Watching KO (Coca Cola) and PEP (Pepsi) for breakouts later this week. Value stocks haven't got a lot of love in the past 2 quarters, despite producing positive cash flows and looking healthy, despite the pandemic. Open a position at the bottom of the 2nd hour of the trading day when both of these stocks are typically trading at their daily low. If you only trade breakouts - stay tuned! Volume has been weak up until now, but the pressure is increasing for side-line cash to move into equities. There's certainly a strong price floor developing in both of these stocks.
Comment:
Nice ramp up in volume today. If this trend continues tomorrow (Friday - Aug 28), we could see some fireworks. Added more to my position @ 8:30am today. If volume is weak tomorrow, looking for another quick correction to the lower support of the ascending wedge. Target tomorrow is 48.59. If we breakout and hold, it could easily bump up to $51.