1. First, let's look at American Realty Capital Properties, a commercial real estate company.
American Realty traded up 1.13% on Thursday to $12.58.
- Thursday's range: 12.40 - 12.60
- 52-week range: 11.76 - 15.33
- Thursday's volume: 8,399,790
- Three-month average volume:
Yesterday's candlestick engulfed the candlesticks of the last four trading days, which implies that on Friday price action will continue higher. The real breakout will happen at a close above yesterday's close. An inside day, however, would offer a cheaper entry. Look for an entry above the 34-day exponential moving average, which is at $12.50. I'd set a stop at a close below yesterday's low of $12.40.
Typically with a rounded-bottom breakout, the target would be the 200-day simple moving average, but there is only about 4% more to go to the 200-day SMA.