• Here is my technical analysis of the Action Alerts PLUS portfolio positions: 'The At-Risk.'

By Tim Collins

The last in the group are the toughest ones to judge. Some big scary teeth and sharp claws, but many are smiling and some even offering flowers. Scary monsters or just misunderstood? Only time will tell.

Action Alerts PLUS -- The At-Risk (Chart 1)

Source: StockCharts.com

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Apple (AAPL): Looks like it may hold the channel by the close today. As long as we don't cross over bearish on the moving average convergence/divergence or see momentum fall too much, this should be one of the names that moves into the bullish category soon. Support at $90 if things do break.

American Express (AXP): I might be a bit generous, as a move under $85.75 has this looking like a $78 stock. Relative strength back over 50 would help. Maybe this one is smiling, but be careful of the drool. This one looks hungry for bulls as a meal.

Bank of America (BAC): Much better than U.S. Bancorp (USB) at this point with relative strength offsetting the weak money flow. A close over $15.50 would do this one wonders. Under $14.75 and you can call me a buck lower, because I'm not interested until then.

Boardwalk Pipeline Partners (BWP): On the surface, this one looks like a great fill-the-gap candidate, but rising wedges are not bullish. Under $18.50 and we may see a fall back to $16. Relative strength needs to stay over 50. If I'm long, I have a very tight stop. If I'm on the sidelines, then maybe I'll take a gap-fill shot when we close over $20.

Action Alerts PLUS -- The At-Risk (Chart 2)

Source: StockCharts.com

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Eaton (ETN): Katy bar the door if this closes below the low this week. I only like this chart if you are buying with a very hard stop at $66.40. Resistance now at $70. The chart could easily be in the bearish group.

General Electric (GE): Support down to $24, but this is looking like a rounding top with the much lower $20s in front of it. Again, a buy with a very tight stop and a target of $27 could be justified, but just because you can justify it doesn't mean you should. Better to look elsewhere at the moment.

General Motors (GM): Better than some think with support at $33 and $32 and upside of $35.25 and $38, but price action and moving average convergence/divergence favor the bears. I would revisit in another week to see if we get a close over $34 and a small turn in sentiment.

Johnson & Johnson (JNJ): Very likely a bullish flag here. Any move over $102.50 catapults this into the bull camp. The money flow dip and crossover on the moving average convergence/divergence is the only thing keeping us in the at-risk camp. Upside on a breakout is $120, and downside is $94. I would simply wait for the breakout of the flag, then get long here, maybe even aggressively.

Action Alerts PLUS -- The At-Risk (Chart 3)

Source: StockCharts.com

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Oracle (ORCL): Possible head-and-shoulders, which puts $35 to 36 into play on a break under $39. Stock does have some support around $38 and relative strength is holding, but more likely to just do whatever the overall market is doing rather than outperforming.

PVH Corporation (PVH): Falling wedges often are bullish, so starting to look more bullish, but I would rather see a successful retest of $105. The potential gap-fill lower is a bit worrisome.

SunTrust Banks (STI): An "M" pattern, which is bearish. Under $36 and we could get clipped another 10% to 15% lower. Relative strength has already broken down. I would only have this on a short watch list and just avoid any long consideration. This one defines the words "at risk."

Stanley Black & Decker (SWK): Only here because of the megaphone pattern over the past four months, but not too bad. Overall $91 and hop on board for the ride to $100. Under $84 and look lower to $78. Avenues to play this one either way.

That wraps it up for me today. I will try to circle back around and get to the names I missed, but I enjoyed my day as always with the great folks who are active on the diary.

• Here is my technical analysis of the Action Alerts PLUS portfolio positions: 'The Bad.'

By Tim Collins

It is certainly impossible to nail every call, especially this year, but it is good to see there are about half as many stocks with bearish charts as bullish ones. These monsters are starting to look more like zombies, as there is little life in the charts.

Action Alerts PLUS -- The Bad (Chart 1)

Source: StockCharts.com

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Boeing (BA): A very bad break of the consolidation channel could set up a retest of the $105 level. The relative strength index is acting as a leading indicator.

Ensco (ESV): The stock hasn't lost support yet, but a bearish break on the relative strength and crossover on the moving average convergence/divergence put us at risk. If you are buying the channel, get a stop at $47.

UPS (UPS): I guess we could argue a buy here with a stop at $92.50 and that's not a bad risk-reward, but the relative strength and moving average convergence/divergence really have me concerned that we could be heading into the $80s.

U.S. Bancorp (USB): Under $40.50 and you need to look elsewhere in the regional bank sector. Relative strength is sub 50, and this worries me. Without a bounce, I'm not a buyer until $37.50.

Action Alerts PLUS -- The Bad (Chart 2)

Source: StockCharts.com

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United Technologies (UTX): Maybe the best of the group with some support, but I'm much more interested at $95. That weak action in the money flow index is really a big yellow flag.

