As you may have figured out by now, swinging during earnings season is not easy. Sure, it can provide some big overnight wins, but it can also cause sleepless nights and devastating gap-downs. Which would you have played? NFLX or AMZN. One would have booked you 14% overnight gains and the other appears to be setting up for a possible 10% gapdown. Is it worth the risk? Is it worth a night of tossing and turning?
It's not to say you can't swing right now, just be aware of when your companies report and when heavy hitters in the same sector report, as well. As for me, I'm limiting swings to a very small percentage of my portfolio... and it's not just about earnings. I'm also limiting take-home stocks because the market is extended. The SPX is struggling to get through 1300 and this bull run has extended for months. Price is king, however, so I'll assume it's going up until it's not, but there will be better times to load up on swings.
In the meantime, I continue to scan for possible swings during the evening to give those of you who are unable to trade intraday an opportunity to see a few I'm watching. If you have any questions or suggestions on how I can improve the Swing Watch List, please let me know.
OK, let's clean up the list and add a few.
Swings that closed on 1/25 (market down day, so it took out many of our plays with minimal gains... ahh, the struggles of swings during earnings):
- AER - Stop executed at 14.74 for 1.6% gain
- SOL - Stop executed at 10.57 for .09% gain (still like this one. Keep and eye on solars)
- CBR - Stop executed at 4.85 for 2% loss
- BX - Stop executed at 15.73 for 1.75% loss
- CENX - Stop executed at 14 for 1.13% loss
- PXD - Stop executed at 87.83 for 2.41% loss
- SPG - Stop executed at 99.2 for .8% loss (chart still looks pretty good)
- PWER - Stop taken out intraday for 1.32% loss
Keep in mind that these stops are all based on prices set the night before.
Swings currently active:
POR
FCN
CPX
GRT
CMI
CELL
AREX
SPRD
Q
AXL
HW
HERO
ATML
SOA
PNX
I should have some more swing setups added later this evening, so check back.
NOTE: Others I like, but still looking for entries..
MS
ISRG
GE
AAPL
