BlackLine saw a positive improvement to its Relative Strength (RS) Rating on Wednesday, rising from 74 to 81.
This proprietary rating measures technical performance by showing how a stock's price movement over the last 52 weeks compares to that of other stocks on the major indexes.
History reveals that the best stocks typically have an 80 or better RS Rating in the early stages of their moves.
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BlackLine broke out earlier, but has fallen back below the prior 65.10 entry from a cup with handle. If a stock you're tracking clears a buy point then declines 7% or more below the original entry price, it's considered a failed base. Wait for the stock to set up and breakout from a new chart pattern and buy point. Also understand that the most recent consolidation is a later-stage base, and such bases are more prone to failure.
BlackLine reported 18% EPS growth last quarter. Sales increased 10%. Keep an eye out for the company's next round of numbers on or around Feb. 11.
BlackLine earns the No. 7 rank among its peers in the Computer Software-Special Enterprise industry group. AppLovin, AppFolio and Descartes Systems Group are among the top 5 highly rated stocks within the group.
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