QCOM has gapped up gapped up 13%. Not much chance of catching that. Perhaps I might put in a limit order in case I can catch the bottom of an intraday shakeout at a good price. Otherwise it is too risky. I note that a number of semiconductor manufacturer's are on the cusp of making continuations. However, my own breadth calculations for this area are less than positive at present.
To clarify, the breadth looks fairly6 positive. However, it would have been better if the advance decline line had made a new high and if the Weinstein momentum was increasing.
I've posted about $UBER a few times this week on twitter since it came up in the watchlist on Wednesday.
It confirmed the Stage 2A breakout attempt on 4th November, by closing the week above the Stage 1 base and the three most recent swing highs that had formed this year on more than 2x average weekly volume and with the relative strength moving to a near term high above a newly rising zero line.
So it met the four key criteria that we look for in at the Investor method entry point, and held up through its earnings results. Also of note was the large Volatility Contraction Pattern (VCP) that it formed through the Stage 1 base, which is something I always look for as it shows that the selling pressure is reducing in the stock and hence the path of least resistance is then more likely higher.
Growth in institutional ownership of shares is +263% YoY
Attached is the weekly and daily charts.
With $UBER breaking out into Stage 2 this week, it's important to look at what other stocks in its group are doing to help confirm the move. $LYFT is the main competitor & is currently forming a Stage 1 base, but got its highest ever volume this week as it put in a higher low. So that's a positive for the UBER breakout, as shows there's institutional interest in the group, and UBER is the emerging leading stock of the group.
isatrader
Fate does not always let you fix the tuition fee. She delivers the educational wallop and presents her own bill - Reminiscences of a Stock Operator.
