Thursday, December 10, 2015

Bullish Breakout Stocks: $SSNI, $CROX


BNN Top Picks from Mike Newton: Home Depot, Luxottica Group, Vanguard FTSE Developed Europe All Cap Index ETF

Mike Newton, Director, Wealth Management & Portfolio Manager, Scotia Wealth Management
Focus: North American Large Caps & ETFs

MARKET OUTLOOK:
It is at this time of the year when I go on a strict diet of avoiding the bountiful “Outlook / Forecast / 2016 Top Picks” buffets offered everywhere you look. No one ever has a precise view on where we are going to finish and when. The turning of the calendar from one year to the next has zero influence on great companies. Long-term investors should bypass this market timing discussion and stay long superb companies with positive trends. In my world, price is the ultimate arbiter of truth. So, until the current consensus trades start failing, stay with them. And when they begin to falter, have a playbook for the next non-consensus trade and reposition accordingly.
Top Picks:

Home Depot (HD.N -1.45%)
Last purchased on November 19th at $127.50 U.S.
Home Depot continues to execute very well, consistently delivering better than expected results in a challenging retail environment. The housing market remains robust, which is increasing customers’ willingness to take on more discretionary home improvement projects. The housing market in the U.S. will remain on a positive trajectory and that spending on home improvement will continue to be a bright spot supported by low gasoline prices and positive consumer confidence. (more)

Sunedison Inc (NYSE:SUNE)


Sunedison Inc (NYSE:SUNE) closed at $3.96 a share on strong money flow. Momentum picking up with MACD climbing and Slow Stochastic continues to trend higher. If the stock can break Wednesday's high, I think we will rally back to the $5 level.

SINA Corp (NASDAQ: SINA)

Sina Corporation, through its subsidiaries, operates as an online media company in the People’s Republic of China. It operates SINA.com, an online brand advertising portal that provides region-focused format and content, including multimedia news; sporting events news; automobile-related news; business news coverage and personal finance columns; entertainment news and events; technology updates; interactive video products, such as news, sports, entertainment, and education; and education, digital, fashion, eLadies, luxury, health, collectibles, travel, and other interest-based channels.
Take a look at the 1-year chart of Sina (NASDAQ: SINA) below with my added notations:
1-year chart of Sina (NASDAQ: SINA)
SINA has hit the $52.50 mark (red) as resistance multiple times in the past month. In addition, the stock has been climbing a trend line of support (green) since mid-November. Eventually, the stock will have to break either the $52.50 resistance or the trendline support.

The Tale of the Tape: SINA is winding up between two key levels. A long trade could be made at the trendline support or on a break above $52.50. A break below trendline would be an opportunity to enter a short trade.

Wednesday, December 9, 2015

Canadian Stocks Plunge To 2-Year Lows

Canadian stocks are down 15% from their highs in 2008 (and down 18% from the 2014 highs) as the blowback from a collapsing energy market ripples across the entire "not unequivocally good" economy. However, perhaps more worrying is the 2008-esque dynamic playing out almost perfectly for America's northern neighbor...
Canadian stocks are at a 2-year closing low...


Deja vu, eh?

Rovi Corporation (NASDAQ: ROVI)

Rovi Corporation provides integrated solutions for the discovery and personalization of digital entertainment to service providers and consumer electronics (CE) industry worldwide. The company offers interactive program guides (IPGs), an interactive listing of television or video program information that enables viewers to navigate through, sort, select, and schedule video programming for viewing and recording. It markets IPGs to service providers under i-Guide and Passport brands; and CE industry under the G-GUIDE and HTML Guide brands.
Take a look at the 1-year chart of ROVI (NASDAQ: ROVI) below with my added notations:
1-year chart of ROVI (NASDAQ: ROVI)
ROVI has been in a downtrend for most of 2015. However, over the past 4 months the stock has created an important resistance level to watch at $12 (red). As you can see on the chart above, ROVI has tested that level several times as resistance, while also testing it as support back in July. A break above that $12 level should lead to higher prices for the stock.

The Tale of the Tape: ROVI has a key level of resistance at $12. A long trade could be entered on a break through that level. However, if you are bearish on the stock, a short trade could be made on any rallies up to $12.

Clovis Oncology Inc (NASDAQ:CLVS)


Clovis Oncology Inc (NASDAQ:CLVS) A possible cup & handle bottom pattern may be forming on the daily charts. The technical chart shows bullish sign with MACD fast line line on top of MACD slow line and RSI rising. The neckline is located at the $35.76 level so a break above this resistance area could be enough to confirm a new uptrend. There could be good upside in CLVS so watch the stock closely.