WuXi PharmaTech (WX) is a mid cap stock showing a big gain in its StockCharts Technical Rank (SCTR) on Thursday. Notice that the SCTR surged above 50 and to its highest level since May. On the price chart, the two lows in the 30.5 area form a possible double bottom. A breakout at 35 would confirm this pattern and target a ~15 percent advance from the breakout area.
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About the author:
Arthur Hill, CMT, is the Chief Technical Strategist at TrendInvestorPro.com. Focusing predominantly on US equities and ETFs, his systematic approach of identifying trend, finding signals within the trend, and setting key price levels has made him an esteemed market technician. Arthur has written articles for numerous financial publications including Barrons and Stocks & Commodities Magazine. In addition to his Chartered Market Technician (CMT) designation, he holds an MBA from the Cass Business School at City University in London.
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