Tuesday, June 14, 2011

Active Screen - CANSLIM: Top 8 for June 14th

Despite additional loses in the market, our top-8 of qualifying stocks remained unchanged. The following CANSLIM stock screener settings were employed:

The eight stocks, as ranked by Market Cap, were Apple (AAPL), Vale S.A. (VALE), Barrick Gold (ABX), Baidu (BIDU), Cognizant Technology Solutions (CTSH), Research in Motion (RIMM), Netflix (NFLX) an Agrium (AGU).

Last Friday, Apple (AAPL) closed below $330 support and struggled yesterday to make up this lost ground, although it did finish on its 200-day MA which will be an attractive buy. If the next rally fails to take Apple back above $330 - for a test of $350 - then a test of $300 looks a more likely outcome (i.e. buyers have to step in today/tomorrow and bring it above $330 by the end of the week). If the 200-day MA breaks over the next couple of days then short sellers are likely to load up with stops above $330.

Vale S.A. (VALE) is in a clear downward channel and doesn't look like it's going to break it anytime soon.

Barrick Gold (ABX) showing a sizable double top (or even a complex head-and-shoulder reversal?). Either way, bulls will have their work cut out as supply will be a key issue at $48. The loss of $45 support will have shorts busy and an initial target of this break is $40. Note the big loss in the Accumulation Swing Index, it may end up to be a whole lot worse than $40.

Baidu (BIDU) has held up better than many stocks. The stock is currently offering a convergence of support as marked by the February breakout gap, 200-day MA and downward channel. If buyers wanted an opportunity then it has probably presented itself here. Stops will likely be stacked below $115 and again at $110.

Cognizant Technology Solutions Corp (CTSH) had until yesterday done well to defend $72 support. Yesterday's break of this price also took out the 200-day MA. With the overall market likely to see a bounce sooner rather than later there is a good chance the 200-day MA will be regained, but the loss is a psychological blow.

Research in Motion (RIMM) is in freefall. While it qualified under existing Fundamental criteria there is little positive to say about its price action. It looks like it's about to lose the March 2009 low...

Netflix (NFLX) appears to be the only stock defending its advance. Low volume losses have taken it back to $255 support, but the rally has been very measured up to now; not to quick and not to slow.

Finally, Agrium (AGU) is fighting it out at the 200-day MA. Buyers were able to defend $78 support but it's struggling a little below $85. Sideline money more likely to jump in if the June swing high of $89 was breached on volume.

Find out how to create your own Active Screen in the following video:


Why not start your Zignals Trading Strategy Business with us today? Learn How to promote your Zignals Trading Business with Twitter.

Follow us on twitter here

Build a trading strategy in Zignals and potentially earn money too; download our Build a Trading Strategy PDF and get selling (and trading) today!

Dr. Declan Fallon, Senior Market Technician for Zignals.com, offers a range of stock trading strategies via his Zignals home page. Each Zignals member has an unique home page which they can share with friends and clients to sell their strategies.

Zignals offers a full suite of financial services including price and fundamental stock alerts, stock charts for Indian, Australian, Frankfurt, Euronext, UK, Ireland and Canadian stocks, tabbed stock quote watchlists, multi-currency portfolio manager, active stock screener with fundamental trading strategy support and trading system builder. Forex, precious metal and energy commodities too. Build your own trading system and sell your trading strategy in our MarketPlace to earn real cash. Read what others are saying about Zignals on Investimonials.com.


blog comments powered by Disqus