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
TheStreet Open House

Dragons and Monsters: Swing Trade Ideas for Wednesday, May 21

2. Next, let's look at another movie company, Lions Gate, known for movies like The Hurt Locker, Monster's Ball and Crash.

Lions Gate traded positive on Tuesday, closing up 4.56% to $27.52 per share.

  • Tuesday's range: $26.32 - $27.61
  • 52-week range: $24.54 - $37.81
  • Tuesday's volume: 2,106,222
  • 3-month average volume: 2,418,870

Lion Gate is also a rounded bottom breakout, and looks good from a technical standpoint. The chart has been trading sideways for the last two months, not really going anywhere. Yesterday, shares closed right at the top of the sideways trading channel, so I'd like to see followthrough to confirm this trade. Any positive trading above the current level is considered a breakout above the two-month trend channel.

The next overhead resistance levels are $28.29, $29.56, $30.50, and again at the 200, which is at $31.56. I would target the 200 at $31.53, which would be 14% from yesterday's close. Set a stop below the 50 at $27.12. Stay long until you see a sell signal, or a close below the t-line. 

Don't be afraid to take profits at 1%, 2% or 5%, since we are trading for profits, and it is still better than returns from a bank account, or stuffing your money under your pillow. Set your stops and don't worry about getting stopped out, as that's what stops are for.

Profits come first, above all else, that's why we do it.

Have a great day, and good luck in this crazy choppy market!

Follow me @aarongallaher

>>Read More: 5 Undervalued Companies for Enterprising Investors

>>Read More: Don't Even Think About Selling Facebook

>>Read More: Microsoft Is a Total Embarrassment

At the time of publication, the author held no positions in any of the stocks mentioned.

This article represents the opinion of a contributor and not necessarily that of TheStreet or its editorial staff.

2 of 2

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

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
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

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

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, 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
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

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

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 17,156.85 +24.88 0.15%
S&P 500 2,001.57 +2.59 0.13%
NASDAQ 4,562.1890 +9.43 0.21%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs