Futures Higher – Several Stocks Looked Poised to BreakOut

After a couple of rough days, futures are higher this morning as of 8 AM.

Most global stock markets are also rising with many key indexes in Europe up by about +1%.

The big news “in the real world” is that Apple (AAPL) reported after the close yesterday, and shares were up +3% premarket. It will be Facebook’s (FB) turn this afternoon.

Also, the Fed will release a statement at 2:00 PM ET and is expected to say it continues to see several interest rate increases this year but will take no further action.

Although the attention has shifted of late from the Fed’s monetary policy more to the government’s fiscal policy such as Trump’s tax cuts, infrastructure programs, and trade policy, investors would like to see a little reassurance from the Fed on the economy, as well.

More importantly…

Of the 9 buyable breakouts we had last week 5 are feeling the pressure of the broader market pullback this week as they are experiencing some technical weakness.

Meanwhile, these 4 – IRMRVL, ASGN, and AGX have decent technical action relative to the environment.

The 9 Stocks which properly confirmed a BUY Signal last week are…Continue Reading

Futures Dipping as BreakOuts Hold Up

After a rather sharp sell-off yesterday, futures are dipping a bit this morning as of 5:30 AM.

As seen on the chart of the Dow – the index fell below initial support of the previous highs.

In the event of a continued pullback, the next level of support is at the previous lows and the near-coinciding 50-day moving average, currently at 19649.

We have several companies reporting earnings (none of them ours) before the open such as; ExxonMobil (XOM), Mastercard (MA), Aetna (AET), Under Armour (UA), Sprint (S) and UPS (UPS).

Also of note, the U.S. Federal Reserve will kick off a two-day meeting to discuss interest rates and monetary policy, today.

Yesterday morning I said the focus will be on our recent breakouts, and it was.

I sent out a complete update before the open on all 9 of the BUYS we had last week, and another update at 3:15 PM.

All-in-all, these stocks held up rather well, especially with the Dow being down -200 midday, and then closing down -122.

Days like yesterday are the days where we see which of our holdings are showing strength/resilience versus which are showing weakness/breaking support.

Let’s take a look at how our 9 latest BUYS closed on Monday.Continue Reading

Dow Futures Lower – All Last Week’s BUYS Updated

After a couple of quiet weeks on Wall Street, the rally got back into gear last week, and in a big way.

The Dow Jones finally cleared the historic 20,000 point hurdle and all the major averages posted new all-time highs by mid-week.

Even with the release of a disappointing GDP report on Friday which came in below expectations, the market’s recent upward bias remained intact, and the major indexes finished higher for the week.

The Nasdaq distribution count is at 5 and the S&P is currently at 4, as the market’s official status continues to be – uptrend.

Notably this morning, the Dow looks like it might give up the 20k level as futures are pointing to a weak open for the famed index.

The market will have plenty to key off of this coming week including the FOMC’s two-day meeting which starts on Tuesday. Also, there are numerous economic reports due out, along with individual companies reporting their Q4 results.

This week we will hear from a fifth of the S&P 500 index, plus five Dow components.

Among those will be tech-heavyweights – Apple Inc. (AAPL) on Tuesday and Facebook Inc. (FB) on Wednesday, then Amazon.com Inc. (AMZN), will report on Thursday.

A little closer to home, we had 19 breakouts in just 3 sessions last week…Continue Reading

A Very Exciting Week Looks to be Ending Rather Quietly

It’s a relatively quiet day in the market, especially compared to the previous three sessions where we had 19 breakouts.

We have no new buys today as of 3:00 PM.

As noted in this morning’s report, I was watching for CLS to give us a possible entry as the company announced earnings after the close yesterday. Shares are up +11% today, yet the stock did not give a chance to prudently get in.

Other TrendLine BreakOuts with noteworthy action today include…

WTS with some nice above average volume (+30%) gains today (+2.3%).

Chart courtesy of stockcharts.com – Click chart to enlarge.

Management at TCB announced earnings this morning, before the open and shares opened with a gap lower as the results did not meet Wall Street expectations. We currently sit with +16% gains.

Our VMW reported earnings yesterday after the close, and shares opened this morning with a gap up as they beat street 4Q forecast.

After some nice above average volume (+67%) gains (+1.8%) yesterday to a new multi-year highs, shares of PACW are pulling back today, yet volume is well below average.

That ANGO is still not making any positive progress. The market has been rallying this week, and this stock did not participate.

Shares of ASGN are selling off today with some rather sharp declines of -4% with above average volume. This is a concern, and we now need to see how the stock behaves if it meets support of the 50-day moving average ($43.70).

A recent breakout, MRVL had a bit of a negitive reversal yesterday. Today, shares are sitting tight this afternoon.

After selling off yesterday -2% on above average volume, MPWR is making some gains today, yet volume lacks necessary conviction to negate that weakness.

Finally, RTN is still experiencing some earnings volatility.

As regular reader know, early each market morning I diligently screen through hundreds of high EPS and RS ranked stocks that have solid fundamentals.

I am looking for those select few that are setting up in bullish technical bases and which looked poised to breakout that day.

The buy candidates that I find are then assigned their own specific trading criteria such as a Trigger Price and Max Buy Price and then each is listed in our – Stock WatchList: Morning Update and emailed out to subscribers, before the market opens for trading.

You can now receive a free copy of my Stock WatchList: Morning Update report – a concise watch list of high EPS and RS ranked stocks right in your email inbox.

LEARN MORE HERE

 

Any questions or concerns, please email me at james@jamestaulman.com.

 


 

Futures Steady – Watching TCBI and CLS for a Possible Entry

Happy Friday.

The major averages hit new records again on Thursday, but not all the indexes were able to hold onto their gains.

The Dow finished the day at its highest ever closing level.

However, the Nasdaq and the S&P 500 both closed with very slight losses. The distribution count for each is now at 5 and 4, respectively, which is lower than where they were last week.

This morning futures are currently holding steady. European markets are mostly declining in early trading. Most Asian markets ended the day with small gains.

Our GDP report was released at 8:30 AM and showed that the U.S. economy slowed in the fourth quarter and annual growth failed to reach 3% for the 11th straight year.

More importantly…

We had another 3 BreakOut Alerts yesterday. This follows 9 from Wednesday, and 7 from Tuesday.

What a week with 19 breakouts in the past 3 sessions! I’ve been covering, researching and reporting on high-ranked breakouts for over 15 years. This many breakouts from our watch lists in such a short time frame may be a new record.

It’s been a head-spinning few days. Don’t beat yourself up if you didn’t get into every breakout or may have gotten in some that may have not properly confirmed. Just work with what you have, and of course reach out to me any time you have any questions or concerns. I strive to make myself available to all members, especially during market hours.

Of the BreakOut Alerts I issued yesterday, none of those were prudently buyable.

Let’s take a look…

1) TCBI – Broke out first thing yesterday with a gap up on earnings.

Chart courtesy of stockcharts.com – Click chart to enlarge.

As noted in the original alert at 10:02 AM and reiterated in the afternoon update – “Is an earnings breakout as the company announced [Wednesday] after the close. It was noted this morning as NOT being buyable and remains as such. We will see how shares hold up in the [Friday] morning.”

It remains on the watch list. We will see if we can get a proper entry today.

2) LFUS – As noted yesterday, the volume did NOT confirm a BUY signal, and shares actually reversed to close with a loss on the session.

3) CLS – This was a pre-earnings breakout. The company announced earnings yesterday after the close. Buying stocks just ahead of an earnings announcement is very risky and not something we do.

Chart courtesy of stockcharts.com – Click chart to enlarge.

Shares did have a very positive day yesterday, closing up +1.43% with a +269% increase in volume and at a new multi-year high. Still, we will have to see the reaction the stock has this morning now that its Q4 numbers are out.

CLS remains on the watch list. We will see if we can get a proper entry today.

I ran my routine stock screens this morning, yet did not add any new set ups to any of our watch lists.

All of our watch lists have been updated.

At this point, we have 10 stocks on our Technical SetUps WatchList and another 10 on our TrendLine SetUps WatchList. There continues to be 0 stocks which meet the strict criteria for the High-Ranked Leaders WatchList.

Set ups that I am watching today to confirm BUY signals are:

TCBI, CLSTMK, TREX, and LFUS

As regular reader know, early each market morning I diligently screen through hundreds of high EPS and RS ranked stocks that have solid fundamentals.

I am looking for those select few that are setting up in bullish technical bases and which looked poised to breakout that day.

