Wednesdayââ,¬â"¢s trading started off the holiday-shortened week with a fizzle rather than a bang, as the major averages took another trip lower.   The recent market gyrations are par for the course for summertime trading, but the near daily reversals have made it exceedingly challenging to spot opportunities. We have spent much of our time this past week observing the market rather than trying to capture moves.   In my experience, it is better to keep a trading account sidelined and wait for the opportunities to come to you than to expose equity to risk when the potential reward is limited because of thin or erratic price movement. That being said there are a few interesting setups for Thursday.

In Healthcare, Cigna Corp (CI) is in a low level Backdoor Slider above the 20 and 50 period simple moving averages and will be on our radar if the sector (HCX.X) can move above recent resistance.

Cigna Corp

Universal Health Services (UHS), another Healthcare (HCX.X) issue, is also setup in a Backdoor Slider pattern. This one is perched just below the 50 period simple moving average, and looks most interesting as a reversal play intraday.   We will watch for selling if the stock meets resistance at the average for possible short sale opportunities.

Universal Health Services

Earnings anticipations have Choicepoint Inc (CPS) in a Fast Ball move to the downside. The company reports on July 20, and the recent downward momentum reasserted itself on Wednesday. We will watch for continuation entry opportunities Thursday.

Choicepoint Inc.

Mohawk Industries Inc.(MHK) had a Fast Ball break lower out of a consolidation range on Wednesday and also looks to offer short side promise on Thursday.

Mohawk Industries Inc.

Finally, volatility in the oil market has refiner Murphy Oil Corp in a long side Fast Ball setup going into Thursdayââ,¬â"¢s session. This one had some predictable peak-to-trough swings on Wednesday, and will be on our watch list for breakout and pullback style entries.

Murphy Oil Corp

Adrian Manz is the author of Around The Horn: A Trader's Guide To Consistently Scoring In The Markets and is cofounder of TraderInsight.com. Email him at adrian@traderinsight.com.