 Okay, folks, welcome to Best Stock Trots for the new trading week. This is Bob Desmond and it is January the 16th, 2021. All right. So what we're going to talk about today are top five stocks for next week. All will be to the long side. Some may be surprised by me talking about the long side still. I'll tell you why in a moment. Those symbols will be EXC, WHR, FRT, FAS. And the last one is FNMFN. That used to be Fannie Mae, which is now an OTC stock. So we're also going to talk about how our week was last week. And to members, I have already posted the week ahead commensary, which is where we review the health of the overall markets using weekly monthly daily charts of last week's closing price action of not only the stock market, but the bond market, currencies, etc. And then, of course, we segway over and into our positions and the watch stocks I'm about to touch upon right now. I didn't go over Fannie Mae though. I forgot to do that one. So members, forgive me on that one. Again, it is posted in the members area, both here in the blog. You'll need to be logged into access or if you go into the members forum right there as well under member videos. So before we begin, let's segue over into our sponsor, our sponsor being Trendspider. We will be using their software for our analysis, scanning charts, automation, backtesting, monitoring, alerts, insights, analysis, don't settle for ordinary trading software. You really need to see how Trendspider's technical analysis software can make you a smarter and more efficient trader. Go to their website. Use the link below. Take the demonstration tour. They have a seven-day free trial offer. I believe in it so much that I include it in our silver and gold level memberships, Trendspider. It's a part of my business. Automate your grunt work. Speed up your analysis. Improve your accuracy. Reduce costly mistakes. Find winning chart setups and time your trades with precision. I'll show you how we do that using their alert system. So let's get started. All right, the first chart up is going to be EXC. Now I'm going to start with a monthly chart and you can see a multi-month consolidation and now after forming this W formation, here's your pivot point. Here's the right side. We are now beginning to break out. Yes, there is overhead supply above. I'll illustrate that with this resistance level here, 43.75. We're not far from there. But if we do break out above this resistance level, then the question becomes, where do we have resistance above? The beauty of Trendspider is all you need to do, click a button and there you have it. You have resistance above here at 45.82, then above that at 47.48. So there's no great rush to go jumping into EXC just yet unless of course it starts gapping up. Different story then. A monthly chart, very strong consolidation here. I think they're going to make a run at these resistance levels. Let's take the automated trend lines off, clean it up a bit. So what we're looking for here is a breakout above $44 per share and then ideally we start rallying up and through 46.18. That was the prior high. Let's overlay automated trend lines and now you can see Trendspider picked up that if you were longer this stock and you were using the automated trend lines, you knew there was resistance above you needed to either book profits or at least lighten up and certainly do not go buying into resistance. Now what I like here on Stokes, again this is a weekly chart, higher lows and what we're looking for next is a breakout above this resistance level. So EXC looking very good, daily timeframe, nice breakout on Friday but again we have resistance above and what you could do here on a daily chart if you want to know what that monthly resistance is, take the daily resistance levels off then overlay monthly here, click the button here and there you have it. There's your monthly resistance above in dashed line and solid line, daily resistance. So EXC looking very good, I want to know when we close above this resistance level, no sensitivity I would only care about it closing above it and we'll keep that active and we're good to go. And this is what I meant earlier when I said time your trades with precision and to automate your grunt work, wait let the alerts tell you, hey listen at the end of the day very close to the end of the day, the alert just fired off, it's telling me oh look at this, EXC is now poised to close above resistance, think about not having to stare at the screen all day long, this is the value of trend spider, again automate your grunt work, speed up your analysis, this took us what three minutes, WHR, now monthly chart WHR so far on the month really outstanding price action, we have a bullish key reversal bar, very powerful, I have a course below, free course, my five most powerful candlesticks, the bullish key reversal candlestick is one of my most favorite and there you have it so far in the month, the month is half over, anything can happen here, we can go higher, we can pull back so we don't know yet, this is not in the books, doesn't matter where we trade, intra period, in this case a monthly period what matters is where we close, but at current looking very strong. Now weekly chart we broke out last week, very nice, so the prior week we pulled back, retested support, it held last week, reversal bar and we moved up higher, the only thing that has me concerned and it had me concerned back here when we were first watching Whirlpool is that your weekly stokes are still declining, they're losing momentum, that certainly didn't cause any problems last week and the daily chart frankly is looking pretty good as well, so let's throw up some automated trend lines, so we broke out on Friday above resistance and we closed there, very good stuff, now what I want to know is this, do we get a continuation move higher above 190 spot to zero and or do we pull back and retest the sensitivity to be really low here, again we're timing our trade here, I don't care what it does until my alerts fire off, so 10 minute time frame, I want to see if we pull back on Whirlpool and retest what was resistance because it should now act as support and there we go, also I want to know are we seeing strength and how do we measure that strength, well we want to see where there are a lot of sellers right here 195 spot to zero, I want to know when we break through and yes we send out alerts when we buy, add or sell and I want to know if we are poised to close above resistance and again we'll keep that active for the week, the next stock we're watching actually it's a trust not a stock that we're watching for the new trading week is federal realty investment trust, it's a yielder and you can see here monthly time frame the macro view higher lows here, we're forming a W formation, we've already formed the left side here's your pivot point being the center right side forming higher lows on a monthly time frame this is a powerful setup Stokes hooking up, we have a double bottom setup on our Stokes monthly time frame, let's throw some trend lines up see what comes up, we have