As the stock market continues to boom, many investors and traders are focusing on the latest advice and information available, neglecting to analyze monthly data on stocks and ETFs. At the end of each month, various scans are run to identify potential buy or sell signals, with monthly signals being deemed more reliable than daily or weekly signals. In May, Apple Inc. triggered a bullish doji buy signal, closing at $192.25 and potentially reaching $222 by July end.
As August comes to a close, no new monthly doji buy signals have been identified for stocks or ETFs. Additional scans based on the DTS methodology have highlighted interesting results, including a new monthly sell signal for Ford. Further analysis is conducted to identify potential buy candidates, focusing on stocks that have reached long-term support, positive volume and relative performance RS patterns, and trading above yearly pivot levels.
Tesla may not be among the top picks, closing the month around $231, well below its high of $271. American Tower Corp closed July above its downtrend from late 2021, with a close at $220.40 and supportive pivot levels. Both Pfizer and Gilead Sciences are trading below their yearly pivots, making them not top picks for August. United Healthcare has been strong in July, potentially closing above the yearly R1 resistance, with further targets in the $700 area.
Despite Johnson & Johnson closing above its yearly pivot, it shows a pattern of lower monthly highs, signaling potential weakness. Charter Communications is on the watch list for the month ahead, with strong gains in July putting it above the 20-week EMA. The stock market outlook is positive for the upcoming month, following powerful gains to close out the previous month. Analysis and scans will continue to be conducted to identify potential buy and sell signals in the stock market.
