In what can be called an indecisive week for the markets, the Nifty oscillated back and forth within a given range and ended the week on a flat note. Over the past five sessions, the Nifty largely remained within a defined range. While it continued resisting the crucial levels, it also failed to develop any definite directional bias throughout the week. The Nifty stayed and moved in the 585-point range. The volatility significantly declined. The India VIX came off by 15.77% to 13.69 on a weekly note. While trading below crucial levels, the headline index closed flat with a negligible weekly gain of 51.55 points (+0.22%).

A few important technical points must be noted as we approach the markets over the coming weeks. Both the 50-Day and 50-Week MA are in very close proximity to each other at 23754 and 23767, respectively. The Nifty has resisted to this point, and so long as it stays below this level, it will remain in the secondary corrective trend. For this secondary trend to reverse, the Nifty will have to move past the 23750-24000 zone, one of the critical market resistance areas. Until we trade below this zone, the best technical rebounds will face resistance here, and the markets will remain vulnerable to profit-taking bouts from higher levels. On the lower side, keeping the head above 23500 will be crucial; any breach of this level will make the markets weaker again.

Monday is likely to see a quiet start to the week; the levels of 23700 and 23960 will act as resistance levels. The supports come in at 23350 and 23000 levels.

The weekly RSI stands at 46.20. It remains neutral and does not show any divergence against the price. The weekly MACD is bearish and stays below its signal line. A Spinning Top occurred on the candles, reflecting the market participants’ indecisiveness.

The pattern analysis weekly charts show that after violating the 50-week MA, the Nifty suffered a corrective decline while forming the immediate swing low of 22800. The subsequent rebound has found resistance again at the 50-week MA at 23767, and the Nifty has retraced once again from that level. The zone of 23700-24000 is now the most immediate and major resistance area for the Nifty over the immediate short term.

Unless the Nifty crosses above the 23700-24000 zone, it will remain in a secondary downtrend. On the lower side, keeping head above the 23500 level will be crucial; any violation of this level will take Nifty towards the 23000 mark. The markets may continue to reflect risk-off sentiment overall. Given the current technical setup, remaining highly selective while making fresh purchases would be prudent. All technical rebounds should be used more to protect gains at higher levels. At the same time, staying invested in stocks with strong or at least improving relative strength while keeping overall leveraged exposures at modest levels is important. A cautious and selective approach is advised for the coming week.

Sector Analysis For The Coming Week

In our look at Relative Rotation Graphs®, we compared various sectors against CNX500 (NIFTY 500 Index), which represents over 95% of the free float market cap of all the stocks listed.

Relative Rotation Graphs (RRG) show defensive and risk-off setups building up in the markets. Nifty Bank, Midcap 100, and Realty Indices are inside the leading quadrant. But all these pockets show a sharp loss of relative momentum against the broader markets.

The Nifty Financial Services Index has slipped inside the weakening quadrant. The Nifty Services Sector and IT indices are inside the weakening quadrant. The Pharma Index is also inside this quadrant but is seen as attempting to improve its relative momentum.

The Nifty Media, Energy, and PSE indices are inside the lagging quadrant.

The Nifty FMCG, Consumption, and Commodities groups have rolled inside the improving quadrant, indicating a likely onset of the phase of relative outperformance. The Auto, Infrastructure, Metal, and PSU Bank indices are inside the improving quadrant. Among these groups, the PSU Bank Index is seen rapidly giving up on its relative momentum.

Important Note: RRG™ charts show the relative strength and momentum of a group of stocks. In the above Chart, they show relative performance against NIFTY500 Index (Broader Markets) and should not be used directly as buy or sell signals.  

Milan Vaishnav, CMT, MSTA

Consulting Technical Analyst

www.EquityResearch.asia | www.ChartWizard.ae

The post Week Ahead: NIFTY Stares At Crucial Support; RRG Hints At Defensive & Risk-Off Setups appeared first on Girls Rock Investing.

In this video, Mary Ellen reviews the market’s flat momentum as uncertainty reemerges after weak AMZN, TSLA and GOOGL reports – PLUS more tariff talk from Trump. She also highlights the move into defensive sectors as growth stocks continue to struggle. Lastly, she shares the top stocks that are keeping the S&P 500 in an uptrend.

