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

Top Swing Trade Ideas for Tuesday, August 5: Darden Restaurants, Medidata, More

NEW YORK (TheStreet) -- Good luck traders!

Today's top swing trade picks are Darden Restaurants (DRI - Get Report), Medidata Solutions (MDSO - Get Report) and Zebra Technologies (ZBRA - Get Report).

1. First let's look at Darden Restaurants, which owns and operates full-service restaurants in the U.S. and Canada under the Olive Garden, Red Lobster, LongHorn Steakhouse, Capital Grille, Yard House, Seasons 52, Bahama Breeze, Eddie V's Prime Seafood and Wildfish Seafood Grille brand names.

Darden Restaurants traded up 2.57% on Monday, closing at $47.86 per share.

  • Monday's range: $46.55 - $47.94
  • 52-week range: $43.56 - $54.89
  • Monday's volume: 2,779,797
  • 3-month average volume: 1,567,580

Darden looks good because yesterday created a two-candlestick pattern called a doji gap up, often referred to as the trader's best friend. The doji gap up is starts with a battle between the bulls and bears, thereby forming a doji. Then, the following day, price action gaps up over the previous day's close and forms a bullish candle.

Plus, yesterday's price closed over the 50-day simple moving average, piquing my interest as a rounded-bottom breakout.

Since the beginning of the current short-term bullish trend, volume increases on bullish days, which tells us there is strength behind the positive trend, and volume decreases on bear days -- meaning there's no strength.

I'd look for an entry above the 50-day simple moving average, above $47.36. Today should offer a price within yesterday's trading range. I'd set my stop at $46.88, which is the pre-gap high. Then, I'd target the 200-day simple moving average, which is only up 4%, and look to add to the position as it clears the 200. Then target the overhead resistance levels, and ultimately target the 52-week high of $54.89 -- 14.6% to the upside from yesterday's close.

Stay long until you see a confirmed sell signal or a close below the t-line.

Next up: Medidata Solutions and Zebra Technologies.

1 of 2

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
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
Only $49.95
14-Days Free
14-Days Free
DRI $62.97 0.00%
MDSO $41.77 0.00%
ZBRA $63.24 0.00%
AAPL $93.24 0.00%
FB $117.81 0.00%


Chart of I:DJI
DOW 17,660.71 +9.45 0.05%
S&P 500 2,050.63 -0.49 -0.02%
NASDAQ 4,717.0940 -8.5450 -0.18%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs