Swing trading is a strategy in which stocks are bought for expected gains in a period of weeks to months, and a leader in this area is Melvin Pasternak.

The editor of Swing Trader says that in the current market environment, his intention is to "go long on stock with positive earnings surprises and strong technicals." One candidate that meets this criteria is Boeing Co. (NYSE: BA).

The advisor explains, "Wall Street had estimated BA would earn $1.16 per share on $16.2 billion in sales. Instead, the aircraft giant made $1.35 per share on $17 billion in revenues. When results were announced, the shares were trading near $104; they subsequently gapped up to near $108."

Pasternak continues, "Although BA was not able to hold its gain given the massive overall market selling pressure, it finished virtually unchanged during last week's decline. In so doing, its relative strength soared. When the market stabilizes, it should be one of the leaders of a recovery rally."

Technically, he states, "BA remains well above its 10-week moving average. It is also above the upward-sloping 30-week, the signature of a stage II advance. Technically, the ADX and MACD remain on strong buy signals."

The technician concludes. "Although the stock has been overbought on measures such as stochastics and RSI for some time, it has been able to continue its advance. I think BA can trade much higher and have set a target of $119.95. I would exit the position if it breaks a mid-June low of $93.58."

Each day, Steven Halpern's TheStockAdvisors.com features the latest investment ideas and market commentary from the financial newsletter community.