Here’s a look at several holdings of IPO — plenty of stocks to buy. Now….get busy!
Discussed in this article: Renaissance Funds IPO ETF ( $IPO )
I want to look at IPO, Renaissance IPO, it’s an ETF and this is the cool thing, it actually fits the IPO strategy that I talk about. Here’s the enthusiasm high, what this is, is after an IPO is first released there’s going to be a certain amount of enthusiasm for buying the shares. At some point that’s going to peak out, here was like four days in, and then you get a big pullback. So you say, “Okay, where was this high?” Draw it across here, you can trade it down here, but that’s just not part of a strategy that I look at.
When the stock breaks to a new high then you say, “Okay, now everybody’s a winner here,” and you look for this level to be support. And it was support, all the way up until the time that it wasn’t. Well now, we’ve got a 50-day moving average that’s new support, and it’s not going to be too much longer, give it another week or so, maybe a little more, where the 50-day moving average is going to trickle up enough to where the 50-day moving average is coincident with this line, and so you’re going to get a real strong support level right around here.
Now, I was looking at the holdings of this, and some of them were pretty interesting. There’s also Facebook ( NASDAQ:FB ) and Twitter NYSE:TWTR in there, but I’m covering those in our Sector Spotlight for members where we’re looking at some of the social media stocks. We’ll get through some of the others here. If you don’t know which stocks to buy, just buy IPO, I think you’re going to make money, but let me go through a few with these holdings.
Okay, Workday ( NYSE:WDAY ), the stock works, period. It’s trading right up near resistance, this is a stock I think you can get long, buy a little more if it pulls back, but it’s working.
Realogy Holdings ( NYSE:RLGY ); a pullback, higher low, relative to this here, this was resistance here, now its support. I would look at this and say, “Okay, well it’s in kind of sideways consolidation, but this is an okay time to be buying this company, as long as you have a stop just a bit below there.
Splunk ( NASDAQ:SPLK ),nice stock, nice trend. Look at this, this is a thing a beauty, just be long. As long as this stock stays above the 50-day moving average you’re going to make money.
WhiteWave Food Company ( NYSE:WWAV ); support, right along there, there’s the channel, there’s a higher channel. This was the pull back to test support; you would keep a stop, say right below here, and just trust the trend. Trends are your friends all the way up until the time they’re your enemies, when all of a sudden you guys have a parting at the ways. I think this is a nice test for the enthusiasm for this stock, and I think it’s going to work.
ING U.S., VOYA ( NYSE:VOYA ); pulled back below the 50-day moving average, it’s a relatively new issue. Resistance here, broken through, support right now. This is a stock you can own, you’ve got to be patient with it, I wouldn’t really say it’s quote “trending” because the 50-day moving average is just moving sideways. But if you just use this as your reference, put a stop just below that level, it’s all-good.
Spirt Realty Capital ( NYSE:SRC ); as you can see this ING is a holding company for a bunch of different sectors, but there’s a volatility squeeze. Phase 1 breakout, phase 2 pull back, phase 3 a push to new highs. I think this is going to work just fine.
And then finally, Vantiv ( NYSE:VNTV ); nice move back to the 200-day moving average. This is what the long-term chart looks like. Again, a fairly new issue, it was issued less than two years ago and you can see a nice trend higher here as well.
So these stocks really work, but if you can’t figure out which one to buy, you wish you could buy a little bit of everything, just buy IPO. Again, you get Facebook ( NASDAQ:FB ) and Twitter ( NYSE:TWTR ) in there as well.