FLS Setups Review: Riding the Stock Market Roller Coaster


This post is a review of the performance of the 10 Elite Stock Setups that were sent to Advanced Stock Reports subscribers on Friday, November 30, 2018. Each setup comes complete with annotated charts highlighting the advanced entry point and support level(s), as well as all of the necessary fundamental information.

It was another week of wild ups and downs for both the market and my recovery. We both received great news to start out the week, then the market stumbled figuratively while I actually fell for real on Tuesday.

After spending the rest of my week down in the dumps fearing that I might have damaged my surgically repaired Achilles tendon, I was bounced back on Friday after learning that everything was structurally sound…just incredibly sore. The market wasn’t quite so lucky.

The General Market

Since I have been comparing each of the stock setups to the overall market’s performance each week, I thought that it might make sense for us to take a quick look at what the Nasdaq Composite did this week before diving into our specific stock setups.

After gapping up above the 50-day moving average on good news Monday morning, the market began to sell off on Monday afternoon and didn’t look back for most of the week. Tuesday was an ugly down day leading into an off day on Wednesday.

On Thursday, the market gapped down and then tried to recover, but then it sold off again on Friday to close near the lows of the week.

Using the Nasdaq as our baseline, let’s take a look at how each of Adam’s ten elite stock setups held up this week.

Adobe Systems, Inc. – Triggered

ADBE followed the general market higher as it jumped up above Adams entry point on Monday morning, but then it also followed the market lower throughout the rest of that day and much of the rest of the week.

By the end of the week, ADBE lost both its 50-day and 200-day moving average lines and currently sits well below that entry point that it broke through on Monday morning.

Microsoft Corp. – Triggered

MSFT was right there with ADBE in starting the week by breaking above Adam’s entry point only to give back those gains and more throughout the rest of the week. Its daily bars were actually a bit bigger than ADBE’s, but it was able to hold above its 200-day line.

In this current environment, we aren’t going to see many stocks holding above their entry points, so any that are able to hold above key moving averages are naturally going to be the ones we look to for strength. And while we don’t want to be buying much of anything right now, that could change in a hurry and we want to be ready just in case it does.

Intuitive Surgical, Inc. – Triggered

ISRG was not quite as strong as ADBE or MSFT to start the week, but it did open up just above Adam’s entry point on Monday morning. It then followed the rest of the market down on Tuesday, back up a bit after gapping down on Thursday, and then down again on Friday.

After losing its 50-day moving average on Tuesday, ISRG was not able to recover it on Thursday. Then it closed right at its 200-day line on Friday, so that will be an area to watch for the stock moving forward.

Visa Inc. – Triggered

V was able to gap way up to trigger Adam’s entry point on Monday, and it was also able to hold onto those gains as the selling started on Monday afternoon. Then, after struggling with the rest of the market on Tuesday, it recovered better than the overall market on Thursday and didn’t fall quite as hard as other growth stocks on Friday.

The stock is currently sitting well below its entry point, but it is still above its 200-day moving average, which is a sign of relative strength in these difficult market conditions.

J.P. Morgon Chase & Co. – Did Not Trigger

One stock that did not hold up well at all this week was JPM, which failed to clear Adam’s entry point at its high point on Monday before losing both of its significant moving averages on Tuesday and tumbling again on Thursday and Friday.

PayPal Holdings, Inc. – Did Not Trigger

Out of the stocks that didn’t trigger Adam’s entry points this week, PYPL was definitely one of the stronger performers. It was one of the few stocks that closed higher than it opened on Monday, and then it showed a ton of strength during Thursday’s recovery.

The stock did lose its 50-day and 200-day moving averages on Friday, but it is sitting right below those two key lines and could challenge them to start the new week.

Walt Disney Co. – Did Not Trigger

DIS started out the week lagging behind the general market as its open on Monday was actually below where it opened the previous Friday. The stock then mirrored the market from there by falling on Tuesday, posting a mild recovery on Thursday, and falling again on Friday.

Despite showing that relative weakness on Monday, DIS currently sits well above its 200-day moving average and within striking distance of its 50-day line.

T-Mobile US, Inc. – Did Not Trigger

While DIS showed relative weakness on Monday, TMUS got downright embarrassed. Not only did the stock fail to challenge Adam’s entry point, it lost its 50-day moving average after working so hard to reclaim that key line last week.

TMUS spend the rest of its week mirroring the overall market, and it currently sits about halfway between its 50-day and 200-day moving averages.

Tesla Inc. – Triggered

One stock that was able to buck the trend of the general market this week was TSLA, which triggered Adam’s entry point on Monday and then continued higher on Tuesday and Thursday.

After a down day on Friday, it was still able to close above the entry point, which makes it the only stock on our list that was able to hold its entry point this week.

CME Group Inc. – Did Not Trigger

CME was another stock that didn’t just roll with the punches in the general market this week. It did not trigger Adam’s entry point, but it was able to post slight gains during difficult conditions on Tuesday and Thursday.

The stock also held firm above both of its key moving averages this week, which makes it one of the strongest on our list. It is also still in excellent position to take out the entry point if overall market conditions cooperate in the coming week.

With only half of our stocks triggering entry points, and only one of those able to hold above its entry point, this was not a good week for growth stocks. But we did see some stocks hold up better than others during turbulent times, and those are the stocks we want to be focused on when the overall market heads higher again.

Make sure you subscribe to Adam’s Finding Leading Stocks newsletter to get this weekend’s updated list of stock setups, as well as his FLS Playbook that breaks down what our model portfolio is going to be doing in the week ahead.


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