The buy candidates that I find are then assigned their own specific trading criteria such as a Trigger Price and Max Buy Price and then each is listed in our – Stock WatchList: Morning Update and emailed out to subscribers, before the market opens for trading.

You can now receive a free copy of my Stock WatchList: Morning Update report – a concise watch list of high EPS and RS ranked stocks right in your email inbox.

LEARN MORE HERE

 

Any questions or concerns, please email me at james@jamestaulman.com.

 


 

Market Continues Higher – Several More Potential BreakOuts

After a solid up day in the market yesterday, futures are higher this morning ahead of Wednesday’s open.

We had a record 7 breakouts yesterday, and there is the potential for more today as several stocks from our various watch lists are trading near their TRIGGER PRICE, and judging by the futures, the market may continue yesterday’s march to new highs.

So, we need to get focused and organized to best take advantage, as well as not make any missteps.

Here is an update on the 7 breakouts we had yesterday:

CDK, MCHP, UBNT and BERY – These four stocks traded above their TRIGGER PRICE, yet the day’s volume for each was NOT enough to have any of these breakouts to confirm a BUY signal.

TXN– Was an earnings breakout, with a +69% increase in volume. These types of breakouts carry more risk. The company announced results yesterday after the close. As previously noted, shares could gap up or down this morning. Neither is properly buyable.

EXP – Was an earnings breakout as the company announced that morning. These carry more risk. Shares closed well off of the morning highs. For those who are still interested in buying, any above average volume gains from here would be buyable up to the MAX BUY PRICE of $108.42.

IR – Came very close to confirming, if not confirming, a BUY signal very late yesterday afternoon. As I noted in the afternoon report – “The volume today has picked up this afternoon and this stock should be watched closely for the volume to make its TRIGGER VOLUME of 2,912,250, as that would confirm a BUY signal up to the MAX BUY PRICE of $83.28.” This still holds true today.

All of our watch lists have been updated this morning.

While running my routine stock screens early this morning, I added 4 stocks and removed 2 stocks from our Technical SetUps WatchList.

REMOVED:

1) TXN broke out yesterday ahead of earnings which were released after the close.

As noted here yesterday morning – “Although this stock may trigger a BUY signal by default if its shares trade above the TRIGGER PRICE of $75.35 with the required volume, keep in mind that earnings breakouts do carry more risk. So, caution is advised.”

 2) MCHP keeps advancing above its TRIGGER PRICE with a lack of volume conviction.

At this point, we have 16 stocks on our Technical SetUps WatchList and another 11 on our TrendLine SetUps WatchList. There are currently 0 stocks which meet the strict criteria for the High-Ranked Leaders WatchList.

Of those, her are the 14 which looked poised to breakout/trigger today including…

IR, HBHC, BERY, UBNT, CDK, EXP, and ORBK which are all already trading above their respective TRIGGER PRICE. Continued gains today in any of these while the stock’s volume is at least on pace to make the TRIGGER VOLUME, would have that candidate buyable up to its MAX BUY PRICE.

We also have FLEXAPHMRVLGPITREX, MLM, and SMTC all nearing their individual TRIGGER PRICE. Any gains above their TRIGGER PRICE while the stock’s volume is at least on pace to make the TRIGGER VOLUME, would have that particular candidate buyable up to its MAX BUY PRICE.

As regular reader know, early each market morning I diligently screen through hundreds of high EPS and RS ranked stocks that have solid fundamentals.

I am looking for those select few that are setting up in bullish technical bases and which looked poised to breakout that day.

The buy candidates that I find are then assigned their own specific trading criteria such as a Trigger Price and Max Buy Price and then each is listed in our – Stock WatchList: Morning Update and emailed out to subscribers, before the market opens for trading.

You can now receive a free copy of my Stock WatchList: Morning Update report – a concise watch list of high EPS and RS ranked stocks right in your email inbox.

LEARN MORE HERE

 

Any questions or concerns, please email me at james@jamestaulman.com.

 


 

Five New Watch List Additions – Watching UBNT for a BreakOut

Although the Trump inauguration has come and gone, investors still seem to be in a wait-and-see mode.

This morning U.S. stock futures are holding steady while most European markets edged higher in early trading.

Asian markets ended the day with mixed results.

Today, we have a flurry of earnings reports coming out before the open, and we can expect those reactions to have some influence on the major averages’ direction.

