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This occurs when a stock has consolidated, formed a base, or has been in a trading range, and then breaks above that level, surpassing resistance at the top of the range or base. Breakouts are suspect if they do not occur on high volume (compared to average daily volume). When playing a stock to buy on the upside breakout, we like to use a “buy stop” which calls for purchase when a stock rises above a certain price.

A stock is said to be on an uptick when the last trade occurred at a higher price than the one before it.

Stock price is trending higher. 

One who looks for out of favor (value priced) stocks.

Companies currently out of favor with investors. These companies usually have low valuation ratios (price/earnings less than the S&P 500, price/sales ratio less than 2, price/book ratio less than 2). 

An investor involved in financing a company’s operations before going public in exchange for an ownership percentage.

The unique, 3-digit number assigned to each Participating Organization and Member to identify it for market transparency.

A trading range occurs when a stock or average moves up and down between a consistent high and low for an extended period of time (days, to weeks, to months). The bottom of the range becomes fairly solid support as the top becomes fairly solid resistance the more times either holds. We play stocks within the trading ranges if they are loose enough to give us some room to maneuver, e.g., a 5 point range or more. A tight trading range is one that is significantly narrower than a particular stock?s usual trading fluctuations. A tight trading range on low volume is usually a very good indicator that a move up is coming.

The period during which the Exchange is open for trading.

The last four reported quarters.