Don't Ignore This Chart!

Renewable Energy Stock Fills Breakaway Gap

Tom Bowley

Tom Bowley

Chief Market Strategist, EarningsBeats.com

It's nice to see a heavy volume gap higher to break a downtrend.  It can be a very strong signal that sentiment has changed on a particular stock or industry group.  While renewable energy stocks ($DWCREE) remain technically-challenged, one of its components - Sunrun (RUN) - has certainly begun to show improving technical signs that could be considered by aggressive traders.  Take a look at the chart:

The bottom of gap support close to 5.40 has been filled and RUN is beginning to turn higher again.  Ultimately, a breakout above 6.50 on a closing basis would indicate a much healthier stock with rising highs and lows.

Happy trading!

Tom

Tom Bowley
About the author: is the Chief Market Strategist of EarningsBeats.com, a company providing a research and educational platform for both investment professionals and individual investors. Tom writes a comprehensive Daily Market Report (DMR), providing guidance to EB.com members every day that the stock market is open. Tom has contributed technical expertise here at StockCharts.com since 2006 and has a fundamental background in public accounting as well, blending a unique skill set to approach the U.S. stock market. Learn More