Releases due before the bell include the following: Johnson & Johnson (JNJ), Travelers (TRV), DuPont (DD), Alibaba (BABA), Verizon (VZ), and 3M (MMM).

What I noted a few weeks ago we are now seeing, as more individual stocks continue building new bases to potentially buy off of, while our watch lists have grown rather steadily.

Speaking off, I ran my routine stock screens early this morning and added another five stocks to the Technical SetUps WatchList.

At this point, we have 14 stocks on our Technical SetUps WatchList and another 11 on our TrendLine SetUps WatchList. There are currently no stocks which meet the strict criteria for the High-Ranked Leaders WatchList.

Of those 25 set ups, UBNT looks poised to break out as its shares traded +2.6% higher yesterday with a +50% increase in volume.

The company has a solid fundamental history and is overall highly ranked.

Shares are building a base at new all-time highs and just +5.5% above the stock’s 50-day moving average.

I consider this technically ideal as once this leader breaks out and triggers a BUY signal, there is no resistance/overhead supply in the way of any further possible gains. In the event of a pullback, we have sound support (50 DMA) just below our BUY price.

TRADING CRITERIA

SYMBOL

LAST ADDED TO WATCH LIST TRIGGER PRICE TRIGGER VOLUME MAX BUY PRICE
UBNT $60.09 01-24-17 $60.58 546,750

$63.61

Going forward, any gains above the TRIGGER PRICE while the stock’s volume is at least on pace to make the TRIGGER VOLUME, would have this candidate buyable up to the MAX BUY PRICE.

My standard formula for MAX BUY PRICE:
TRIGGER PRICE x 1.05

Additional set-ups from our watch lists which should be monitored closely today for a breakout include: BERY, EXP, ORBK, and MCHP.

Also, we have TXN which is currently on our Technical SetUps WatchList due to announce earnings today after the close. We can likely see some volatility before the session ends, and a possible either-direction gap at tomorrow’s open.

Although this stock may trigger a BUY signal by default if its shares trade above the TRIGGER PRICE of $75.35 with the required volume, keep in mind that earnings breakouts do carry more risk. So, caution is advised.

Any questions or concerns, please email me at james@jamestaulman.com.

NOTE: We are still live-testing this new version of this report. There are several new features and enhancements slated for 2017. Any feedback is welcomed and appreciated.

 

ALL OF TODAY’S WATCH LISTS ALONG WITH
ANNOTATED CHARTS ARE HERE

 


 

Major Averages Higher – Two BreakOuts Yet No New BUYS

2:45 PM – The major averages are higher after President Trump’s inauguration, yet off of the day highs as we head into the final hour of Friday’s session.

We had two BreakOuts Alerts! this morning as ASGN broke out from our Trendline SetUps WatchList, and ORBK broke out from the Technical SetUps WatchList.

However, neither stock had enough volume behind the move to confirm a BUY signal.

Chart courtesy of stockcharts.com – Click chart to enlarge.

Chart courtesy of stockcharts.com – Click chart to enlarge.

Also our AVGO took off this morning with a gap open, while our ANGO fights to hold 50-day moving average support. (more below)

Shares of MPWR are making some decent gains this afternoon as shares start to make some new highs.

RTEC is back to normal trading today after a flash pop at about 11:00 yesterday with maybe some rumors of a merger.

There are lighter volume declines today in LCII as shares take out the previous lows and pull back to 50-day moving average support ($105.73).

Our INCY is trading with a +1% gain this afternoon, yet was much higher this morning.

TSEM is making some gains today to new highs by a couple of pennies.

Shares of TCB sold off sharply (-3%/+168%) yesterday as the company was hit with federal consumer finance regulators suing, alleging the bank deceived consumers so it could charge them exorbitant overdraft fees. Today, the stock remains right at support of the 50-day, which is at $18.30.

Shares of NTRS continue holding up today after a gap down -4.6% Wednesday as the company reported earnings results that did not meet Wall Street expectations.

PCH continues falling a bit further below support of the 50-day moving average, and has clearly breached the previous lows ($40.86 – green line on chart).

As regular reader know, early each market morning I diligently screen through hundreds of high EPS and RS ranked stocks that have solid fundamentals.

I am looking for those select few that are setting up in bullish technical bases and which looked poised to breakout that day.

The buy candidates that I find are then assigned their own specific trading criteria such as a Trigger Price and Max Buy Price and then each is listed in our – Stock WatchList: Morning Update and emailed out to subscribers, before the market opens for trading.

