Morning Thread

Gator's Chart of the Day

(Daily chart)

Panera Bread is a stock I have never owned.  It's one that Cramer has featured many times on Mad Money but not recently (as far as I know.)  He did give it a buy in the lightning round yesterday.  (I did not see it but that is how it is shown in the Mad Money recap on Yahoo Finance.)  It was mentioned on IBD's site yesterday around noon.

The stock is in a bullish configuration with the 20 day above the 50 which is above the 200 day simple moving average.  It has been basing since November in about an 11% range from 130- 145.  While it does not quite meet the Fitz criteria of a volatility squeeze (6% width on the Bollinger Bands) it's close.

PNRA has broken above the upper band for the 1st time since early December and volume has been increasing which is a sign of accumulation.  It could just keep going but that is not what I expect.  I do look for another day or two of upside movement and the impatient may wish to take a small position in case it does not pull back.  I think the better entry would be after a small move back to test the breakout (about 145) and then buy the bounce.

I have not checked for an earnings date but you should know when they will be reported BEFORE taking a position.