Stock Picks And Trade Ideas For Thursday - BAC, GS, WFC

Wells Fargo (WFC) - Looking at the daily technical chart above, the stock looks somewhat neutral. The stock is trading around 50 day moving average and 200 day moving average as both moving average are tangling with each other. As the moving average indicates, the stock is on a neutral zone and a spike or plunge would defines the trend for the next few months. The only possible negative indicator is KD which is beginning to crossing down.

Chart courtesy of stockcharts ( click to enlarge )

Goldman Sachs (GS) is starting to show signs of accumulation with upside days and low downside days. Buy the stock only when it moves beyond the resistance level of $74 on a close basis,for a swing trade with a target of $81.19.

Chart courtesy of stockcharts ( click to enlarge )

Bank of America (BAC) shares have been trading in a short-term uptrend since the lows of $9.69. Looking at the daily technical chart, the stock is forming a rising wedge (bearish pattern) with a likely target of around $20. It will be interesting to see if market touches $18.57 or perhaps even $20 in the coming days before a good fall. For now, the technical short-term indicators look favorable for the bulls, however be cautious on all up moves and keep a close eye on the wedge. The moment the wedge is broken, expect good correction. Stay tuned on it.

Disclaimer: Trading stocks involves risk, this information should not be viewed as trading recommendations. The charts provided here are not meant for investment purposes and only serve as technical examples.

Posted in Categories: Contributor, External Research, Financial, Stocks, USA.

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