PM stock has been trading on above average volume this last month, compared with the rest of the year prior.
Their 50 Day MA is primed to bullishly break through their 200 Day MA today, and their RSI is approaching overbought territory at 65.5.
The $103.75-.80-level is going to be a big test for them, as that was their year’s prior high level.
While their MACD is currently bearish, I would be keeping an eye on it as they continue to try to break out above the $104-level for a shift in momentum.
Philip Morris Intl. Inc. PM Stock As A Long-Term Investment
Long-term investors in PM stock may find their P/E (ttm) appealing, at 18.09.
Their P/B (mrq) is negative, which may be a problem to some investors.
PM stock’s Quarterly Revenue Growth Y-o-Y is 9.10%, with Quarterly Earnings Growth Y-o-Y of 5.2%.
Their balance sheet will require a closer examination, with $4.49B in Total Cash (mrq) & Total Debt (mrq) of $29.11B.
Their prices move in a less volatile manner than the average market, with a beta of 0.83.
PM stock pays a 4.67% dividend yield, however this may not be stable in the long run, as their payout ratio is 84.5%.
Despite this, they have 76% of their total share float held by institutional investors.
Philip Morris Intl. Inc. PM Stock As A Short-Term Trade Using Options
PM stock has options that can be traded to take advantage of their price movements in either direction, while also hedging against volatility.
I am looking at the contracts with the 2/28 expiration date.
The $102 & $103 call options look appealing, but are low in open interest.
This stands out as the $105’s have more liquidity than the $102, $103 & $104 calls, signaling that the market feels strongly about their performance heading in that direction as we carry on into February.
The $104 & $105 puts also look interesting, as the $106’s have no open interest.
Tying It All Together
All-in-all, there look to be many appealing characteristics to PM stock.
Investors will find its valuation & dividend appealing, but may have questions about their debt structuring.
Traders will like their current momentum, as they try to break above the $104/share level.
Overall, PM stock is worth taking a closer look at.
*** I DO NOT HAVE A POSITION IN PM AT THE TIME OF WRITING THIS, BUT I AM RESEARCHING THEM FURTHER ***
This past week saw a rebound for the markets, after starting 2022 off in a tumble.
Volumes still remain elevated compared to the year prior’s average, as traders are repositioning themselves into a rising interest rate environment.
Earnings calls are also going to continue into this week, which should shed more outlook into what companies are seeing for the upcoming year’s projections in a year already muddled with uncertainty.
TQQQ, the ProShares UltraPro QQQ ETF that tracks the NASDAQ’s performance 3x began climbing back from recent losses, with Friday’s price breaking out above their 10 Day Moving Average.
TQQ ETF – ProShares UltraPro QQQ ETF
While its RSI is still oversold, as it creeps back to neutral keep an eye on the MACD, which while it is bullish currently, looks to be turning back over for a bearish crossover in the coming week.
It’s no surprise that their RSI is heavily overbought at 80.91, but there looks to be more momentum in the tank for UGA.
I’ll be eyeing the MACD as the spread between the price & the 10 Day Moving Average grows narrower; the lighter than average recent volumes do signal some uncertainty at these high price levels.
Their RSI is heavily overbought at 76; I am eyeing what happens as they try to cross above the $22.60/share mark, as their MACD is showing signs of losing momentum & rolling over bearishly.
Volumes have increased in 2022, where it has managed to hold above $20.76/share, but their MACD is signaling that there will be additional short-term pain to come, as it bearishly rolls over.
With limited yield to collect, I’d be keeping an eye on their RSI to time an entry if this is something of interest, but it doesn’t seem like a safe time just yet to begin establishing a position.
While its MACD has been bullish since the beginning of February, their recent trading volume is light, indicating that there is no clear sentiment about where its price level should be.
This one is another to wait on before beginning a position, as they do not offer a dividend yield to provide a cushion for additional near-term downside, and only hit their lowest price of the year within the last 2 weeks.
They have dropped 24% since early November, as many of SKYY’s holdings will be adversely impacted by rising interest rates.
