Breakoutwatch Weekly Summary 03/11/17

You are receiving this email because you are or were a 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.

New Features this Week
Strategy Suggestions
Breakouts Summary
Breakouts Detail
Top Cup and Handle Chart Pattern Stocks
Breakouts Index
Major Indexes Performance
Best Performing Index
Best Performing Industry
Most Improved Industry

Weekly Commentary
Doji candlestick patterns on Monday through Thursday showed traders feared that the the rally may be coming to an end.
Doji patterns occur when the bulls and bears are almost in balance and indicate uncertainty about the future direction of the market. Friday's employment report gave the bulls some momentum and the NASDAQ closed the week with an accumulation day. This was insufficient to give the index a positive gain week over week with a  loss of 0.15%. Nevertheless this was a better performance than the DJI and S&P 500.

Below average volumes kept the number of breakouts to just 7 this week. However, the star breakout was MOMO which perfectly fitted our recommended strategy criteria.


New Features this Week

No new features this week.
Strategy Suggestions
Our latest strategy suggestions are here.

MOMO Fitted them perfectly.

MOMO is a Chinese dating app that has seen significant growth since its IPO in 2014. You can see this represented in our CANTATA Evaluation below. MOMO was a pick on our cup-and-handle watchlist on Monday and perfectly met our recommended strategy criteria. We issued a breakout alert at 9:45 on Tuesday at a price of 29.94 compared to a breakout price of 27.93. Unfortunately, this alert was 7% above the breakout price, which exceeded our suggested limit of  5% above BoP. However, because it closed above the BoP on massive volume (5 x the  50 dma) this also fit our criteria  for a buy at the  open on Wednesday.

MOMO Chart
Breakouts Summary by Watchlist for Week Beginning 03/06/17
List Breakouts Avg. Gain
CWH 6 4.7
SQZ 1 2.64
Breakouts Detail for Week Beginning 03/06/17
Brkout Date Symbol Base Squeeze BrkoutOut Price Brkout Day Close RS Rank* Last Close Current % off BOP Gain at Intraday High
2017-03-07 MOMO CWH n 27.83 30 95 30.78 10.6% 23.43%
2017-03-07 HBP CWH n 7.19 8 88 7.75 7.79% 8.07%
2017-03-08 CYOU CWH n 28.80 29 88 31 7.64% 9.06%
2017-03-10 BPMC CWH y 37.55 39 95 39.32 4.71% 5.94%
2017-03-08 CCS SQZ y 24.21 25 82 24.85 2.64% 4.09%
2017-03-10 ULTA CWH n 281.16 286 81 286.42 1.87% 2.14%
2017-03-06 GTN CWH n 14.75 15 84 14.1 -4.41% 2.37%
*RS Rank on day before breakout.
Top Rated Cup and Handle Stocks as of Friday March 10, 2017
Symbol BO
Company Industry RS
BZUN 16.20 715,503 Baozun Inc. Catalog & Mail Order Houses 97 15.25
ETE 19.85 7,316,996 Energy Transfer Equity - L.P. Oil & Gas Pipelines 94 18.51
ISLE 25.93 190,059 Isle of Capri Casinos - Inc. Resorts & Casinos 94 25.54
These stocks meet our suggested screening factors for our Cup and Handle Chart Pattern watchlist.
See Revised Rules for Trading Cup and Handle Breakouts
Major Index Summary
Index Value Change Week Change YTD Trend1
Dow 20903
-0.49% 5.77% Up
NASDAQ 5861.73
-0.15% 8.89% Up
S&P 500 2372.6
-0.44% 5.97% Up
1The Market Trend is derived from our proprietary market model. The market model is described on the sitehere.
2The site also shows industry rankings based on fundamentals, combined technical and fundamentals, and on price alone. The site also shows daily industry movements.
Best Performing Index
1 Week 13 Weeks 26 Weeks Year-to-Date
NASDAQ Composite NASDAQ Composite
5.8 %
Dow Jones
15.58 %
NASDAQ Composite
8.89 %
Best Performing Industry (by average technical score over each period)
1 Week 3 Weeks 13 Weeks 26 Weeks
Regional - Southwest Banks
Regional - Southwest Banks
Consumer Services
Regional - Southwest Banks
Most Improved Industry (by change in technical rank2)
Consumer Services
Home Health Care
Long Distance Carriers
Charts of each industry rank and performance over 12 months are available on the site


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