Intercontinental Education – The 20% Rule?

Do we have a new superstar in the making with the explosive 20% gain in ten days for New Oriental Education (EDU)?


Intercontinental Exchange (ICE) blasted higher by 20% or so back in late September and early October of last year before consolidating for five weeks. I wrote a detailed case study on the exchange stocks at this time (ICE, ISE and BOT). So far, ICE and BOT have worked while ISE is struggling but gaining some support along the 200-day moving average in recent weeks.

William O’Neil of Investor’s Business Daily suggests holding a stock for at least eight more weeks if it gains 20% or more this quickly. If you held ICE, you would now have a 120% gain in five months and it all started with that quick 20% weekly gain.


EDU was my stock of the day a couple weeks back and has leaped higher by 21% in two weeks. Is this a sign of things to come or just a quick buck that needs to be realized? Whatever the case, set a retracement stop and ride the trend to new highs. Institutional sponsorship is amazing as highlighted in this case study:

Learning about New Oriental Education (EDU) 2/6/07.

Someone is accumulating shares and I want to take the ride with them (I’m the small guy holding on for dear life). If the ride stops, I’ll jump off and move on to the next ride!


EDU Institutional Numbers:
Shares Bought last Period: 6,313,271
Shares Sold last Period: 22,600
Value of Shares Bought: $227,073,203
Value of Shares Sold: $770,637

Additional related Links:
EDU Breakout on Huge Volume! 2/7/07

Intercontinental Exchange (ICE) is HOT 1/12/07

ICE, BOT and ISE Updated 12/11/06

Exchange Stocks: ISE w/ ICE & BOT 10/10/06


  1. Hi Chris, other than my futures-trading blog, I’ve started another Trading Chart Patterns blog at
    Do swing by to have a look & feel free to share your views on my new blog. I constantly strive to improve on content for my trading blogs. Cheers!


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