A positive end to March and a positive start to April. Are we seeing early signs of an overall bull trend continuation of the stock market?
The FTSE closed above support. The S&P 500 printed yet another new record ATH. The start of April sees price break AND close above $4000.
The early signs are certainly there that savvy investors are to be rewarded for their patience and resilience whilst top-callers scurry into their holes until the next time they have a chance to scream ‘top’.
Those standing aside and ‘just watching’ are watching simple profits pass them by and time towards retirement ticking away. But of course, there is always tomorrow, right?
As the saying goes, today is the tomorrow you said yesterday.
With the bumpy start to 2021 potentially behind us, and our portfolio loaded with numerous breakouts from last year as well as pullbacks from this year, we are positioning ourselves to take advantage of the next leg up.
The trend is very much our friend and there is no sign of the bend just as yet. Top-callers take note.
The FREE Facebook Community called the Launchpad is a great place to get involved in conversations
around stocks mentioned in this newsletter and opportunities that may arise during the week.
Let’s get into this week’s newsletter.
Here is how the best performing UK & US stocks, as picked out by our scanning process, have
performed this week.
For a glossary of terms click here.
OUTPERFORMING STOCKS COVERED THIS WEEK
UK Stocks
US Stocks
- 888 Holdings – 888
- Ashtead Group – AHT
- Antofagasta – ANTO
- AECOM – ACM
- Anthem – ANTM
- Cigna – CI
- Extra Space Storage – EXR
- J.B. Hunt Transport Services – JBHT
- Kansas City Southern – KSU
- Old Dominion Freight Line – ODFL
FTSE 100
March closed around 3.5% bullish. A significant step for price closing above support for the first
time in 4 months.
On the weekly timeframe, price continues to trade between the 50sma as support and the 200sma
as resistance and the Sublime trend filter continues to remain green.
On the daily timeframe below, price closed above the 20sma, the 50sma and the 200sma by the
end of trading for the month and the Sublime trend filter closed green. However, price still remains
in consolidation with the Sublime trend filter alternating between green, grey and red since late
last year. Price is also still faced with a number of key resistance levels. We will continue to scan for
stocks that are performing better than the index.
UK STOCKS
888 Holdings – 888
A confirmed circa 30% bullish move for March taking price out of consolidation, onto new ATHs and now trading around the £4 round mark.
On the weekly timeframe, price is trading above the 50sma and the 200sma and the Sublime trend filter is green confirming the emergence of a trend above the previous ATH of May 2018.
On the daily timeframe below, price is trading above the 20sma, the 50sma and the 200sma with all 3 MAs angling up confirming the emergence of a bull trend. The Sublime trend filter is green and in alignment with the weekly timeframe. The signs are all pointing to further strength. However, the trend structure itself is choppy and so we will wait to see a more linear trend to emerge before considering signals for our Phoenix members and positions for the portfolio. The upside potential to the £10 major round number is one to keep an eye on. 
Ashtead Group – AHT
A circa 11.5% bullish confirmed bullish move in March and a circa 3.5% bull move at the start of April shows this stock is going from strength to strength. Price has moved almost 50% since the breakout in November 2020.
The weekly timeframe sees price still trading below the 200sma as resistance and above the 50sma as support. The Sublime trend filter still remains green.
On the daily timeframe below, price continues to trade above the 20sma, the 50sma and the 200sma with all 3 MAs angling up confirming a bull trend. Price is due a correction so do be wary of that and where stop-losses and risk management come in. The depth of the pullback can be managed by well-placed stop-losses to avoid being stopped out prematurely. We have another breakout signal to share with our Phoenix members.
Antofagasta – ANTO
A new stock to the weekly newsletter. Price closed over 23% bullish for February taking price through the previous ATH of January 2011. March was a bearish month pulling back to retest the 2011 level as support and closing above it by the end of March. Closing above previous resistance-turned-support is a strong sign that price is looking to push to new ATHs.
On the weekly timeframe, price is trading above the 50sma and the 200sma and the Sublime trend filter is green confirming the emergence of a trend.
On the daily timeframe, price is trading above the 50sma and the 200sma but needs to move back above the 20sma if it is to push back up to the current ATH. The trend filter is also alternating between green and grey confirming a period of indecision. The current trend structure is also a little too choppy for our liking. With price also faced with the £20 major round-number resistance level, we will be standing aside for now.
If you have watched the 4-part series and are keen to get started, then book yourself in for a 1-2-1 call with a member of the Sublime Trading team. |
S&P 500
Price closed over 4% bullish for March printing yet another record ATH. This momentum continued through to the start of April with price breaking and closing above the $4000 round number.
The weekly timeframe continues to remain bullish with price trading above the 50sma and the 200sma and the Sublime trend filter continuing to show green.
On the daily timeframe below, Thursday’s bar gapped up and continued the bullish momentum in play since the most recent bounce off the 50sma. The Sublime trend filter is green and price is trading above the 20sma, the 50sma and the 200sma. The signs are there for further strength to the upside. We now want to see price making its way towards the $5000 round number. The smart money trade the trend. We would like to see price close above $4000 by the end of trading on Friday as well.
US STOCKS
AECOM – ACM
A 10%+ confirmed bull move in March taking price above $60 and onto new ATHs. The trend in play since the recovery from CV19 is good but the history is a poor one with no sustained periods of trend.
