Short Trade Ideas in Retail

 

Interesting setup in JC Penny.  Multiple bottoms near 30 which would indicate strong support.  There is a descending triangle which could indicate a bounce or a break below support.  The 100 SMA is also on a collision course with the support line.  The 10 and 20 SMA are in a downtrend.  Entry strategy could include a short position below 29.90 with a stop market order, or just keep an eye on it.  The triangle appears to be 4 in length from the top to the base.  If there is a drop expect a turnaround at around 26.  A conservative play would be to exit at the 200 SMA.

Stock-Chart---JCP-2011-01-17

 

A little late to the game on Macys.  It gapped down and appears to be on its way to the 200 SMA and previous support at 22.  There may not be much room left in this one before it may see support again.

Stock-Chart---M-2011-01-17

 

Nordstrom is another one to keep an eye on.  It has been in a range and appears to be stuck below the 10,20, &50 SMA.  A move below current support could place it near 40 at previous support.  The 100 MA is upward trending and approaching 40 as well.  It could also break above 44 and continue upward.  Keep an eye on this one or set an alert.

Stock-Chart---JWN-2011-01-17

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