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Continuation Breakout Wednesday 2PM 9/04/2024

September 4, 2024 3 min read

Overall Sector and Industry Analysis

Analysis Period: 2024-08-05 to 2024-09-04, 13:30 EST

General Overview:

In the past 30 days, our data displays mixed performance across various sectors. However, in the recent 10 days, performance has varied significantly as some sectors showed robust growth while others stagnated. Let’s break down the performance of specific tickers representing diverse sectors:

  1. Technology (ADBE): Adobe Systems (ADBE) experienced stable prices with relatively higher volume suggesting institutional activity. The stock remained within a consolidation phase but showed potential for a breakout.
  2. Healthcare (RMD, PHAT, NUVL): ResMed (RMD) showed slight resistance levels but maintained upward momentum. Phathom Pharmaceuticals (PHAT) and Nuvalent (NUVL) had steady volume and price gains indicating strong interest.
  3. Consumer Discretionary (CAVA, SPWH, STVN): CAVA Group (CAVA) and Sportsman’s Warehouse (SPWH) faced more volatility but seemed to be gathering upward momentum recently. Steven Madden (STVN) had low trading activity and a narrow price range.
  4. Basic Materials (JBDI): The data for JBDI depicts fluctuations but trending upwards steadily over the last few days.
  5. Financials (FRFHF): Fairfax Financial Holdings (FRFHF) portrayed minimal price volatility, reflecting overall market stability.
  6. Industrial Goods (BOX): Box Inc. (BOX) had a range-bound movement but slight increases recently due to higher volume towards the end of the analyzed period.

Ticker Performance Prediction

Likely Tick Up in Next 2-3 Days:

  • CAVA: Sudden surge in volume suggest buyers stepping in, showing strong bullish signals.
  • PHAT: Consistent upward price movement with higher volume indicates bullish sentiment.
  • ADBE: Consolidation phase might end soon, leading to potential breakout.
  • JBDI: Steady upward trend, especially in the recent 10-day window.

Individual Stock Analysis

CAVA Group Inc (CAVA):

  • Support Levels: $113.05, $112.73, $111.50
  • Resistance Levels: $114.68, $115.00, $116.80
  • Price Action Prediction: Likely to test $114.68, may surge to $115.00 or higher if volume supports.
  • Entry Points: Around $113.05 near support levels
  • Stop-Loss: Below $112.70 to minimize downside risk
finviz dynamic chart for  CAVA

Phathom Pharmaceuticals (PHAT):

  • Support Levels: $16.19, $16.20, $16.40
  • Resistance Levels: $16.80, $17.06, $17.50
  • Price Action Prediction: Strong bullish setup, might breach $17.06 and head towards $17.50.
  • Entry Points: Around $16.20 to $16.40
  • Stop-Loss: Below $16.10 for protection
finviz dynamic chart for  PHAT

Adobe Inc (ADBE):

  • Support Levels: $574.31, $573.48, $571.50
  • Resistance Levels: $577.54, $580.00, $583.00
  • Price Action Prediction: May attempt breakout through $577.54 to test $580.00.
  • Entry Points: Between $574.31 and $575.50.
  • Stop-Loss: Below $573.00 as safeguard.
finviz dynamic chart for  ADBE

JBG SMITH Properties (JBDI):

  • Support Levels: $14.42, $14.10, $13.89
  • Resistance Levels: $15.45, $15.50, $16.00
  • Price Action Prediction: Expected to reach $15.45 resistance soon. If volume maintains, may hit $15.50.
  • Entry Points: Near $14.42 support
  • Stop-Loss: Below $14.00 for risk management
finviz dynamic chart for  JBDI

Conclusion

The overall market appears to be showing pockets of strength across several sectors, especially in technology and healthcare. Momentum signals, backed by volumes, suggest potential upward swings in CAVA, PHAT, ADBE, and JBDI. It’s critical for momentum traders to closely watch key levels and manage risks accordingly.

Happy Trading!

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