SignalWatch – 5.3.17

Good afternoon folks! I hope all of you had great days and that you were all on the right side of the market. As for the market, the indexes closed mixed on the day, with the S&P 500 dropping .13%, the Nasdaq lost .37% while the Dow turned the tables and snagged a small gain of .04%. Today was also one of the biggest days of the earnings season, with over 500 companies reporting today. Tomorrow will also be heavily driven by earnings data with over 400 companies reporting. Click here to see the full earnings schedule.

As for this evening’s signals, we are going to be looking at both buy and sell signals. So let’s get to it!

SqueezeTrader is liking what it sees on NAVI.

KB Squeeze EOD

This is exactly what we are looking for with a squeeze trade.

For our first signal, we are going to look at NAVI with a signal fired by our brand new SqueezeTrader module. As we can see, NAVI has been in a decent trend since March and is now forming a new higher low. But the most important and interesting thing we are looking at in this case is the squeeze play which is denoted by black horizontal lines on the chart. What happens is bulls and bears lock up on a security and the price goes into a “squeeze” if you will. Energy becomes pent up in the battle of conflicting sentiment, which we are seeing now.  One side will eventually win the day and the following move can lead to an explosive move.

If NAVI sees the bulls defeat the bears, we could see NAVI make a surge into the $16 zone. Look for increasing amounts of volume for further confirmation. Next up, Target.

The OmniTrader Base Breakout strategy is looking for TGT to break through resistance.

OmniTrader Breakout

What a beautiful saucer pattern we have here on TGT. A saucer forms when stock’s price has reached its low and then the stock starts to recover gradually, forming the saucer. We have that here on TGT and it has also just popped up through the 50 SMA. Volume is increasing, which we need for big time breakout moves. If this sucker pops, it may run for a bit and head back into the low $60’s.

This signal was generated by one of our stock strategies that come with every OmniTrader right out of the box – or right off the download. For those of you who are new to the SignalWatch, and the Nirvana community, OmniTrader is our flagship trading platform. Our unified platform requires no back-end coding and you have access to hundreds of trading indicators and systems immediately. OT is also fully automated. OmniTrader comes with three strategies for finding key reversals, explosive breakouts, and trending opportunities. OmniTrader is the only stock trading software that generates buy and sell signals based on the “personality” of each security. This is called the Adaptive Reasoning Model (ARM ). Using ARM, the program tests every single one of its 120 built-in methods on every symbol on any list to find the best setups. If the criteria of the strategies are met, a signal is fired like the one we see on TGT.

If you have never used OT before, you should give it a whirl. Just for being a part of the SW community, you can try out OT for free. Last up, we have Nielsen.

The ratings are in and Darvas Classic thinks NLSN is on the way down.

Darvas Classic

Based on the well-known work of Nicolas Darvas, the Darvas Classic strategy is looking for stocks that have closed outside of established Darvas Boxes. We can see that NLSN has been trending to the downside over the past few months and it has also just moved through the previous box’s boundary at $40.59. It is also pivoting off of the trend line, which is also resistance, forming a new lower high, which are the spots we want to see for a short entry. It is on the 50 level of the RSI indicators and is also at the midway point on the Bollinger Band indicator, giving it a neutral reading of relative strength. That’s good in this case because it means there is still room to move to the downside before the bearish move exhausts itself and becomes oversold and then sees a reaction rally. If NLSN continues its slide, we could be looking at a move back down to support around $39.

That’s it for this evening. Have a wonderful night and happy trading tomorrow.

The products and demonstrations listed on this website are not recommendations to buy or sell, but rather guidelines to interpreting their respective analysis methods. This information should only be used by investors who are aware of the risks inherent in trading. Nirvana Systems shall have no liability for any investment decisions based on the use of their software, any trading strategies or any information provided through other services such as seminars, webinars, or content included in the SignalWatch website.