The Olympics in Paris is coming to an end.
Moments of camaraderie, unity, and sportsmanship were on full display.
It’s no easy feat to qualify for the world’s largest and most demanding sporting event, let alone win medals.
Well done, athletes!
The world of sports draws parallels to trading the stock market.
You’ll need time and effort to understand the stock market, prepare for your trades, and seize the moment when the opportunity arises.
In addition, discipline is a crucial ingredient.
A seemingly slight deviation from the routine and plan can cause your results to differ wildly.
Given the market conditions, it pays to focus on defensive stocks.
But before I share about this week’s stock pick, let’s review last week’s: PPL (PPL).
Review Of Last Week’s Pick Of The Week
PPL (PPL) was our #PowerStocks pick last week.
It’s in the Utilities sector, and has been holding up well against the sudden drop in the overall US stock market.
We’ve identified a key price level at ~$29.35, and its share price has yet to return to this price area.
However, its share price could be pulling back, and this critical price area could be tested soon. I patiently await this before buying its shares for an explosive swing trade.
I’ve also shared the price area PPL’s shares could rise for a 6% gain in my Telegram Channel.
Please note that my team and I WILL NEVER solicit for any investment.
A list of our official communication channels can be found here.
What’s the swing trading opportunity that I see emerging?
Let’s find out together.
Why Is Swing Trading WEC Energy (WEC) Worth It?
Source: wecenergygroup.com
Like PPL, WEC Energy belongs to the Utilities sector.
Thus, its shares are defensive.
The sudden drop in the global stock markets has sent money fleeing from growth stocks, and into defensive stocks.
This influx of investment has sent its share price up, beating the performance of the S&P 500.
As with any rise, there’s always a pullback.
A pullback is happening, indicating that an explosive swing trading opportunity could be near.
What’s the game plan?
Continue reading to get the details.
P.S. What if I told you that you could drastically gain control over your emotions of fear and greed, and master the stock market in a short amount of time?
My team and I have worked tirelessly to help you achieve results fast.
Click on the banner below to claim your stock course for free (limited time) now!
Performance Of US Stock Market vs WEC Energy (WEC)
The comparison chart above tells us 2 critical pieces of information – the trend of WEC Energy’s share price, and its relative performance against the S&P 500.
Can you tell that the share price of WEC Energy has been in a spectacular uptrend since the start of July 2024?
In an uptrend, you’ll want to look for buying opportunities.
Furthermore, did you notice that as the share price of WEC Energy trends higher, the S&P 500 trended lower?
This strong showing by WEC Energy’s shares has caused it to outperform the lackluster S&P 500.
At this juncture, its shares look great for a swing trading opportunity and deserve to be analyzed further.
How Explosive Is WEC Energy (WEC)?
I’m sure you want your hard-earned money to be working hard for you.
Hence, it’s important to select a stock with the ability to propel higher in a short amount of time.
Do the shares of WEC Energy fit this criteria?
WEC Energy enjoys a huge market capitalization of more than $27b, and belongs in the defensive sector of Utilities.
With this understanding, the magnitude of its upmoves, measuring between 4.2% and 13%, is fantastic!
I see you are entering a buy order on your broker’s platform.
Hang on!
Is it time to buy its shares for an explosive swing trade?
Key Price Levels
Let’s uncover its key price levels (aka support and resistance) to answer that question.
Did you also uncover a support area around $87 and another around $85?
At these price areas, the share price of WEC Energy tends to be supported.
I think that its share price could continue to pull back and dip slightly between $85 and $87 before rising explosively.
Hence, I have my eyes set on its shares entering the area between $85 and $87 this week before buying them for an explosive swing trade.
What about you?
Lastly, here’s a pro tip: Instead of staring at your screen, you may want to set a price alert on your broker’s platform to be notified so that you can spend precious time with your loved ones.
Finally, this is for educational purposes. Please perform your due diligence.
All images are taken from pexels.com, pixabay.com, sectorspdrs.com, tradingview.com, and unsplash.com, unless otherwise mentioned.
Claim Your Free (Limited Time) Stock Course Right Now:
The stock market is full of traps laid out by professional traders.
Many new traders are often left confused by conflicting signs and signals.
Worse still, ~80% of traders lose money.
This is because trading isn’t just about skill alone.
It includes the mastery of your emotions.
But what if I told you that you could quickly gain control over your emotions of fear and greed and master the stock market?
My team and I have worked tirelessly to help you achieve results fast.
Click on the banner below to claim your stock course for free (limited time) now!
