This Day On The Street
Continue to site
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 Names to Trade for Earnings Season

WPP Group

London-based advertising and PR firm WPP Group ( WPPGY) has seen some impressive performance of its own in the last six months. Shares of the $20 billion stock have rallied more than 25% over that time. Since then, they've taken a breather, trading sideways since early February. But even though WPP hasn't seen much excitement in the last couple of months, there's still a trade to be made here.

>>5 Rocket Stocks to Buy as Stocks Bounce

That's because WPP's sideways churn has been extremely orderly. In fact, trading has been constrained within a rectangle pattern since the uptrend turned sideways. A rectangle is a pattern that's formed by two horizontal price levels: in this case, resistance above shares at $82 and support below at $78. Rectangles give traders a chance to take a breath and figure out their next move after a big share price change. As a result, it makes sense to make a bet in the direction of the breakout from the channel.

While WPPGY has a large number of gaps in its price chart, traders should pay too much attention to them. Those gaps, called suspension gaps, are the result of WPPGY's off-hours trading on the London Stock Exchange; they can be ignored for technical analysis purposes.

Since this consolidation is coming after a prolonged uptrend, WPP looks likely to resume upside once this rectangle has run its course. I'd recommend keeping a close eye on $82.
4 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
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
ZMH $0.00 0.00%
DLTR $79.71 -0.45%
LVS $45.15 -1.55%
PG $80.12 0.45%
WPPGY $117.15 -0.48%


Chart of I:DJI
DOW 17,773.64 -57.12 -0.32%
S&P 500 2,065.30 -10.51 -0.51%
NASDAQ 4,775.3580 -29.9330 -0.62%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs