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Stock With Strong Pattern Breakout!

|Includes: The Valspar Corporation (VAL)

Hello trader, David K. Randall from Associated Press said "Stock prices and the euro fell Monday as investors worried that Ireland's request for financial assistance may not be the last bailout needed in Europe." Well this is not good for us and many traders probably quit from their position today. Yes, we should quickly sell our stock when it fall below our target and then look for another good stock. And now I have one stock and maybe you would like it.

Valspar Corp (NYSE:VAL) has a solid seven-months flat base pattern and we could see that the stock price breaks its resistance today with high volume. The MACD's fast line crosses above the slow line and the histogram also goes up. Then the slow stochastic also shows a bullish sign. The parabolic SAR also appears below the candlestick and confirms that the stock price would start to go up. I think the stock has a high probability to rise since it has a strong and solid pattern (flat base/ rectangle pattern) and we can put $32.50 as a new support.

 

Source:
www.protegeanalytics.com/2010/11/stock-w...

Disclosure: I'm interested in this stock but have no position yet