Joe Friday saw an opportunity in hard hit Valeant Pharma (VRX) on Friday November the 13th, which was 21 trading days ago. Boy did that end up being a lucky day, as VRX shot up 45%, following the post.
Joe liked the following conditions in VRX; Momentum the most oversold since 2009, Volume was shooting way up (looked like panic selling) and VRX was hitting 15-year channel support and four other support lines, at the same time. (See original post here).
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The Power of the Pattern attempts to find low risk/high reward entry points. One looked to be taking place at (3) above, as it was hitting five support lines at the same time. Below looks at the performance of VRX, since the posting on 11/13.
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Yesterday, VRX had the “7th best day” in its history and the best single day returns since January of 2011.
The table below reflects that VRX just had its best 21-day returns since 2000.
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We’ve continue to find the opportunities in the broad market limiting, with overhead resistance just overhead at the 2,150 zone. We believe huge opportunities like VRX, continue to present themselves and that 2016 should be one of the best years, to make monies in a long, long time!
Full Disclosure- Premium Members own VRX and are pulling up stops on this position.
If you would like to receive Power of the Pattern ideas like we shared on VRX, we would be honored to have you as a member.
In the spirit of the Holidays, we are offering a “Free Trial Premium Membership” at this time. With no obligations, you can see all of the Power of the Pattern research Premium Members receive. Send us an email at [email protected] and ask for your “Free Premium Membership Trial” and we will assist you in getting your Free Trial started ASAP.
While many are focused on the Fed today, we continue to look for opportunities on the “roads less traveled!”
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