Danaher (DHR) Highlighted As Storm The Castle Stock

Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link.

Trade-Ideas LLC identified Danaher ( DHR) as a "storm the castle" (crossing above the 200-day simple moving average on higher than normal relative volume) candidate. In addition to specific proprietary factors, Trade-Ideas identified Danaher as such a stock due to the following factors:

  • DHR has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $237.3 million.
  • DHR has traded 772,075 shares today.
  • DHR is trading at 2.28 times the normal volume for the stock at this time of day.
  • DHR crossed above its 200-day simple moving average.

'Storm the Castle' stocks are worth watching because trading stocks that begin to experience a breakout can lead to potentially massive profits. Once psychological and technical resistance barriers like the 200-day moving average are breached on higher than normal relative volume, the stock is then free to find new buyers and momentum traders who can ultimately push the stock significantly higher. Regardless of the impetus behind the price and volume action, when a stock moves with strength and volume it can indicate the start of a new trend on which early investors can capitalize on. In the event of a well-timed trading opportunity, combining technical indicators with fundamental trends and a disciplined trading methodology should help you take the first steps towards investment success.

EXCLUSIVE OFFER: Get the inside scoop on opportunities in DHR with the Ticky from Trade-Ideas. See the FREE profile for DHR NOW at Trade-Ideas

If you liked this article you might like

Jim Cramer: Agilent Technology Has Been One of My Favorites

5 Things You Must Know Before the Market Opens Thursday

Wells Fargo Sets 'Market Perform' Rating on Danaher

Lululemon Makes for Luluwavering; Rally Earns Some Trust: Jim Cramer's Best Blog