What can you learn from the charts? Esteemed technical analyst Dan Fitzpatrick reveals how he’s trading the trends.
Dan Fitzpatrick is the Co-Contributor and Technical Analyst for TheStreet.com and he joins the panel for this conversation. Following is a summary of his main points.
Chart:S&P 500 Inverse ETF with 50-day moving average.
Analysis: It seems that we’re currently in an uptrend in a downtrending market. Buy on any pullback to its 50-day moving average, he counsels, or on a breakout above $65.
Chart:Cree with 20-day moving average.
Analysis: I like this company, says Fitzpatrick, in part because analysts hate it. Buy now or on a breakout above $34.
Pete Najarian and Guy Adami agree with the call.
Chart:Annaly Capital Management with 20-day moving average.
Analysis: Analysts like this company because NLY doesn’t have any subprime exposure, Fitzpatrick says. However, I think it’s too late to buy unless it's for a quick trade. And watch out for $24 ceiling.
For an in-depth look at the charts used in this analysis please watch the video.