This is the video recording of our December 4th Monthly Charts Live Strategy Session
From the Desk of Steve Strazza @Sstrazza
Welcome to The Minor Leaguers.
That was fun, but we wanted to branch out a bit and allow some new stocks to find their way onto our list.
We expanded our universe to include some mid-caps.
To make the cut for our Minor Leaguers list now, a company must have a market cap between $1 and $4B.
And it doesn’t have to be a Russell component — it can be any US-listed equity. With participation expanding around the globe, we want all those ADRs in our universe.
The same price and liquidity filters are applied. Then, as always, we sort by proximity to new highs in order to focus on the best players.
The goal is to catch the strongest names while they’re small and have serious upside potential. If any of these stocks ever climb the ranks to the big leagues, the returns could be huge.
We’re looking at up to 10x moves just to break into large-cap land!
Let’s dive into this week’s report and see what’s happening in some of the hottest stocks in the Minor Leagues.
From the Desk of Steve Strazza @sstrazza and Alfonso Depablos @Alfcharts
This is one of our favorite bottom-up scans: Follow the Flow.
In this note, we simply create a universe of stocks that experienced the most unusual options activity — either bullish or bearish, but not both.
Our goal is to isolate only those options market splashes that represent levered and high-conviction, directional bets.
What remains is a list of stocks that large financial institutions are putting big money behind.
And they’re doing so for one reason only: because they think the stock is about to move in their direction and make them a pretty penny.
Then we flip through our list of stocks flashing unusual activity and pick the best setups using many of the same technical filters we do for our other scans.
And, just like that, we’ll follow the money flow and fatten our own pockets along with some of the world’s most powerful financial institutions.
From the Desk of Louis Sykes @haumicharts
We’ve been all over this one.
Two weeks ago, we couldn’t help but discuss the impressive move out of the silver/gold ratio, pointing to risk appetite in the precious metals space.
Now, gold’s crazy little cousin is pressing up against new 52-week highs.
I’m beginning to sound like a broken record regarding “hard trades,” but they just keep working. Look at COIN and UBER as examples.
Today’s trade is in a software name that has two things going for it right now:
- it’s hard.
- it’s a potential “catch up” trade.
This is the weekly post that aggregates all the charts we put together throughout the week and organizes them all into one, easy to flip through deck.
From the desk of Steve Strazza @Sstrazza
Our Hall of Famers list is composed of the 150 largest US-based stocks.
These stocks range from the mega-cap growth behemoths like Apple and Microsoft – with market caps in excess of $2T – to some of the new-age large-cap disruptors such as Moderna, Square, and Snap.
It has all the big names and more.
It doesn’t include ADRs or any stock not domiciled in the US. But don’t worry; we developed a separate universe for that. Click here to check it out.
The Hall of Famers is simple.
We take our list of 150 names and then apply our technical filters so the strongest stocks with the most momentum rise to the top.
Let’s dive right in and check out what these big boys are up to.
The hard trades continue to work, and I shouldn’t argue with the market’s message.
And right now, the market is telling me there are opportunities in Chinese stocks.
Today’s trade is in a Chinese education company that promises to teach us something valuable. [Read more…]