One is a great buy and a fast mover. The other? Not so much.
AutoZone has a nice base dating back to February, as you'll see in the chart below
It has been known to move very quickly, and that's the kind of stock I like.
It is expensive, but expensive stocks are expensive for a reason, and that reason is that institutions are running them.
In other words, these stocks are being bought by big money -- big institutional investors -- and I like to piggyback on their buying.
I have $540 as an initial buy point and $545 as the add level.
I do like to see an increase in volume as the price passes my buy points.
The most likely next stop would be $600, where round-number resistance sits.
TRW is also in the automotive sector and had a huge move Thursday.
TRW does not move fast like the leading stocks I like to trade, contrary to Thursday's action.
Thursday's move came as a result of speculation about a buyout offer, which news reports later confirmed.
We may see a bidding war, or maybe the offer will even be withdrawn, but the move is over for me.