and The Candlestick Forum
Today’s positive trading was expected after the bobble breakout confirmation yesterday in the market indexes. The J-hook pattern is in progress on the NASDAQ. The nature of the market is resuming the slow steady uptrend that was evident prior to the big selloff/profit-taking of last month. Continue to stay predominantly long. Investor confidence will slowly build on itself based upon the long and strong uptrend of the past 15 months. Continue to utilize the price patterns that are producing the stronger profits.
Chart for BUFF
Over the next 13 weeks, Blue Buffalo Pet Products has on average historically risen by 20.2% based on the past 2 years of stock performance.
Blue Buffalo Pet Products has risen higher by an average 20.2% in 1 of those 2 years over the subsequent 13 week period,corresponding to a historical probability of 50%
The holding period that leads to the greatest annualized return for Blue Buffalo Pet Products, based on historical prices, is 3 weeks. Should Blue Buffalo Pet Products stock move in the future similarly to its average historical movement over this duration, an annualized return of 248% could result.
Chart for GDDY
Over the next 13 weeks, GoDaddy has on average historically risen by 8.5% based on the past 2 years of stock performance.
GoDaddy has risen higher by an average 8.5% in 2 of those 2 years over the subsequent 13 week period,corresponding to a historical probability of 100%
The holding period that leads to the greatest annualized return for GoDaddy, based on historical prices, is 1 week. Should GoDaddy stock move in the future similarly to its average historical movement over this duration, an annualized return of 182% could result.
Chart for ITGR
Over the next 13 weeks, Integer Holdings has on average historically risen by 5.1% based on the past 17 years of stock performance.
Integer Holdings has risen higher by an average 5.1% in 9 of those 17 years over the subsequent 13 week period,corresponding to a historical probability of 52%
The holding period that leads to the greatest annualized return for Integer Holdings, based on historical prices, is 15 weeks. Should Integer Holdings stock move in the future similarly to its average historical movement over this duration, an annualized return of 23% could result.
Chart for JWN
Over the next 13 weeks, Nordstrom has on average historically risen by 7.1% based on the past 45 years of stock performance.
Nordstrom has risen higher by an average 7.1% in 25 of those 45 years over the subsequent 13 week period,corresponding to a historical probability of 55%
The holding period that leads to the greatest annualized return for Nordstrom, based on historical prices, is 2 weeks. Should Nordstrom stock move in the future similarly to its average historical movement over this duration, an annualized return of 45% could result.
Chart for PLNT
Over the next 13 weeks, Planet Fitness has on average historically risen by 7.4% based on the past 2 years of stock performance.
Planet Fitness has risen higher by an average 7.4% in 1 of those 2 years over the subsequent 13 week period,corresponding to a historical probability of 50%
The holding period that leads to the greatest annualized return for Planet Fitness, based on historical prices, is 2 weeks. Should Planet Fitness stock move in the future similarly to its average historical movement over this duration, an annualized return of 122% could result.
Chart for SYNH
Over the next 13 weeks, Syneos Health has on average historically risen by 16.1% based on the past 3 years of stock performance.
Syneos Health has risen higher by an average 16.1% in 3 of those 3 years over the subsequent 13 week period,corresponding to a historical probability of 100%
The holding period that leads to the greatest annualized return for Syneos Health, based on historical prices, is 1 week. Should Syneos Health stock move in the future similarly to its average historical movement over this duration, an annualized return of 348% could result.
Chart for TVTY
Over the next 13 weeks, Tivity Health has on average historically risen by 7.5% based on the past 20 years of stock performance.
Tivity Health has risen higher by an average 7.5% in 13 of those 20 years over the subsequent 13 week period,corresponding to a historical probability of 65%
The holding period that leads to the greatest annualized return for Tivity Health, based on historical prices, is 23 weeks. Should Tivity Health stock move in the future similarly to its average historical movement over this duration, an annualized return of 53% could result.
Today’s positive trading in the market indexes are confirming the bobble breakout of Friday. This implies a much higher probability of a continued uptrend, provided the indexes do not close back below the 50 day moving average. Investor confidence can be seen building back up, especially in the big stocks AMZN, AAPL, NFLX, TSLA. Now that a observable bullish pattern has developed, the portfolio should be oriented toward the long side.
Today’s positive trading is demonstrating the lack of selling in the markets but also not showing any resilient buying. The Dow and S&P 500 have the opportunity to form a bobble pattern as long as those indexes continue to trade above the T-line. The sideways motion of the market for the past week is making the analysis of each individual stock chart that much more relevant. Continue to have both long and short positions in the portfolio.
Chart for AAP
Over the next 13 weeks, Advance Auto Parts Inc. has on average historically risen by 8.1% based on the past 16 years of stock performance.
Advance Auto Parts Inc. has risen higher by an average 8.1% in 11 of those 16 years over the subsequent 13 week period,corresponding to a historical probability of 68%
The holding period that leads to the greatest annualized return for Advance Auto Parts Inc., based on historical prices, is 1 week. Should Advance Auto Parts Inc. stock move in the future similarly to its average historical movement over this duration, an annualized return of 52% could result.
Today’s positive trading still illustrate the indecisive nature of the markets. The T-line remains a relevant trend indicator. Both the Dow and S&P 500 have the potential of a bobble breakout over the next few days provided they stay above the T-line. Weakness before the end of the day would still indicate the potential of a blue ice failure. The transportation index has formed a bullish trading day so far after the inverted hammer signal of yesterday. Until there is definite confirmation of a candlestick formation from these levels, it remains prudent to have both long and short positions in the portfolio.
Yesterday’s selling made the T-line a crucial factor in the indexes. The Dow needed to open positive and trades positive Today to indicate the T-line was going to act as support. The same scenario was required in the S&P 500. Positive trading from these levels would be a better confirmation of a bullish bobble pattern versus a bearish blue ice failure. This means the markets need to remain above the T-line Today to indicate better probabilities of the current uptrend remaining in progress. It will be important to watch where the markets close Today.
February 28th Daily Market Comments
Today’s positive but indecisive trading merely indicates the slow trend channel is still in an upward direction. This allows for the development of the candlestick patterns, frypan bottoms, J-hook’s, to continue to perform.PINC is a good frypan bottom while IRTC is setting up for a cup and handle pattern after last month’s frypan bottom. The longer the market indexes remain above the T line, the more bullish sentiment will solidify. Expect some profit-taking/consolidation but the T-line remains the ultimate trend support indicator.