5 stocks showing technical buy signals

The companies, in very different sectors, have all crossed their 50-day moving averages to the upside.

By Benzinga Apr 29, 2013 2:36PM
Woman reading newspaper in livingroom copyright Tetra images, Getty ImagesBy Tim Parker

Traders know that when a stock crosses over its 50-day moving average to the upside, that's a bullish sign. We screened thousands of stocks and found five that might be worth some of your research time.


Comcast

Comcast (CMCSA) is a diversified media company with 22 million cable subscribers as well as a majority stake in NBC. The stock was up 1.5% on Friday, which put it above its 50-day moving average on reasonable volume.


The chart, going back to August, is highly bullish with a solid ascending channel throughout. A recent pullback has created a compelling entry point.


J.C. Penney

J.C. Penney (JCP) was up more than 11% on Friday on news that Goldman Sachs (GS) arranged a $1.75 billion financing package for the company and that George Soros bought an almost 8% stake in the company. Large scale events like this don't necessarily make for reliable technical analysis, but if J.C. Penney can hold Friday's move, it could challenge the upper trend line resistance sitting around $20.


ConocoPhillips

ConocoPhillips (COP) is an integrated oil and gas company with a $77 billion market cap. After selling off to a low of $56.81, its 200-day moving average, the stock has rallied nearly 4%, breaking above its 50- and 20-day moving averages.


Traders will look for it to challenge its double top at $61, but there is resistance along the way. Still, the chart action could make for a favorable trade.


Toll Brothers

Look beyond the noisy chart and what you find is a stock with a lot of potential. Home builder stock, Toll Brothers (TOL) recently found a bottom at $29.87 and has since rallied an impressive 16% in one week. The stock is above its 50-day and is on track to challenge its upper trend line sitting around $35.40. A break above that would set it up to challenge the $36.50 and $38 levels.


However, a strong move in such a short period of time will likely correct very soon. Watch the support levels carefully.


Foot Locker

Footwear retailer, Foot Locker (FL) has been in a trading range since November. It rallied from recent lows to break above its 50-day and is about to challenge its 200-day. A break out from its 50-day is a bullish sign but since the beginning of March, the stock has printed a series of lower highs on diminishing volume. Until the stock can convincingly break above the $35 level, this stock is best avoided. Keep it on your watch list.


More from Benzinga

At the time of this writing Tim Parker had no position in any of the stocks mentioned.



0Comments

DATA PROVIDERS

Copyright © 2014 Microsoft. All rights reserved.

Fundamental company data and historical chart data provided by Morningstar Inc. Real-time index quotes and delayed quotes supplied by Morningstar Inc. Quotes delayed by up to 15 minutes, except where indicated otherwise. Fund summary, fund performance and dividend data provided by Morningstar Inc. Analyst recommendations provided by Zacks Investment Research. StockScouter data provided by Verus Analytics. IPO data provided by Hoover's Inc. Index membership data provided by Morningstar Inc.

STOCK SCOUTER

StockScouter rates stocks from 1 to 10, with 10 being the best, using a system of advanced mathematics to determine a stock's expected risk and return. Ratings are displayed on a bell curve, meaning there will be fewer ratings of 1 and 10 and far more of 4 through 7.

124
124 rated 1
267
267 rated 2
467
467 rated 3
605
605 rated 4
645
645 rated 5
691
691 rated 6
617
617 rated 7
459
459 rated 8
313
313 rated 9
130
130 rated 10
12345678910

Top Picks

SYMBOLNAMERATING
AAPLAPPLE Inc10
ATVIACTIVISION BLIZZARD Inc10
BIDUBAIDU Inc10
BXTHE BLACKSTONE GROUP L.P10
CELGCELGENE CORP10
More

VIDEO ON MSN MONEY

ABOUT

Top Stocks provides analysis about the most noteworthy stocks in the market each day, combining some of the best content from around the MSN Money site and the rest of the Web.

Contributors include professional investors and journalists affiliated with MSN Money.

Follow us on Twitter @topstocksmsn.