It is worth remembering, with respect to long breakout setups, that the market has been far more exclusive in terms of upside being permitted to follow-through higher. A few examples of slippery/false breakout of late have been: BDBD CTCT SSTK, among others.
Of course, given how resilient the bull has been in 2013, that circumstance need more mean a true top or anything close to it–It just means we ought not to use the price action this year heretofore, as a crutch when breakouts fail.
Headed into Wednesday, four long ideas I like on sustained strength are: ABBV CHS FNGN VVTV.
As far as short ideas, check back in the morning, though you know I like Ford for a quick move lower.
Drop me your top tickers overnight.
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ABBV and VVTV volume patterns impressive for bulls.
Chess,
What do you think of containerboard stocks IP and PKG? They were really loved in late 2012 through the summer and have been hit on capacity concerns (unfounded, in my view, can discuss further if interested) but I think we start to see value guys step in and make a rotation higher. Plus I think IP accelerated its buyback program and has been eating up shares which it could confirm at one of two conferences by the end of the year. I’ve been in and out of these names so id love your thoughts – IP presents at Citi tomorrow am and could announce the accelerated buyback so might look to add a bit on the open
Issue for me is they have already seen a steep run higher. PKG weekly very very steep.