13 Stocks As Potential Trade With FOMC Meeting Announcement

The Pep Boys-Manny, Moe & Jack (PBY) is an automotive retail and service chain. The Company operates in the automotive aftermarket industry. It is engaged principally in the retail sale of automotive parts, tires and accessories, automotive repairs and maintenance and the installation of parts. PBY recently cut its quarterly dividend by 56% to 3 cents in a move to preserve capital and said its fourth-quarter revenue fell 10% as consumers delayed tire purchases amid a general reduction in spending. Even with this kind of crappy news the stock rallied to almost double in price. However it faces key resistance at $4.50, $5.00 and $5.25 going forward. This stock is in my watch-list for potential short entry once the selling begins.

Longtop Financial Technologies Limited (LFT) is a software developer and information technology services provider targeting the financial services industry in China. The Company develops and delivers a range of software solutions with a focus on meeting the IT needs of financial institutions in China. LFT is a crazy stock that has bulls and bears fighting each and every day. This provides huge price swing. The stock was below $19.00 in the morning, but late afternoon it rallied to close at $20.00. The buying volume was low, which is why I have not covered my shorts yet. Next critical resistances are $20.50 and $21.00. Anything above that price would be a breakout. Tomorrow should provide some clarity over who is in control of this stock, bulls or bears…

Whole Foods Market, Inc. (WFMI) owns and operates a chain of natural and organic foods supermarket. WFMI is not looked back alot, and is up 69% in the last month. That is quite an impressive return. However WFMI meets its first big test when it tries to break past the 200 dma. I believe this should provide some breather to the stock and possible opportunity to be a scalping short. However if WFMI breaks past the $16.00 it has the potential to runup till $17.00. (Trade Idea: Short $15.90 – $15.99 with stop loss $16.10 or above)

Big Lots, Inc. (BIG) through its wholly owned subsidiaries is a national broadline closeout retailer. BIG broke past its $20.00 easily and is now just below the $20.50 mark. With no other critical resistance till $23.00 this could be a dangerous short entry. The volume is surely fading away, but bulls have not given up yet. Keep watching.

Delek US Holdings, Inc. (DK) is a diversified energy business focused on petroleum refining, wholesale sales of refined products and retail marketing. The Company’s business consists of three operating segments: refining, marketing and retail. DK as mentioned in my earlier post has resistance at $10.00. If DK can break past this and stay above it, we will see fresh buy orders. If not, sellers should jump in. (Trade Idea: Short below $10.00 with stop loss at $10.10)

Ruby Tuesday, Inc. (RT) owns and operates the Ruby Tuesday concept in the higher end of the bar and grill segment of casual dining. The Company also offer franchises for the Ruby Tuesday concept in domestic and international markets. RT faces its key resistance at $2.00 and provides shorting opportunity below it. The stock has doubled recently and now looks overbought with RSI 72+.

BioScrip, Inc. (BIOS) is a specialty pharmaceutical healthcare organization that partners with patients, physicians, healthcare payors and pharmaceutical manufacturers to provide access to medications and management solutions. BIOS stock has put up huge spikes lately, recently breaking past $2.00 resistance. Next stop is $2.50 and then $2.85. As history shows, this stock has huge potential to run up. However every run up once reversed has been sold equally heavily. Be patient and dont be early to short it. Let the sellers take charge first, before taking a short position.

OpenTV Corp. (OPTV) is a provider of software solutions for digital and interactive television. The Company’s software enables cable, satellite, telecommunications, and digital terrestrial operators, referred to as network operators. It sells its software solutions principally to network operators and manufacturers of digital set-top boxes and also sells related software solutions to broadcasters, programmers and advertisers. OPTV is at a critical resistance level. As the charts indicate $1.40- $1.44 level has seen seller step in and sell heavily till $1.00 support. I expect same behavior to follow once again. If this goes red tomorrow I will take a short position with stop loss on the break of $1.50

Hibbett Sports, Inc., (HIBB), is an operator of sporting goods retail stores in small to mid-sized markets predominately in the Sunbelt, Mid-Atlantic and Midwest. HIBB recently posted flat net income in the fiscal fourth-quarter net as margins improved but same-store sales fell slightly. The stock has run up above the 200dma closing at $18.00.The key question is can it hold this level. Previous highs were $18.28 and $18.47 suggesting triple tops. Every-time when this stock has seen a reversal, it has given up sizable chunk.

Regal Entertainment Group (RGC) is the parent company of Regal Entertainment Holdings, Inc. (REH), which is the parent company of Regal Cinemas Corporation (Regal Cinemas) and its subsidiaries. RGC is a watch list stock at this point and NOT a potential short. RGC found resistance at 200 dma yesterday, but eventually broke past it today. It closed strong breaking past $12.50 resistance. This has potential to run up till $13.00 – $13.50 levels. Keep watching for now.

Star Scientific, Inc. (STSI) develops very low- tobacco-specific nitrosamines (TSNAs) dissolvable smokeless tobacco products that carry warnings, which includes ARIVA; compressed powdered tobacco cigalett pieces and STONEWALL Hard Snuff.  STSI is a watchlist stock and NOT a potential short yet. I even listed it yesterday as NOT a potential short. STSI has broken past every resistance level with good volume. Be patient and dont be the early short. Wait for the selling to take action to pull it down eventually.

The Men’s Wearhouse, Inc. (MW) is a specialty retailer of men’s suits, and a provider of tuxedo rental product and alteration services in the United States and Canada. As the chart indicates, MW has its key resistance at $15.25 – $15.50 level. Can it break past it ? (Trade Idea: Short below $15.25 with stop loss above $15.50)

Zoran Corporation (ZRAN) is a provider of digital solutions in the digital entertainment and digital imaging market. Zoran has developed high-performance digital audio and video, imaging applications and Connect Share Entertain technologies for the digital home. ZRAN as the chart suggest is sitting very close to a critical resistance. This could be traded either way, long on the breakout and short on the triple top.