Breakoutwatch Weekly Summary 04/04/20

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.

Weekly Commentary
Market Bottom Not Confirmed

For a summary of the week's confusing market action I suggest reading's Weekly Wrap.

The question we need answering before being comfortable about opening new long positions is; was March 23 a market bottom? On March 24, the market closed higher on higher volume but there has not been a similar day since. O'Neil's test for a market bottom is that there should be a follow through day between the 4th and 7th day, so his criterion has not been met.
Equally, my own Trend Reversal Signal algorithm has not shown a reversal.

Chart of the Week
While opening new long positions may be risky, I selected Bio-Rad Laboratories (BIO) from the Volatility Squeeze watchlist as a possible breakout candidate for Monday, April 6. Note the very strong upward move on Friday. See Bio-Rad's ddPCR System Detects Coronavirus More Accurately.

BIO Chart

New Features this Week

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

While most stocks are in decline, there are some that are setting new highs. You can find these under the Watchlists menu.

new highs
Breakouts Summary by Watchlist for Week Beginning 03/30/20
List Breakouts Avg. Gain
CWH 1 0.47
SQZ 3 13.01
Breakouts Detail for Week Beginning 03/30/20
Brkout Date Symbol Base Squeeze Brkout Price Brkout Day Close RS Rank* Last Close Current % off BOP Gain at Intraday High
2020-03-31 HLI SQZ y 47.99 52.12 90 58.06 20.98% 21.17%
2020-03-31 KALA SQZ y 7.50 8.79 98 8.75 16.67% 28.73%
2020-04-03 BIO SQZ y 360.75 365.78 92 365.78 1.39% 2.45%
2020-03-31 RARX CWH n 47.77 48.01 97 47.995 0.47% 0.5%
*RS Rank on day before breakout.
Breakdown Detail for Week Beginning 03/30/20
date symbol list support close gain %
04/02/2020 GDS HST 54.67 27.43 49.83 %
04/03/2020 GDS HST 54.67 51.2 6.35 %
Top Rated Cup and Handle Stocks as of Friday April 03, 2020
Symbol BO
Company Industry RS
No stocks met 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 21052.5
-2.7% -26.23% Down
NASDAQ 7373.08
-1.72% -17.83% Down
S&P 500 2488.65
-2.08% -22.97% 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
NASDAQ Composite NASDAQ Composite
NASDAQ Composite
NASDAQ Composite
Best Performing Industry
1 Week 3 Weeks 13 Weeks 26 Weeks
Shell Companies
Medical Distribution

Most Improved Industry (by change in technical rank2)
Healthcare Plans
Grocery Stores
Grocery Stores
Charts of each industry rank and performance over 12 months are available on the site


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