This video originally premiered February 7, 2025. You can watch it on our dedicated page for Mary Ellen’s videos.

New videos from Mary Ellen premiere weekly on Fridays. You can view all previously recorded episodes at this link.

If you’re looking for stocks to invest in, be sure to check out the MEM Edge Report! This report gives you detailed information on the top sectors, industries and stocks so you can make informed investment decisions.

The post Nasdaq DROPS on Weak AMZN, TSLA & GOOGL Earnings! appeared first on Girls Rock Investing.

We are currently in a declining trend in the market and internals are telling us that this weakness will continue to be a problem. Our primary indicators in the short- and intermediate-term have topped with one exception. The Swenlin Trading Oscillators (STOs) started down on Thursday and the STO-B continued to fall Friday. The STO-V interestingly turned up, but we wouldn’t get too excited.

The intermediate-term indicators, the ITBM and ITVM, topped and are moving down. It was an eye test on the ITBM on Thursday as to whether it had indeed declined. We checked and it had. Just another reason to look for more market decline.

Participation is leaking from the market. As price has started to turn over, so has participation. We note that participation readings of stocks above key moving averages shows declining trends which confirm near-term weakness.

The Silver Cross Index measures how many stocks have a 20-day EMA above the 50-day EMA (a Silver Cross). It is trying to top right now. We have a declining trend from the October top. With participation sinking, it won’t be long before this indicator tops too.

The Golden Cross Index measures how many stocks have a 50-day EMA above the 200-day EMA (a Golden Cross). That indicator has stagnated and is currently in decline below its signal line. Deterioration is visible on this chart.

Conclusion: We have a short-term declining trend in the market and failing internals. The ITBM/ITVM are declining, along with the STO-B. It is going to be very difficult for price to move higher when fewer stocks are participating.

The DP Alert: Your First Stop to a Great Trade!

Before you trade any stock or ETF, you need to know the trend and condition of the market. The DP Alert gives you all you need to know with an executive summary of the market’s current trend and condition. And it covers more than the market! We look at Bitcoin, Yields, Bonds, Gold, the Dollar, Gold Miners and Crude Oil, and for only $50/month! Or, use our free trial to try it out for two weeks using coupon code: DPTRIAL2. Click HERE to subscribe NOW!

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Technical Analysis is a windsock, not a crystal ball. –Carl Swenlin

(c) Copyright 2025 DecisionPoint.com

Disclaimer: This blog is for educational purposes only and should not be construed as financial advice. The ideas and strategies should never be used without first assessing your own personal and financial situation, or without consulting a financial professional. Any opinions expressed herein are solely those of the author, and do not in any way represent the views or opinions of any other person or entity.

DecisionPoint is not a registered investment advisor. Investment and trading decisions are solely your responsibility. DecisionPoint newsletters, blogs or website materials should NOT be interpreted as a recommendation or solicitation to buy or sell any security or to take any specific action.

Helpful DecisionPoint Links:

Trend Models

Price Momentum Oscillator (PMO)

On Balance Volume

Swenlin Trading Oscillators (STO-B and STO-V)

ITBM and ITVM

SCTR Ranking

Bear Market Rules

The post IT Breadth Momentum (ITBM) and IT Volume Momentum (ITVM) Top – Participation Draining appeared first on Girls Rock Investing.

While the major equity averages are certainty up year-to-date, we’re detecting a growing number of signs of leadership rotation.  As the Magnificent 7 stocks have begun to falter, and charts like Apple Inc (AAPL) taking on a less-than-magnificent luster in February, we’ve identified ten key stocks and ETFs for mindful investors to monitor in the coming weeks.

VanEck Vectors Semiconductor ETF (SMH)

To be honest, the 2024 bull market was dominated by the AI theme, and the AI theme is dominated by semiconductors.  At least, that was the prevailing narrative until news of Deepseek AI from China brought that entire thesis into question.  From a technical perspective, semiconductors last made a new all-time high in July 2024, and in recent months has settled into a consolidation phase.

