CAUTON - Major Indexes Need Pullback
Major indexes are at 5-year highs and beginning to display extended RSI & weakening MACD. Current holdings and new purchases should apply tight stop loss limits (3 - 5%) to protect from wide swings that could develop when the market begins to pullback. Pullbacks would be healthy to digest recent gaiins & rebuild momentum.
Focus on stocks meeting CRITERIA.
This morning, futures are displaying a modestly LOWER opening.
Climate is - UPTREND
(Top candidates poised for higher levels near-term).
In general, BUY within 5% of Pivot, stop-loss 7% below buy price
Note: Each of these stocks could use a pullback to digest gains & rebuild momentum.
Whole Foods (WFM)
Ross Stores (ROST)
Home Depot (HD)
Michael Kors (KORS)