Identifying Uptrending Companies On Breakout

One way to identify breakout counters is by using the Moving Average Bullish Crossover. To ensure that the breakout is genuine, it should be substantiated with high volume. Bullish Moving Average Crossovers without high volume may signify a short term price correction and the stock may resume its downtrend after a one or two days price surge (i.e. a false breakout).

The RSI can further be used as a confirmation for the potential price upside.     

The ShareInvestor Market Screener performs a Real-Time screen to filter a list of breakout counters with high transacted volume with the following suggested criteria.

  • Moving Average Bullish Crossover – MA(10) crossed above MA(20)
  • Volume Spike – 3 times greater than 5 days average
  • RSI Oversold – RSI(14) below 70 for 1 day

A screen was done on 11th Nov 2015 during market trading hours and the following 2 Bursa breakout counters were found.

  • Tan Chong Motor Holdings Berhad
  • Jaycorp Berhad

Tan Chong Motor Holdings Berhad

Jaycorp Berhad

ShareInvestor Market Screener:

If you have not used the ShareInvestor Market Screener for TA scans, you may have missed out on profitable real-time trading opportunities. The Market Screener is able to:

  • Scan for stocks in overseas markets which include Malaysia, US, Hong Kong, Indonesia, Thailand and Australia
  • TA screen based on real-time information (for Singapore and Malaysia counters only)

A quick recap on other capabilities

  • Able to perform concurrent screens of FA, TA and Consensus Estimates criteria
  • Screen criteria are fully customisable
  • Allows screening for trends based on current and previous years
  • Able to save and reuse your screening criteria easily  
  • Works with AND & OR criteria scans

ShareInvestor Member – Proceed to Market Screener

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Read more on the ShareInvestor Market Screener

The screen results are not to be taken as advice to buy or sell the identified stocks. Each user should go through with his usual self-analysis of his risk appetite and perform additional due diligence before making any investment or trading decision. The progression to become an expert user using this Screener tool is limited only by his capacity to learn and profit from his live experience using ShareInvestor to invest and trade.