[Platinum Watchlist] (5.4.23) 3 stocks we are watching closely

Good morning.  

The markets were quite choppy yesterday as the Fed decided to raise the Fed Fund Rate by another 25 bps and there is more trouble with the regional banks.  

HON wicked up past the cost basis of 199.84 which has been providing some resistance before closing down 0.15%. Price action is still trading above the 9 and 200 day SMAs. There has been a slight negative rollover of the Stochastic. Support has been found at the 200. This position is currently down $1.88 / share within the Paper Trade Portfolio.  

SJM closed down 1.02% as the markets tumbled after Powell’s news conference. Price action did wick up to peak just below the resistance level at 160.33 where it missed the sell limit order. Support will be around he cost basis of 156.60 followed by the 9-day SMA. The plan will be to defend the gains and limit / prevent losses with stop limits and sell limits.  

INVH closed down 0.59% after wicking up to just below the resistance level at 34.21 where it missed a sell limit order. Support is the 200. It would be prudent to tighten up the limit sell order on the top side to just under resistance to see if you could catch a gain.  

Markets are still trading in a sideways pattern which provides increased difficulty for successful swing trades. Everyone who pays attention can see the same indicators and SMAs as we can, so during times of range bound price action, it’s best to tighten up your orders on both sides of the trade to protect the gains and reduce your potential losses.  

Sideways markets can present trading opportunities for short-term traders who employ rangebound strategies. These traders aim to capitalize on price fluctuations within the defined range, buying near support levels and selling near resistance levels.  

The other option is to be patient.  

Have a great day and thanks for being a member of the Platinum Channel!  

This information is for educational purposes only and is not a recommendation to buy or sell a security.