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Breakouts
for October 13th: Three current plays for review. The first pick, ALB, closed just shy of a break of $56.51 resistance. The stock first featured for July 26th. Technicals are nicely positioned with a fresh MACD 'buy' trigger above the bullish zero line on a rising on-balance-volume trend. Bullish trend strength is weakening with a bearish divergence in +DI - so it is important to protect profits from the earlier position (hence the higher stop). The stock rides an ascending triple top breakout from September 20th with a price target of $70. The 1.3% yield is an added bonus. The second pick, CRS, made the first appearance as a Breakout play for September 19th following from an earlier feature to Subscribers for August 29th. Earnings are scheduled for October 26th. Thursday's action saw a break to new near term highs on modest volume following an upswing in on-balance-volume and a MACD 'buy' trigger. The point-n-figure chart is just short of a double top breakout ($114), but only holds to a nearby target of $120. I am looking for a test of May highs/resistance. The stock sports a small yield of 0.80%. The third pick, CMRG,
has been rising steadily since it featured as a Breakout for July 25th. Thursday's break completed a bullish flag - unfortunately, after Wednesday's exit from the Collective2 portfolio. Stops from the July 25th play can be raised to a loss of Wednesday's lows. The move continues a long standing triple top breakout on the point-n-figure chart from February 2nd with a highly ambitious target of $30. I have instead opted for a measured move target for the rally off $5.24. Technicals remain firm, even as the MACD trigger line consolidates from an earlier 'sell' trigger. On-balance-volume, slow stochastics and trend strength, all favor bulls.
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