New Featured speculative swing long: FRPT
FRPT is bouncing off the 50 dma on above average volume. This stock is once again finding support right on this line and if history is any guide higher prices and a breakout to new highs should follow. This stock has been in a steady uptrend since Jan 06, has been loaded with constant heavy accumulation the entire way, has had low volume pullbacks when it creates a base, and has max green BOP on 3/4 of the chart. All of this makes this a beautiful chart. The fundamentals are getting MUCH BETTER too. EPS has grown 200 and 109% the past two quarters, with estimates for .59 this year; that is a 556% increase from 2006. Sales growth has been incredible the past eight quarters, ranging between 91% and 999% during that time. This stock makes a good swing long and will be placed in our realtime portfolio. Cut your loss w/ a close below the 50 dma, if the stock does not follow through on this bounce immediately.
New speculative swing longs: EQ CEA
EQ is breaking out above the pennant formation on very strong volume. This stock is breaking out above the highs (minus that one day) of the downtrend line connecting the highs in 2007 after creating this base on lower volume than the volume in the uptrend. The steady uptrend with many unshaded candlestick daily chart patterns (lower open, higher close), with constant accumulation, and BOP never going red makes this a pretty nice looking chart. This stock, however, is not for newbies, due to the horrible fundamentals. EPS is red, red, red and sales growth is slowing to zero. Cut your loss w/ a close below the 54.70 area or the 50 dma, if the stock does not follow through immediately.
CEA is bouncing off recent support and breaking out above the late January resistance on strong volume. This stock, since September, has been in a steady uptrend, filled with steady accumulation, and green BOP. It really picked up pace in late December when volume exploded and the stock raced higher with max green BOP. As the stock created this recent base volume has started to come down and dry up. This overall action makes this a very pretty chart. However, this is not for newbies and I don’t plan on buying more than a few handful of shares as the EPS is HORRIBLE. However, sales are growing 48% and 65% so there is a reason to speculate to some degree on this stock. Cut your loss w/ a close below the 27.71 area, if the stock does not follow through on this bounce.
Adding to current holdings: LTS ECGI
LTS is breaking out above this beautiful flat base, on very strong volume. This is yet another breakout for LTS, after it staged a powerful one in January. Since 2005, every uptrend has been filled with TONS of accumulation and green BOP. This last one was no different. After the beautiful breakout in January on strong volume and max green BOP, this stock took a nice calm breather on very low volume. This very low volume and tight price also came with BOP staying very green to max green the whole way. Combine that with today’s breakout and you have a beautiful chart. This stock is not for newbies as the EPS is not growing much and sales are pretty stagnant just revolving one year to the next between growth and non-growth. Cut your loss w/ a close below the 1.67 area, if the stock does not follow through on this breakout immediately.
ECGI is bouncing off the 50 dma and breaking out of a very long flat base on strong volume. This stock is breaking out of one of the longest flat bases I have seen in a long time. The move off of September was incredible, with huge accumulation and BOP staying green to max green most of the way until the very end of the base. With the volume drying up, BOP did too. Even though BOP did not go green on this breakout and volume surge, the BOP still jumped to levels not seen in a month. This is a very nice chart but not a beautiful perfect chart. This stock is not for newbies as the EPS and sales growth are HORRIBLE; there are no earnings and don’t expect any anytime soon and the sales growth is -51% the past two reporting periods. Ugly. Cut your loss w/ a close below the 50 dma, if the stock does not follow through on this breakout immediately.
