This stock hasn’t staged a massive rally, but it has been climbing higher along a steadily rising support level; notice how SWN has managed to rebound off its 200-day moving average ( yellow line) on several occasions this year. With SWN currently trading near support, we feel that jumping into a long position here is attractive; traders can reap the benefits of a rally in the coming days while still closely managing their downside risk with a tight stop loss.
Spectra Energy Corp. (NYSE:SE)
Consider SE’s one-year daily performance chart below.
Click to Enlarge
This stock appears to be climbing higher along a fairly steeply sloping support level (blue line) since the start of 2013. Judging by SE’s ability to hold support above $33 a share over the past few weeks, we feel that this stock is poised to remain on an upward trajectory. In case the uptrend reverses, traders should utilize a stop loss at or below recent support around $33 a share.
Disclosure: No positions at time of writing
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