BreakoutWatch.com Weekly Review for 09/26/2015

You are receiving this email because you are or were a BreakoutWatch.com subscriber, or have subscribed to our weekly newsletter. This newsletter summarizes the breakout events of the week and provides additional guidance that does not fit into our daily format. It is published each weekend.

Market Summary

Weekly Breakout Report

Top Breakout Choices

Top 2nd Chances

New Features

Tip of the Week

Prior editions of this newsletter with our valuable Tips of the Week are available here.

Weekly Commentary

The NASDAQ Composite fell 3% this week, mostly due to weakness in biotechnology following Hillary Clinton's threat to take on price-gouging following the outrageous 4,000% price increase in 62-year old drug Daraprim. The NASDAQ's Biotechnology Index fell about 14% this week.

The 50 day moving average is now on track to fall below the 200 dma in the next day or so. This is a bearish sign that we haven't seen since mid-2011. The index is now officially in a correction, having fallen 10.7% from its July 20 high.
NASDAQ Composite Chart

Weekly Breakout Report

Breakouts from our Volatility Squeeze watchlists continued to dominate this week with 23 out of 33 breakouts.

Brkout Date	Symbol	Base	Squeeze	BrkoutOut Price	Brkout Day Close	RS Rank^*	Last Close	Current % off BOP	Gain at Intraday High
Breakouts for Week Beginning 09/21/15
09/23/15	ZOES	SQZ	Y	35.66	37.04	85	37.26	4.49	11.3
09/24/15	DGII	CwH	N	10.84	11.01	91	11.82	9.04	9.04
09/21/15	EBF	SQZ	Y	16.46	17.34	89	17.4	5.71	8.02
09/23/15	TSO	SQZ	Y	94.54	99.07	94	101.53	7.39	7.39
09/21/15	RLH	SQZ	Y	8.31	8.35	94	8.83	6.26	6.26
09/22/15	SHEN	SQZ	Y	41.44	41.92	96	42.97	3.69	5.57
09/23/15	LOGM	SQZ	Y	64.20	67.53	90	65.97	2.76	5.3
09/25/15	MB	CwH	N	16.10	16.76	90	16.76	4.10	4.1
09/24/15	MHO	SQZ	Y	24.48	24.72	82	25.46	4.00	4
09/24/15	IBCP	SQZ	Y	14.16	14.69	86	14.61	3.18	3.81
09/24/15	PFSW	CwH	N	13.76	14.06	88	14.24	3.49	3.49
09/21/15	XXIA	SQZ	Y	15.16	15.45	95	14.84	-2.11	2.24
09/24/15	WST	SQZ	Y	56.68	57.9	80	55.66	-1.80	2.22
09/21/15	MTN	SQZ	Y	105.87	108.13	85	107.42	1.46	2.13
09/24/15	AGII	SQZ	Y	55.65	56.74	85	56.63	1.76	1.99
09/21/15	STC	SQZ	Y	38.96	39.46	83	39.46	1.28	1.95
09/24/15	EFSC	SQZ	Y	24.51	24.95	93	24.76	1.02	1.84
09/24/15	INDB	SQZ	Y	45.34	45.4	81	46.16	1.81	1.81
09/25/15	WDFC	CwH	N	88.77	90.33	85	90.33	1.76	1.76
09/21/15	TXMD	CwH	N	7.33	7.45	92	6.33	-13.64	1.64
09/21/15	DOX	SQZ	Y	57.56	58.44	88	57.36	-0.35	1.53
09/25/15	EGBN	CwH	N	44.65	45.28	91	45.28	1.41	1.41
09/25/15	PFSW	SQZ	Y	14.07	14.24	91	14.24	1.21	1.21
09/24/15	QADA	SQZ	Y	26.32	26.51	89	26.13	-0.72	1.14
09/24/15	HTBI	SQZ	Y	18.38	18.57	90	18.43	0.27	1.03
09/24/15	WHF	CwH	N	13.32	13.37	85	13.43	0.83	0.83
09/24/15	BONA	SQZ	Y	11.91	11.99	97	11.97	0.50	0.76
09/24/15	MEOH	HSB	N	34.75	34.91	11	34.8	0.14	0.55
09/24/15	BNCN	CwH	N	22.17	22.25	94	22.25	0.36	0.36
09/24/15	TBNK	SQZ	Y	26.16	26.25	92	25.95	-0.80	0.34
09/25/15	DBL	CwH	N	24.70	24.75	84	24.75	0.20	0.2
09/23/15	KYTH	SQZ	Y	74.90	74.93	98	74.93	0.04	0.09
09/24/15	KYTH	SQZ	Y	74.94	74.95	98	74.93	-0.01	0.04
Weekly Average (33 breakouts)								1.48	2.89
^*RS Rank on day before breakout.

New Features this Week

Additional Value that we added this week

No new features this week.

This Week's Top Tip

Tips for getting the most out of our site

How to Recognize EPS Trends and Find Next Reporting Date

One of the columns that you can filter for on our watchlists is Estimated EPS. This is the current analysts consensus estimate for earnings per share (EPS) to be announced at the company's next reporting date. While this number is important, as share price is often a function of forward earnings estimates, it is also desirable to know if the estimate is increasing or decreasing.

Shown below (1) is a snapshot of our cup and handle watchlist for trading next Monday filtered for stocks that had above average volume on Friday. The stock with the highest estimated EPS was DPZ (Domino's Pizza). Clicking on the EPS number, 0.75, will bring up a chart (2) showing how this estimated EPS has changed over the last 90, 60, 30, 7 days as well as the latest estimate.

In this case we see that the EPS Estimate has been increasing. Now, we would expect that the closer we get to the next reporting date, then the more accurate will the estimate be, so we will also want to know when that date is.

To find the next reporting date, we go to our Analytical Tools > EPS Trends menu choice (3).

This will bring up a table of all stocks for which we have EPS Trend data. By entering DPZ in the search box, we obtain a table showing the historical EPS Estimates and the next reporting date in the final column (4).

EPS Trends

Market Summary

Overview of market direction and industry rotation

Index

Value

Change Week

Change YTD

Trend

Dow

16314.7

-0.43%

-8.46%

Down

NASDAQ

4686.5

-2.92%

-1.05%

Down

S&P 500

1931.34

-1.36%

-6.2%

Down

1 Week	13 Weeks	26 Weeks	Year-to-Date
Best Performing Index
Dow Jones -0.43 %	NASDAQ Composite -7.76 %	NASDAQ Composite -4.19 %	NASDAQ Composite -1.05 %
Best Performing Industry (by average technical score over each period)
1 Week	3 Weeks	13 Weeks	26 Weeks
Tobacco Products - Other	Tobacco Products - Other	Tobacco Products - Other	Textile Industrial
Most Improved Industry (by change in technical rank²)
Broadcasting - Radio + 45	Aerospace/Defense - Major Diversified + 80	Long Distance Carriers + 156	Tobacco Products - Other + 207
Charts of each industry rank and performance over 12 months are available on the site

¹The Market Signal is derived from our proprietary market model. The market model is described on the site.
²The site also shows industry rankings based on fundamentals, combined technical and fundamentals, and on price alone. The site also shows daily industry movements.

Top Breakout Choices

Stocks on our Cup-and-Handle list with best expected gain if they breakout