– James F. Taulman, former Editor-in-Chief of the first independently licensed website to offer stock reports and services based on the CAN SLIM® investment system.
The major averages hit all-time highs yesterday, and it looks like they’ll make more new records today.
The Dow surpassed 20,000 for the first time ever, while the Nasdaq rose by +1% and the S&P 500 closed up +0.8%.
This morning stock futures are pushing up again.
European markets are mostly rising in early trading.
Asian markets ended the day with gains.
Of note, there are a lot of blue-chip companies and tech giants reporting quarterly results before the open such as: Comcast (CMCSA), Caterpillar (CAT), Ford (F), Fiat Chrysler (FCAU), Sherwin-Williams (SHW) and our Southwest Air (LUV).
There is also Microsoft (MSFT), Starbucks (SBUX) and Google’s parent company Alphabet (GOOGL) scheduled to release earnings after the close.
These stocks could have an affect on the indexes each is associated with, ETFs, sector funds, or any of their individual sibling stocks.
As I mentioned in yesterday morning’s report – “…there is the potential for more [breakouts] today as several stocks from our various watch lists are trading near their TRIGGER PRICE, and judging by the futures, the market may continue yesterday’s march to new highs.”
We had another record 9 BreakOut Alerts yesterday. Plus, LFUS briefly traded above its TRIGGER PRICE of $157.07 at 3:42 PM, yet then it pulled back just before the close, so we did not send out an alert for it. This follows the then-record 7 BreakOut Alerts we had on Tuesday.
Of the 9 BreakOut Alerts we did release yesterday, we had 4 stocks from our watch lists confirm a clear BUY signal by default.
1) FLEX – As reported in the BreakOut Alert which I issued at 10:04 AM – “The volume is confirming a BUY signal. However, this is an pre-earnings breakout, and those carry more risk.”
Shares did close the session off of the day highs yesterday, and that is a bit of a concern. The company is scheduled to report earnings today after the close.
Details are here.
2) MLM – The stock opened Wednesday’s session with a gap up. As reported in the BreakOut Alert which I issued at 10:04 AM – “…the volume is confirming a BUY signal.”
This gave us a BUY PRICE of $242.40.
At the close, the volume came in at twice the normal daily rate.
3) MRVL – At 2:36 PM I issued a BreakOut Alert which stated – “At this point the volume IS confirming a BUY signal.” At that time shares were trading at $15.15.
The stock went on to close with gains of +5% with a +183% increase in volume, and ended at the day highs. This was actually the second-straight session of above average volume gains. This is a clear sign of accumulation. Just what we want to see in a fresh breakout.
4) AGX – There was a BreakOut Alert sent at 2:36 PM, and then at 3:25 PM in the afternoon update I stated that – “The volume is NOT confirming a BUY signal, but may do so before the close.”
Shares did go on to make the TRIGGER VOLUME soon after, although just barely, yet did confirm a BUY signal by default at $75.45.
Ranks are solid.
This morning, all of our watch lists have been updated.
While running my routine stock screens, I added 4 stocks to the Technical SetUps WatchList.
At this point, we have 9 stocks on our Technical SetUps WatchList and another 9 on our TrendLine SetUps WatchList. There continues to be 0 stocks which meet the strict criteria for the High-Ranked Leaders WatchList.
We may have some more earnings breakouts today as our CLS from our TrendLine SetUps WatchList looks poised to break out, and the company will be reporting earnings later, after the close.
The is alos LUV, reporting today before the open.
Stocks from our Technical SetUps WatchList which may confirm BUY signals today include:
The aforementioned LFUS, along with SMTC, TMK, CPRT, and TREX.
Please see the link to the watch list tables below for each stock’s specific trading criteria such as the TRIGGER PRICE, TRIGGER VOLUME, MAX BUY PRICE, MAX STOP LOSS GUIDE.
Any questions or concerns, please email me at email@example.com.
NOTE: We are still live-testing this new version of this report. There are several new features and enhancements slated for 2017. Any feedback is welcomed and appreciated.