We can see the SMH rotating between support around $235 and resistance near $260, creating a rectangular consolidation period on the chart.  The moving averages are almost completely flat, and the RSI has an almost perfectly neutral rating at 50.  That is the definition of a sideways chart, from top to bottom.

The key with a consolidation phase is to either use swing trading techniques to play movements within that pattern, or just patiently wait for the price to finally break out of the well-established price range.  I have alerts set for the SMH to break above $260 or break below $235, and until one of those levels is finally broken, the chart is telling me to look elsewhere for opportunities.

Costco Wholesale Corp. (COST)

While groups like semiconductors have entered into a clear consolidation phase, big box retailers including Walmart Inc. (WMT) and Costco Wholesale Corp. (COST) have shown a strong beginning to 2025 after a very successful bull run in 2024.

Regardless of what I think of the broad market conditions, I’m always going to want to own good charts that keep going higher.  As I love to sign off my daily market recap show, “It’s always a good time to own good charts!”  So what makes COST and other similar charts in the consumer staples sector so attractive from a technical analysis perspective?

I think it starts with the trend, and COST has been pounding out a fairly consistent pattern of higher highs and higher lows for 18 months and counting.  What’s most encouraging as we enter the month of February is the improvement in relative strength.  COST is making new highs while other charts, such as our next example, are pulling back from recent all-time highs.  At a time when it feels like stocks are beginning to struggle, I’m always looking for charts like Costco that are continuing their uptrend phase with higher highs and higher lows.

Alphabet Inc. (GOOGL)

Our third chart highlights the reality of the Magnificent 7 stocks in early February, with more and more of these previous leadership names beginning to show clear signs of negativity.  Earnings season has not been kind to companies like Alphabet, who despite beating earnings estimates for the quarter, provided a less optimistic forward projection for future earnings growth.  

GOOGL gapped lower on Wednesday after making a new all-time high into earnings on Tuesday.  After initially finding support at the 50-day moving average, Alphabet broke below the 50-day on Friday’s trading session.  The gap lower this week also accentuated a bearish momentum divergence, with GOOGL’s higher price highs in February marked by a decline in momentum.  Higher prices and lower RSI are a common feature of a late stage bull market, when stocks are still moving higher but the momentum behind those gains has begun to wane.

While GOOGL still remains above an upward-sloping 200-day moving average, and still appears to be holding trendline support based on the September and November swing lows, this week’s drop on forward guidance certainly has investors wondering where assets could flow if they’re no longer supporting mega cap growth stocks like GOOGL.

For the remaining seven stocks, along with lots more comments and insights on this market transition phase in February, head over to my YouTube channel!

RR#6,

Dave

PS- Ready to upgrade your investment process?  Check out my free behavioral investing course!

David Keller, CMT

President and Chief Strategist

Sierra Alpha Research LLC

Disclaimer: This blog is for educational purposes only and should not be construed as financial advice.  The ideas and strategies should never be used without first assessing your own personal and financial situation, or without consulting a financial professional.  

The author does not have a position in mentioned securities at the time of publication.    Any opinions expressed herein are solely those of the author and do not in any way represent the views or opinions of any other person or entity.

The post Top 10 Charts to Watch for February 2025 appeared first on Girls Rock Investing.

The Finance sector is leading the market with a new high this week and the Bank SPDR (KBE) is extending on its breakout. Today’s report will outline the lessons of the early January setup and show the mid January breakout. We then show how to set a re-evaluation level that would prove the breakout wrong.

Let’s first review the setup from mid January. The chart below shows KBE hitting a new high in late November and then falling into mid January. The new high affirms a long-term uptrend and KBE remained well above the rising 200-day SMA. Thus, this decline was viewed as a correction within a long-term uptrend. During such pullbacks, I look for Bullish Setup Zones using retracement levels, prior resistance breaks and support levels. These are zones to watch for firming and a reversal.

