Contributor Since 2013
What a week in the stock market it was. The $SPY made a nice bear flag last week and the 2nd part of the trading week we saw a nice breakdown. Now the $SPY pierced the daily 50 moving average on Friday and we saw some buyers come in the markets on Friday.
Now what will the $SPY do the coming week? We got 2 scenario's here, we can see some consolidation and a little bounce from the 50 moving average or we gap down on Monday or Tuesday and we see a flush. Now we still have some good support levels at the $163.00 and $160.00. If we come straight in this levels we can see a short term bounce.
Now there are still some strong names in the markets and they still can be played based on how the stock market will react.
I will watch $WLT the coming week, if we see some kind of a bounce in the spy we can see another bounce in Walter Energy. The daily chart is consolidating above the 50 and 20 moving average. If you want play $WLT to the upside look for resistance at $14.75 and $16.20. Stop loss will be any close below the 20 moving average.
Another strong name is $AAPL. I will look to short Apple at the next levels $520.00 and the major one will be around $553.75. $AAPL is very strong even in the weak market, so play this with a lower share size and keep a wider stop.
Kristof De Block
Trader @ stock-hunter.net