This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

5 Consumer Stocks Setting Up to Charge Higher in 2013

Weight Watchers

We're seeing almost the same setup in shares of Weight Watchers (WTW - Get Report). Like FBHS, Weight Watchers is forming an ascending triangle, with one big caveat: the ascending triangle setup in Weight Watchers is coming at the bottom of a downtrend instead of the top of an uptrend. Even so, the trading implications for both stocks are the same. In WTW's case, the buy signal comes on a breakout above $57.

When you're looking at trades like WTW or FBHS, it's important to think about them in terms of buyers and sellers. After all, patterns like the rectangle don't work because of magic or geometry. Instead, it all comes down to supply and demand in the market. That resistance level at $57 is a price above which there's a glut of supply of shares (it's a place where sellers are more eager to sell and take gains than buyers are to buy). That's why a move above that level is a buy signal -- if WTW can print above $57, it means that increasingly eager buyers have absorbed all of that excess supply that was sitting overhead.

It's worth noting that this could be more than just a short-term pop for WTW -- instead, it could be the start of a new major trend. That's because the 50-day and 200-day moving averages are both starting to roll over and turn higher. The move above $57 would also create a bullish moving average crossover, an added piece of confirmation for upside in this stock. With all of that in mind, it's critical to wait for the breakout before buying...
3 of 6

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free

Check Out Our Best Services for Investors

Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
AMTD $29.83 0.00%
FBHS $55.41 0.00%
GRMN $42.63 0.00%
LII $134.95 0.00%
WTW $12.95 0.00%


Chart of I:DJI
DOW 17,773.64 -57.12 -0.32%
S&P 500 2,065.30 -10.51 -0.51%
NASDAQ 4,775.3580 -29.9330 -0.62%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs