Breakoutwatch Weekly Summary 09/15/18

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
Best Performing Index
Best Performing Industry
Most Improved Industry

Weekly Commentary
DISCA Breakout Epitomizes Desirable Cup and Handle Pattern Behavior

The NASDAQ shrugged off last weeks losses and moved ahead with a 1.4% gain, the highest of the three major indexes. The index has gained 16.4% year-to-date and given the strong economic climate despite trade uncertainty, looks likely to continue the upward trend. Both the CPI and PPI numbers released this week showed inflation is in check and the Fed is determined that it remain so. They are almost certain to raise interest rates a further 1/4% at the September 24-25 FOMC meeting.
The week delivered 11 breakouts with DISCA providing the best return of 10.9% by Friday's close. A study of the DISCA chart shows classic behavior in the handle after the pivot was set.  As some profit taking caused the price to fall, so did volume levels until buyers stepped in and volume levels rose culminating in a strong breakout on more than twice the average daily volume.

The desirable behavior in the handle, and indeed throughout the pattern's formation is described in Anatomy of a Cup and Handle Pattern


New Features this Week

No new features this week.

Strategy Suggestions
Our latest strategy suggestions are here.
Breakouts Summary by Watchlist for Week Beginning 09/10/18
List Breakouts Avg. Gain
CWH 8 2.9
SQZ 3 3.98
Breakouts Detail for Week Beginning 09/10/18
Brkout Date Symbol Base Squeeze BrkoutOut Price Brkout Day Close RS Rank* Last Close Current % off BOP Gain at Intraday High
2018-09-12 DISCA CWH n 29.02 30.7 87 32.18 10.89% 9.44%
2018-09-10 GFN SQZ y 14.16 14.65 97 15.4 8.76% 7.7%
2018-09-10 NMIH CWH n 22.15 23.25 90 23.3 5.19% 4.38%
2018-09-11 CEO CWH n 175.78 181.39 82 184.62 5.03% 5.34%
2018-09-11 GTXI CWH n 23.17 24.8 95 24.12 4.1% 5.52%
2018-09-14 TDG SQZ y 358.37 369.99 84 369.99 3.24% 0.11%
2018-09-11 SONC CWH n 35.89 38.55 89 36.78 2.48% 3.73%
2018-09-13 MEOH CWH n 74.55 75.45 85 76 1.95% 0.67%
2018-09-13 REIS CWH n 23.00 23.1 80 23.15 0.65% 0.43%
2018-09-13 ALDR SQZ y 18.21 18.6 92 18.2 -0.05% -0.88%
2018-09-11 ICUI CWH n 304.50 306.4 86 282.85 -7.11% -1.92%
*RS Rank on day before breakout.
Top Rated Cup and Handle Stocks as of Friday September 14, 2018
Symbol BO
Company Industry RS
BXC 41.32 324,126 Bluelinx Holdings Inc. Common Stock Building Materials Wholesale 98 38.80
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 26154.7
0.92% 5.81% Up
NASDAQ 8010.04
1.36% 16.03% Up
S&P 500 2904.98
1.16% 8.65% 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
NASDAQ Composite S&P 500
3.4 %
NASDAQ Composite
7.06 %
NASDAQ Composite
16.03 %
Best Performing Industry (by average technical score over each period)
1 Week 3 Weeks 13 Weeks 26 Weeks
Basic Materials Wholesale
Internet Service Providers
Auto Parts Stores
Home Health Care
Most Improved Industry (by change in technical rank2)
Auto Parts Wholesale
Cleaning Products
Toy & Hobby Stores
REIT - Healthcare Facilities
Charts of each industry rank and performance over 12 months are available on the site


If you received this newsletter from a friend and you would like to receive it regularly please go to the site and you will then be able to register to receive the newsletter.

Copyright (c) 09/15/2018 NBIcharts, LLC dba All rights reserved.
" BreakoutWatch," the "eye" logo, and the slogan "tomorrow's breakouts today" are service marks of NBIcharts LLC. All other marks are the property of their respective owners, and are used for descriptive purposes only.

BreakoutWatch is not affiliated with Investor's Business Daily or with Mr. William O'Neil. Our site, research and analysis is supported entirely by subscription and is free from advertising.