Ready List as of 08/23/2014
Getting the Most out of the “Ready List”
- Standard pivot listed in notes (when applicable): “Standard” or “classic” pivots are included in the notes below when applicable. The Advanced/Alternate pivots must still be viewed by clicking the ticker symbols of the stocks listed. Finding advanced pivots is often more of an art than exact science so it’s important to view it on the charts (click the ticker symbol of any stock mentioned below to view fully annotated charts)
- General commentary: This section is dedicated for our Founder’s overall feeling from the list.
- % 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
- Added details in notes: We’re now including many of the highlights that catch our Founder’s eye including levels of support/resistance levels, important moving averages, advanced pivots (when applicable), and much more!
- *Stock Evaluation Guide Results/Highlighted Flaws: it’s not always easy or even straightforward to compare two stocks let alone over 20 (greater than 20 names typically make the initial “Ready List”). The Stock Evaluation Guide (available by clicking here) we developed provides a way to compare stocks on both a technical and fundamental level with an apples to apples approach. This guide highlights all of the potential flaws (per our methodology) in any given stock and then provides an overall rating. The rating is provided in the table below. How we arrived at that rating and all of the flaws are shown by clicking the ticker symbol of any stock mentioned below). *dedicated to stocks setting up n bases
- Sectors with the Greatest # of Stocks Setting Up: Birds of a feather often flock together and knowing which sectors have the greatest number of setups can help point us toward higher probability setups. Each week we provide a table showing a breaking of all of the Ready List Sectors and the # of stocks per sector.
- Fully Annotated Daily/Weekly Charts: click the ticker symbols in the table below to see fully annotated daily/weekly charts
- NEW FEATURE “Sorting”: You can now sort the table by any column by clicking the column header.
When one sector has so many stocks setting up that it sticks out like a sore thumb, it behooves us to take notice! This week, the Energy sector fits the bill with 13 stocks setting up. The closest two are actually tied for second with 6 stocks each: the Medical and Retail sectors…together they don’t equal the amount of setups this week in Energy! Please don’t misinterpret this enthusiasm as “money in the bag.” That is NEVER the case. As Jesse Livermore once said “The market is NEVER obvious.” That was true in his day, and it’s just as true in ours. It does make sense, however, to pay special attention to the Energy sector this week. As mentioned above Birds of a feather often flock together and knowing which sectors have the greatest number of setups can help point us toward higher probability setups.
Below is a sample of the Ready List. To view the FULL Ready List including over 60 fully annotated daily/weekly charts with notes and analysis, you must be a CYT Premium member.
Rank Rating Symbol Name Sector EPS Due Date % Chg Cur Week % Chg YTD Notes
11 8.95 NOG 08/23/2014 Northern Oil & Gas Inc ENERGY 11-05-2014 3.2 9.5 1st stage cup w/ handle, classic pivot at 17.43. The base is 43weeks long and for most of that base the RS line has been stuck in a descending trend. However, since March NOG has attempted to turn that trend around and is near an inflection point. See if the RS line can break out and lead price over the classic 17.42 pivot
15 8.75 SCTY 08/23/2014 SolarCity Corp ENERGY 11-04-2014 -1.5 24.5 4th stage cup with handle, classic pivot at 76.06, advacned pivot above descending trend line. Support along the ascending trend line, 50dma and potentially 67.80. Note how price action has tightened up particularly on the daily chart
TWTR 08/23/2014 Twitter Inc INTERNET 10-28-2014 2.7 -27.8 On the daily chart, TWTR appears to have formed a mini cup w/ handle with a classic pivot at 45.50 that it just broke out of. While it has been consolidating, note support along the 10dma, the dry up in volume, the tight daily action, and the RS line continuing to trend higher. The next major points of resistance remain at 47.09 and 48
NATI 08/26/2014 National Instrument Corp COMPUTER 10-29-2014 2.3 3.8 Just broke out: 1st stage base on base pattern. NATI broke out of a double bottom on 6/17 on heavy volume. Since then it has formed a 5 week long flat base that has a classic pivot at 33 and an advanced pivot at 32.72.It is just below multi-year resistance and all time highs at 33.20. The descending trend line is less than ideal especially as NATI approaches all-time highs. It has, however, broken above an 8 month descending trendline ahead of price. Support has come in along the 10wk line on heavy volume which is also positive.
WY 08/23/2014 Weyerhaeuser Co REAL EST 10-23-2014 4 8.6 Just broke out: Broke out from 7 year cup with handle consolidatoin on weekly volume that was 171% above average. It has now formed a 1st stage flat base that has a 33.75 pivot. The pull back has been on low volume. The declining RS line is troubling but it too has recently broken out of a year long descending trend line.
OTEX Open Text Corp SOFTWARE 10-28-2014 2.9 23.3 Removed from Ready List due to Industry Group Rank below 125
NTCT Netscout Systems Inc SOFTWARE 10-15-2014 3.2 53.5 Removed from Ready List due to Industry Group Rank below 125
All EPS Due Dates are derived from the MarketSmith database and should be confirmed on the individual company’s website.
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 our Stock Evaluation Guide and all charts are provided by MarketSmith. What we do recommend is that you review the guide and consider using it as a template to develop your own. The process of evaluating stocks on an apples to apples basis consistently is what has helped our Founder the most during this exercise.