Today's rally across the stock market is significant. Many of the major indices like the S&P 500, Dow Industrials, the Transportation index, and more have now broken through resistance at the top of their bearish channel.
We do not want to chase this huge move off last week's lows but we do want to maintain a bullish posture. This seems like a good time for traders to try a buy-the-dip approach to new bullish positions.
Here are some of the stocks that caught my eye as possible buy-the-dip candidates:
ROST, DLTR, ORLY, WFM, PSMT, INFY, IBM, VFC, LO, TJX
Plus, you may want to watch:
XOM, DECK, INTU, SNDK, ECL
XOM has broken through the top of its trading range. INTU has broken through resistance near $50 and its 200-dma. SNDK has rallied past its 200-dma. ECL has broken through the top of its bearish channel and above its 200-dma.
No new trades tonight. Wait for a pull back.