As we have previously noted, some of the stocks that have been the most beaten down this year have been experiencing distinct outperformance recently. While not necessarily the worst YTD performers in the index, below are a handful of charts taken from our Chart Scanner tool that have recently broken above the top of their downtrend channels. This does not necessarily mean that these stocks are looking to completely take a 180 in regards to their long term trends, but at least in the short term, they are showing promise. Notably, as it has been the top performing sector yesterday and today, multiple of these stocks are energy plays.
It is not just the stocks that are in downtrends that are showing signs of a breakout. Below are some more stocks that have been in healthy uptrends over the past year or have at least been sideways such as Activision Blizzard (ATVI) and Weyerhauser (WY). For ATVI and WY, both stocks have been in a range for most of the past year. More recently, these two have begun making higher lows and are now at the upper end of these ranges. For ATVI, it’s now looking to fill the large gap from earnings around one year ago. Similarly, Arconic (ARNC), Copart (CPRT), Sysco (SYY), TJX (TJX), T Rowe Price (TROW), and VF Corp (VFC) have all run up to resistance at prior highs, the only difference being these moves are in the context of long term uptrends. In the case of some like CPRT and SYY, the break out is already occurring while others like ARNC and TJX need a bit more work from the bulls. Start a two-week free trial to Bespoke Premium to access our interactive Chart Scanner and much more.