F5 Networks Inc. (FFIV +$4.98 or +7.10% to $75.12) posted a considerable gain today with +28% above average volume that helped it rally above its previously cited pivot point for a new high close. Its color code was changed to yellow based on its recent resilience. It is now clear of virtually all resistance due to overhead supply, and the path of least resistance is more likely to lead it even higher. Disciplined investors may watch for a more powerful gain backed by heavier volume as a reassurance confirming a proper technical buy signal. Meanwhile, its recent chart low ($66.79 on 7/01/10) defines a near-term support level to watch.

Its last FSU section appearance on 6/16/10 under the headline "Volume Barely Met Guideline Behind Breakout Gain" provided detailed analysis and an annotated graph after it appeared featured in yellow in that day's mid-day report (read here) with a pivot point based upon its 5/13/10 high plus ten cents. 

The company currently sports a very healthy Earnings Per Share (EPS) rating of 97 and a Relative Strength (RS) rating of 96.  It resides in the Internet- Networking Solutions group which is an Industry Group showing lots of leadership, satisfying the "L" criteria. In recent months FFIV made a number of appearances in the mid-day report as its quarterly sales and earnings results showed impressive acceleration in the Mar '10 and Dec '09 periods, but it was also noted that it had not formed an ideal base pattern and patience was needed. The company has maintained a good annual earnings (A criteria) history. This stock was first featured in the January 2004 edition of CANSLIM.net News (read here) with a $26.85 pivot point. During the past 6 years, FFIV has built several bases, and it has also been through some tough consolidation periods.