Stocks This Week: Buy Target And Cisco

Thus far, the S&P has fallen more than 2.5% in May and by 29 bp last week. Testing for both numbers, the following week has been down in 2 of 3 cases. The coming week is likely to be as lackluster as were the last two weeks.

Target
TGT
reports earnings. The weekly cycle will bottom as the announcement is made. Seven of the last nine buy signals have been successful. Wall Street is likely to respond with buying. The shares are likely to rally back to the $164 high. I would not hold the shares too long. Relative strength is weak and the monthly cycle is already falling. A sustained rally is unlikely.

Target Weekly Cycle

Target Daily Graph

Cisco also reports this week. The weekly cycle has already bottomed. Four of the last five signals have been profitable. The daily cycle bottoms on the 16^th, and the monthly cycle is already in ascending mode. The stock, like Target, is not very bullish technically. Thus, I would not retain the stock for too long. Price may rise to $48-$49.

Cisco Weekly Cycle

Cisco Daily Graph