- New Trades -


Editor's Note:

(March 23, 2014)

The large cap S&P 500 index hit new all-time highs on Friday morning. So why don't investors feel more bullish on the market? Maybe it's because the S&P 500 was the only one. The Dow Industrials, the small cap Russell 2000, and the NASDAQ composite failed to hit new highs.

It was encouraging to see relative strength in the financials last week but the tone of the market felt a bit fearful on Friday. It may have been volatility for the quadruple-witching options and futures expiration. Overall I am suggesting caution when it comes to launching new positions. Some of the market internals are starting to breakdown. We are seeing fewer stocks trading above their 50-dma.

We are adding three new candidates to our watch list tonight (ASML, HFC, and NS), which could hit our entry triggers this week if the market continues to rise.

Radar Screen:
Here is a list of stocks on my radar screen. These have potential to be LEAPS trades down the road if the right entry point presents itself. In no particular order:

WDC, CAT, CLB, HP, ATK, Z, BWLD, CMG, AAPL, HAS, MSA, MSFT, HES, ATI, GILD, NVDA, FLS, ROVI, FLT, NTGR, BWA, ROST, UA, LB, HPQ, SLB, M, LVLT, PSX, DE,