[isatrader]

JCP - in early Stage 1, but after a two year Stage 4 decline, it still has a lot of overhead resistance to deal with if it does breakout. So this one could need many more months of basing before it’s a suitable candidate or sharp move to clear resistance as highlighted by the cloud.

Attached is the charts, and I've included the monthly chart as note how large the gap is between the 30 month MA and current base attempt. Highlighting the early nature of the weekly Stage 1 base, as we look for weekly Stage 2A breakouts to also clear or already be above the 30 month MA when they breakout. Which as you can see with JCP is a long way off yet.

So I'm highlighting this stock, as I think it's a good example of something that new people to the method would be tempted to trade if it broke out, but hopefully you can now see the reasons why you wouldn't until the technical attributes had improved much further.

           

[isatrader]

A few for the US watchlist:

ADK - Stage 2A attempt

   


CGNX - Stage 2 continuation breakout attempt

   

[isatrader]

TWTR - Earnings results have seen this jump to over the IPO high in the after hours trade to a high of 52.48, and so will likely open with a gap above the 30 week MA at least and hence move into Stage 1A. Or will it go on a run like FB did after it's similar gap last year and bypass Stage 1 altogether. We will see...

       

[isatrader]

Just to highlight that there are other markets in the world where Stage Analysis works equally well. Here's some stocks of interest in the Australian market in various phases.

[isatrader]

A few for the US watchlist from the early trade scans - EW, X, ZLTQ

           

[isatrader]

YELP - following it's failed Stage 4 breakdown attempt back in April/May, it's now forming a potential cup and handle pattern, so watch for a breakout above $83 for a possible Stage 2 continuation.

[isatrader]

A few more for the watchlist - ACCO (Stage 1), CENT, ICLR, GFIG (gap breakout to new highs on heavy volume, also monthly Stage 2A breakout attempt to thee year highs).

[isatrader]

AMED - Stage 2 continuation to new three year highs, and the monthly chart is attempting a Stage 2A breakout as well.

           


CDXS - highlighted three weeks ago as it attempted to make an early an Stage 2A breakout, but it didn't confirm the breakout as then closed the day well back below the breakout level and so remained in Stage 1. The volume has continued to be strong during the last two weeks at more than double the average and it's continued to move towards the top of the range at a more gradual pace. So there's potential for another Stage 2A breakout attempt.