Stocks quoted in this article:
Here are the stocks that saw a bias toward put activity in the previous session.
This filtered scan is based on the International Securities Exchange (ISE) buy-to-open data. It looks for stocks where the previous day's put volume on the ISE is at least twice as great as the call volume. It then sorts the stocks based on the put volume. Since this is buy-to-open data, this can be a good source for finding stocks where skepticism is emerging. Of particular interest to me would be situations where we see put activity on stocks that are still in intermediate-term uptrends. This would be a potentially encouraging sign from the contrarian perspective.
Companies included in today's scan results: PowerShares QQQ Trust (QQQQ), Johnson & Johnson (JNJ), KLA-Tencor Corp (KLAC), DIAMONDS Trust Series I (DIA), American International Group Inc (AIG), Texas Instruments Incorporated (TXN), Verizon Communications (VZ), Novellus Systems (NVLS), Randgold Resources (GOLD), Apollo Group (APOL), Las Vegas Sands Corp (LVS), Broadcom Corp (BRCM), Dillard's (DDS), Petroleo Brasileiro SA (PBR), Zions Bancorporation (ZION), Corinthian Colleges (COCO), Walt Disney (DIS), Altera Corp. (ALTR), TJX Companies (TJX), Cabot Oil & Gas (COG), Rockwood Holdings, Inc. (ROC), Pioneer Natural Resources (PXD), LDK Solar Co Ltd (LDK), Deere & Co (DE), Novo Nordisk A/S (NVO).
American International Group Inc, Las Vegas Sands Corp, Broadcom Corp, and LDK Solar Co Ltd are the situations that stood out to me. Here are the charts and levels I am watching -
- American International Group Inc daily chart - The stock recently broke support near 35 and is now testing secondary support near 28. The shares are relatively oversold but any bounce attempt will have to face the former support that now stands as resistance.
- Las Vegas Sands Corp daily chart - A short-term compression pattern is playing out as the equity sits well above longer-term support near 11. A series of lower highs is converging on higher lows. There is still a bit of room between these two patterns but something will have to break in the not-too-distance future.
- Broadcom Corp daily chart - The shares have bounced off support near 26 and are in a position to challenge resistance near 31. A push above that level would mark a new annual high.
- LDK Solar Co Ltd daily chart - The stock has succeeded in breaking the recent downtrend and is now challenging resistance near 9. A test of this overhead hurdle last week was followed by an immediate rejection but the bulls quickly stepped back in.