Phil's Stock Market Blog

The handle that was forming in ESRX has now broken down back into the lower half of the cup, so it's one of those that didn't move up and break out. This is typical of the later stages of a rally. The hot stocks have broken out a long time ago and put on a good run, and the laggards with low relative strength (like ESRX) haven't quite made it. It usually doesn't pay to anticipate a breakout.