We would like to welcome all of our new free subscribers! If you would like to check out our full suite of technical research, please click here for a 30-day free trial.
Also, please note that paid subscribers to the Fairlead Strategies Idea Generator receive more frequent ideas, usually 3 per week, in addition to a table of open ideas that allows them to track their positions. Use the button below to upgrade.
Today, we highlight a long opportunity in CubeSmart (CUBE), a midcap real estate company in the self-storage business:
CUBE has seen upside follow-through after a recent breakout above its 50-day (~10-week) moving average. Short-term momentum indicators point higher, supporting a breakout above resistance from the daily cloud model (not shown) in an additional near-term positive.
Longer term, CUBE has a breakout above resistance from the weekly cloud model, and the REIT looks poised for greater upside given the weekly stochastics point higher with room to overbought territory. Additionally, a new weekly MACD “buy” signal provides a positive intermediate-term catalyst.
CUBE’s breakout suggests a previous high near $51 has a good chance of being tested before a significant correction. A stop-loss can be placed below the rising 200-day (~40-week) moving average near $44.
CubeSmart (CUBE, $46.67)
Target: $51
Stop-Loss: $44