ABM Industries (ABM), a facilities management company, peaked at $31.20 in 2007 and sold off to $11.64. It rallied within two points of resistance in March 2014 and posted a higher low over the summer months. It finally reached resistance last February and broke out in March, hitting $32.49 and dropping into a rectangle pattern that broke to the upside in Wednesday's session, confirming the large-scale breakout.
Buy the high consolidation pattern or a pullback that tests new support between $32 and $32.60. On Balance Volume is slightly below the March peak, generating a minor bearish divergence that could set up a more advantageous entry. Lower-than-average volume in Wednesday's rally adds to that possibility, printing just 80% of the average daily volume. Even so, a tight two- or three-day 60-minute trading range near the high will look interesting for entry as well.
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