As a reminder to new subscribers, we always focus on the performance of the NASDAQ Composite as it is stocks on that exchange that have the greatest propensity to break out.

The NASDAQ, along with the the other major indexes, has had a stellar run since April 19 moving higher each day and recording five accumulation days. Stocks are said to be under accumulation when volume and price both move higher than the previous session and accumulation days are an indication of gathering interest in the stock, or in this case the stocks that compose the index.


As volume has risen so has the number of breakouts and the rewards thay have brought. There were 20 confirmed breakouts this week that gained an average of 7.75% - a very healthy average gain.

We were asked by a subscriber to provide a filter that would select stocks that were within x% of their 50 day moving average. We are pleased to announce that that is now available as part of our Mine for Candidates > Database Search function.

In addition to the other selection criteria that have been available as part of the database search since 2003, you can now add an extra filter as shown here:

When combined with the other default criteria, this filter gave the following result. You will notice that there is now an extra column under "Technical Data" showing the difference between the 50 dma and the latest close.

Our work on the new trend reversal indicator was interrupted by the development of the delta dm afilter. We hope to return to it next week.