SKYY ETF – First Trust Cloud Computing ETF
Keep an eye on their MACD, which is currently rolling over bearishly.
Given that their RSI is approaching neutral again & volumes have been above average in the last month, this looks set to go back down & test its support levels, hopefully holding above $90, as otherwise it’s a long drop to $84.84.
CEMB ETF – iShares Emerging Markets Corporate Bond ETF
Given that they offer a 3.6% dividend yield & have options, there may be an opportunity to buy puts here while establishing a position on the way down.
This way, you can collect interest from the dividend, while also hedging with the puts while CEMB establishes a new support level.
With their bearish MACD & oversold RSI, this could present an interesting opportunity.
Tying It All Together
I don’t think anyone is surprised that energy names & rising rate-oriented equities have been having a great run in the last few months.
The lack of confidence in consumers & emerging market corporate bonds is cause for concern though, which when paired with rising fuel prices could spell more trouble on the horizon.
Should there be a wave of defaults & an already cautious consumer, economic activity will be hampered a bit, which in turn will create an issue for the Federal Reserve, who is already somewhat cornered into taking the actions that they’ve stated as a goal for 2022.
The good news, is that spring is around the corner, so demand for energy should ease a bit, as consumers go from using it for heating to using it for traveling & recreation, which is also good for the economy in a broader sense.
Hawkins Chemical, Inc. stock trades under the ticker HWKN & has shown recent bullishness that traders & investors should take a closer look at.
HWKN stock closed at $40.98/share on 2/3/2022.
Hawkins Chemical, Inc. HWKN Stock’s Technicals Broken Down
HWKN Stock Price: $40.98
10 Day Moving Average: $37.69
50 Day Moving Average: $37.61
200 Day Moving Average: $35.28
RSI: 64.8
MACD: -0.023
Yesterday, HWKN stock completed a bullish MACD crossover, while gapping up 10.55%.
In addition to breaking out above their 10 & 50 Day Moving Averages, their 10 Day also bullishly crossed the 50 Day MA, adding additional momentum to their price movement.
Shares traded on above average volume compared to the rest of the year prior, and their RSI still has room to run before going into overbought territory.
HWKN stock closed above their most recent high from the last year as well.
Hawkins Chemical, Inc. HWKN Stock As A Long-Term Investment
Investors will like HWKN stock’s valuation metrics, with a P/E (ttm) of 16.5 & a P/B (mrq) of 2.76.
HWKN saw Quarterly Revenue Growth Y-o-Y of 30.9%, with 28.8% Quarterly Earnings Growth Y-o-Y.
Their balance sheet will require a closer look from prospective investors, with Total Cash (mrq) of $23.44M & Total Debt (mrq) of $126.89M.
HWKN stock pays a dividend of 1.36%, which appears to be stable with a 21.83% Payout Ratio.
As a result, 63% of HWKN stock’s outstanding share float is held by institutional investors.
Hawkins Chemical, Inc. HWKN Stock As A Short-Term Trade Using Options
Traders can use options to take advantage of HWKN stock’s current momentum, while hedging against broader market volatility.
I am looking at the contracts with the 2/18 expiration date.
The $40 calls are the only ones with open interest that are near the money, but are very illiquid with open interest of 2.
The only puts that are near the money are the $35 strike price contracts, which will require a big drop to be in-the-money.
Tying It All Together
Overall, HWKN stock has many interesting characteristics for investors & traders alike.
Investors will like their valuation & dividend yield, but should look into their debt structure before making a long-term commitment.
Traders will like their current momentum, but will be displeased by the lack of liquidity in their near-dated options.
HWKN stock is worth taking a closer look at to see if it is a good fit for your portfolio.
Ares Management, LP stock trades under the ticker ARES & has recently shown bullishness that traders & investors should take a closer look at.
After a 7.5% gain, ARES stock closed at $79.72/share 0n 1/31/2022.
