BALTIMORE (Stockpickr) – The old mantra of "new month, new market" is holding very true again this summer, as investors scramble to play catch up with a stock environment that's caught a lot of portfolios by surprise this year.
Stock indices rallied in June, held flat in July, and they've corrected hard in August. But as I'll show you in a moment, the second half of this month could have much more constructive price action in store for market bulls.
In the meantime, there are some more positive trades setting up in some of Wall Street's biggest names. To find them, we're turning to the charts for a technical look at the high-probability trades in five large-cap stocks. If you're new to technical analysis, here's the executive summary.
Technicals are a study of the market itself. Since the market is ultimately the only mechanism that determines a stock's price, technical analysis is a valuable tool even in the roughest of trading conditions. Technical charts are used every day by proprietary trading floors, Wall Street's biggest financial firms and individual investors to get an edge on the market. And research shows that skilled technical traders can bank gains as much as 90% of the time.
Every week, I take an in-depth look at big names that are telling important technical stories. Here's this week's look at five high-volume stocks to trade this week.