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Minyanville's T3 Morning Market Call: In a Market That's Hard to Chase, Look at the Value Menu

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Here, a look at a few value names that aren't always on short-term traders' radars, but have bullish patterns nonetheless.

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Three other value staples have seen very impressive price action, but might be a little bit harder to justify for new entries after recent runs.

Johnson & Johnson (NYSE:JNJ) continues on its quest for a new high without taking many breaks along the way. The stock looks strong as its accelerated uptrend remains intact. The 8- and 21-day moving averages could provide a nice gauge of composure for an uptrending stock like this.

Coca-Cola (NYSE:KO) also has an aggressive rally recently since it bounced off its 21-day moving average on March 18. It took a break yesterday as it ended 1.18% lower, but it could be a healthy pull-in for this high-performer to allow its key moving averages to catch up. As long as it holds above $39.90, we could see continuation to the upside.

Kellogg (NYSE:K) has been extremely impressive in a steady accelerated uptrend since July 2012. Kellogg has a strong chart and certainly doesn't give its investors many reasons to worry.

The financials have been a bit weaker over the last two weeks after leading the market for several months, and with European headlines coming back into the focus, I think they are definitely something to be wary of.

Goldman Sachs (NYSE:GS) in particular has been weak recently due to its sensitivity and exposure to Europe. The fact that the Fed rejected its capital plan also helped weigh on the stock recently. GS was boosted yesterday by news that Warren Buffett bought warrants, and the stock finished in green with 0.93%. It held current support of $144.70, and you could use this level as the new base to trade against, either as a stop on a long position or a trigger short, depending on your strategy.

Morgan Stanley (NYSE:MS) is also teetering on the edge of upper level support at $21.90. The longer we hold above this intermediate support, the higher chance we could see the stock get back in motion to the upside.

Bank of America (NYSE:BAC) has been perhaps the most impressive bank recent after the Fed approved $5 billion in share buy backs and a $5.5 billion redemption of preferred shares. Like the rest of the sector, through, BAC has been weakening a bit and lost the support of the 8-day MA on the pull back on Monday. It lost the 21-day yesterday, and the $12 level is the next key support to watch.

JPMorgan (NYSE:JPM) is the laggard of this group and has been in a downtrend since March 15. The bank dropped below its 50-day moving average yesterday, showing little buying interest. It's an avoid for now.

Citigroup (NYSE:C) has a descending channel in place since March 15 when it got rejected at $47.60 level. It already broke a key support level at $44.70 from prior highs, the next support level is sitting at the 50-day of $43.71.

Wells Fargo (NYSE:WFC) is the more risk-averse company in the banking sector, and thus it is not as sensitive to each headline out of Europe. Keeping with the value theme, WFC also pays a nice dividend and is part of Warren Buffett's Berkshire Hathaway (NYSE:BRK.A) portfolio. It's something worth watching as it is approaching its 21-day moving average where it could find some buyers.

Deutsche Bank (NYSE:DB) is a German bank that has shown weakness during the Cyprus bailout saga. It's simply important to note the technical damage here as a sign of caution.

The action remains very stock specific as the action dries up this week, but there has been some really impressive action in pockets across the market.

Visa (NYSE:V) has shown impressive strength of late. The stock first saw its breakout of the month-long range on Monday at $162, then got a further boost Tuesday when Nomura analysts reacted positively to reports that Visa may end up buying Visa Europe, which is currently run as a separate entity. V had nice follow-through yesterday and saw its third day up. However, Visa is pretty extended from its key moving averages at this point, and might be hard to buy until a rest and consolidation.

Facebook (NASDAQ:FB) had a nice "Red Dog reversal" at $25.03 yesterday when the stock gapped down and pulled back early before it reversed through Tuesday's low of $25.03 and went as high as $26.28. FB closed the day up 3.5%. This is a name that you could look for upside follow-though in during the next few sessions potentially.

Netflix (NASDAQ:NFLX) saw a nice bounce off its 8- and 21-day moving averages on Tuesday after positive comments from Pacific Crest, then the stock turned out to be a breakout failure on Wednesday when it got rejected at $197 resistance level from pivot highs. Could we see a further pullback? There is some support at the 8-day moving average at around $185.72, so keep an eye on that level.

OpenTable (NASDAQ:OPEN) is building a nice mid-level base. The longer it consolidates at these levels, the higher chances we could see a breakout above $63, so keep this stock on your radar.

Mercadolibre Inc (NASDAQ:MELI) also has a nice set-up as it's flagging nicely at upper levels. The stock looks poised for a potential break above $96.

Monsanto (NYSE:MON) showed impressive strength the last two days on the news that it had settled a major dispute with DuPont (NYSE:DD) a major competitor in the seed business. The two companies announced broad patent-licensing deal. Under the terms of the agreement, announced Tuesday, DuPont will pay Monsanto at least $1.75 billion over 10 years for the rights to technology for genetically engineered soybeans that are resistant to herbicides. MON saw a new high at $105.52 on Wednesday.

Ocwen Financial (NYSE:OCN) and the rest of the mortgage servicers have seen impressive bounce over the last three days. The stock took its 100-day moving average, and now has some resistance at the 50-day at around $39. A break and close above this could take us back to highs.

BlackBerry (NASDAQ:BBRY) released its fiscal fourth quarter earnings numbers today. The stock initially pushed about 3% higher after the numbers but has since weakened as we get closer to the open.



Disclosure: Minyanville Studios, a division of Minyanville Media, has a business relationship with BlackBerry.

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No positions in stocks mentioned.
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