Are You Lacking These Setups? Vitality Shares Break Out! | The Canadian Technician


At Osprey Strategic, the principle purpose is to assist purchasers keep away from draw back danger whereas studying to safe extra earnings. Our proprietary momentum scan system searches for irregular volatility which flags the urgency of patrons. It was designed to sign the potential of momentum coming into an underlying identify or sector.

Usually, I – Greg Schnell, write the articles that seem on StockCharts.com. I’ve written on StockCharts for over 10 years now. Since I fashioned our new firm OspreyStrategic.org, I even have Dwight Galusha working with me.

I might prefer to take this chance to introduce the purchasers of StockCharts to Dwight. After reviewing his high quality of labor beneath, you’ll be able to see why he’s such a useful contributor to our purchasers investing within the markets. He compiled these shares beneath for our subscribers and I wished to share the kind of well timed info Dwight sends out and our purchasers look ahead to the setups every single day.

Right here is a bit more info on Dwight and the article he penned in the present day.


Hello I am Dwight Galusha, CMT, and I’m a Technical Analyst at OspreyStrategic.org. I’m targeted on US and Canadian equities utilizing a scientific method of figuring out momentum and discovering indicators inside a pattern. I’ve teamed up with Greg Schnell on this mission the place every day I full a collection of each day setups for our subscribers.

At present I’ll be specializing in a sector that’s not solely exhibiting an acceleration in upside worth momentum however can be breaking out in relative energy. The relative energy indicator is only a easy ratio chart of a inventory divided by a benchmark such because the S&P500 that indicators outperformance. When the road is rising, the inventory is shifting up quicker than the benchmark chosen. This indicator is a crucial device for figuring out alternatives. Extra importantly, throughout instances of market volatility that we’re experiencing proper now, the relative energy indicator can be utilized to seek out pockets of energy. Since most fund managers’ have to outperform the benchmark, cash tends to circulate into sectors and industries exhibiting outperformance. When that benchmark is scuffling with only a few sectors exhibiting energy, it is useful to graphically see a sector breaking out to new multi-year highs. The highest panel on the charts beneath visualize relative energy.

Valero Vitality was a chart that I highlighted to our readers on April 26, 2022, when worth was at $105.14 and threatening a brand new all-time excessive breakout. Be aware of how the relative energy indicator was pushing to a 52-week excessive (signalling outperformance) whereas worth motion was establishing throughout the bull flag continuation sample.

Since then, worth motion went on to surge $24.04 or 22.9% in 8 days. This can be a inventory chart that we’re nonetheless monitoring for additional upside momentum.

Phillips 66 is a chart that began to look within the momentum scans on April 18, 2022, and is a reputation that we have been speaking about within the Osprey Strategic workspace ever since. On Might 5, 2022, I featured Philips 66 once more within the Day by day Setups as worth motion began to breakout to a multi-year excessive whereas the relative energy indicator began to speed up greater. This technical breakout is bullish and suggests additional upside momentum to observe.

Pioneer Pure Sources is a chart I first highlighted within the Day by day Setups on September 24, 2021, when worth motion was at $162.03 and threatening to breakout from a multi-month consolidation / continuation sample. I prompt a stop-loss order may very well be positioned on the $146.40 worth label in case of market failure. 

Since then, worth motion went on to surge $108.15 or roughly 67%. Many extra indicators have been highlighted within the Day by day Setups throughout that uptrend. The latest was this previous Thursday once I alerted our readers to observe for a breakout as worth motion was establishing beneath a 52-week excessive whereas relative energy was already accelerating to new highs. On Friday worth motion did breakout. Now it is the easy case of “pattern can be your buddy till the one time it is not”. device to outline draw back danger is a trailing stop-loss order.

ConocoPhillips is a chart I first highlighted within the Day by day Setups on September 13, 2021, when worth motion was at $57.59 and was beginning to push above the apex of a continuation sample and above horizontal resistance because the PPO momentum indicator was threatening to breakout above the zero line. When the PPO crosses above the zero line it signifies that momentum has turned optimistic.

Since then, worth motion went on to surge $50.10 or roughly 87%. Many extra indicators have been highlighted within the Day by day Setups throughout that uptrend. The latest was this previous Thursday when worth motion was establishing beneath a 52-week excessive and I alerted our readers to observe for a breakout whereas relative energy accelerated to new highs. Just like the Pioneer Pure Sources setup above, worth motion did breakout on Friday. Now it is also the easy case of utilizing a trailing stop-loss order to outline draw back danger.

Meg Vitality is a chart I first highlighted within the Day by day Setups on September 23, 2021, when worth motion was at $8.63 and was threatening to breakout from a multi-month consolidation / continuation sample. I prompt a stop-loss order may very well be positioned on the $7.99 worth label in case of market failure.

Since worth motion went on to surge $13.51 or roughly 160%. Many extra indicators have been highlighted within the Day by day Setups throughout that uptrend. One in every of most up-to-date was on April 27, 2022, within the SetYourStop weblog (which can be featured on the Osprey Strategic Web site) when worth motion was establishing close to the apex of a continuation triangle. That sign went on to return almost 20% in 5 days. Now worth motion as come again to retest the breakout line. That is the place one needs to observe for a continuation of the uptrend whereas defining draw back danger.

Cardinal Vitality is a chart I first highlighted within the Day by day Setups on September 16, 2021, when worth motion was at $3.92 and was threatening a 52-week excessive breakout from a continuation triangle.

Since worth motion went on to surge $4.78 or roughly 120%. Many extra indicators have been highlighted within the Day by day Setups throughout that uptrend. The latest was this Friday within the SetYourStop weblog whereas worth motion is threatening a continuation sample breakout with relative energy enhancing. A breakout from this technical sample could be very bullish and counsel a continuation of the uptrend.

These charts above are the model that I current in my each day electronic mail. These aren’t suggestions, however they signify good setups. Within the description of every of those shares above, I discussed {that a} trailing cease can be utilized to guard capital. As most industries are in a bear market, power associated trades are one of many few remaining industries holding up.  If power associated trades additionally begin to fail, these good setups may also fail. Stops are all the time beneficial.


OK, I hope you loved reviewing a number of the setups. Dwight does nice work each day, serving to our purchasers discover good setups. Due to the way in which Dwight organizes his work, he additionally notices when new sectors and industries are beginning to outperform.

In case you are anxious about lacking the indicators for when to get again into the market, I feel you will get pleasure from the advantages of being a consumer at OspreyStrategic.org. Our annual package deal works out to lower than $20/week. Comply with the hyperlink to the homepage and take our trial provide. It is as much as you to take step one.

Greg Schnell

Concerning the writer:
, CMT, is a Senior Technical Analyst at StockCharts.com specializing in intermarket and commodities evaluation. He’s additionally the co-author of Inventory Charts For Dummies (Wiley, 2018). Primarily based in Calgary, Greg is a board member of the Canadian Society of Technical Analysts (CSTA) and the chairman of the CSTA Calgary chapter. He’s an energetic member of each the CMT Affiliation and the Worldwide Federation of Technical Analysts (IFTA).

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