Breakoutwatch Weekly Summary 04/28/18

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.

Contents
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
NASDAQ Still Threatens Bearish Head and Shoulders Top

The major indexes again closed slightly lower despite strong earnings reports from those corporations that reported this week. Rising Treasury yields brought sharp drops on Tuesday and Wednesday as higher interest rates threatened future profits. The turnaround on Thursday and Friday may have been in response to positive signs of lower tension on the Korean Peninsular.

Our trend signals remain negative for all three major indexes and the NASDAQ Composite continues to show a possible Head and Shoulders Top pattern forming. The pattern will be confirmed if the index closes below the neckline, currently at about 6900. That's 3% below Friday's close.

NASDAQ Chart

New Features this Week

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

A subscriber asked for a more detailed explanation of how the ATR bands are calculated for the ATR Band study on out Technical Charts tool. So here goes.

The bands are calculated by first calculating a moving 14 day average of closing prices. Secondly the 'true range' is calculated for each day and finally the 14 day average of the true range. The average true range is then added to the 14 day average price to give the upper band and subtracted to give the lower band.

This is illustrated in the chart of FSLR which broke out from a CWH base on Friday. The upper chart shows the upper and lower ATR bands with the 14 day moving average running through the middle of them. The latest 14 day average is 73.7 (14dma). The lower chart shows the calculation of the daily ATR and the 14 day average ATR. The latest value of the Average True Range is 2.805.

We now obtain the upper ATR band as 73.7 + 2.805 -> 76.505 (ATR Up) and the lower ATR band as 73.7 - 2.805 -> 70.895 (ATR Dn)

FSLR ATR
Breakouts Summary by Watchlist for Week Beginning 04/23/18
List Breakouts Avg. Gain
CWH 12 2.88
SQZ 7 2.98
HTF
0
HSB
0
DB 7 1.55
Breakouts Detail for Week Beginning 04/23/18
Brkout Date Symbol Base Squeeze BrkoutOut Price Brkout Day Close RS Rank* Last Close Current % off BOP Gain at Intraday High
2018-04-26 BJRI CWH n 48.90 49.55 91 56.2 14.93% 8.08%
2018-04-27 KLXI CWH n 73.86 80.05 88 80.05 8.38% -2.25%
2018-04-23 SNV DB y 50.09 51.2 73 53.2 6.21% 5.55%
2018-04-25 CNMD SQZ y 61.77 63.11 84 65.25 5.63% 5.1%
2018-04-27 SPSC CWH n 65.32 68.74 85 68.74 5.24% 2.79%
2018-04-26 DPZ CWH y 238.44 250.61 84 248.42 4.19% 3.65%
2018-04-26 AZPN CWH n 86.26 91.05 89 89.79 4.09% 3.32%
2018-04-27 FSLR CWH n 75.26 77.95 95 77.95 3.57% 0.74%
2018-04-26 CNMD SQZ y 63.12 66.2 85 65.25 3.37% 2.85%
2018-04-27 MMSI SQZ y 46.36 47.9 83 47.9 3.32% 0.19%
2018-04-26 OFIX SQZ y 59.71 60.93 86 61.37 2.78% 1.49%
2018-04-24 ZION SQZ y 54.27 55.09 80 55.6 2.45% 1.38%
2018-04-23 BBT DB n 52.47 53.53 72 53.41 1.79% 2.38%
2018-04-25 FITB SQZ y 33.26 33.54 81 33.83 1.71% 0.84%
2018-04-27 MNTA CWH n 20.50 20.85 90 20.85 1.71% -2.93%
2018-04-25 BLD SQZ y 78.87 79.02 99 80.15 1.62% 0.24%
2018-04-25 KBWB DB y 55.46 55.65 79 55.9 0.79% 0.11%
2018-04-26 KBWB DB n 55.46 55.47 79 55.9 0.79% 0.11%
2018-04-24 KBWB DB n 55.46 55.68 79 55.9 0.79% 0.11%
2018-04-26 CTS CWH n 29.55 29.9 84 29.7 0.51% -0.68%
2018-04-23 FLR DB n 59.99 61.48 81 60.22 0.38% -0.9%
2018-04-26 AWR DB n 55.95 57.65 70 56.01 0.11% -0.16%
2018-04-24 BUFF CWH n 39.98 40 94 40 0.05% -0.2%
2018-04-23 EHIC CWH n 13.12 13.17 84 13.05 -0.53% -0.53%
2018-04-24 BBL CWH n 42.80 42.84 80 42.15 -1.52% -0.51%
2018-04-26 MTRN CWH n 54.45 55.35 87 51.15 -6.06% -3.58%
*RS Rank on day before breakout.
Top Rated Cup and Handle Stocks as of Friday April 27, 2018
Symbol BO
Price
BO
Vol.
Company Industry RS
Rank
Last
Close
USAK 27.34 156,516 USA Truck - Inc. - Common Stock Trucking 98 24.99
VRS 18.69 768,828 Verso Corporation Common Stock Paper & Paper Products 98 18.33
DAVE 8.30 75,328 Famous Dave's of America, Inc. Restaurants 97 8.10
BLFS 7.33 149,438 BioLife Solutions - Inc. - Common Stock Medical Appliances & Equipment 97 7.22
CSX 60.34 8,233,104 CSX Corporation - Common Stock Railroads 96 60.28
PLNT 40.56 1,667,564 Planet Fitness - Inc. Common Stock Sporting Activities 95 40.50
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 24311.2
-0.62% -1.65% Down
NASDAQ 7119.8
-0.37% 3.13% Down
S&P 500 2669.91
-0.01% -0.14% Down
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
S&P 500 NASDAQ Composite
-5.14 %
NASDAQ Composite
6.25 %
NASDAQ Composite
3.13 %
Best Performing Industry (by average technical score over each period)
1 Week 3 Weeks 13 Weeks 26 Weeks
Home Health Care
Manufactured Housing
Gaming Activities
Resorts & Casinos
Most Improved Industry (by change in technical rank2)
Air Services - Other
99
Air Services - Other
126
Manufactured Housing
205
Sporting Goods Stores
204
Charts of each industry rank and performance over 12 months are available on the site

 

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