Ready List Outside the “Top 10″ as of 04/06/2014
5 New Features on the Ready List
- Standard Pivot listed in notes (when applicable): Many have asked for “standard” or “Classic” pivots to be included in the notes so we’ve decided to add them. The Advanced/Alternate pivots must still be viewed by clicking the ticker symbols of the stocks listed. Finding the advanced pivots is more art than science so it’s important to view it on the charts
- General Commentary: This section is dedicated for our Founder’s overall feeling from the list and is worth a read each week.
- % Chg Cur Week: this tells you how much the stock moved (up or down) in the prior week and serves as an additional way to highlight strength
- % Chg YTD: this tells you how much the stock has advanced since January 1st. This is an important way to know which stocks are leading the market
- Details in Notes: We’re now including some additional highlights that catch our Founder’s eye in addition to the type of base and the base count.
Every week we review the Universe List (make sure to take a look at the many new features added to the Universe List) to look for stocks that are either setting up in primary base patterns OR offering secondary entry points (such as 3 weeks tight patterns, pull backs to the 10 week line, etc…). All those setting up in primary bases get put through the Stock Evaluation Guide.
Those stocks in base patterns have a rank/rating. Those setting up in secondary patterns are highlighted in blue. Stocks that made it through our first round of screening but failed the second round are grayed out with the reasons noted.
In addition to looking at this list as a “shopping list”, it can also be used to tell us about the current state of the market and which sectors are offering the most merchandise. This is highlighted on the chart at the bottom of this post. Presently the Transport and Auto Sectors are tied, followed by Energy for sectors offering the most merchandise currently setting up. Knowing which sectors have the most setups hints at which ones may be the future leaders.
Finally, we also find it important to review the rating of the overall list (including those in the top 10) as well as the overall rating of those outside the top 10. This week, the overall average rating for everything is 8.48. Usually anything above an 8.25 overall rating has been an indication of a decent list.
Sector rotation becomes clearer by the day and can easily be seen by within the “Ready List Sectors” graph at the bottom of the page. Whereas Medical, CHIPS, and Software dominated this list for months, we are now seeing Energy, Transport, and Autos take the lead.
There are many interesting setups among those stocks setting up in secondary areas (highlighted in blue in the table below). While my overall feeling is still one of caution, I am personally looking for alternate entry points into those stocks which have already proven to be the strongest leaders and are offering attractive, low risk entry points. I consider “low risk entry points” to be ones that offer a clear exit, typically below support. If I do enter any new long positions, I intend to keep them on a tight leash (i.e. move my protective stop up to break-even as soon as possible and exit quicker on signs of weakness).
CLICK the hyperlinks of the symbols below to see weekly/daily charts, fundamentals (earnings, sales, ratios, etc…), as well as the various flaws I’ve discovered with each based my Stock Evaluation Guide. All “ratings” are based on the flaws or lack thereof from my Stock Evaluation Guide.
|Rank||Rating||Symbol||Name||Sector||% Chg Cur Week||% Chg YTD||EPS Due Date||Notes|
|11||8.15||SEP||Spectra Energy Partners||ENERGY||3.6||8.8||05-03-2014||1st stage flat base on base pattern. Classic pivot at 51.00|
|12||7.5||SWHC||Smith & Wesson Hldg Corp||BUSINS SVC||4.2||10.7||06-25-2014||2nd stage cup w/ handle, classic pivot at 14.71|
|13||7.35||LOPE||Grand Canyon Education||CONSUMER||1.7||7.6||04-30-2014||1st stage cup base next to base. (generally I prefer to see a base on top of a nother base to show price progress. I consider a base next to a base a flaw). Classic pivot at 49.00|
|14||7||HAIN||Hain Celestial Group||FOOD/BEV||1.7||0.2||04-28-2014||6th stage cup with handle. Classic pivot at 96.16, advanced pivot noted on chart|
|15||6.85||FSS||Federal Signal Corp||BUSINS SVC||6.7||5.7||05-05-2014||3rd stage cup with handle. Classic pivot at 15.42|
|GBX||Greenbrier Companies Inc||TRANSPRT||3.6||39.8||07-02-2014||3 weeks tight|
|ARII||American Railcar Inds||TRANSPRT||-3.6||43.5||04-21-2014||light volume pull back to the 10wk line|
|ACT||Actavis plc||MEDICAL||-1.2||19.8||04-30-2014||Pull back to the 10wk line, descending multi-week resistance trend line|
|AVH||Avianca Holdings Ads||TRANSPRT||3||15||04-28-2014||Building a stage 1 consolidation|
|JLL||Jones Lang Lasalle Inc||REAL EST||1.6||16.6||04-30-2014||Pull back to the 10wk line, descending multi-week resistance trend line|
|AVGO||Avago Technologies Ltd||CHIPS||-3.6||16.9||05-26-2014||Pull back to the 10wk line, found support|
