Trendline Break - Canadian Natural Resource Ltd (USA) (Public, NYSE:CNQ)

As noted in last night's technical picture post, the market had 4 consecutive higher closes, and I was looking for some pullback as many watchlist stocks were extended. So my strategy was to look for gappers on the open and trendline breaks if they setup in an orderly fashion.

The trick with trendline breaks is to wait for price to test the trendline as support, then if price doesn't bounce from the trendline, look for NR shorting opportunities as close to the trendline as possible. In other words, don't jump the gun, otherwise, you might find yourself in a losing trade. V and CNQ (charts below), stocks I traded long last week, setup perfectly.

The first trade was HIG (chart above), a gapper which I found on the Trade-Ideas scanner and Briefing.com gap up list. Notice the consolidation/congestion where price broke down last Thursday. That area acts as resistance, so you want to enter when price moves into that zone, above the blue line.
I took a partial , but eventually after a shallow pullback, HIG extended 100% from the previous day low to the ORH.

AMP, a stock I traded Friday, is setting up a C&H over the past few sessions. $22.00 is the pivot point. Keep it on the focus list.