This Week’s Sunday Stock Report – 8/4/19

– 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.

 

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3 BreakOuts This Past Week | 5 Stocks on Our WatchList for Next Week

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This past week began with the market expecting a quarter-point rate cut from the Federal Reserve and hoping for a sign that more were to come.

Fed Chairman Jerome Powell delivered on the first, but called the cut a “midcycle adjustment,” dashing hopes for investors expecting more than one-and-done and causing stocks to tumble on Wednesday.

The selling picked up as Trump threated to impose tariffs on all Chinese exports to the United States. The announcement shocked markets on Thursday, producing a 600-point swing for the Dow and a continued sell-off on Friday.

The Dow broke below 27K on Thursday, then dipped below its 50-day moving average on Friday.

The index ended below 27K at 26,484, off -707 points for the week, down -2.60%.

Chart services courtesy of stockcharts.com. Annotations by James Taulman.

The Nasdaq declined -326 points or a -3.92% this past week.

The Composite managed to buck the Dow on Thursday, and actually made a new high close at session’s end.

The tech-laden index did sell-off on Friday, but firmly held its 50-day moving average (7971) and closed slightly above 8000 at 8004.

Chart services courtesy of stockcharts.com. Annotations by James Taulman.

The S&P 500 suffered its worst week of 2019.

The index fell below 3000 on Wednesday, before breaking below its 50-day moving average on Friday intraday.

The bellwether lost -94 points, or –3.10% on the week and closed at 2932, basically back at its 50-day moving average, which is currently 2927.

Chart services courtesy of stockcharts.com. Annotations by James Taulman.

The Distribution Day count is now at 6 on the S&P 500, and still 5 on the Nasdaq.

The current rally is officially – under pressure.

Regardless of market conditions, I continue to run stock screens on a daily basis searching for high-ranked leaders, with solid fundamentals that are building bullish technical bases. This week I added 1 new stock to the weekly watchlist.

Tonight’s weekly watch list originally included 6 stocks, however, I removed TGT as it had broken down below its base. There are now 5 stocks that will be watching for a traditional break out to new highs this coming week. (see below) 

As always, if anyone has any questions – please feel free to email me at james@jamestaulman.com as I would be glad to assist you.

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BREAK OUT UPDATE: 

From our watch list last week of 7 high-ranked stocks, we had 3 breakouts this past week.

Some of this week’s breakouts remain in a buyable range.

For those who bought the initial breakout, SUPPORT LEVELS AND CHARTS have been updated below.

#3: NeoGenomics, Inc. (NASDAQ – NEO)

SYM LAST ADDED
TO
WATCH
LIST
BREAK
OUT
PRICE
BREAK
OUT
DATE
NEO $25.42 7/18/19 $24.94 8/1/19

Chart services courtesy of stockcharts.com. Annotations by James Taulman.

MAX
BUY
PRICE
1st
SUPPORT
2nd
SUPPORT
MAX
STOP
LOSS
GUIDE
%
GAIN/
LOSS
$26.19 $24.00 50 DMA $22.94 +1.92%

Questions? – Click here.

#2: Automatic Data Processing (NASDAQ – ADP)

SYM LAST ADDED
TO
WATCH
LIST
BREAK
OUT
PRICE
BREAK
OUT
DATE
ADP $164.27 7/28/19 $170.55 7/31/19

Chart services courtesy of stockcharts.com. Annotations by James Taulman.

MAX
BUY
PRICE
1st
SUPPORT
2nd
SUPPORT
MAX
STOP
LOSS
GUIDE
%
GAIN/
LOSS
$179.08 $161.00 155.00 $156.91 -3.68%

Questions? – Click here.

#1: Vulcan Materials Company (NYSE – VMC)

SYM LAST ADDED
TO
WATCH
LIST
BREAK
OUT
PRICE
BREAK
OUT
DATE
VMC $137.71 7/28/19 $140.10 7/30/19

Chart services courtesy of stockcharts.com. Annotations by James Taulman.

MAX
BUY
PRICE
1st
SUPPORT
2nd
SUPPORT
MAX
STOP
LOSS
GUIDE
%
GAIN/
LOSS
$147.11 $140.00 50 DMA $128.89 -1.71%

Questions? – Click here.

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RELATED LINKS:

MARKETWATCH: Here’s how the stock market tends to perform after a Fed rate cut

IBD: When To Sell Growth Stocks: This Could Be Your No. 1 Rule

IBD: Stock Chart Reading: What Is Overhead Supply And Why You’ve Been Part Of It

IBD: When Will The Dow Jones Or Nasdaq Show A Major Stock Market Top? Here’s The Easy Way To Find Out

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WATCH LIST UPDATE:

I continue to run stock screens on a daily basis searching for high-ranked leaders, with solid fundamentals that are building bullish technical bases. This week I added 1 new stock to the weekly watchlist.

There are now 5 stocks that will be watching for a traditional break out to new highs this coming week.

TRADING CRITERIA TABLE Technical SetUps WatchList

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

SYM LAST ADDED
TO
WATCH
LIST
TRIGGER
PRICE 
TRIGGER
VOLUME 
MAX
BUY
PRICE
%
FTP
BSX $42.75 8/4/19 $43.63 10,547,700 $45.81 -2.02%
AWI $95.80 7/31/19 $100.54 594,150 $105.57 -4.71%
SERV $52.37 7/18/19 $55.46 1,087,500 $58.23 -5.57%
CECO $18.67 7/16/19 $20.49 940,800 $21.51 -8.88%
TSN $79.76 7/7/19 $84.40 4,500,750 $88.62 -5.50%

* % FTP = A stock’s price percentage from its TRIGGER PRICE.

ANNOTATED CHARTSTechnical SetUps WatchList

The charts below are for each stock that is currently on our weekly watch list.rt services courtesy of stockcharts.com. Annotations by James Taulman.

Chart services courtesy of stockcharts.com. Annotations by James Taulman.

Chart services courtesy of stockcharts.com. Annotations by James Taulman.

Chart services courtesy of stockcharts.com. Annotations by James Taulman.

Chart services courtesy of stockcharts.com. Annotations by James Taulman.

Chart services courtesy of stockcharts.com. Annotations by James Taulman.

Questions? – Click here.

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About the Author: 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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