Three items mark the Bullish Setup Zone on the chart above (see 1, 2 and 3). First, corrections within uptrends typically retraced 1/3 to 2/3 with 1/2 (50%) being the base case. A 50% retracement represents one step backward after two steps forward. Second, a key tenet of technical analysis is that broken resistance levels turn into support. KBE broke resistance around 55 and this area turns into future support. Third, KBE held the 53 area with two bounces in late October and early November (support). Taken together, the 50% retracement, broken resistance and support mark a Bullish Setup Zone in the 53-55 area (blue shading).

The strategy at TrendInvestorPro is to find and trade pullbacks within leading uptrends. Each week we bring you setups in ETFs and stocks. Click here to take a trial and learn more.

Once prices reach the Bullish Setup Zone, it is time to start drawing patterns and marking resistance levels. KBE formed a falling wedge and established short-term resistance with the January 6th high (pink line). Note that falling wedge patterns are typical for corrections within bigger uptrends. KBE broke out with a gap-surge in mid January and extended higher into February. The indicator window shows the price-relative (KBE/RSP ratio) turning up with a relative breakout. KBE is also leading again.

With an active breakout and extension higher, it is time to mark a re-evaluation level. This is the level that negates the wedge breakout and tells us something is wrong. Strong breakouts should hold so a failed breakout shows weakness. The breakout zone in the 55-56.5 area turns into first support (blue shading). A close below 55 would negate this breakout and call for a re-evaluation.

The strategy at TrendInvestorPro is to find and trade pullbacks within leading uptrends. Each week we define the market regime (bull or bear market), identify the leading groups using ETFs and highlight tradeable setups in stocks and ETFs. This week we featured the three biotech ETFs, two biotech stocks, a Mag7 stock and an industrial stock. Click here to take a trial and gain full access.

The post Bank SPDR Extends on Breakout – How to Find the Setup before the Breakout appeared first on Girls Rock Investing.

When you think travel industry, airline and cruise line stocks are usually top of mind. A lesser-known category in the industry is hotel stocks, which saw massive upside moves on Thursday.

Hilton Worldwide Holdings (HLT) reported strong Q4 earnings, and in sympathy, other hotel stocks also rose. Hotel stocks have had a rough time since Covid hit and it now looks like that may be in the rearview mirrort.

Here’s a synopsis of how some hotel stocks performed on Thursday, many of which have yet to report quarterly earnings:

• Hilton Worldwide Holdings, Inc. (HLT): +4.86%
• Marriott International, Inc. (MAR): +3.61%
• Hyatt Hotels Corp. (H): +4.91%
• InterContinental Hotels Group (IHG): +1.92%
• Wyndham Hotels & Resorts (WH): +1.43%

Other travel-related stocks such as Booking Holdings, Inc. (BKNG) and Expedia, Inc. (EXPE) also rose. Expedia’s quarterly earnings, reported after Thursday’s close, beat analyst estimates and the stock climbed sharply in after-hours trading.

Although the Consumer Discretionary Select Sector SPDR (XLY) didn’t reflect the sharp rise in hotel stocks, the Dow Jones US Hotels Index ($DJUSLG) had the highest StockCharts Technical Rank (SCTR) score in the US Industries, Top Up category in the SCTR Reports. Its closing value is at an all-time high.

FIGURE 1. US INDUSTRIES TOP UP SCTR REPORT. The Dow Jones US Hotels Index had the highest SCTR score and the Dow Jones US Travel & Tourism Index had the greater value increase. Image source: StockCharts.com. For educational purposes.

The New Highs Dashboard data panel showed that HLT and MAR closed at all-time highs.

So, there’s a lot to cheer for hotel stocks. Business demand has picked up, leading to higher hotel occupancy rates. This is a strong catalyst for the hospitality industry and, if the trend continues in this direction, future growth prospects are promising. Travel and tourism are also on the uptick. On Thursday, the Dow Jones US Travel & Tourism Index ($DJUSTT) saw a +25 change in its SCTR score.

A Room to Rest

With such big moves in these industries, it’s worth considering adding hotel stocks to your portfolio. With most hotel stocks already hitting all-time highs, the concern may be that they are toppy. Let’s dive into the daily chart of HLT (see chart below).

