When I write these missives I try to get right to the point and cut out the fluff. Is it a good format? What could I do to make it more compelling for you? Drop me a line with suggestions!
On the radar today I still have OXY Petroleum. Awaiting a potential pullback to see if it sets up a long entry for me. Starbucks (SBUX) has earnings Wednesday. I won’t play in front of those, but if I was going to play the stock definitely looks bullish to me. It has consolidated a long run up, with a time consuming but relatively shallow correction. Recently poked its head to a new monthly low and quickly recovered. Post earnings there might be a play here.
One intriguing play is NIKE (NKE). The stock has been in a very, very tight coil for the last few weeks. It is getting ready for a move. At this point I favor that move will be down and this is why I think so; first we had a pretty sustained move lower off the secondary high in April 2023 as per attached chart. That was genuine hard selling. We then had a big short covering bar that immediately fell on its face, which says that aside from the short covering, there were no real buyers at higher levels. Since then we have been in a very tight sideways pattern. The bulls have shown nothing here, and the stocks performance versus the general market has been poor. For all these reasons if I get a short to set up, I will take it in NKE.