[isatrader]

For the watchlist from Mondays scans - SDM.L, STEL.L (Stage 1), TMZ.L (last highlighted on 1st July as it was attempting to breakout in Stage 2A, which it did managed to.)

           

[isatrader]

For the UK long watchlist today - GFM.L, DCP.L, LSR.L

           

[isatrader]

A few minnows for the watchlist today - BOIL.L, NRRP.L

       

[isatrader]

For the watchlist today - GPX.L, CSSG.L, IPEL.L, CGH.L

               


And on the short side - KLR.L, SDR.L, PIC.L

           

[pcabc]

WIN.L looking to breakout shortly? Cup and handle?
   

[isatrader]

WIN.L looking to breakout shortly? Cup and handle?

WIN.L is one I had on the watchlist last year and have lost track of it, but it looks to be forming a cup and handle pattern, and looks to have completed the first actionable area in the last few weeks when it formed a low handle and made an early breakout. Minervini has this setup in his book on page 243 and calls it the cheat setup, and it's basically the lowest point where he attempts to trade a cup pattern.

If you look at the daily chart you'll also note what looks to be a pocket pivot the day before the cheat breakout completed, and is another possible trader buy point. So it looks promising and is potentially tradable, but my only concern at the moment would be the broad market turmoil that has hit the last few days and looks like it effected it today, although it closed above the cheat handle breakout level. Nice find

   

[pcabc]

If you look at the daily chart you'll also note what looks to be a pocket pivot the day before the cheat breakout completed, and is another possible trader buy point. So it looks promising and is potentially tradable, but my only concern at the moment would be the broad market turmoil that has hit the last few days and looks like it effected it today, although it closed above the cheat handle breakout level. Nice find

Don't tell me nice find, I'll go out and make another impatient buy order... :-) Actually I've held back, I've managed a bit of self control. I'm a little late for the breakout from the cheat. So I'd think sit tight until it hits 152 would make more sense if I were to go for it.

Talking about market turmoil, I believe that I have a much better handle on the method now than I did towards the last quarter of last year. I don't just buy on price charts that look right, I look at volume much more, actually look at 'forest to the trees' etc but I'm having much less luck now. Of course, the sample is too low to be meaningful, it could be me or it could be a hint that it is a tricky time.

[isatrader]

Talking about market turmoil, I believe that I have a much better handle on the method now than I did towards the last quarter of last year. I don't just buy on price charts that look right, I look at volume much more, actually look at 'forest to the trees' etc but I'm having much less luck now. Of course, the sample is too low to be meaningful, it could be me or it could be a hint that it is a tricky time.

I think that ones an easy one to explain, as you only buy UK stocks, and the UK markets have been in Stages 3 and 4 of late and massively under performing the US and other markets, and so if you were using the forest to the trees approach correctly then you wouldn't be doing much buying over the last few months except for in exceptional cases that have A+ potential and can buck the market trend due to having exceptional volume. As the first part of the forest to the trees approach is considering the market Stage.

The FTSE 100 (UKX) for example hasn't been able to break clear of it's volatile Stage 3 range all year, and has shown consistently to be under performing the US market for the last few years.

   

The FTSE 250 (MCX) small caps on the other hand did outperform the US market during late 2012 and the first half of 2013, but has moved into Stage 3 during the last three to four months which has seen it hugely under perform the US market.

   

The FTSE AIM All Share (AXX) is even worse as it made a complete slide through Stage 3 and couldn't manage a single significant bounce, and so moved straight into Stage 4 in the last few months.