EarningsBeats.com Digest for September 24, 2021
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The Power of a Bullish Ascending Triangle
Entegris (ENTG), a semiconductor ($DJUSSC), consolidated for several months before finally breaking out just less than two weeks ago. Continuation patterns can be extremely frustrating because you have to wait for the confirming breakout. On August 14th, I wrote a Trading Places blog article, "What Will Strong Results and an Ascending Triangle Get You?", that highlighted ENTG's ascending triangle. But it took another month before ENTG could finally make the breakout. Here's the current chart:
ENTG actually moved lower one more time after my August 14th article, but didn't lose the short-term price support established by the mid-July bottom. From there, ENTG rallied from 110 to Thursday's close near 135. The measurement, as shown above, is 151, so there's still plenty of more room to the upside before ENTG reaches its initial target. The beauty of ENTG's 23% gain over the past month is that it's occurred while its peer group, the
DJUSSC, has gained less than 10%. Leading stocks in leading industry groups is what helps us outperform the benchmark S&P 500.
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Tom Bowley
Chief Market Strategist
EarningsBeats.com
Better Timing. Better Trades.
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