Anticipation Setup for Mar 20, 2015

Caution: Our most trusted indication, Number of stocks up 50% in a month, is now at 20. This has lead to corrections in next few days or weeks. You can see it for yourself in the MM data going back few years.

GIMO RDUS TTMI IPGP AMWD DGI AMKR EPAM ONNN JACK FWM

Are some of the stocks today on my watchlist.

What to look for in good anticipation setup

• series of narrow range days in pullback/consolidation
• orderly pullback with no 4% b/d during the pullback or consolidation
• low volume pullback
• low volatility during pullback
• linear first leg if looking as continuation setup
• Stock should go up smoothly and not in volatile manner
• 3 to 10 days consolidation/pullback
• not up 3 days in a row

IPGP, AMWD are two good example of anticipation setup.

The biotech stocks are currently in melt up phase and making some big moves.