Hey Traders!
I’m back from vacation and ready to locate some setups.
Whenever I come back from a break, I have a regular process I do to identify spots to focus on. It goes something like this…
- Start with the major indexes (Nasdaq, S&P) and the Magnificent 7 stocks (Apple, Microsoft, Alphabet, Amazon, Nvidia, Meta, and Tesla) on the daily and weekly timeframes. Identify trends, squeezes, overbought/oversold levels, and entry points.
- Identify upcoming news-related events, such as Fed meetings, earnings announcements, incoming data, etc.
- Create an earnings watchlist with tickers in the pre-earnings time frame known as the Hot Zone and an earnings calendar that lists companies reporting.
- Run scans to identify additional squeezes, big pre-earnings movers, and more.
Below, you will find the results of my favorite scan, which I like to run during earnings season. And we are just now entering prime time for those pre-earnings runs. This scan identifies tickers in their Hot Zone, meaning within 21 bars of earnings, and has demonstrated a statistical edge pre-earnings in the last four quarters. Generally, I look for an average move of about 4% or higher during this time frame; the higher, the better.
The addition of a daily squeeze is even better because that means that not only do you have a ticker that has made a big move, on average, over the last four quarters pre-earnings, but you also have a ticker that is consolidating and likely to break out in the direction of the trend. If I can time a combination of both before earnings, that is my favorite bullish entry.
Check out the list below!
Are you eyeing any of these tickers before earnings? Let me know in the comments below my post!
P.S. Want to check out my Earnings Hot Zone, scans, and more? Click here to learn more!
