Pocket Pivot Review - First out of the starting gate
Network solutions company EQIX is having a pocket pivot off its 50dma. It resisted the last two 10%+ corrections in the NASDAQ Composite and is one of the first stocks to take an early lead toward new highs. Of course, we are still in a market where buying on weakness is a better strategy.
FB, one of the "FANG" stocks, will have a pocket pivot if it can trade at least 45,172,900 shares. It is bouncing hard off its 200dma. Because of this straight up from the bottom pattern, it may very well pull back again allowed for a better entry point. Earnings and sales are accelerating, pretax margin 57.1%, institutional sponsorship has increased in every quarter since the company went public, group rank 14.
The market is still volatile as it comes in just now, so the wait-and-see approach instead of buying anything right now may be a better strategy. The market bounce may lack the upward thrust of prior bounces which would be a signal to lay out some short positions.
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