Vale (VALE) - In jail until it is over $15 or retesting the $12.20 to12.50 area. There is hope with the strong relative strength channel and decent moving average convergence/divergence, but it carries price challenges.

Xilinx (XLNX): Do you really need me to spell out everything wrong with this one? Back over $42 and it has some life. More interested on a successful retest of $39.

• Here is my technical analysis of the Action Alerts PLUS portfolio positions: 'The Good.' 

By Tim Collins

Jim Cramer and Stephanie Link do a great job breaking out the fundamental reasons behind the Action Alerts PLUS portfolio. I thought it might be a bit different to look at the technical side of the portfolio. It is a longer-term concept, so I am looking only at the weekly charts here to stay in tune with the longer-term portfolio thesis. I'm going to break the portfolio into three groups: "The Good," "The Bad" and "The At-Risk."

Let's start with the good, which is a pretty healthy list. One or two sentences on each, then boom, on the next! Kapow!

Action Alerts PLUS -- The Good (Chart 1)

Source: StockCharts.com

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Anadarko Petroleum (APC): Could be a big mover if price breaks out of this wedge to the upside. Support is at $105, then $97, and the upside target is $125. Watch the moving average convergence/divergence and money flow for breakdowns, though.

Cigna (CI): Possible inverse head-and-shoulders, so a close over $97.50 opens up some huge upside. Under $85 and I would get very worried, so watch for the bearish moving average convergence/divergence crossover and money flow going back under 80 for too long.

Costco (COST): A nice price breakout from a channel, setting up a retest of $125 soon. With a strong uptrend in the relative strength, we could have new highs soon.

Dow Chemical (DOW): A consolidation pullback after a huge run higher. Small concern with the money flow, but the bullish case holds above $48.

Action Alerts PLUS -- The Good (Chart 2)

Source: StockCharts.com

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Facebook (FB): Great cup-and-handle pattern. If we take out $77 on the upside, then a $95 to 100 target over the next six to nine months is in play. Support at $68 and $65. I would not be long under $65.

Freeport-McMoRan Copper & Gold (FCX): This one has to hold $35.50 and the 50 mark on the relative strength, or else it moves into bearish territory. Keep an eye on gold and copper, as a rollover in those will surely have an impact. Over $39 and a move to $45 looks like the play.

Google (GOOGL): Very clear wedge here, so a break over $605 could also trigger the inverse head-and-shoulders pattern with a $700 target. Moving average convergence/divergence is a bit concerning, though, and a close under $560 invalidates all bullish arguments, bringing $510 into play.

Goldman Sachs (GS): A similar but stronger wedge than Google. This looks great over $180 and worth a buy over $177.50. If I owned at current levels, however, I would not be selling. Relative strength is moving in stride with price.

Action Alerts PLUS -- The Good (Chart 3)

Source: StockCharts.com

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Lear (LEA): One of the strongest price charts. A strong channel with support at $92 and $85. Under $85 will probably leave us trading back and forth between $80 and $85. Stock should test $103 at least. Probably the top chart in the group.

Microsoft (MSFT): The stock must hold this price channel, or it becomes more neutral. Watch the double-dip below 80 in the money flow as that is a yellow flag. Would be an aggressive buyer at $38 and $40, but over $42, it is a no man's land and I would be on the sidelines.

Occidental Petroleum (OXY): Another very strong chart with major support around $96, then again at $92.50. This looks like a buy between $96 and $100 with the goal of selling some into the top of the channel.

Starbucks (SBUX): Fantastic "W" pattern, but we need to get over $80. A few weeks above $80 paints this with a 12-month target of $100. The risk is that support is a bit thin under $76, and I would step aside or hedge all the way to $68.

• The quick and dirty on Gilead Sciences.

By Tim Collins

Gilead Sciences (GILD) is a name I know both Jim Cramer and Bob Lang really like. I've moved away from biotech in the public space to focus on private names recently, but still like to take a look upon them.

The daily chart on Gilead has two thorns currently in its side: the false breakout from two weeks ago and the falling CCI. The lower high in the MFI and RSI are a mild concern here, but they may be more a sign of consolidation than a bearish turn. If I see Gilead below the 21-day simple moving average, it will be a big yellow flag. If price closes under the lower Bollinger band and under the 21-day moving average, then the growl you hear will be a monster as well and not just a lunchtime empty stomach.

Gilead Sciences (GILD) -- Daily

Source: StockCharts.com

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The weekly chart is much more bullish, which means if you are thinking Gilead, then a longer-term bullish view may help you sleep a bit better. There is a very apparent cup-and-handle pattern here, which targets $101.50. And on the surface, everything seems perfect as we have a bullish channel breakout off the handle (flag) along with strong MFI, RSI and CCI. Your only caveat here is the depth of that cup. It was greater than what I would like to see. Still, it is hard to argue with the reaction to the pattern, so I need to give it respect. Watch the channel, but as long as we stay in the channel, expect this to be a triple-digit stock before the end of September.

