Unless one has been living under a rock for the last month one knows just how strong the healthcare sector has been. The XLV is on a 3 week winning streak up 5.7% and up .8% heading into Friday. It is higher 14 of the last 18 sessions and has acted well POST breakout from a 81.31 cup base trigger taken out on 9/7. The more volatile IBB is sporting a bull flag formation here with a move above 337 carrying a measured move to 372. It remains above a 330 cup base trigger it took out on 8/30 and below shows just how important the round numbers have been. Further below though we look at a lesser known name VNDA on both the short and long term.
In our Wednesday 9/6 Game Plan this is how we presented VNDA. Stocks that can be bought as they take out cup base triggers are VNDA. VNDA is a healthcare play higher by 8% YTD and 11% over last one year period. Earnings are moving in the right direction with back to back gains of 7.4 and .7% on 8/3 and 5/3 after an UNCH finish on 2/16 and a loss of 4.8% on 11/3. The stock is on a current 3 week winning streak higher by a combined 10% and the last 2 months look as if they have just been digesting the 22% move during a previous 4 week winning streak between 6/16-7/7. Enter VNDA above a cup base trigger 17.37 and one can add to through a bullish inverse head and shoulders trigger through 18 in a pattern that began the week ending 9/23/16.
Trigger VNDA 17.37. Stop 16.
Looking at a current view VNDA did break above the 17.37 cup base trigger on 9/7 and today demonstrated solid follow through. I did see a lot of negative tweets on it 9/14 after a perceived weak drug data. That is classic investing 101. Things that should go down and do not will usually work themselves higher. Below is a peek from a much longer time frame. One has to be impressed with the sideways action in a year long pattern after an almost triple from 7 to 18 between weeks ending 3/18/16-9/23/16. The longer the base the more powerful the ensuing move can be upon a breakout.
If you liked what you read why not visit www.chartsmarter.com.
Unless one has been living under a rock for the last month one knows just how strong the healthcare sector has been. The XLV is on a 3 week winning streak up 5.7% and up .8% heading into Friday. It is higher 14 of the last 18 sessions and has acted well POST breakout from a 81.31 cup base trigger taken out on 9/7. The more volatile IBB is sporting a bull flag formation here with a move above 337 carrying a measured move to 372. It remains above a 330 cup base trigger it took out on 8/30 and below shows just how important the round numbers have been. Further below though we look at a lesser known name VNDA on both the short and long term.
In our Wednesday 9/6 Game Plan this is how we presented VNDA. Stocks that can be bought as they take out cup base triggers are VNDA. VNDA is a healthcare play higher by 8% YTD and 11% over last one year period. Earnings are moving in the right direction with back to back gains of 7.4 and .7% on 8/3 and 5/3 after an UNCH finish on 2/16 and a loss of 4.8% on 11/3. The stock is on a current 3 week winning streak higher by a combined 10% and the last 2 months look as if they have just been digesting the 22% move during a previous 4 week winning streak between 6/16-7/7. Enter VNDA above a cup base trigger 17.37 and one can add to through a bullish inverse head and shoulders trigger through 18 in a pattern that began the week ending 9/23/16.
Trigger VNDA 17.37. Stop 16.
Looking at a current view VNDA did break above the 17.37 cup base trigger on 9/7 and today demonstrated solid follow through. I did see a lot of negative tweets on it 9/14 after a perceived weak drug data. That is classic investing 101. Things that should go down and do not will usually work themselves higher. Below is a peek from a much longer time frame. One has to be impressed with the sideways action in a year long pattern after an almost triple from 7 to 18 between weeks ending 3/18/16-9/23/16. The longer the base the more powerful the ensuing move can be upon a breakout.
If you liked what you read why not visit www.chartsmarter.com.