On the weekly timeframe, price is trading above the 50sma and the 200sma and the Sublime trend filter is green confirming the emergence of a trend above the previous ATH of March 2020.
On the daily timeframe below, price is trading above the 20sma, the 50sma and the 200sma and the Sublime trend filer is green confirming a bull trend is in play. The trend structure since the start of the year is a linear one and so we could be seeing a change in personality in this stock. There are far better-looking stocks on our watchlist but this stock is showing signs of potential.
Anthem – ANTM
A confirmed bullish move of over 16.5% for March taking price out of consolidation it had been in since February 2019 and onto new ATHs. This is an expensive stock with price closing in on $400 but one that has the potential to trend given its history.
On the weekly timeframe, price is trading above the 50sma and the 200sma and the Sublime trend filter is green confirming the emergence of a trend above numerous key resistance levels which are now support.
On the daily timeframe below, price is trading above the 20sma, the 50sma and the 200sma and the Sublime trend filter is green in alignment with the weekly timeframe. Price this week has pulled back to the 20sma as support which is not surprising given the 32% push up in price since bouncing off the 200sma as support in February. The next breakout will suggest a trend continuation but it is a break and close above $400 that will be significant for the next leg up. This stock is not for all account sizes given its price. Signals will be shared with Phoenix members accordingly.
Cigna – CI
A confirmed circa 14.5% bullish move for March taking price out of consolidation it has been in since January 2018 and onto new ATHs. This stock has a history of performing well and given that it has now broken out of consolidation, this is a stock to watch.
On the weekly timeframe, price is trading above the 50sma and the 200sma and the Sublime trend filter is green confirming the emergence of a trend.
On the daily timeframe below, price is trading above the 20sma, the 50sma and the 200sma and the Sublime trend filter is green in alignment with the weekly timeframe. Price is finding immediate support at the 20sma but resistance at the $250 round number which has forced price into a mini consolidation. The breakout is always more likely to be in the direction of the trend prior to consolidation and so we favour a breakout to the upside in the direction of the overall bull trend. We just need price to dictate. We will then start sharing signals with our Phoenix members. A little patience for now.
Extra Space Storage – EXR
A confirmed 5.5%+ move to the upside in March and a 2.2% bullish start to April sees price pushing to new ATHs. Another stock with an excellent history of performance and recently broken out from consolidation which started in September 2019. This is also a fairly cheap stock at around $135 so good upside potential.
On the weekly timeframe, price is trading above the 50sma and the 200sma and the Sublime trend filter is green confirming the emergence of a trend.
On the daily timeframe below, price is trading above the 20sma, the 50sma and the 200sma and the Sublime trend filter is green in alignment with the weekly timeframe. We are already sharing signals with our Phoenix members and will continue to do so as this trend unfolds. This is certainly a stock to watch with price likely to target $200 as the next major round number above price.
J.B. Hunt Transport Services- JBHT
A confirmed 13.5%+ move to the upside in March taking price out of consolidation and onto new ATHs. A stock that has the potential to trend but not always the smoothest ride.
On the weekly timeframe, price is trading above the 50sma and the 200sma and the Sublime trend filter is green confirming the emergence of a trend.
On the daily timeframe below, price is trading above the 20sma, the 50sma and the 200sma and the Sublime trend filter is green in alignment with the weekly timeframe. The trend in play since finding support at the 2019 support level just above the 200sma has been made up of deep swings and lengthy periods of consolidation. Price needs to settle down into a more linear trend, which it has been showing signs of since that start of the year if we are to add this to the portfolio. A possible potential after $200 but far better-looking stocks on offer.
Kansas City Southern – KSU
A circa 24.5% confirmed move to the upside in March took price onto new ATHs, which put it on our radar. A stock with a good history of performance and so one to monitor.
On the weekly timeframe, price is trading above the 50sma and the 200sma and the Sublime trend filter is green confirming the emergence of a trend.
On the daily timeframe below, price is trading above the 20sma, the 50sma and the 200sma and the Sublime trend filter is green in alignment with the weekly timeframe. The gap up was from earnings. $250 held strong as support giving price the momentum to form a bull flag, our preferred sign for a bull trend continuation. $300 above price is key resistance which we want to see price break and close above. A stock we have shared signals on before with our Phoenix members and will start doing again on the next valid setup.
Old Dominion Freight Line – ODFL
A confirmed bullish move of just over 12% for March is why we are now sharing signals on this stock with our Phoenix members. This has performed well for us in the past and with price now out of consolidation, it is back on the list of potentials.
On the weekly timeframe, price is trading above the 50sma and the 200sma and the Sublime trend filter is green confirming a trend is in play.
On the daily timeframe below, price is trading above the 20sma, the 50sma and the 200sma and the Sublime trend filter is green in alignment with the weekly timeframe. Price has moved over 14% since the breakout from consolidation in February and has settled into a trend that is being well supported by the 20sma. The longer the consolidation, the bigger the breakout and with price having been in consolidation since September of last year, this is likely to push all the way through to $300 and potentially beyond.
Now that the S&P 500 has broken through $4000 we may have an interesting year ahead of us. Ensure that you position yourself to take advantage of trends that are emerging and stay involved in our FREE Launchpad Facebook group as we keep our members up to date with current market events and opportunities.
Keep it simple. Keep it Sublime.
The ST Team
