– 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.


NOTE: Today’s watch list can be found here.

After another solid week last week, this morning, futures are sharply lower as we get ready to kick off trading week number four of 2019.


“Whenever you see a successful person, you only see the public glories, never the private sacrifices to reach them” 

– Vaibhav Shah

The new year continues to be very bullish for stocks as the major averages traded higher again this past week. After three weeks of 2019 trading, we still have only had two down days on Wall Street.

The stock market hasn’t started a year this strongly since 1987.

This past week was technically significant, as the major indices closed higher four out of five sessions as each index blasted through previously noted areas of resistance, and closed well above their respective 50-day moving averages.

The Dow Jones added another +2.9% this past week. However, the index is now at resistance of a downward trendline.

Chart courtesy of stockcharts.com

The Nasdaq gained +2.6% on the week.

Chart courtesy of stockcharts.com

The S&P 500 advanced +2.9%.

Chart courtesy of stockcharts.com

Of note, the indices are still below their 200-day moving averages.


Now You Can Start Receiving James’ –
Technical SetUps WatchList Each Market Morning

Early each market morning James diligently screens through hundreds of high EPS and RS ranked stocks that have solid fundamentals.

He is looking for those select few which are setting up in sound technical bases and which looked poised to breakout that day.

Each stock is listed with specific trading criteria such as a TRIGGER PRICE, TRIGGER VOLUME and MAX BUY PRICE.

Normally $19.95 a month, now just $9 a month through James’ BuyingBreakOuts.com website.



Also of note, the small-cap stocks, as gauged by the Russell 2000 index are off to their best start to any year in the past 32 years, boasting a gain of +8.8% over the past 12 trading sessions, according to Dow Jones Market Data. Over the same period, the Dow is up +4.5%, while the Nasdaq has posted a +6.8% advance.

This morning, the International Monetary Fund has released its latest economic outlook with a warning: Growth is slowing and things could get much worse if countries keep fighting over trade.

The IMF lowered estimates for growth in 2019 by 0.2 percentage points to 3.5%. It’s the second time the agency has cut its forecast for this year.

I ran my routine stock screens this morning, yet did not add any new stocks to our watch list.

Over the long holiday weekend, I ran my routine stock screens and added 2 new stocks to our TrendLine SetUps WatchList.

We now have a total of 9 stocks which we will be watching for the next buyable breakout – see here.

One of those is NMIH.


Chart courtesy of stockcharts.com

Now you can get access all watch lists with updated trading criteria including –TRIGGER PRICE, TRIGGER VOLUME, and MAX BUY PRICE for every stock here.

Missed any of these morning reports? You can find all previous reports here.

Standard rules apply – any gains above the stock’s TRIGGER PRICE while the day’s volume is at least on pace to make the TRIGGER VOLUME would have any of these set ups confirming a BUY signal up to their MAX BUY PRICE by default.

Keep in mind that when a stock breaks out – becomes potentially buyable – there are other factors to consider.

Volume on the breakout. A stock that is breaking out through resistance, with an increase in volume of +50% above the stock’s average volume (50 DAV), is showing more conviction and more demand. This is not saying – all lower volume breakouts will fail. Actually, we’ve seen many continue higher. If you have found that you did buy a stock that showed lower daily volume or volume under 50%, going forward – simply treat it a regular trade.

Earnings BreakOuts. Many stocks from our watch list will break out during earnings season. Earnings breakouts can be more rewarding, however, these trades carry much more risk then traditional (non-news) breakouts. One needs to also consider – the strength/weakness of the fundamental news that was just released along with the forward-looking guidance the company gave, investors response to the conference call, etc. For anyone who is not familiar with – buying earnings breakouts – I suggest that they sit through a few seasons to study, paper trade, and show some profits, before applying actual capital.

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.


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. _________________________________________________ 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.