Gilead Sciences (GILD) -- Weekly

Source: StockCharts.com

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• We consolidate in a channel.

By Tim Collins

You think LinkedIn's (LNKD) triple-digit P/E is insane? I do. But would I short it yet based on the charts? Nope. Fundies? I think the argument makes sense, but a lot of the bulls behind social media names and the new wave of the future argue against traditional valuation. Right now, they are winning when it comes to stock prices.

While these new metrics hardly seem to take hold and last forever, they can last much longer than skeptics believe they should.

The daily chart is hitting a $205 target left from the last rounding bottom and flag pattern.

LinkedIn (LNKD)

Source: StockCharts.com

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Now we are seeing some consolidation while the stock works off a bit of the overbought condition on every indicator on the chart. The earnings pop helped pushed these levels of course. So now, we consolidate in a channel.

Ideally, I want to see a test of $195. A break below and I would look to play the gap fill back to $187.50, but this chart almost seems to have $250 in mind. The channel is far too tight to walk all the way up to $250. With resistance, buying at this level only gives you a $210 target while shorting only gives a $203 target. There are channels worth avoiding, and this is a perfect example.

A close under $203 and a trader either looks to short to $195, where s/he covers, since I anticipate the stock would bounce from that level rather than fill the gap, or s/he buys consecutive closes above the channel.

While there may be nothing immediate to do today, this one is setting up for traders in the next few day.

• Don't get excited with bottom calling in the name just yet.

By Tim Collins

Trying to clear those scary monsters out from under the bed, we'll turn our attention to Ocwen Financial (OCN). I know Doug has done some great follow-up on the fundamental happenings with both this one and Monitise (MONIF), so I'm just sticking with the monsters under the bed while I'll let him check the closets for skeletons.

While Ocwen is bouncing today, it is important to note the extreme oversold readings currently in place. The money flow index sits just above 4. This doesn't go below 0. It simply can't get much lower. The relative strength index just hit 12 the other day. Again, this isn't far from zero.

A bounce isn't a surprise, but we are only talking 2% after a 40% drop. Don't get excited with bottom calling just yet.

We've see similar oversold readings twice this year already.

Ocwen (OCN) -- Daily

Source: StockCharts.com

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Second spoiler alert of the day: That isn't a particularly good sign.

Unfortunately, the current drop resembles the late-January drop more than the May drop. The reason this matters is the May drop reversed and saw a recovery. The January drop bottomed 25% lower, which would be around $20 a share.

Neither was a buy until relative strength went above 30 and money flow over 20. Those would be my keys to look for a long trade. I'm guessing it would come around $27.50-$28, but I'll give up $2 higher to miss $6 lower.

There is hope on the weekly chart as we have some bullish divergences on the money flow and relative strength indices, but the 200-day moving average at $27.77 may become resistance.

Ocwen (OCN) -- Weekly

Source: StockCharts.com

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Above that, which likely ties well to the theoretical bullish entry on the daily chart, makes a ton of sense. Then I would look for a trading range of $28 to $33.

In the end, if you are buying Ocwen at current levels, it better be as a fundamental buy, because buying now is like teasing the monster by hanging your foot off the side of the bed while you sleep.

• The daily and weekly charts look bearish to me.

By Tim Collins

Neckline on the PowerShares QQQ (QQQ)? Absolutely. I agree with the observation. And the target of $91? Right again.

QQQ Daily

Source: StockCharts.com

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There is more on the daily chart than just price to accept a bearish tilt to the Nasdaq 100 though. The relative strength index is under 50 and firmly in a downward channel. Money flow is also breaking down, and the commodity channel index is under 100.

If you want to be long QQQ, at least you won't be risking much since you should have your stop at $93.85, which is where I would go short with a target of $91 and a stop of $95.10. Great daily chart to trade.

The weekly isn't quite as bearish from a longer-term perspective, but it still looks like a pullback is in the cards.

QQQ Weekly

Source: StockCharts.com

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There is support around $93.50, but it isn't strong. It looks more like a pause point. Ultimate downside looks like $89.40, the 34-week simple moving average, but we show all the same signs as the March through May pullback then reversal higher. Based on the same move, the downside target is $89.53. It isn't a coincidence. The weekly chart says stay away from the bull side until we see relative strength back over 70, the commodity channel index over 100 and money flow over 80 with price over $93.50.

Otherwise, I'm leaning and looking lower.

• Go on. Take a peek.

By Tim Collins

There is a difference between long-term investments and dead money. In truth, many will confuse them often. It's easy to do, but believe me when I say that it is an expensive mistake to make. While dead money may rise from the grave and have some value one day, the opportunity costs missed along the way are something that cannot be recovered.

