On the back of the horrific events unfolding in the middle east over the weekend, defense names saw a dramatic boost in price and volume today. “War” names like LMT 0.00%↑ NOC 0.00%↑ KTOS 0.00%↑ and GD 0.00%↑ saw dramatic price and volume gains along with cyber security names PLTR 0.00%↑ and CRWD 0.00%↑ among others.
Energy names and Oil also were bid most of the day with USO 0.00%↑ having a solid day on the back of the tensions. There was a small flight to safety with treasuries seeing a bid, TLT 0.00%↑ was up modestly.
These names could run and continue going higher. However, I don’t like to chase names like this. I rather stick to my process which included picking up names I mentioned over the weekend.
I have flocked to this type of action in the past only to be whipsawed around by news.
Indexes
Not a terrible day internally. New lows far outpaced new highs on the Nasdaq but the end result was not as bad on the NYSE. As you can see from the intraday chart in the image above, we started out red and worked our way into the green and went sideways for the majority of the afternoon.
No reason to overthink the price action. If the level lows of Friday hold, I want to lean bullish for now and add exposure to my setups as they present themselves.
Names added to the PowerList
I forwent the energy and defense names. Although they can work, it appears to be too obvious.
As Mondays usually are, no new names were added to the PowerMove spreadsheet (will share at end of the week)
Notable Setups
I took the chance and bought CELH 0.00%↑ CVNA 0.00%↑ SCS 0.00%↑ MOD 0.00%↑ GIII 0.00%↑ BRBR 0.00%↑ and TTI 0.00%↑ early in the trading day and added to a few existing positions. My plan is to add into these if they allow me and work.
I usually do not buy that many names in a day, but with the recent action and resilience of the market, I wanted to increase exposure today.
Outside of the names shared over the weekend, a few more caught my eye. I will shares them below.
I hope this helps!
In the future expect more of a deeper dive into the names making PowerMoves.
—NS