The Trader Harbor
  • Business
  • Politics
  • World News
  • Stocks
  • Business
  • Politics
  • World News
  • Stocks

The Trader Harbor

Stocks

Seasonality and Positive News Push These Stocks into an Uptrend

by admin June 22, 2024
June 22, 2024
Seasonality and Positive News Push These Stocks into an Uptrend

Last week, the broader market Indices hit another new high on Thursday before pulling back into Friday’s close. Not all areas participated, however, as the recently explosive move into AI stocks ran into trouble later in the week. Instead, many of last week’s top performers were down-and-out stocks that are now in the beginning stages of reversing their downtrends.

Just take a look at the top performers in the Dow Jones Industrial Average, which posted a 1.5% gain for the week vs a flat finish for the Nasdaq. Among the winners were Cisco (CSCO), McDonalds (MCD), and Nike (NKE) which are each trading well below prices from earlier this year. Last week, they averaged gains of 3.5%, yet they still have work to do before regaining their uptrends.

Below are two stocks that are further along in their downtrend reversals; however, one has more positive characteristics that point to further upside, while the other has more work to do. Let’s review.

Daily Chart of MasterCard (MA)

As you can see in the daily chart of MasterCard (MA) above, the stock has closed the week back above its key 50-day simple moving average. The fact that this move above resistance occurred on heavy volume is quite constructive, as it indicates possible institutional sponsorship.

Other positive factors are at play as well, such as the fact that the RSI is now in positive territory. In addition, the seasonality for Mastercard is positive, as the stock has gained in the month of July — 1 week away — each of the last 10 years. However, while the MACD has posted a bullish crossover, with the black line up through the red, it remains in negative territory.

Daily Chart of Hilton (HLT)

Hilton (HLT) is another stock that’s entering a seasonally strong period. The stock began its downtrend reversal in mid-June, with the RSI turning positive as the stock closed above its 50-day moving average. In addition, the MACD turned positive at the same time, which provided further confirmation. Perhaps most important, however, is that Hilton announced an expansion plan that will double the number of their “lifestyle” hotels over the next four years.

The expected growth pushed the stock higher so that, last week, HLT entered a strong buy zone after breaking out of an 11-week base on volume. Also highlighted above is the early May downtrend reversal attempt, which was not confirmed by a positive MACD, nor was there positive news regarding growth prospects.

While much of my work involves spotting high growth stocks that are advancing toward base breakouts, downtrend reversals, such as Hilton (HLT) above, play a key part as well. Vertex (VRTX) is a prime example, as the stock was added to my Suggested Holdings List in early May as it began a new uptrend amid news of a new non-addictive pain medication.

A move above key resistance that’s confirmed by a positive RSI and MACD, coupled with bullish corporate news, can yield some top performers. While Mastercard (MA) is interesting, the stock still has work to do before gaining my confidence.

If you’d like to be alerted to top stocks poised to trade higher, use this link here to trial my twice weekly MEM Edge Report. You’ll also be kept on top of broader market conditions as well as sector rotation into newer areas of the market. Use the link above to see what others are raving about!

Warmly,

Mary Ellen McGonagle, MEM Investment Research

0
FacebookTwitterGoogle +Pinterest
previous post
Analyze This: Will the Dow Will Soar or Crash in 2024?
next post
4 Ways To ENHANCE The Moving Averages On Your Charts

Related Posts

Sector Rotation: How to Spot It Early Using...

February 27, 2025

S&P 500 Sinks on Software and Semiconductor SELLOFF

May 31, 2024

S&P 500 Sinks on Software and Semiconductor SELLOFF

June 2, 2024

DP Trading Room: Bitcoin Surges!

March 4, 2025

How to Analyze Volume Trends on Multiple Time...

March 29, 2024

OptionsPlay: Macro Market Outlook and Options Strategies

November 27, 2024

Breakouts, Momentum & Moving Averages: 10 Must-See Stock...

June 2, 2025

Three Stocks to Watch: Utilities, Banks, Airlines

April 5, 2025

Intraday Trading Entry and Exit Strategies

April 19, 2024

Plunge in Treasury Yields Triggers Gap-Surge in Home...

November 28, 2024

    Stay updated with the latest news, exclusive offers, and special promotions. Sign up now and be the first to know! As a member, you'll receive curated content, insider tips, and invitations to exclusive events. Don't miss out on being part of something special.


    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Latest

    • Ben & Jerry’s co-founder resigns, claiming parent company Unilever ‘silenced’ its campaigning

      October 10, 2025
    • The Real Drivers of This Market: AI, Semis & Robotics

      October 10, 2025
    • S&P 500 Breaking Out Again: What This Means for Your Portfolio

      October 10, 2025
    • Could Trump win the Nobel Peace Prize after Israel-Hamas deal?

      October 10, 2025
    • RFK Jr shocked over pregnant moms protesting Trump with Tylenol: ‘Pathological’

      October 10, 2025
    • Top insurance CEO in the hot seat after scathing ad campaign exposes China ties

      October 10, 2025

    Categories

    • Business (1,416)
    • Politics (4,700)
    • Stocks (1,699)
    • Uncategorized (45)
    • World News (1,409)
    • About us
    • Contact us
    • Privacy Policy
    • Terms & Conditions

    Disclaimer: TheTraderHarbor, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2025 thetraderharbor.com | All Rights Reserved