How to Trade 5 Big Stocks for Big Gains -- Must-See Charts
BALTIMORE (Stockpickr ) -- Earnings season is delivering some surprise gains this month. So far, 117 S&P 500 components have delivered their earnings numbers to Wall Street, and of those, 77% have beat analyst expectations.
No, that's not the highest beat rate we've seen in recent quarters. But stocks are showing us the most positive reaction to earnings in a long while. Despite some conspicuously rough reactions in the tech sector yesterday, most of the sectors in the S&P have been reacting positively to earnings news on average.
But forget about "average" performance. Some big-name stocks are positioned for more significant breakout gains this month.
To find them, we're turning to the charts to take a closer technical look
at five huge stocks to trade for gains…
First, a little on the technical toolbox we're using here: technical analysis is a study of the market itself. Since the market is ultimately the only mechanism that determines a stock's price, technical analysis is a valuable tool even in the roughest of trading conditions. Technical charts are used every day by proprietary trading floors, Wall Street's biggest financial firms, and individual investors to get an edge on the market. And research shows that skilled technical traders can bank gains as much as 90% of the time.
Every week, I take an in-depth look at big names that are telling important technical stories. Here's this week's look at five big stocks to trade.Source: www.thestreet.com