– James F. Taulman, former Editor-in-Chief of the first independently licensed website to offer stock reports and services based on the CAN SLIM® investment system.
8:15 AM – MORNING MARKET UPDATE & WATCH LIST
[dropcap]T[/dropcap]he Dow Jones, S&P 500, and Nasdaq Composite all ended the last full trading week of the decade at record closing highs.
QUOTE OF THE DAY:
“A good conscience is a continual Christmas.”
– Benjamin Franklin
This past week was marked by encouraging U.S. economic data and optimism about new international trade deals which helped to push the major averages to never-before-seen levels.
Even Wednesday’s impeachment vote of the President of the United States was largely shrugged off by investors who instead focused on progress on international trade policy.
The U.S. House passed the USMCA bill to replace NAFTA after the U.S. and China agreed on a partial deal the previous week.
We ended the week with Friday’s relatively mild “quadruple witching” day, as the four-pronged expiration of stock options and stock-index futures and options tends can contribute to increased volume and volatility in the latter portion of the session.
In the end, the Dow Jones gained a solid +319 points or +1.1% to close at 28,455. The index is now up 3 out of its last 4 weeks.
Chart services courtesy of stockcharts.com. Annotations by James Taulman.
This morning, futures are higher. Markets in Europe were mixed in early trading. Stocks in Asia also struggled to find direction.
New US home sales for November arrive at 10 a.m. ET.
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BREAKOUT ALERT UPDATE:
There were another 4 “BreakOut Alerts” this past week. We had 1 on Monday, 1 on Tuesday and 2 on Friday. The charts and support levels for all 4 have been updated below.
#4 Cogent Communications (Nasdaq – CCOI)
Cogent Communications is a multinational internet service provider based in the United States. Cogent’s primary services consist of Internet access and data transport, offered on a fiber optic, IP data-only network, along with colocation in data centers.
| SYM | LAST | ADDED TO WATCH LIST | BREAK OUT PRICE |
BREAK OUT DATE |
| CCOI | $65.32 | 12/19 | $65.01 | 12/20 |
Chart services courtesy of stockcharts.com. Annotations by James Taulman.
| MAX BUY PRICE | 1st SUPPORT |
2nd SUPPORT |
MAX STOP LOSS GUIDE | % GAIN/ LOSS |
| $68.26 | $64.00 | 50 DMA | $59.81 | +0.48% |
#3 Arch Capital Group Ltd. (Nasdaq – ACGL)
Arch Capital Group Ltd. is a Bermuda-based public limited liability company which writes insurance, reinsurance and mortgage insurance on a worldwide basis, with a focus on specialty lines, the segment of the insurance industry where the more difficult and unusual risks are written.
| SYM | LAST | ADDED TO WATCH LIST | BREAK OUT PRICE |
BREAK OUT DATE |
| ACGL | $42.67 | 11/02 | $42.96 | 12/20 |
Chart services courtesy of stockcharts.com. Annotations by James Taulman.
| MAX BUY PRICE | 1st SUPPORT |
2nd SUPPORT |
MAX STOP LOSS GUIDE | % GAIN/ LOSS |
| $45.11 | 50 DMA | $40.00 | $39.52 | -0.68% |
#2 Ametek, Inc. (NYSE – AME)
Ametek, Inc. is an American global manufacturer of electronic instruments and electromechanical devices with a headquarters in the United States and over 220 manufacturing sites worldwide. The company was founded in 1930.
| SYM | LAST | ADDED TO WATCH LIST | BREAK OUT PRICE |
BREAK OUT DATE |
| AME | $99.78 | 12/16 | $99.84 | 12/17 |
Chart services courtesy of stockcharts.com. Annotations by James Taulman.
| MAX BUY PRICE | 1st SUPPORT |
2nd SUPPORT |
MAX STOP LOSS GUIDE | % GAIN/ LOSS |
| $104.38 | 10 DMA | 50 DMA | $91.85 | -0.06% |
#1 FTI Consulting, Inc. (NYSE – FCN)
FTI Consulting is a business advisory firm headquartered in Washington, D.C., United States. FTI is one of the largest financial consulting firms in the world and consistently ranks as one of the top global management consulting firms.
| SYM | LAST | ADDED TO WATCH LIST | BREAK OUT PRICE |
BREAK OUT DATE |
| FCN | $113.09 | 12/16 | $113.22 | 12/16 |
Chart services courtesy of stockcharts.com. Annotations by James Taulman.
| MAX BUY PRICE | 1st SUPPORT |
2nd SUPPORT |
MAX STOP LOSS GUIDE | % GAIN/ LOSS |
| $118.88 | 50 DMA | $104.00 | $104.16 | -0.11% |
NOTE: These stocks were first featured in my “Stock WatchList: Morning Update” before they broke out. You can now start receiving my “Stock WatchList: Morning Update” each market morning through the BuyingBreakOuts website for only $9 a month or just $97 for an entire year here.
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WATCHLIST UPDATE:
No matter the market, I always have a current watch list ready. I added another 4 stocks to the watch list this morning. There are now 10 stocks that we will be watching for a traditional break out to new highs.
Members can access all watch lists with updated trading criteria including – TRIGGER PRICE, TRIGGER VOLUME, and MAX BUY PRICE for every stock here.
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About the Founder: James F. Taulman – James served as Editor-in-Chief of the first independently licensed website that offered stock reports and services based on the CAN SLIM® investment system. He has developed a knack for being able to quickly and accurately analyze high-ranked stocks based on this winning investment strategy. Over the years, Mr. Taulman has enjoyed assisting individuals from professional money managers to private investors with their needs in relation to implementing this investment approach on a daily basis in the current marketplace. Each Sunday you could hear him deliver his weekly market report as part of the “Your Money Matters” radio program on ABC and CBS radio networks.
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Disclaimer: James Taulman is not an investment advisory service, nor a registered investment advisor or broker-dealer and does not purport to tell or suggest which securities or currencies customers should buy or sell for themselves. The independent contractors and employees or affiliates of Company may hold positions in the stocks, currencies or industries discussed here. You understand and acknowledge that there is a very high degree of risk involved in trading securities and/or currencies. The Company, the authors, the publisher, and all affiliates of Company assume no responsibility or liability for your trading and investment results. Factual statements on the Company’s website, or in its publications, are made as of the date stated and are subject to change without notice. It should not be assumed that the methods, techniques, or indicators presented in these products will be profitable or that they will not result in losses. Past results of any individual trader or trading system published by Company are not indicative of future returns by that trader or system and are not indicative of future returns which be realized by you. In addition, the indicators, strategies, columns, articles and all other features of Company’s products (collectively, the “Information”) are provided for informational and educational purposes only and should not be construed as investment advice.