ABG, CDNS, CGNX, CVNA, DKS, EL, ENSG, GPN, OC, PANW, PLAN, PLNT, QGEN, SPGI & TSLA.
| ABG Asbury Automotive Group Inc. ($99.91) - Retailing - ABG returned to a buy signal on Thursday with a double top buy signal at $100. This stock is a 4 for 5’er within the retailing sector that is trading in a positive trend. Demand is in control. Initial support sits at $96, while ABG is testing support at current levels. Note earnings are expected 10/20. |
| CDNS Cadence Design Systems, Inc. ($108.69) - Software - Shares of CDNS moved higher Thursday and broke a double top at $108. This 5 for 5'er moved to a positive trend in April and ranks in the top third of the software sector RS matrix. The stock has also been on an RS buy signal against the market since early-2009. The overall weight of the evidence is positive here and improving. Those looking to add exposure may consider the stock at current levels, with initial support now offered at $98. Note that initial overhead resistance may come at the all-time high of $116 reached in early-September. Earnings are expected on 10/19. |
| CGNX Cognex Corp ($65.73) - Computers - Shares of CGNX moved higher Thursday to break a double top at $66. This 5 for 5'er moved to a positive trend in April and ranks in the top half of the favored computers sector RS matrix. The technical picture is positive here and improving. Initial support can be found at $59 with further support offered at $57, the current location of the bullish support line. Note that further overhead resistance may be found at the multi-year high of $71 reached in early-September. Earnings are expected on 10/28. |
| CVNA Carvana Company ($234.61) - Autos and Parts - CVNA broke a spread triple top at $236 before moving higher to $240 and is now trading at new all-time highs. This stock is a perfect 5 for 5’er that has given two consecutive buy signals, confirming that demand is in control. CVNA ranks 7th out of 51 names in the favored autos and parts sector. From here, support sits at $220. |
| DKS Dick's Sporting Goods, Inc. ($60.27) - Retailing - DKS completed a bullish catapult pattern on Thursday with a double top buy signal at $60 and is now trading at new rally highs. Currently, DKS sits just two points off its all-time high from December 2016 at $62 and is trading on four consecutive buy signals. Furthermore, DKS is a perfect 5 for 5’er within the favored retailing sector that moved back into a positive trend in June. Demand is control. From here, support sits at $55. Note DKS offers a yield of 2.19%. |
| EL Estee Lauder Companies ($219.53) - Retailing - EL reversed back up into a column of Xs on Thursday, creating a higher level of support at $208. The 4 for 5'er ranks in the top half of the favored retailing stock sector matrix and demonstrates positive long-term relative strength versus the market, remaining on an RS buy signal since November of 2009. Demand is in control and EL is actionable at current levels. Resistance can be found at $224, the all-time chart high. |
| ENSG Ensign Group, Inc. ($56.85) - Healthcare - ENSG shares moved higher today to break a double top at $58 and return to a buy signal. This 5 for 5'er has been in a positive trend since July and on an RS buy signal versus the market since May of 2018. ENSG currently ranks in the top decile of its stock sector matrix and is actionable at current levels with a weekly overbought/oversold reading of 25%. From here, support can be found at $54 and $53. Note that earnings are expected 10/28. |
| GPN Global Payments Inc. ($178.74) - Business Products - Shares of GPN continued higher Thursday to break a double top at $182, marking its second consecutive buy signal. This 4 for 5'er moved to a positive trend in mid-September and has maintained an RS buy signal against the market since mid-2015. Weekly and monthly momentum are also each positive, suggesting the potential for higher prices. The overall weight of the evidence is positive here. Initial support can be found at $172, which is also the current location of the bullish support line. Note that the potential for overhead resistance may come at $184, and earnings are expected on 10/29. |
| OC Owens Corning Inc. ($69.43) - Building - Shares of OC pushed higher on Thursday to break a double top at $70, resulting in a fifth consecutive buy signal. The 3 for 5'er ranks in the top half of the favored building sector and recently returned to an RS buy signal versus the market in August. The weight of the evidence is positive and those looking to add new long exposure may consider OC at current levels or upon further bullish confirmation with a break of resistance at $71. Initial support is offered at $66. Note earnings are expected on October 21st. |
| PANW Palo Alto Networks Inc ($251.33) - Software - PANW continued higher Thursday to break a double top at $252. This 3 for 5'er moved to a positive trend in April and has been on an RS buy signal against the market since mid-2018. The overall weight of the evidence continues to improve. Exposure may be considered at current levels, with initial support offered at $236 and further support found at $228. Note that the potential for overhead resistance may be found initially at the all-time high of $272 last reached in August. |
| PLAN Anaplan, Inc. ($64.43) - Internet - Shares of PLAN reversed up into a column of Xs Thursday and broke a double top at $65 before rising to $66 intraday. This marks the stock's third consecutive buy signal and a new all-time high. The 4 for 5'er moved to a positive trend in August and ranks 8th out of 54 names in the internet sector RS matrix. The overall weight of the evidence is positive here, however, the recent price movement has left PLAN in overbought territory so those looking to add exposure would be best served to wait for a pullback or normalization of the trading band. Initial support can be found at $61 with further support offered at $59 and $56. |
| PLNT Planet Fitness Inc ($63.32) - Leisure - PLNT broke a triple top at $63 before moving higher to $64, returning the chart to a buy signal. This breakout also pushed through the stock’s bearish resistance line, flipping the overall trend back to positive and increasing PLNT’s attribute rating to a 2 for 5’er. PLNT is improving on an absolute basis; however, it still remains relatively weak versus the broader market and its peers. We will remain on the sidelines until PLNT is able to demonstrate improving relative strength. From here, support sits at $54. |
| QGEN Qiagen N.V. ($52.58) - Biomedics/Genetics - QGEN shares moved higher today to break a double top at $53 to mark its fourth consecutive buy signal. This 4 for 5'er has been in a positive trend since November of 2019 and on an RS buy signal versus the market since March. QGEN is actionable at current levels with a weekly overbought/oversold reading of 35%. From here, initial support can be found at $47. |
| SPGI S&P Global Inc. ($362.86) - Media - SPGI broke a double top at $364 before moving higher to $368, marking the stock’s second consecutive buy signal. SPGI is a solid 5 for 5’er that has maintained long term relative strength versus the broader market since September 2011. Furthermore, SPGI is trading well above the bullish support line and ranks in the top quartile of the media sector RS matrix. From here, initial support sits at $344 while SPGI faces resistance at $376, the stock’s all-time high reached in early September. Earnings are expected on 10/27. |
| TSLA Tesla Inc. ($446.87) - Autos and Parts - TSLA returned to a buy signal on Thursday with a double top breakouat at $440 before moving higher to $448. This stock is a perfect 5 for 5’er that has maintained a positive trend since October of 2019. Furthermore, TSLA ranks 2nd out of 51 names in the favored autos and parts sector. Demand is in control. Note TSLA is testing resistance at current levels while initial support sits at $352. Note earnings are expected 10/21. |
