After a rocky start to the year, things are looking up for the market. All the major indices are trending higher, and stocks have erased big portions of their previous losses.
While things are definitely looking more upbeat than they were just a month ago, investors should not start to feel too comfortable with the market at this time. The same problems that weighed on the market in January exist today, and could easily result in more selling in the future.
Slowing growth in China, volatility in oil, and the strong dollar are all still major concerns.
A lot of investors that limited their risk earlier in the year are ready to jump back into the market at this time, but just because stocks are trending higher, and optimism has returned to the market, we still need to be careful when jumping back in.
One way to limit our risk with current purchases is to seek out stocks that have extremely bullish technicals. By isolating stocks that have strong technicals, we can partially insulate our trades from a potential sell off that could drive the overall market lower.
Each of the following stocks have technical trends that are simply too strong to ignore.