a lot of resistance way up here so we're not concerned with that you can see how the automated trend lines picked up on what was prior support, that's now going to act as resistance, weekly chart, now the weekly chart we broke out last week, let me illustrate, there you have it, so now this is normally what I'll do I want to know if we break out, again folks automate your grunt work and time your trades with precision, this is how you find winning chart setups and reduce costly mistakes, okay so we're good to go here five days we'll keep this active, let's make this a four hour candlestick, so our alert is set we're good to go, I also want to know if we pull back and retest the breakout point, we'll keep a little bit of sensitivity unlike the breakout 30 minute candlestick we'll use FRT, it's even got spell check, okay so we're good to go here, touch, bounce, set, okay so FRT looking rock solid here take note higher lows on your stokes, this is what you want to see, your price action is being validated by your momentum indicators, daily chart, now I want to show you the power of using the automated trend line functionality, click of a button and you can see exactly what happened that was significant on Friday here you go, click, we broke out, this was resistance this line in yellow green was resistance, we broke out on Friday should now act to support, FRT looking very good, we already have our alert set set it and forget it, the next shard up is going to be the FAS, this is a leveraged ETF putting you along with the banks, we sold our position here a few weeks ago, so while we made money because we bought it when nobody else wanted it, we made money, we didn't get out at the top but that's not our goal to get out at the top, we want to get out when it's smart, so we made profits real but now the question is with this sector now becoming in Fuego because of rising yields when do we reenter and I think that we are going to get a pullback here, the question is at what price point, so let's do some analysis, let's throw up the automated trend lines first, you can see that we just barely held the breakout last week but technically we still held it, so that is bullish, let's take the trend lines off, let's throw up the Fibonacci's, I really like the 60 to 55 preferably the 55 percent retracement mark, it's achievable, remember this is a leveraged ETF, very very volatile, not for the faint of heart, there are automated trend lines again, let's take the Fibs off, let's throw up a support level, we'll negotiate it, we'll put it right there, right between the 60 and 55 percent retracement mark, that would be 58.45, we'll create an alert there, this doesn't necessarily mean I'm going to go buying it, it means get ready for a potential bottom here and that's really all I'm doing is setting an alert to begin watching it more closely, I'll readjust my support and resistance levels when that fires off, if it fires off, perhaps we'll never make it back down there but that's highly improbable, so our alert is set, let's drill down to a daily chart, you can see that we broke support on Friday, here's our support level down here where we're looking to get long, it's not that far away, now what I will warn with FAS, seasonality, not that there's much of it, let's go back to as much data we have, 12 years of data, now over 12 years we're up about 54 percent, it gets better in February, then we drop off significantly in March, so just be aware of that and over the past five years, January has been a very good month, however February, March we've dropped off and closed up less than 50 percent of the time during the months of February and March, so just be aware, that's another tool in Trendspider that is very valuable, seasonality, you need to know your seasonality, trend lines, not much daily wise, we'll take the daily trend lines off, here is the break of support, so not much to do here, our alert is set, we'll wait for the pullback, hopefully that fires off and then we'll look to enter long FAS, let's bring up FNMFN, I'm not sure if this will get picked up by Trendspider, oh they do have it, look at that, learn a new thing every day with Trendspider because this is an OTC stock and I'm using the same exact version that our Gold Level members get, I use this, they offered me the Elite version because I do so much demonstrations, I said no, I want to use exactly what our Gold Level members get because I want to make sure they're getting value and I'm not using, like when you go to buy a new car, you have this beautiful car that you'd like to buy that's in the showroom, it's loaded with all the bells and whistles but that's the higher end class, you can only afford the basic car and that's not what we're going to do, what we're going to do is show you exactly what our members get with the actually Silver and Gold Level members, the only difference between Silver and Gold Level membership is that you get more alerts with the Gold Level membership, sorry I'm getting a long wind in here, all right, so let's flip this over to RSI rather than Stokes, before we leave Stokes, note how they're flatlined, they're like a coiled spring, now when you add on RSI here, you could see RSI is down at 18.68, very oversold on a daily time frame, now this is an extreme oversold stock, we need to see whether or not we have historical support below and you may be saying you know it's Fannie Mae, you have to have historical support below, no you don't because this used to be an NYSE traded stock until 2005, then after the agency, because this is a quasi-governmental agency, it was Pilferd, then it almost went bankrupt during the financial crisis, now it's an OTC stock, so what happened here monthly timeframe, very bearish setup, we broke support and in all probability we are going lower here, so we do have support going back to it was resistance back here in June of 16, we broke out, we tested, it was then support in June of 17, then several times after that, December of 17, September of 18, here we are yet again, if this breaks the stock is going a lot lower, this may hold as a short-term support level, but with these stokes rolling over, I'm not getting the warm and fuzzies about this stock, so I would not be a buyer of these shares as an investment, take note of how we bounced off of that support level last week, stokes are still very weak, all we're going to look to do here is look for a setup where I want to move this down even further, down here, I want to see if we pull back down to that support level, overshoot to the downside, then reverse to close up, okay so my alert set for our candlestick, I want to get alerted, as a reminder this is Fannie Mae and we'll keep this active for 10 days, possible short squeeze play, daily chart, we kind of already went over this, I don't want to touch it until it comes down to our price point, so members we may be buying Fannie Mae as soon as next Tuesday, so more to come here and with that folks please take a moment, use that link below, get 35% off of 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