$VRTX showing multiple signs of continuation!

2022년 7월 18일

Notes:
* Very strong up trend on all time frames
* Great earnings track record since 2017
* Breaking out of a ~4 month base with higher than average volume
* Printed a pocket pivot
* And offering an early entry relative to its 50 day line
* Breaking above a historical resistance of $290.48 with volume once again (Third time's the lucky charm? ;))
* Formed a relatively flat handle to the double bottom
* Offering a low risk entry

Technicals:
Sector: Healthcare - Biotechnology
Relative Strength vs. Sector: 1.32
Relative Strength vs. SP500: 1.16
U/D Ratio: 1.97
Base Depth: 24.6%
Distance from breakout buy point: 0.03%
Volume 8.7% above its 15 day avg.

Trade Idea:
* You can enter now as it's just breaking out of its double bottom base with higher than average volume and it printed a pocket pivot
* If you're looking for a better entry you can look for one around the 290.5 area as that should hold as support
* One thing to keep in mind is that there are two more historical areas of resistance that will come in the way before we hit the target
* Look for confirming price action around those levels before adding to the position
* Or, if we see lots of rejection around those levels, consider exiting the position earlier

* This stock usually has local tops when the price closes around 11.93% above its 50 EMA
* Consider selling into strength if the price closes 11.73% to 12.13% (or higher) above its 50 EMA
* The last closing price is 6.9% away from its 50 EMA