Leader Charts

The leadership list had a real good week this week – overall up 0ver 5%, and all 10 stocks gained on the week. This may indicate the bounce we are in is a lot stronger than initially anticipated, although that may be something of a stretch at this point, considering we have just had a traditionally low volume week. LPH was the biggest gainer, having hit a bottom of a pullback last Friday (the blue arrows point to last Friday’s candles). It gapped up on Monday, did just about nothing for the rest of the week, but that was good enough for the biggest gainer on the week. This is falling off in volume, which may drop it from the list.
 

PIR was the second biggest gainer, with an almost identical move: bottoming on a pullback and getting a big gap up on the bounce. This has the look of a classic dead cat bounce, and at this point I would be more inclined to short it than buy it.

SLW had the smallest gain on the week, thus qualifying as the “biggest decliner”. This has the same pattern: it pulled right back to a pivot point, bounced, but in this case the bounce is very weak and it has not been able to get back above the 50dma. This is another short in the making.

MED had the second smalest gain. This is one of the few that actually almost looks buyable, the one problem I have with it being the price relative line, which has short up moves followed by very long, shallow declines. The pivot points here are not that clear, but the ones I have here look like a pretty good guess: they project a target of  31.39, which seems pretty reasonable.

2012-11-24 08:42:17

Source: http://samuraitrader.blogspot.com/2012/11/leader-charts_24.html