After shaking all the longs out with a close below the 20-day exponential moving average and downtrend line last Thursday, Financial Bull 3x ($FAS) has closed above that moving average in each of the past four sessions:



$FAS printed a bullish reversal candle yesterday, after opening slightly below Tuesday's low and closing above Tuesday's high on a pick up in volume.

We now look for the price action to break above the three-day high and move to new highs within the next few days. For subscribers of our nightly swing trade report, trade details can be found in the watchlist section above.

After washing out longs with a close below 20-day exponential moving average last Thursday (like $FAS), Global X Funds ETF ($GURU) has recovered nicely, closing above the 20-day EMA four days in a row. Yesterday's strong advance cleared the highs of the ugly selling candle on heavier than average volume:



In addition to $FAS, we are placing $GURU on today's watchlist, along with a buy entry in the Direxion Daily Mid-Cap Bull 3X ($MIDU), which is poised to breakout to new highs after Wednesday's bullish candle. Our exact entry, stop, and trigger prices for all three ETF trade setups can be found in the "Watchlist" section of today's Wagner Daily.

Deron Wagner is the Founder and Head Trader of both Morpheus Capital LP, a U.S. hedge fund, and MorpheusTrading.com, a trader education firm.