FIGURE 2. DAILY CHART OF HILTON STOCK PRICE. The stock price moved above the upper Bollinger Band with the CCI in overbought territory. The uptrend has momentum and could take the stock price higher. Chart source: StockCharts.com. For educational purposes.

The stock price has moved above the upper Bollinger Band®, which is generally an indication of strength. HLT has a SCTR score of 80.4, another sign of strength. When a stock or ETF hits an all-time high, strong momentum is needed to push the price even higher. Adding a momentum indicator such as the Commodity Channel Index (CCI) to the chart helps identify bullish momentum in the stock.

The CCI is showing strong bullish momentum and indicates overbought conditions. If Hilton’s stock price continues to rise higher and walks the upper Bollinger Band, along with a CCI that remains above the 100 level for an extended period, the stock price could keep rising. Remember, other hotels report earnings later this month and, if their earnings are as strong as Hilton’s, investors could continue to pile into them.

If you’re the type of investor who likes to enter a position during a pullback, wait for the stock price to move toward the middle band or 20-day simple moving average. Then look for a reversal accompanied by a rise in the CCI. This would confirm an uptrend in the stock’s price.

Closing Position

As always, be diligent in managing your positions. No stock price goes up forever, so be prepared to exit your position on any signs of weakening momentum. If you wait for a pullback to enter, make sure there’s enough follow-through in the reversal. If the stock price of Hilton or any other stock, like Marriott or Hyatt, is cost-prohibitive, consider trading options on these stocks. The OptionsPlay Explorer available in StockCharts can display optimal options strategies you can apply to these stocks.

Disclaimer: This blog is for educational purposes only and should not be construed as financial advice. The ideas and strategies should never be used without first assessing your own personal and financial situation, or without consulting a financial professional.

The post Hotel Stocks Spike: Why You Should Add These Stocks to Your Portfolio appeared first on Girls Rock Investing.

On Wednesday morning, the markets wavered, with cautious trading across the board, except for the Dow, which outpaced the S&P 500 and Nasdaq. Looking for stocks showing strength amid the uncertainty, I turned to the Market Movers tool on my Dashboard. What I found caught my attention.

FIGURE 1. MARKET MOVERS TOOL. AMGN, third from bottom, caught my attention, as the sector has been showing up on quite a few bullish StockCharts scans.Image source: StockCharts.com. For educational purposes.

The Health Care sector has been showing up on various scans over the past week, and Amgen, Inc. (AMGN) has been on my radar for quite some time due to several developments that I’ve been following.

To begin, I needed to get a wider perspective, so I switched to MarketCarpets and zoomed-in on the one-day performance of the Health Care sector.

FIGURE 2. MARKETCARPETS FOR THE HEALTHCARE SECTOR. Notice AMGN at the top of the list on the table to the right.Image source: StockCharts.com. For educational purposes.

Amgen’s stock surged over 5% (top of the table on the right) despite an FDA hold on its obesity drug trial, as strong Q4 earnings beat Wall Street’s expectations. On top of this, its sales for Repatha soared 45%, and its promising weight-loss drug MariTide is set for late-stage trials in mid-2025.

At this point, I wanted a clearer picture of how AMGN stacked up against its peers. I compared its performance to the biotech industry ($DJUSBT), the pharmaceutical sector ($DJUSPR), and the broader healthcare market (XLV) using PerfCharts. Here’s what I got:

FIGURE 3,. PERFCHARTS COMPARING THE HEALTH CARE SECTOR WITH BIOTECH AND PHARMA INDUSTRIES AND AMGEN. The one-year comparative lookback shows AMGN dragging significantly.Chart source: StockCharts.com. For educational purposes.

Over the past year, AMGN significantly underperformed both industries and the broader sector. So, does Wednesday’s rally indicate strong optimism on weak prospects, or does it present an undervalued opportunity with plenty of room to run?

Let’s take a longer-term view of AMGN’s price action and analyze its weekly chart.

FIGURE 4. WEEKLY CHART OF AMGN. Note how price respected the 100- and 200-period EMAs.Chart source: StockCharts.com. For educational purposes.