|NXPI||Nxp Semiconductors N V||CHIPS||-0.6||24.8||04-22-2014||4 weeks tight, hard reversal off highs|
|INVN||Invensense Inc||CHIPS||-6.5||2.1||04-28-2014||Pull back to the 10wk line|
|BWA||Borg Warner Inc||AUTO||3.5||11.1||05-01-2014||5 weeks tight|
|MGA||Magna Intl Inc||AUTO||2.1||18.9||05-10-2014||3 weeks tight|
|HEI||Heico Corp||AEROSPACE||2.4||4.4||05-22-2014||Pull back below pivot, descending trendline resistance, support at the 10wk line, a break above trend line resistance corresponds to roughly the classic 62.30 pivot|
|HII||Huntington Ingalls Inds||AEROSPACE||0.9||12||05-08-2014||3 weeks tight and pull back to the 10wk line|
|POWI||Power Integrations Inc||CHIPS||-1.7||13.2||04-28-2014||Pull back to the 10wk line and classic pivot off the 1st stage flat base (pivot = 62.67)|
|ETE||Energy Transfer Eqty Lp||ENERGY||1.5||16.1||05-08-2014||3 weeks tight|
|SAIA||Saia Inc||TRANSPRT||2.2||17||04-26-2014||Pull back to the 10wk line, descending multi-week resistance trend line|
|ODFL||Old Dominion Fght Lines||TRANSPRT||1.1||5.7||04-24-2014||3 weeks tight, support building along 10wk line, resistance along 3rd stage cup’s classic pivot of 57.00|
|FF||Futurefuel Corp||CHEMICAL||-0.5||24.4||05-07-2014||Pull back to 1st stage cup pivot 19.09|
|SCHW||Charles Schwab Corp||FINANCE||-4.2||0.2||04-15-2014||Pull back and close below 10wk line on heavy volume, watch for a bounce|
|LAZ||Lazard Ltd Cl A||FINANCE||2.2||3.3||04-21-2014||Breakout from 3rd stage cup with handle failed, support along 10wk line, RS line continues to climb|
|CSTE||CaesarStone Sdot-Yam Ltd||BUILDING||1.6||12.4||05-05-2014||Pull back and support off the 10wk line|
|MTW||Manitowoc Co||MACHINE||-1||31.3||04-30-2014||light volume pull back to the 10wk line|
|DORM||Dorman Products Inc||AUTO||-0.1||3.5||04-30-2014||Trading sideways after breaking out from 2nd stage base on base. 10wk line rising & may provide added support near classic pivot 56.51|
|CMG||Chipotle Mexican Grill||RETAIL||-2.1||4.2||04-17-2014||Pull back just below the 10wk line, sitting just above 548.14 classic pivot off of a 2nd stage double bottom|
|PKG||Packaging Cp Of America||MISC||3.4||12.7||04-22-2014||Pull back and support off the 10wk line|
|RXN||Rexnord Corp||MACHINE||0.7||6.2||05-19-2014||Pull back below the 1st stage flat base classic pivot of 29.29. Support at the 10wk line so far|
|GMCR||Keurig Green Mountain||RETAIL||-4.8||36.3||05-08-2014||Pull back to the 10wk line, descending multi-week resistance trend line|
|TSLA||Tesla Motors Inc||AUTO||-0.1||41.1||05-08-2014||Pull back to the 10wk line, descending multi-week resistance trend line|
|STZ||Constellation Brands A||ALCOHL/TOB||1.4||19.8||04-09-2014||3 weeks tight|
|EXR||Extra Space Storage Inc||REAL EST||0.5||14.5||04-28-2014||2nd stage flat base (also arguably the handle to a cup w/ high handle), classic pivot at 50.10|
|UIHC||United Insurance Holding||INSURNCE||2.9||4.6||05-01-2014||Pull back and support off the 10wk line|
|CBG||C B R E Group Inc||REAL EST||2.2||4.3||04-25-2014||Removed from Ready List due to RS rating below 70|
|CYNO||Cynosure Inc||MEDICAL||0||7.1||04-28-2014||Removed from Ready List due to RS rating below 70|
|STWD||Starwood Property Trust||REAL EST||1||6.2||05-08-2014||Removed from Ready List due to RS rating below 70|
|HXL||Hexcel Corp||AEROSPACE||-1.2||-5.5||04-21-2014||Removed from Ready List due to A/D rating below C|
|HAR||Harman Intl Industries||CONSUMER||-1.1||27.4||05-02-2014||Removed from Ready List due to A/D rating below C|
|LEN||Lennar Corp Cl A||BUILDING||2.3||2.3||06-23-2014||Removed from Ready List due to A/D rating below C|
|CLB||Core Laboratories Nv||ENERGY||1.3||5.9||04-23-2014||Removed from Ready List due to A/D rating below C|
|CFX||Colfax Corp||MACHINE||2.5||10.3||04-24-2014||Removed from Ready List due to A/D rating below C|
|PNR||Pentair Ltd||MACHINE||0.7||0.7||04-22-2014||Removed from Ready List due to A/D rating below C|
|SBNY||Signature Bank||BANKS||2.1||16.4||04-21-2014||Removed from Ready List due to A/D rating below C|
|DIS||Walt Disney Company||MEDIA||1.8||5.3||05-06-2014||Removed from Ready List due to A/D rating below C|
|PII||Polaris Industries Inc||LEISURE||0.8||-4.4||04-23-2014||Removed from Ready List due to A/D rating below C|
|ARMK||Aramark Holdings Corp||BUSINS SVC||-2.2||6.3||04-28-2014||Removed from Ready List due to Industry Group Rank below 125|
|PRAA||Portfolio Recovery Assoc||FINANCE||1.1||9.1||04-28-2014||Removed from Ready List due to Industry Group Rank below 125|
As always, none of these stocks or ratings should be misconstrued as recommendations to buy, sell, or hold. They are presented here for educational and demonstrative purposes only. All ratings are based on my Stock Evaluation Guide and the charts/data provided by MarketSmith. What I do recommend is that you review the guide and come up with your own criteria. The process of evaluating stocks on an apples to apples basis consistently is what has helped me the most during this exercise.
All EPS Due Dates are derived from the MarketSmith database and should be confirmed on the individual company’s website.