4/29 Top Prospects

Ten new breakouts today beyond the boundaries of the 55-day price channel. Additionally, PG broke out to the upside, but with a declining average directional index (adx), which disallows the phase change.

RIMM's breakdown below the channel was the result of a massive price gap.

sym	phase	adx	bday	blevel	stop	atr	atr%
APA		18	apr29	$132.50	$129.52	2.98	2.3%
CL		32	apr29	$83.72	$82.55	1.17	1.4%
EZA*		22	apr29	$75.99	$74.64	1.57	2.1%
MCD		26	apr29	$78.44	$77.46	0.98	1.3%
OXY		17	apr29	$107.56	$104.50	3.06	2.8%
PPLT*		13	apr29	$185.20	$182.86	2.34	1.3%
RIMM		28	apr29	$52.66	$51.95	2.10	4.0%
S		13	apr29	$5.26	$5.10	0.16	3.0%
SWN		20	apr29	$43.96	$42.86	1.10	2.5%
UNG*		15	apr29	$11.91	$11.64	0.27	2.3%

Exchange-traded funds are marked with a plus sign (+) after the ticker symbol. My holdings are marked with an asterisk (*).


Key

• phase: Green for a bull-phase breakout, red for a bear phase.
• adx: Average direction index location, indicating the strength, or the temperature, of the trend. Orange for 40 or greater, aqua (light blue) for 30 and up but below 40, magenta (light purple) for 20 and up but below 30, and brown for anything below 20. (Mnemonic: Orange for the overhead sun, blue for the surrounding sky, purple for sunset on the horizon and brown for the earth.)
• bday: Breakout day, the day the price broke through the upper or lower 55-day price line.
• blevel: Breakout level, the price level of the line that was broken through.
• bstop: The stop/loss price calculated on breakout days as the 14-day average true range below the breakout-day low for a bull phase and above thre breakout-day high for a bear phase.
• atr: The 14-day average true range, in the same currency as the price.
• atr%: The average true range as a percentage of the breakout level, an indicator of volatility that is comparable for all potential trades.

About channel analysis

Read a detailed explanation of my channel analysis method, including trading rules.