This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

5 Big Stocks to Trade for January Gains

Eaton

First up this week is large-cap power management company Eaton (ETN - Get Report). It's been a fairly rough year for shares of Eaton. The stock has slid more than 7% in the last year, underperforming the S&P 500 by a fairly wide margin. A new technical setup in shares points to a turn-of-fate for shareholders, however.

For the last couple of months, Eaton has been forming an ascending triangle -- a bullish setup that's formed by horizontal resistance to the upside and uptrending support support and resistance below. Eaton broke out above that resistance level this week, triggering a buy signal for traders. The lack of another meaningful resistance level nearby means that this stock could have plenty of room to move higher.

Momentum, in the form of 14-day RSI, has been trending higher since August, a factor that adds some extra confirmation to this triangle setup. As long as the uptrend in RSI remains unbroken, traders should feel good about this breakout. I'd recommend keeping a protective stop at the 200-day moving average.

Eaton, which has a B buy rating from TheStreet Ratings, is one of the highest-yielding industrial stocks and shows up on a recent list of 5 Stocks With Bullish Insider Action.
2 of 6

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free

Check Out Our Best Services for Investors

Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
SYM TRADE IT LAST %CHG
AAPL $126.37 0.75%
C $55.56 0.58%
CIB $41.95 -2.40%
ETN $67.63 0.21%
NLY $9.30 1.20%

Markets

DOW 17,734.82 +115.31 0.65%
S&P 500 2,073.74 +10.63 0.52%
NASDAQ 5,004.7240 +17.8570 0.36%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs