Additional Trading Ideas:
In addition to tonight's new candidate(s), consider these stocks as possible trading ideas and watch list candidates. Some of these may need to see a break past key support or resistance:
MSFT, SAIA, WBMD, AMAT
NEW BULLISH Plays
Constellation Brands - STZ - close: 53.41 change: +0.40
Stop Loss: 51.75
Current Gain/Loss: unopened
Entry on June -- at $--.--
Listed on June 03, 2013
Time Frame: Exit prior to earnings in late June!
Average Daily Volume = 2.0 million
New Positions: Yes, see below
Why We Like It:
Based in New York state, STZ manufactures and markets several brands of alcoholic beverages. If you look at its rivals (BUD, TAP, DEO, SAM) it's clear that STZ is outperforming its peers over the last few weeks. Investors have been consistently buying the dips and they did so again today. STZ dipped to 452.00 and rallied.
We want to hop on board STZ's rally. I am suggesting a trigger at $53.65. If triggered we'll use a stop loss at $51.75. Our target is $58.00 but that is pretty optimistic. We only have about three weeks. STZ reports earnings in late June and we do not want to hold over the announcement (earnings likely out around June 24th).
NOTE: I would keep our position size small. Just because STZ is outperforming its peers that doesn't mean the stock can hold up under a broad-market sell-off or if the selling in its rivals accelerates it could spread to shares of STZ.
Trigger @ 53.65 *small positions*
Suggested Position: buy STZ stock @ (trigger)