Monitise (MONIF) looks pretty dead to me. Sure, there is still a pulse, but this thing is a vegetable for the time being. Comatose and too painful for me from a technical side. It took out my stop, and I took the loss on it. A decent bounce never developed for me. Even the return trip to $0.80, which gave me a glimmer of hope, did not last.

So, where do we stand technically? Is there any hope?

Monitise (MONIF) -- Daily

Source: StockCharts.com

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The hope for the long lies in the bullish divergences in the money flow and relative strength indices. They may both be putting in higher lows here, but relative strength is tricky because it has lost a trend line higher while putting in that lower low. A wash to me.

Price action is a disaster. Unless this gets above $0.73, the upside is tough. I won't be interested until we sniff $0.60, or maybe less, but a close over $0.73 may set this up for a long side trade (i.e., a three- to five-day buy, then look to sell around $0.80.

And that 200-day moving average is now nothing more than the Death Star. It's a fantasy many would like to see come true, but price is so far from the realm of reality, it's just a dream for a long time to come.

Spoiler alert: Bulls hoping that I could find something for them in the weekly chart are going to be disappointed. It took only about two months to give away many of the gains seen over 10 months. That may not be the best example of risk happening fast, but certainly a great example of the stairs going up and the elevator on the way down.

Monitise (MONIF) -- Weekly

Source: StockCharts.com

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We see very similar levels on the weekly, but notice the very horizontal support lines across the chart. Levels of support and resistance are clear. To protect the women and children, I left the downside support level off because it looks ugly, but I can tell you that it looks to be about a dime below the current price. It may not sound like much, but when you take into consideration this is a $0.68 stock, that's gonna leave a mark.

The commodity channel index divergence isn't really bullish. We are still under -100, which tells us that either we just had an extreme move or that a new trend is firmly in place. I'd lean a bit more toward the extreme move because of the candle there to start July, but that doesn't mean I believe that we are headed higher.

If we see the money flow under 20 and relative strength sub 25, we should get a little relief bounce, but the best case scenario looks like a return into the $0.70 to $0.83 channel. I wouldn't hesitate to sell $0.80 to $0.83 if we see it in the next six months. I have no interest in the weekly chart until we see some signs of a bottom. It's not there right now.

Today might be one of those days to make the tough calls. To face the reality we so often try to push under the covers or hide under the bed. There are sometimes monsters under the bed, but we don't know if we don't look. Go on. Take a peek.

• Time to put that 'End Is Near' placard back in the closet with the doomsday kit.

By Tim Collins

Normally, I tell most traders who don't trade the futures not to worry too much about the overnight.

But not today.

Last night looked grim. I penned this morning's opener right around midnight and the futures were not pretty, but they've reversed quite nicely as they do sometimes. Folks carrying the "End Is Near" placards were forced to put them back into the closet with their doomsday kit.

Economic data are fairly slim this morning, as we have wholesale inventories out in about two hours while unit labor costs were lower than expected and productivity better than expected. Good numbers and good news are needed at the moment. We'll sashay from times where good news is bad and bad news is good, but when things do get tense in the world, a little economic good news might help some folks catch their breath. They can stop screaming about the end of the world to try and focus on what matters in the world and to the markets.

Back to those pesky futures. I'm going to save myself some time and point folks in the right direction. Simply, go read Bob Byrne's levels. They've been spot-on for most of this week, and anyone who has seen the action on an intraday basis this week knows that feat has been pretty darn difficult. Whether you get volume profiling or not, taking five minutes before the market opens to read this will help.

Do it. Now.

I'll still be here when you get done.

• Put the current market movement into perspective.

By Tim Collins

Some days you just have to look past. Some days are just days. And some days are ugly. But there will be other days, other days beyond today. This is the day, or better, the week where if you lost sleep, then you simply need to learn from it, survive and move on.

When you start talking about invasions and air strikes, you start realizing there are more things important than a bad day or a bad week in the markets.

There are always bulls markets and bear markets. There is always a place in the market where an opportunity is happening fast and risk happening even faster. These are the situations in which you can realize what it is that influences your trading.

Where do you fit?

If you are a long-term or deep-value guy, then this current market movement should have little impact on you other than present you with a possible buying opportunity. If you are an intraday scalper, then this type of market will present you with the opportunity to make or lose a lot of money very fast. And if you are a swing trader, then your ability to adjust away from a very long established trend (in this case higher) may be the key to your survival.

Everyone should be about ready to learn risk management once again. For those around in 2007-2009 or back through 2000, this is old hat. It may bring back some tough memories, but these are likely the traders who have hated this bull market every day for the past several years.

If you are relatively new to this game, then I don't think it would hurt to track down some folks who have been trading this market for the better part of 10 or 15 years just to get a little perspective.