Peabody Energy Corp. (BTU - NYSE) - This company was just featured in the April 18th, 2006 CANSLIM.net Mid-Day BreakOuts Report at $55.24 with a DailyGraph(R) here as this high ranked leader was breaking out of a sound base. The DailyGraph(R) below was included in that day's report allowing subscribers to easily review both the technical and the fundamental information along with proprietary rankings.

In just five trading sessions, the stock made some dramatic gains (see chart below), continuing to charge to new highs while subscribers were able to quickly profit. You can start receiving the CANSLIM.net Mid-Day BreakOuts Report, the same report where BTU was first featured as a buyable breakout. Plus, you will get immediate access to the CANSLIM.net Featured Stocks Page. This web page lists a handful of high-ranked, leading stocks that are currently near ideal buy points and have bullish technical chart patterns.

Another important factor is the relationship between an uptrend and a stock's pivot point. Typically, stocks begin forming an uptrend after rising above their pivot point. In the event the upward trend is violated, the stock will generally be expected to continue falling until it can retest support. Initial support is often the upward trendline, 50-day moving average (DMA), or its pivot point, whichever is higher. As each or all of the above are violated, concern mounts and investors must eventually heed sell signals, especially when any stock falls more than 7-8% from your buy price.

Peabody Energy Corp. (BTU -1.91 or -3.09% to $60.00) has spent the past five days pulling back towards its 50 DMA line. Normally, this type of action is healthy after a stock has experienced such a massive run. BTU was first featured on Tuesday, April 18th, 2006 in the CANSLIM.net Mid Day Breakouts Report (read here) at $55.24. Over the past four weeks this issue has surged an impressive +40%, so like any stock it was due for a pullback. There are two important external factors which need to be addressed. First, the "M" in CAN SLIM(R) has produced a very challenging environment recently. Second, this pullback has occurred on substantial volume. Normally, one would expect this issue to find support at its 50 DMA, which is slightly higher than its old pivot point of $52.93. Any further losses below its 50 DMA should not be tolerated.

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Another Winning Example For Study +20% Gain in a Week - Tuesday, April 25th, 2005

Leader Pulls Back Toward Its 50 DMA - Thursday, May 18, 2006