AMGN’s fluctuations over the last five years may have been volatile, but the underlying trend has been relatively steady and bullish. Notice how AMGN’s price respected the 100-period and 200-period exponential moving averages (EMAs). Also notice how this dynamic is captured by the Stochastic Oscillator, which reflects the upward bounces in its oversold range below the 20 level signaling renewed buying pressure. Based on the current reading, the indicator is barely reaching the 50-line, suggesting that if AMGN maintains its bullish momentum, it has plenty of room to run before it’s in overbought territory.

But things may look different on a daily scale, so let’s shift over to a daily chart.

FIGURE 5. DAILY CHART OF AMGN. Watch the support and resistance levels for entry and exit points.Chart source: StockCharts.com. For educational purposes.

Following a steep descent last November, AMGN found support the next month near $257.50, coinciding with its April 2024 low. That level was retested twice before the sharp rally that culminated in Wednesday’s price spike.

While the On Balance Volume (OBV) shows strong buying pressure fueling the surge, the Relative Strength Index (RSI) suggests the current swing is overbought. Considering the parabolic trajectory of the move, it’s likely that momentum will stall and price will eventually pull back in the next few sessions.

Key levels to watch:

Upside Resistance:

• AMGN faces resistance at $310 and $327.50, which mark the lower and upper boundaries of its most recent consolidation range.

Downside Support:

• If AMGN pulls back before breaking these resistance levels, the first key support to watch is $291, a level that held multiple times during May–June 2024, signaling strong buying interest.
• The second level of support would be at $275, the November swing low.

If price falls below $275, the likelihood of a bullish reversal becomes uncertain, as this breakdown could signal weakening technical (and also fundamental) momentum.

At the Close

AMGN is another relatively expensive stock. If this is the case, then you might want to take a look at the OptionsPlay Strategy Center to find alternative strategies that better align with your capital resources and risk tolerance. AMGN’s recent rally, while impressive, raises important questions about its sustainability. You can use the tools mentioned above to find similar stocks if AMGN doesn’t interest you. If it does, however, the key levels discussed above should help guide you in your analysis.

Disclaimer: This blog is for educational purposes only and should not be construed as financial advice. The ideas and strategies should never be used without first assessing your own personal and financial situation, or without consulting a financial professional.

The post Missed Amgen’s 5% Surge? Here’s What You Need to Know Now! appeared first on Girls Rock Investing.

The trading week started with investors worried about tariffs, but the 30-day delay of tariffs on imports from Canada and Mexico shook off those worries. The three broad stock market indexes — S&P 500 ($SPX), Nasdaq Composite ($COMPQ), and Dow Jones Industrial Average ($INDU) — closed higher. Then came the retaliation on US tariffs from China, but that didn’t do much damage to the market.

 Let’s face it; the stock market is headline-driven at the moment. Based on the news, investors may favor healthcare stocks one day and tech stocks the next. For individual investors, playing the sector musical chair game makes for a difficult investment environment. So, instead of getting caught up in catching the right sector at the right time, it’s best to focus on the big picture and look at the longer-term trends and patterns. One way to do this is to examine the performance of different sectors, industry groups, and indices through the Bullish Percent Index (BPI).

StockCharts Tip: If you haven’t done so, download the Essentials ChartPack (Charts & Tools tab > ChartPacks). The Market & Index Bullish Percent Indexes list has seven charts in the ChartList (see below).

FIGURE 1. DOWNLOADING CHARTPACKS. From the Charts & Tools tab, select ChartPacks to download the Essentials ChartPack.Image source: StockCharts.com. For educational purposes.

You could add more charts to the list. For example, I use a BPI ChartList each day to determine which sectors are bullish, overbought, or oversold. The image below displays some of the charts in my BPI ChartList.

FIGURE 2. VIEWING THE BULLISH PERCENT INDEX (BPI) CHARTLIST. The Summary view helps to see which sectors are bullish, bearish, overbought, or oversold.Image source: StockCharts.com. For educational purposes.

Viewing the ChartList in the Summary view helps to identify if the BPI is bullish, bearish, overbought, or oversold. You can also identify which sectors had the biggest changes for the day.

