power Earnings Gap. CMG spiked 12.9% on Wednesday to an all-time record high, as publicly traded restaurants of all types continue to lead.
Good: MSFT
So much for that MACD sell signal. Microsoft gained 7.2% yesterday following its earnings report, vaulting the stock to a 52-week high. A bellwether like this clearing the August highs is a big deal, but holding it will be too.
Bad: FRC
Looks like FRC was sending a message by not rallying. After jumping Monday ahead of its earnings report, FRC is down 64% in the past two days.
Bad: UPS
UPS is the largest stock in the Dow Transports and this one hurts. Constructive uptrend from the October lows broken and sitting on 52-week relative lows.
Bad: ENPH
This won’t help the 2-year triangle pattern on TAN. The second-largest stock in that solar ETF fell more than 25% yesterday.
Yet to report
Keep reading with a 7-day free trial
Subscribe to Brown Technical Insights to keep reading this post and get 7 days of free access to the full post archives.