Top Setups for March 19

You have to hand it Janet Yellen for her mastery of language and market psychology.

Everyone was fretting over the possible removal of the word "patience" from the Fed statement as if the future of the world depended on it. The Fed Chairman not only dispatched with the word, but then managed to replace it with other words, which caused the market to explode in a rarely seen straight-up post-Fed rally. Comical, eh?

But words are words and the only thing that matters is price action. Today's price action signaled the unquestionable return of the market uptrend and the path of least resistance is once again up.

The following are the five setups I will be watching tomorrow:

AXAS - Bullish bounce off support and over long down trendline, expecting continuation toward 4

CALM - Constructive three month base, finally seems ready to push toward 40

CHGG - High and tight flag, could get interesting on a push through 8.70-75

FEYE - Fairly long sideways consolidation following the February breakout from a very long base, watching for a push through the 20dma and toward 45

GALT - Long orderly bottoming pattern, now needs to push toward 4 with volume

Posted to Tactical Alpha on Mar 18, 2015 — 7:03 PM

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