In the above image, the S&P Financial Sector BPI was the only one above 70, and Consumer Staples Sector BPI or $BPSTAP (not visible in the image; you’ll have to scroll to the next page) was the only one below 30.

Which Sectors Are Feeling the Love?

On Wednesday, the Predefined Alerts panel flashed that the Consumer Staples Sector BPI crossed above 30. This was a bull alert trigger warranting a closer look.

The chart below displays $BPSTAP with the Consumer Staples Select Sector SPDR ETF (XLP).

FIGURE 3. CONSUMER STAPLES BPI VS. CONSUMER STAPLES SELECT SPDR ETF (XLP). The BPI for the Consumer Staples Sector has crossed above 30, which is a bull alert trigger. The XLP chart still has to confirm a bullish move.Chart source: StockCharts.com. For educational purposes.

Although the $BPSTAP has crossed above 30, the XLP chart doesn’t display a bullish trend. Given that inflation is a big concern among US consumers, it’s worth monitoring the Consumer Staples sector for a chance to buy some stocks.

We posted an article on three stocks in the Consumer Staples sector, focused on Walmart, Inc. (WMT), Costco Wholesale Corp. (COST), and Sprouts Farmers Market (SFM). These stocks are still looking strong, but come with a high price tag. So, instead of purchasing the stock outright, I decided to explore options strategies for these stocks.

Options To the Rescue

After analyzing all three stocks using the Options tool (see image below), I considered a call vertical spread on COST and WMT. SFM wasn’t under consideration since it had a low-scoring strategy.

• COST had an OptionsPlay score of 108. The call vertical trade would cost me $4,250 with an 182.35% potential return.
• WMT had an OptionsPlay score of 106. The trade would cost me $508 with a 172.05% potential return.

WMT was the lower-risk play, so I placed the April 17 100/115 call vertical, a strategy displayed in the OptionsPlay Explorer tool, with my broker (see image below). I got filled at a price slightly higher than $508 due to price fluctuations and broker fees.

FIGURE 4. OPTIONSPLAY EXPLORER DISPLAYS THREE OPTIMAL TRADES FOR WMT. The April 17 100/115 call vertical was the most optimal trade with a good risk/reward tradeoff. Image source: OptionsPlay Add-on at StockCharts.com. For educational purposes.

Closing Position

There are 71 days till expiry. If WMT closes above $105.08 the trade will be profitable. The target price is $113.82.

There’s a 38.89% probability of the stock closing above $105.08 by expiration, all else equal. I’ll monitor the position and, if the price target is reached, I will close my position. Another point to keep in mind is that WMT reports earnings on February 20 before the market opens. Volatility will likely increase around that time and could significantly move the stock price in either direction.

The post S&P 500 Sectors Play Musical Chairs: How To Win the Game With Options appeared first on Girls Rock Investing.

In this exclusive StockCharts video, Joe presents a trading strategy using the simple moving average. Explaining what to watch and how it can tell you what timeframe to trade, he shares how to use it in multiple timeframes. Joe covers the QQQ and IWM and explains the levels to monitor in both indices. Finally, he goes through the symbol requests that came through this week, including KR, IBM, and more.

This video was originally published on February 5, 2025. Click this link to watch on Joe’s dedicated page.

Archived videos from Joe are available at this link. Send symbol requests to stocktalk@stockcharts.com; you can also submit a request in the comments section below the video on YouTube. Symbol Requests can be sent in throughout the week prior to the next show.

The post The BEST Simple Moving Average Trading Strategy appeared first on Girls Rock Investing.

In this video, Dave reveals three common behavioral biases, shows how they can negatively impact your portfolio returns, and describes how to use the StockCharts platform to minimize these biases in your investment process. He also shares specific examples, from gold to Pfizer to the S&P 500, and explains how a consistent use of technical analysis tools can help you overcome these biases to experience better returns!

This video originally premiered on February 4, 2025. Watch on StockCharts’ dedicated David Keller page!

Previously recorded videos from Dave are available at this link.

The post Three Behavioral Biases Impacting Your Portfolio Right Now appeared first on Girls Rock Investing.