Today I’m going to review some of the Boxer Shorts that look most vulnerable particularly with the market having stalled today, perhaps it’s going to roll over, perhaps not, but I want to give you the update on where these charts are and there’s some new ideas in there as well going forward.
Airgas (ARG), a stock which had run from 26 to 52 and doubled, then formed a wedge or coil, but broke down hard a few days ago, rolling over from 50 to 41 1/2, bouncing back up to 45 near the resistant level, today gave back 41 cents, but certainly with a down side thrust, it looks like this may have broken, and I’m looking forward to a target around the 37 dollar range.
Coach (COH), which has broken a 6-month rising channel, broke hard in mid-January and for the last two weeks has formed a beautiful bear flag, right near overhead price resistance and declining moving averages. Perhaps a new trend is starting here, we’ll see going forward. Targets are 30, 27, 22 1/2.
Capital One Financial (COF), which we added to our portfolio today, going forward had a nice break, hard here in mid-January on heavy volume and has formed a bear flag on the rebound with technicals not responding very well at all. We’ll see if this does break down. Support around 32 would be my next target followed by something around 27.
Freeport McMoRan Copper & Gold (FCX), also a big winner last year, went from 16 to 90, rolled over hard in January and bounced to resistance at 70.46, gave back 2.05 today, so they have lower targets in mind. Looking at something around 62 and possibly 53, longer-term target down in the 44 range potential.
Quality Systems (QSII), which very distinctly broke a top here, after a big run up took it from 26 to 66, rolled over hard in January and barely able to bounce here. Targets going forward are a test of support around 47, then something maybe down in the low 40s.
Other stocks on Harry’s chart today are ASM International (ASMI), Cintas (CTAS), Ebix (EBIX), MSCI Spain (EWP), MSCI Brazil (EWZ). FTSE/Xinhua China 25 Index (FXI), Greif (GEF), China Life Insurance (LFC), Lumber Liquidators (LL), MICROS Systems (MCRS), Petroleo Brasileiro (PBR), Perfect World (PWRD).
That’s it for this evening. There’s some idea for you on the short side.
Chart Info: Harry's Chart of the Day, published each evening Monday through Thursday, features Harry Boxer's video technical analysis on a stock in play. To learn which stocks Harry is adding to his model portfolio, including stops and targets, sign up for a Free 15-Day Trial to his Technical Trading Diary -- which includes both day trades and intermediate-term stock picks. https://www.thetechtrader.com/cgi-bin/fbuser.
