Melvin Pasternak, Ph.D.,  is an experienced market technician. He designed a course for TD Waterhouse titled "Winning in the Stock Market," which combined intensive technical and fundamental analysis to uncover how to profitably beat the market. Dr. Pasternak was a professor at the Mount Royal University in Calgary, Alberta, for more than 25 years. In 2006, after retiring, he published his book on candlestick charting, 21 Candlesticks Every Trader Should Know. Due to his trading expertise, he has been interviewed several times by CBC Radio-Canada and the Calgary Herald.

Analyst Articles

When you think of pizza, you don’t often think of technology. But Domino’s Pizza (NYSE: DPZ), one of America’s largest pizza chains, has combined the two into a formula for success. Until 2010, the stock struggled to break $15 as revenue and earnings growth were sluggish. But between 2010 and the end of 2012, earnings accelerated almost 32%, going from $1.45 to $1.91 in the three-year period. The stock responded with a vengeance, up nearly 500% since the summer of 2010. Read More

When you think of pizza, you don’t often think of technology. But Domino’s Pizza (NYSE: DPZ), one of America’s largest pizza chains, has combined the two into a formula for success. Until 2010, the stock struggled to break $15 as revenue and earnings growth were sluggish. But between 2010 and the end of 2012, earnings accelerated almost 32%, going from $1.45 to $1.91 in the three-year period. The stock responded with a vengeance, up nearly 500% since the summer of 2010. The earnings and share price acceleration can be attributed to several factors: successful advertising campaigns, a tastier pizza recipe and international expansion, but perhaps most importantly, technology — specifically digital ordering technology.#-ad_banner-# In many ways, Domino’s is revolutionizing the way pizza is ordered and delivered. Want a steaming-hot pizza? No need to pick up the phone and speak to a person to place an order. Now there’s an app for that. In 2011, Domino’s created an app to order a pizza through an Apple (Nasdaq: AAPL) iPhone. A year later, it followed with an… Read More

Biotech stocks have a history of volatile moves, but the swings in this issue could make the calmest trader seasick. Between April 2009 and April 2010, biotech stock Dendreon (Nasdaq: DNDN) surged nearly 2,000%, from a low near $2.60, to a peak near $54. By July 2011, as management cut sales estimates of its flagship product, the stock had given up 80% of its value and fell to a low near $10.40. There was a countertrend rally to the mid-teens,… Read More

Biotech stocks have a history of volatile moves, but the swings in this issue could make the calmest trader seasick. Between April 2009 and April 2010, biotech stock Dendreon (Nasdaq: DNDN) surged nearly 2,000%, from a low near $2.60, to a peak near $54. By July 2011, as management cut sales estimates of its flagship product, the stock had given up 80% of its value and fell to a low near $10.40. There was a countertrend rally to the mid-teens, but after falling to the mid-$3 range, shares can now be picked up in the low $6 range.#-ad_banner-# Here’s what makes me excited now about the stock technically. It has broken a major downtrend line going back to mid-2011. In December, Dendreon cut through resistance just above $5 like a knife through butter. True, there is some resistance in the $7.80 area, but if this barrier can be exceeded, then the stock could move quickly to between $10 and $12. The shares are volatile, but in this… Read More

You don’t often find a stock with a 7.7% dividend yield in this income starved environment. When it’s supported by a bullish technical outlook and solid fundamentals, you know it’s likely a winning trade! Shares of Rentech Nitrogen Partners (NYSE: RNF) are on a tear. So far in 2013, the stock is up more than 15%, and, as I explain below, the technicals point to further price… Read More

You don’t often find a stock with a 7.7% dividend yield in this income starved environment. When it’s supported by a bullish technical outlook and solid fundamentals, you know it’s likely a winning trade! Shares of Rentech Nitrogen Partners (NYSE: RNF) are on a tear. So far in 2013, the stock is up more than 15%, and, as I explain below, the technicals point to further price appreciation ahead.#-ad_banner-# The master-limited partnership (MLP), which went public in 2011, makes nitrogen fertilizer and industrial chemicals. With a rising global population, and a decrease in arable land, their fertilizer is in high demand. Rentech operates two nitrogen fertilizer plants: one in Illinois, the other in Texas. The Illinois property is located in the heart of the Midwest Corn Belt — the largest consuming area of nitrogen fertilizers in the United States. This past November, Rentech acquired a Texas-based ammonium sulfate fertilizer plant, previously owned by Agrifos. It’s expected that the $158 million… Read More