We got the sharp decline early on this morning followed by a sharp recovery immediately after the first hour of trading. As a result, I looked for another 50% retracement intraday and we got that as well, so it is safe to say that the day's lows have been put in and we'll likely move higher for the remainder of the day - possibly even going green.
Two setups for the lazy trades to consider today: the first is in Google (GOOG) which I have really like lately, and lament that I haven't bought a few times before. However, I like the pullback opportunity to around $719.00 to the lower channel, which will provide an acceptable level of risk.
The second is Whole Foods Market (WFM) which has broke key support levels and is now consolidating just below, which suggests to me that this stock may be prepping for a move lower. On this particular trade you are able to take on a +3:1 reward-to-risk on this trade which I like the most.
Long: Google (GOOG)
Short: Whole Foods Market (WFM)
Ryan (@shareplanner) specializes in swing trading strategies and is the founder of SharePlanner which he created to help and teach others on how to trade stocks better using multiple approaches and time frames. Each day you can count on Ryan to provide his trading advice as well as transparency in every trade that he makes. Ryan Mallory resides in Central Florida with a wife of seven years as well as one lively son. More >>
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