SSR 7/15: Rally Continues – 6 BreakOuts, 2 New WatchList Additions
This Week’s Sunday Stock Report – 7/15/18
– 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.
6 BreakOuts This Past Week | 9 Stocks on Our WatchList for the Week
On Friday, the major averages posted their sixth positive session of the past seven, suggesting that Wall Street has shaking off uncertainty surrounding trade policy which has served as the market’s most severe headwind in recent months.
For the week, the Dow closed +2.3%, the S&P 500 +1.5%, and the Nasdaq ended +1.8% higher. This is the second straight weekly advance for all three, as well as the Dow’s biggest weekly percentage gain since early June.
Definitive technical action was seen in the Dow as it reclaimed its 50-day moving average, and closed back above the 25,000 level for the first time in nearly a month.
The Nasdaq closed at a record level on Friday, while the S&P 500 finished above 2,800 for the first time since Feb. 1st. This pierced a psychological, round-number level that had proven a source of key resistance for the market since it stumbled badly into correction territory on Feb. 8th.
The S&P 500 now sits just -2.5% from its Jan. 26th, record, while the Dow stands -6% short of its closing peak from earlier in the year.
This bull market is in its ninth year, and despite being beset by a cavalcade of concerns, appears on the verge of resuming the second-longest run since WWII, as another earnings season gets under way.
The bullish tone was also seen in our breakouts as we had 6 of the 13 stocks our watch list break out. Nearly half.
I just added 2 new stocks to our weekly watch list.
We now have a total of 9 stocks which we will be watching for a potential breakout in the coming week – see those below.