If you’re watching a stock during the trading session and aren’t sure if volume is so strong, check the stock quotes at Investors.com. The volume percentage change is continually calculated.
Nursing care facility operator VistaCare went public in December 2002 and by April 2003, it had formed a cup base with a high handle (1). The highest price in the handle was 19.
Within the handle, the stock fell 11.6%, in range with the typical handle on a cup base during a bull market. Meanwhile, stocks were taking off and leading growth names were bursting out of bases after the market followed through on March 17, 2003, Day 4 of a new rally attempt. On that day, the Nasdaq soared 3.9% in higher turnover; the S&P 500 gushed 3.5% higher.
VistaCare broke out on April 28, 2003, in heavy volume, then held above the 19.10 buy point two weeks later during a pullback that became a bullish reversal (2).
On the breakout day, VistaCare showed decent ratings on IBD Stock Checkup despite being such a young new public company: a 72 Composite, 80 EPS, 78 RS and A- for Accumulation/Distribution.
Investors who bought at the correct buy point stood to more than double their money by year’s end.
Article from: https://www.investors.com(contact:firstname.lastname@example.org)