Ares Management, LP ARES Stock’s Technicals Broken Down
ARES Stock Price: $79.72
10 Day Moving Average: $74.08
50 Day Moving Average: $78.50
200 Day Moving Average: $70.51
RSI: 59.6
MACD: -1.113
Yesterday, ARES stock completed a bullish MACD crossover, while also breaking out above its 10 & 50 Day Moving Averages.
In 2022, ARES stock has traded just above their average daily volume for the previous year.
Their next resistance tests will be $79.87, followed by $84.10, with support at the $72.83, $72.68 & $69.21 price levels, should the markets continue sliding into 2022.
Ares Management, LP ARES Stock As A Long-Term Investment
ARES stock may be appealing to long-term focused investors.
Their P/E (ttm) is fair at 36.27, however their P/B (mrq) is a bit rich at 7.01, which may be justified due to the nature of their business.
ARES had 93.7% Quarterly Revenue Growth Y-o-Y, along with Quarterly Earnings Growth Y-o-Y of 78.2%.
Their Balance Sheet requires a closer examination, with Total Cash (mrq) of $1.88B & Total Debt (mrq) of $11.73B.
ARES stock offers a 2.44% Dividend Yield, however it is unsure how sustainable this yield will be, with their payout ratio being well above 50%.
71.5% of ARES stock’s share float is held by institutional investors.
Ares Management, LP ARES Stock As A Short-Term Trade Using Options
Traders can use options to take advantage of price movements in either direction for ARES stock.
I am looking at the contracts with the 2/18 expiration date.
The $75 & $80 calls look appealing, minus the lack of liquidity, as both have open interest well below 1,000.
There is very limited open interest in ARES puts with the 2/18 expiration date, with only the $75 & $85 having any open interest.
Tying It All Together
Overall, ARES stock looks to have many interesting characteristics that traders & investors may find appealing.
Investors will like their valuation metrics, and their dividend yield should it not have to be cut in the future.
Traders will like their current momentum, but will remain weary of the overall liquidity of their options, as there is very limited open interest.
All-in-all, ARES stock is worth taking a closer look at, regardless of your trading style.
January 2022 continues to be an above average trading volume month for the major market indexes.
SPY, the S&P 500 ETF managed to stabilize this last week a bit, after spending the rest of the new year downtrending.
Looking at their RSI, it looks like there may be more selling to come in the near-term, particularly as their 10 Day Moving Average approaches their 200 Day MA bearishly.
SPY ETF – SPDR S&P 500 ETF
QQQ, which tracks the NASDAQ index also was able to gather some footing, after also sliding downward into the new year.
QQQ ETF – Invesco QQQ Trust ETF
They too look set to resume the downward movements in the near-term, as their RSI comes out of deeply oversold territory & their 50 Day Moving Average is only ~5% away from crossing bearishly through the 200 Day MA.
It still doesn’t quite look like time to be buying into the markets just yet.
Let’s dive into some of the sectors & industries that are performing the best & worst below.
Corn (CORN), Soybeans (SOYB), Palladium (PALL) & Multifactor Energy (JHME) Are All Leading The Pack
With their RSI approaching being overbought & their MACD beginning to flatten out, there may be some pain on the near-term horizon here, although so far they have fared better in 2022 than the broader market indexes.
Recently though, there volumes have been lower than average when compared to the rest of the year.
SOYB, the Teucrium Soybean Fund has also enjoyed a strong end of 2021 that carried into 2022, gapping up 1.48% on Friday 1/28/2022.
SOYB ETF – Teucrium Soybean Fund ETF
With their 50 & 200 Day Moving Averages bullishly crossing, there looks to be more strength in the near-term for SOYB.
Keep an eye on their RSI though, as that will need to neutralize more as they establish a new price range.
SOYB’s volume has been above average for the last couple of months though, showing strong support in their price movement.
PALL ETF – Aberdeen Standard Physical Palladium Shares ETF
While they do not have options for trading puts, there looks to be signs of continued momentum in the near-term, after their price just broke out above their 200 Day MA.
Their RSI will cool down in the near-term, but that may prove a buying opportunity, as their 10 Day MA is fast approaching the 200 Day MA, which will add additional strength & support to drive prices higher.
