If you are interested in a system which covers only a handful of stocks, charges only for profitable months, delivers trades via email or mobile phone in real time, and is verified by a third party - then my
actively managed portfolio is the system for you.
General notice on Breakout stocks: Until markets reach a reaction low as identified by the market internals in the right-hand-margin I will be limiting the number of breakout stocks featured. If buying, buy small.
Breakouts
for February 20th: The first pick, BUCY, is working through the right-hand-side of a weekly base (with resistance at $57.50) as the 50-day MA crossed the 200-day MA in a "Golden Cross". The move was supported by a breakout in on-balance-volume and new reaction highs in bullish trend strength [+DI; ADX < 20 but rising sharply = new trend asserting itself). Friday also saw an ascending triple top breakout with a price target of $71. Friday's gains were triggered by earnings, but there was relatively strong buying leading up to the figures. Patient buyers may find joy in a GTC buy order down to $52.44. The second pick, DTC, brushed past $8.54 resistance on earnings. Support exists at $8.50 and $7.50 with major resistance at $13.00. February's breakout completed a December-February handle, supported by a MACD trigger buy, a solid breakout in on-balance-volume (caused by the exchange offer with Weyerhauser), and a sharp new reaction high in bullish trend strength [+DI; ADX < 20 = trend has still to assert itself]. The point-n-figure chart holds to a target of $13.25 on a December 14th ascending triple top breakout. The third pick, SRSL,
broke through $11.63 resistance, helped in part by earnings from Dolby and licensing expansion into China and U.S. The stock completed a 3-month long consolidation on increased volume (although the stock has a relatively low float at 11.47M on 15.15 M outstanding). The measured move forward target is up around $18 - but I have opted for a target shy of this. Technically, there was a supporting breakout in on-balance-volume, continued strength in slow stochastics, bullish trend [+DI; ADX > 20 but rising slowly) and the MACD trigger line. The point-n-figure chart has an ambitious target of $25.75, part of Friday's ascending triple top breakout.
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