You can now receive a free copy of my Stock WatchList: Morning Update report – a concise watch list of high EPS and RS ranked stocks right in your email inbox.

LEARN MORE HERE

 

Any questions or concerns, please email me at james@jamestaulman.com.

 


 

Broadcom Confirms a BUY Signal Late Yesterday – Now ORBK on Deck

The 45th president of the United States is set to be sworn in as Donald Trump will take the oath of office today at about noon.

This morning, European markets are mostly edging up in early trading, though the gains are modest.

Asian markets ended their day with mixed results.

A number of blue-chip companies are reporting quarterly results today, including General Electric (GE) and Procter & Gamble (PG). This may have an affect on the Dow.

The Nasdaq had another minor distribution day yesterday as the index closed lower (-0.3%) with higher volume.

That puts the Nasdaq distribution day count at 6, while the S&P 500 is at 5. Still, the market’s official status remains as “uptrend”.

In yesterday’s afternoon update I stated that we had no clear buyable breakouts, then soon after, our Broadcom Limited (AVGO – Nasdaq) which was already trading above its TRIGGER PRICE, confirmed a BUY signal by default when its daily volume finally cleared the TRIGGER VOLUME of 4,140,450 shares. That gave us a BUY PRICE of $185.42.

Going forward, of course, any above average volume declines would be the first thing to watch out for. A break back into the recent base would be a concern, and we are going to put our 1st SUPPORT at the 50-day moving average, which is currently at $175.38.

The last BUY we had before AVGO was on last Friday the 13th in AngioDynamics, Inc. (ANGO – Nasdaq) (P/L: -6.7%) from our TrendLine SetUps WatchList.

Since the breakout, shares have drifted lower on below average volume, yet they have not triggered a clear sell signal.

As of Thursday’s close, this selection sits at $16.81 with a perfect pullback and “soft landing” to support of the 50-day moving average.

A move up from there with volume would be most ideal, as such would negate the recent weakness. However, any further declines would be tough to tolerate, with a break below the 50 DMA ($16.81) a clear technical violation.

A final support area is at the previous lows at $16.

That is near-enough to our MAX STOP LOSS GUIDE which is at $16.56.

My standard formula for MAX STOP LOSS GUIDE: (BUY PRICE x 0.92)

I ran my routine stock screens early this morning, yet did not add any new set ups to any of our watch lists.

SLF was removed from the Technical SetUps WatchList as it did not properly breakout with the required volume. Shares have now fallen back into their base.

At this point, we have 9 stocks on our Technical SetUps WatchList and another 11 on our TrendLine SetUps WatchList. There are still not any stocks which meet the strict criteria for the High-Ranked Leaders WatchList.

Of those 20 set ups, ORBK looks the most poised to break out today.

A breakout from here would have little resistance/overhead supply in the way of any further possible gains. That is why we buy stocks making new highs.

Any trading above the stock’s TRIGGER PRICE while the day’s volume is at least on pace to make the posted TRIGGER VOLUME would have this selection confirming a default technical BUY signal up to the MAX BUY PRICE.

TRADING CRITERIA
SYMBOL
LAST
50 DAV
ADDED TO WATCH LIST
TRIGGER PRICE
MAX BUY PRICE
% FTP
ORBK
$33.94
246,000
01/19/17
$34.45
$36.17
-1.48%

If ORBK does become a BUY, the stock’s TRADING CRITERIA will be updated to show our 1st SUPPORT, 2nd SUPPORT and MAX STOP LOSS GUIDE.

In the event of a pull back, we have sound support which is offered by the 50-day moving average, currently at $32.29 and just -5% below Thursday’s close.

As regular reader know, early each market morning I diligently screen through hundreds of high EPS and RS ranked stocks that have solid fundamentals.

I am looking for those select few that are setting up in bullish technical bases and which looked poised to breakout that day.

The buy candidates that I find are then assigned their own specific trading criteria such as a Trigger Price and Max Buy Price and then each is listed in our – Stock WatchList: Morning Update and emailed out to subscribers, before the market opens for trading.

You can now receive a free copy of my Stock WatchList: Morning Update report – a concise watch list of high EPS and RS ranked stocks right in your email inbox.

LEARN MORE HERE

 

Any questions or concerns, please email me at james@jamestaulman.com.