More High RS Breakouts
The high relative strength stocks
acted beautifully Wednesday,
with fresh breakouts as well as higher highs formed by the first
wave
of breakouts.
SunGard Data Systems (SDS),
on my base-building radar Tuesday, jumped out of a 12-week base as volume surged
50% above the norm.
Medical equipment maker Cantel Medical
(CNTL)
bolted out of an 11-week base on huge volume.
Metro One Telecommunications (MTON)
moved into new high ground on active trade.
Corinthian Colleges (COCO)
followed through on the prior-session breakout and cleared its base.
Fluor (FLR)
printed a new high on active trading.
Pharmaceutical Product Development (PPDI)
and Manor Care (HCR)
rose into new high ground as well.
All stocks are risky. In any new
trade, reduce your risk by limiting your position size and setting a protective
price stop where you will sell your new buy or cover your short in case the
market turns against you. For an introduction to combining price stops with
position sizing, see my lesson, Risky
Business.