The last few days have seen increased volumes, but their price will need more momentum to break above the $26.54 mark, which may be difficult with their RSI just about in overbought territory.
However, their MACD implies that they may be ready to keep climbing, but first they need to keep their heads above the $26.22-price level.
High-Growth Entrepreneurial (ENTR), Cloud Computing (SKYY), Cancer Immunotherapy (CNCR) & Clean Energy (ACES) Are All Lagging The Pack
While their MACD looks to be turning around bullishly & their RSI is deeply oversold, I’ll be watching how they manage to keep their heads above the $12-level to begin establishing a support level.
With such a low dividend yield I don’t see any advantage into rushing into this name, until after it has built up some more momentum & strength.
They’re going to look to settle their RSI in a more neutral area, and may begin building support off of this $85-level that we are seeing, as their MACD looks to be gearing up to turn bullish.
Their trading volumes continue to increase vs. last year’s averages, which should help them establish a floor of support.
However, given the nature of the industry that this ETF tracks I’m not sure that their <1% dividend yield will do much in terms of limiting downside risk here & we could see more pain to come as interest rates rise in the spring.
Their RSI is deeply oversold, but it doesn’t appear clear that they are beginning to form a bottom & gain support.
While the MACD is becoming increasingly more bullish, there is still risk associated with trying to time their bottom here.
One thing of comfort, they offer a 10% annual dividend yield, giving you a cushion of protection until they reach around the $16.50 level should they continue to fall.
I’ll be keeping an eye on them & be doing more research, as the 10% yield could be very worthwhile, research pending.
Another name that has yet to find a level of support, that also offers too low of a dividend to make trying to time the bottom in pricing worthwhile.
Their heavily-oversold RSI & MACD that is turning bullish may help solve that problem & build them support in the $48-49 neighborhood, but it’s still too early to speculate.
2022 has only seen slightly above average volume for them, which doesn’t inspire a lot of optimism & confidence.Tying It All Together
Tying It All Together
One of the most clear things that the charts are telling me as I write this is that no one really still knows what is going on.
How this uncertainty will play into the pricing of stocks & ETFs is anyone’s guess, but in times of extreme volatility like we are experiencing watching the technicals on the names you’re interested in becomes all the more vital.
Also, having exposure to quality, high-yielding dividend stocks & ETFs, as well as some of the volatility based ETN exposure is going to be very beneficial to your portfolio.
Let’s see what happens this week!
*** I DO NOT OWN ANY OF THE ETFs MENTIONED ABOVE, ALTHOUGH I DO OWN SPXS CALLS AT THE TIME OF WRITING THIS ***
Regeneron Pharmaceuticals, Inc. stock trades under the ticker REGN & has recently shown some bullish signals that traders & investors should take a closer look into.
REGN stock closed at $624.92/share on 1/28/2022, trading on slightly above average volume.
Regeneron Pharmaceuticals, Inc. REGN Stock’s Technicals Broken Down
REGN Stock Price: $624.92
10 Day Moving Average: $614.39
50 Day Moving Average: $630.70
200 Day Moving Average: $589.41
RSI: 52.44
MACD: -3.941
REGN stock completed a bullish MACD crossover yesterday, while also breaking out above its 10 Day Moving Average.
Despite the broader market indexes falling in January 2022, their price has remained relatively flat in the $592.86-$632.75 price range.
They will need to break out above the $633-price level to go on to test the $651.28-level.
Regeneron Pharmaceuticals, Inc. REGN Stock As A Long-Term Investment
Investors may find REGN stock’s P/E (ttm) appealing at 9.7, however their P/B (mrq) is a bit rich at 3.77.
Lexington Corp. Properties Trust stock trades under the ticker LXP & has shown recent bullishness that traders & investors should take a closer look at.
LXP stock closed at $14.41/share on 1/28/2022.
