Starbucks Corporation (SBUX) tends to trade at relative strength to the market. As any stock, SBUX has had its down days but it seems to trade at relative strength on a fairly consistent basis. Monday was no different. As the majority of the market gapped down at the opening bell, SBUX gapped up and continued higher for a few minutes before giving up its morning gains. For the rest of the day, SBUX was very volatile. The fact SBUX was so volatile combined with its relative strength to the market would have made for some nice percentage gains on entries at drops to the uptrend line. Will SBUX continue to trade at relative strength to the market?
Akami Technologies, Inc. (AKAM) has been under heavy selling pressure along with the rest of the market. The stock has done well considering the environment. The stock price has fallen, but not nearly as much as the majority. That is why I think AKAM will hold on trendline support. It dipped below the uptrend line intraday Monday, but was able to close above it. That's a good sign for AKAM.
Suncor Energy Inc. (SU) has caught my attention. This market pullback is beginning to show some signs of a bottom as support levels on major indexes hold. That is why I have been searching a few of my favorite stocks for a chance to make a nice return in a matter of weeks. SU is one that I find attractive. This company is in the business of extracting oil from "oil sands" and refining it. The end result is premium grade crude. SU is currently trading above two significant support levels, one at 72 and the other at 69. Support levels coupled with RSI levels at 1-year lows proves SU is worth taking a chance on.
Andy Swan is co-founder and head trader for DaytradeTeam.com. To get all of Andy's day trading, swing trading, and options trading alerts in real time, subscribe to a one-week, all-inclusive trial membership to DaytradeTeam by clicking here.