PBR - Darvas Box

PBR - NYSE. Petroleo Brasil SA Petrobras has formed a Darvas box entry at an all time high following a recent volume spike we had in April.  The buyers are well in control of this stock as can be seen by the steadily rising OBV.  Using the Darvas Trading Method, I would place a buy stop order to purchase the stock if it breaks out of its box, above the 77.61 high.  I would place a tight Darvas stoploss just below the box, around 67.50 to protect the position.

ZOLL - Darvas trade

ZOLL - Nasdaq.  Zoll Medical Corp has formed a Darvas box near a previous historic high.  The stock is rising in price and the buyers are well in control here as can be seen by the strong, rising OBV and recent volume expansions.  This suggest a likely further move to the upside.  A breakout of the box on expanded volume would certainly signal an opportunity to become involved in this stock.  Potential target price of around $54.

CWTR - Turning Around

CWTR - Nasdaq.  Coldwater Creek Inc has been bottoming for most of this year after being sold off from its highs near $30.  The buyers are now coming back as can be seen by the turn around in the OBV since mid January 08.  A health sign of early accumulation taking place.  A breakout of 7.00 on increased volume, perhaps ~ 10 or 15m would constitute an entry.  Has gaps to fill at around $11 and the $17 so a lot in favor here for the medium or long term.

ROYL - Flag Up

ROYL - Nasdaq. Royale Energy has formed a Flag Up following a sharp rise in price on a large increase in volume. The pattern has a measurable target price of around $15 that can be obtained by adding the height of the flagpole ($5.50) to the potential point of breakout ($9.50).

ACOR - Darvas Box entry

ACOR - Nasdaq.  Acorda Therapeutics has formed a Darvas box entry at a new high following a large expansion in volume.  Rising OBV shows us the buyers are in control of this stock.  A breakout of the top of the box ($33.00) would constitute a valid entry.  A tight Darvas stoploss should be placed just below the $29.00 and raised up after a valid breakout occurs.

FRPT - Head and Shoulders Bottom

FRPT - Nasdaq.  Force Protection has completed a Head and Shoulders Bottom after breaking out above resistance yesterday.  I would like to see the volume expand more, perhaps to around the 3-4m before getting involved.  There’s a lot in favor here - OBV is rising since the March low implying the buyers have resumed control of the stock.  The target price for the pattern is around 9.00 and there’s a pretty big gap to close around the 15.00 so a good stock to keep an eye on.

EXAC - Darvas box trade

EXAC - Nasdaq.  Exactech Inc has formed a Darvas box at a brand new high following a large change in trading volume.  This stock is showing rising on-balance volume since the start of the year, which suggests accumulation.  A breakout of the top of the box would signal an entry into the stock.  A protective stoploss should be placed just under the 28.91 low, and trailed up as the trade unfolds.