Lexington Corp. Properties Trust LXP Stock’s Technicals Broken Down
LXP Stock Price: $14.41
10 Day Moving Average: $14.11
50 Day Moving Average: $14.84
200 Day Moving Average: $13.38
RSI: 48.5
MACD: -0.214
LXP stock completed a bullish MACD crossover yesterday, while also breaking above its 10 Day Moving Average.
They have traded at above average volumes recently compared with the rest of the previous year & have a neutral RSI after their recent drop in January 2022.
Their next level of resistance is in the $14.58-14.71/share range.
Lexington Corp. Properties Trust LXP Stock As A Long-Term Investment
Investors will find LXP stock’s P/E(ttm) of 17.78 to be fair, as well as their P/B (mrq) of 2.03.
LXP’s Quarterly Revenue Growth Y-o-Y was down -1.3%, with -84.2% Quarterly Earnings Growth Y-o-Y.
Their balance sheet will need a closer examination, as currently it says they have Total Cash (mrq) of $150.08M & Total Debt (mrq) of $1.57B.
LXP’s beta is 0.69, meaning that they tend to move less aggressively than the broader market indexes.
LXP’s dividend yield is 3.06%, which looks relatively safe & stable as their payout ratio is 54.5%.
98% of LXP stock’s total share float is owned by institutional investors.
Lexington Corp. Properties Trust LXP Stock As A Short-Term Trade Using Options
Traders can use options to take advantage of LXP stock’s current momentum, while also hedging against more market volatility in the near-term.
I am looking at the contracts with the 2/18 expiration dates.
The $12.50 & $15 calls look appealing, with the latter having much more open interest.
The $15 puts also caught my eye, but overall there is not a lot of liquidity in their puts, with no open interest at the $17 or $20 strike prices.
Tying It All Together
All-in-all, there look to be many interesting attributes to LXP stock.
Investors will like their dividend yield, as well as their valuation metrics, but may be concerned about their balance sheet.
Traders will like their current volatility & momentum, as it presents many opportunities for profits using options.
LXP stock is worth taking a closer look at, regardless of your trading style & strategy.
Visa Inc. stock trades under the ticker V & has shown recent bullishness that traders & investors should take a closer look at.
V closed at $228/share at the end of trading on 1/28/2022.
Visa Inc. V Stock’s Technicals Broken Down
V Stock Price: $228.00
10 Day Moving Average: $210.92
50 Day Moving Average: $209.93
200 Day Moving Average: $224.58
RSI: 66.05
MACD: -0.527
Visa Inc. stock completed a bullish MACD crossover yesterday, while gapping up above all of its moving averages.
Yesterday’s gains came on higher than average trading volume, and it looks to show signs of continued strength in the near-term.
The next test of resistance is the $236-237 price level.
Visa Inc. V Stock As A Long-Term Investment
Investors may find V stock’s P/E(ttm) appealing at 36.57, although their P/B (mrq) is a bit rich at 12.97.
V stock saw 24.1% Quarterly Revenue Growth Y-o-Y, with 26.6% Quarterly Earnings Growth Y-o-Y.
Their balance sheet requires a closer examination, with Total Cash (mrq) of $15.92B & Total Debt (mrq) of $20.92B.
Visa Inc. stock offers a 0.49% dividend yield, which appears to be very safe at a 22% Payout Ratio.
96.96% of Visa stock’s share float is held by institutional investors.
Visa Inc. V Stock As A Short-Term Trade Using Options
Visa Inc.’s stock has options that traders can trade to take advantage of their price movement in either direction, while also hedging against volatility.
I am looking at the contracts with the 2/18 expiration date.
The $227.50 & $230 calls look interesting, although the in-the-money calls are a lot less liquid than the latter.
The $235 puts look appealing, and as V has weekly expirations, I expect to see more contracts written in the near-future to provide more open interest.
Tying It All Together
Overall, traders & investors should take a closer look at Visa Inc. stock.
Investors will find their valuation & balance sheet to be interesting, although they will need to examine a few things I outlined above more thoroughly before investing.
Traders will like their current momentum path, as well as their options’ liquidity as more contracts are written after weekly expirations.
V stock is worth taking a closer look at, regardless of your trading style.
