Breakoutwatch Weekly Summary 10/21/17

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

Weekly Commentary

Tax Reform Critical to Continued Upward Trend

The NASDAQ Composite hit a new high each day this week with the notable exception of Thursday, when optimism over a health care fix faded. It is interesting to compare the NASDAQ chart with that of the DJI, particularly on Thursday and Friday. On Thursday, the DJI was virtually unchanged due to a surge in volume giving price support as it appeared that the Senate would pass a budget resolution and this continued on Friday as the index gapped up and volume increased by 50% over the 50 day average. The significance of the budget being passed is that it allows the Republicans to pass tax reform in the Senate without Democratic support. It is clear that a continued advance of the bull market is predicated on continued progress on tax reform. If opposition from Republican deficit hawks mounts, then we could see the advance come under threat.

The number of breakouts increased from 9 last week to 14 this week, although the average gains were modest.

DJI Chart

New Features this Week

No new features this week.
Strategy Suggestions
Our latest strategy suggestions are here.
Breakouts Summary by Watchlist for Week Beginning 10/16/17
List Breakouts Avg. Gain
CWH 9 1.79
SQZ 4 1.36
DB 1 0.85
Breakouts Detail for Week Beginning 10/16/17
Brkout Date Symbol Base Squeeze BrkoutOut Price Brkout Day Close RS Rank* Last Close Current % off BOP Gain at Intraday High
2017-10-20 CROX CWH n 9.99 11 91 10.5 5.11% 7.01%
2017-10-17 SFBS CWH n 39.95 41 91 41.5 3.88% 5.06%
2017-10-16 FONR CWH n 31.85 32 92 33.05 3.77% 4.87%
2017-10-20 HCC SQZ y 26.70 27 93 27.42 2.7% 3.63%
2017-10-20 IIVI CWH n 42.50 43 87 43.3 1.88% 2.12%
2017-10-19 BX CWH y 33.83 34 86 34.46 1.86% 2.84%
2017-10-16 CHGG CWH n 15.65 16 96 15.86 1.34% 3.71%
2017-10-20 PCYO SQZ y 7.71 8 87 7.8 1.17% 4.41%
2017-10-20 EWBC CWH n 60.74 61 82 61.37 1.04% 1.3%
2017-10-16 FTAI SQZ y 18.26 19 84 18.44 0.99% 1.53%
2017-10-18 OKSB CWH n 28.20 28 80 28.45 0.89% 1.42%
2017-10-16 MSG DB n 217.53 218 74 219.38 0.85% 1.06%
2017-10-20 PNM SQZ y 41.91 42 80 42.15 0.57% 1.05%
2017-10-17 KMG CWH n 56.90 58 86 54.82 -3.66% 4.39%
*RS Rank on day before breakout.
Top Rated Cup and Handle Stocks as of Friday October 20, 2017
Symbol BO
Company Industry RS
GNBC 24.40 317,343 Green Bancorp - Inc. - Common Stock Money Center Banks 95 23.20
MTLS 16.50 83,794 Materialise NV - American Depositary Shares Application Software 95 15.18
NRG 26.68 8,178,856 NRG Energy - Inc. Common Stock Diversified Utilities 94 25.40
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 23328.6
2% 18.04% Up
NASDAQ 6629.05
0.35% 23.15% Up
S&P 500 2575.21
0.86% 15.02% Up
1The Market Trend is derived from our proprietary market model. The market model is described on the site here.
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
Dow Jones Dow Jones
8.1 %
Dow Jones
13.53 %
NASDAQ Composite
23.15 %
Best Performing Industry (by average technical score over each period)
1 Week 3 Weeks 13 Weeks 26 Weeks
Machine Tools & Accessories
Most Improved Industry (by change in technical rank2)
Publishing - Books
Personal Computers
Personal Computers
Personal Computers
Charts of each industry rank and performance over 12 months are available on the site


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