Home Inns and Hotels Management ADS (HMIN)

We previously profiled this stock when it set up in a powerful ascending base. It never triggered. Rather it sold off into earnings, ruining the pattern.

But HMIN's decline was quickly arrested, the stock bounced back and then exploded to new highs on earnings earlier this week. The company has now posted two consecutive quarters of triple digit year over year EPS acceleration. At least two more are projected.

This is the first time the stock has bounced off its 50 MA since breaking out of a base in July and we consider this to be a buyable event.

Price has pulled into the gap on today's market weakness but is bouncing back on good volume. We're taking entry just south of $34.50 on this rebound. Our stop will be under $34.