{"id":2214,"date":"2025-07-11T13:40:24","date_gmt":"2025-07-11T13:40:24","guid":{"rendered":"https:\/\/thetradingdictionary.com\/index.php\/2025\/07\/11\/how-to-find-compelling-charts-in-every-sector\/"},"modified":"2025-07-11T13:40:24","modified_gmt":"2025-07-11T13:40:24","slug":"how-to-find-compelling-charts-in-every-sector","status":"publish","type":"post","link":"https:\/\/thetradingdictionary.com\/index.php\/2025\/07\/11\/how-to-find-compelling-charts-in-every-sector\/","title":{"rendered":"How to Find Compelling Charts in Every Sector"},"content":{"rendered":"
\n

Over a number of years working for a large money manager with a rich history of stock picking, I became more and more enamored with the benefits of scanning for constructive price charts regardless of the broad market conditions.\u00a0 Earlier in my career, as I was first learning technical analysis, I devoured work by stock picking guru Mike Webster<\/a> and other William O’Neil disciples who advocated for finding strong charts in any market environment.<\/span><\/p>\n

Given that background, I was super excited this week to apply a true stock picker’s mindset, with the goal of identifying one compelling chart in each of ten S&P 500 sectors.\u00a0 From Communication Services to Utilities, there are plenty of interesting technical setups and nuances to discuss.\u00a0 And if you’re wondering why there are only ten charts instead of 11, that’s because I skipped Real Estate.\u00a0 It’s a smaller sector, which I tend to think of more in terms of sector rotation than specific security selection.<\/p>\n

Let’s kick things off with a top-performing chart in Communication Services that is showing all the signs of accumulation.<\/p>\n

DoorDash Inc. (DASH)<\/h2>\n

While the mega cap Magnificent 7 stocks like Meta Platforms (META) and Alphabet Inc (GOOGL) tend to grab all the headlines, I’m more intrigued by other names in this sector demonstrating positive technical characteristics.\u00a0 DoorDash has been making higher highs and higher lows, and remains above three upward-sloping moving averages.<\/p>\n<\/p>\n

The price is above the 21-day exponential moving average, which is above the 50-day simple moving average, which is above the 200-day simple moving average.\u00a0 Combined with strong but not excessive momentum, along with improving relative strength, and we have a chart that continues to feature bullish signs in July 2025.<\/p>\n

Booking Holdings Inc. (BKNG)<\/h2>\n

If it seems as if DoorDash is a little too overextended, Booking Holdings is a bit earlier on in its breakout journey.\u00a0 Here we can see a clear resistance level around $5300, with a breakout and subsequent retest confirming a new uptrend phase.<\/p>\n<\/p>\n

When a chart like this shows a clear and consistent resistance level, the initial breakout can be quite tempting on the long side.\u00a0 The subsequent pullback to that same breakout point, followed by new support at the breakout point, serves to validate the breakout and confirm the bullish reading.<\/p>\n

With charts like BKNG, I like to use the 21-day exponential moving average as an initial warning sign.\u00a0 As long as the price remains above this short-term trend mechanism, then the uptrend is still intact.\u00a0 If and when the price violates this moving average, that’s when I like to review the chart to determine whether the stock still deserves a place in my portfolio.<\/p>\n

Boston Scientific Corp. (BSX)<\/h2>\n

Our final example, Boston Scientific, is one that I would argue still has a bit to prove.\u00a0 We can observe a clear resistance level around $107.50, which was initially set in February and then retested in May and June.\u00a0\u00a0<\/p>\n<\/p>\n

This is exactly where I would leverage the Alert Workbench on StockCharts<\/a> to let me know when the price has finally broken above this crucial resistance level.\u00a0 I love to save potential breakout candidates to a new ChartList, and then set alerts for if and when the price finally breaks above the entry point.\u00a0 That way, you’re able to identify an opportunity and develop a simple trading plan up front, and then let StockCharts do the “heavy lifting” and keep a close watch on the price action in the days and weeks to come!<\/span><\/p>\n

To see the other seven charts in all their glory, head over to the StockCharts TV YouTube channel<\/a>!<\/span><\/p>\n

<\/div>\n<\/p>\n

RR#6,<\/p>\n

Dave<\/p>\n

PS- Ready to upgrade your investment process?\u00a0 Check out my free behavioral investing course<\/a>!<\/span><\/p>\n

David Keller, CMT<\/p>\n

President and Chief Strategist<\/p>\n

Sierra Alpha Research LLC<\/p>\n

marketmisbehavior.com<\/a><\/p>\n

https:\/\/www.youtube.com\/c\/MarketMisbehavior<\/a><\/p>\n

Disclaimer: This blog is for educational purposes only and should not be construed as financial advice.\u00a0 The ideas and strategies should never be used without first assessing your own personal and financial situation, or without consulting a financial professional.\u00a0\u00a0<\/em><\/p>\n

The author does not have a position in mentioned securities at the time of publication.\u00a0 \u00a0 Any opinions expressed herein are solely those of the author and do not in any way represent the views or opinions of any other person or entity.<\/em><\/p>\n<\/div>\n

<\/p>\n","protected":false},"excerpt":{"rendered":"

Over a number of years working for a large money manager with a rich history of stock picking, I became more and more enamored with the benefits of scanning for constructive price charts regardless of the broad market conditions.\u00a0 Earlier in my career, as I was first learning technical analysis, I devoured work by stock…<\/p>\n","protected":false},"author":1,"featured_media":2215,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[],"class_list":["post-2214","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-stock"],"_links":{"self":[{"href":"https:\/\/thetradingdictionary.com\/index.php\/wp-json\/wp\/v2\/posts\/2214","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/thetradingdictionary.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/thetradingdictionary.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/thetradingdictionary.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/thetradingdictionary.com\/index.php\/wp-json\/wp\/v2\/comments?post=2214"}],"version-history":[{"count":0,"href":"https:\/\/thetradingdictionary.com\/index.php\/wp-json\/wp\/v2\/posts\/2214\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/thetradingdictionary.com\/index.php\/wp-json\/wp\/v2\/media\/2215"}],"wp:attachment":[{"href":"https:\/\/thetradingdictionary.com\/index.php\/wp-json\/wp\/v2\/media?parent=2214"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/thetradingdictionary.com\/index.php\/wp-json\/wp\/v2\/categories?post=2214"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/thetradingdictionary.com\/index.php\/wp-json\/wp\/v2\/tags?post=2214"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}