Don't Ignore This Chart!

Dun & Bradstreet Breaks Out of Consolidation To Lead Publishers

 | 

The Dow Jones U.S. Publishers Index ($DJUSPB) has broken a downtrend on its weekly chart and Dun & Bradstreet (DNB) is one of the best looking companies within this index.  DNB posted revenues and EPS that bested Wall Street consensus estimates on Monday after the bell, then proceeded to clear multi-year price resistance on heavy volume.  A strengthening stock within a strong sector (in 2016) is normally a smart way to ride a bull market.  Check out the chart:

There's a lot to like about this chart, but it could get better.  The DJUSPB has been downtrending vs. the S&P 500 since 2013, but it's on the verge of making a relative breakout.  The red arrow near .1375 is a relative level to watch.  A breakout would suggest publishers are likely to remain a relative outperformer and given DNB's strong quarterly earnings results and high SCTR rank, I'd look for this stock to remain a leader in the group.

Happy trading!

Tom

Tom Bowley
About the author: is the Chief Market Strategist at EarningsBeats.com, where he provides stock market education, guidance, and trading strategies using a unique combination of technical, fundamental, and historical analysis. Tom provides EarningsBeats.com members with four portfolios (Model, Aggressive, Income, and Value), all designed to beat the benchmark S&P 500, and a revolving Watch List of hundreds of companies reporting strong quarterly earnings (must beat both revenue and EPS estimates) and exhibiting technical strength as well. These companies comprise EarningsBeats' annotated Strong Earnings ChartList (SECL), from which Tom trades exclusively. Tom writes a Daily Market Report (DMR) for members to include an executive summary, market outlook, sector/industry watch, and trading ideas. Learn More
Subscribe to Don't Ignore This Chart! to be notified whenever a new post is added to this blog!
comments powered by Disqus