Trade Opportunity Case Study of the Week: LEU Range Breakout and Reconfirmation – | Sep 21 2025

The Trade Opportunity

The purpose of this weekly article is to analyze the top trading opportunity of the week. To improve our identification and execution of high quality trade ideas that meet our setup requirements.

Each article will focus on a stock that meets one of three of the main categories of setups I trade:

• Range Breakout / VCP / tight area breakout
• Pullback to Support/ Key moving average
• Gapper / Post Gap Setup

These articles are like taking a step into the batting cage and loading up a historical at bat from a Ace pitcher in the world series – they will help you prepare and execute in future situations by studying important moments from the past.

The setups we cover will appear again and again in each market cycle

The market this week continued its strong move from the gap down reversal 2 weeks ago and made new highs.

For this week we will be focusing on one of the best trade opportunities of this move, the LEU Range Breakout. It reconfirmed this week and broke out of the base.

It has risen over 40% since the Sep 10 Trade Lab Setup and was up 30% last week.

LEU Daily Chart:

Discovery – LEU

To catch strong moves you need to have processes in place to get names capable of them on your radar. Think of setting up a funnel system for each of your setups. Distill the characteristics you want it to exhibit and create screens that look for those.

For range breakouts I’m looking for low RMV close to the 10ema and 21ema up the right side of a base.

Here was the setup in the Trade Lab Report from Sep 8

Here was my note on the day before the range breakout. It was also noted as one on my daily focus list. I bought it on the range breakout.

It was on my daily focus list because of how explosive it had been from previous setups like this one during the uptrend. And I liked the look of the upside reversal setup day.

You could also find LEU by regularly going through a general screen like the Deepvue Leaders and visually looking for 21ema ranges.

Setup and Execution

For trading ranges there are four main entry tactics

• Anticipation
• Accumulation versus Range Lows
• Standard Breakout
• Undercut and Rally

I prefer the Standard breakout and undercut and rally as they occur on the day where the stock is making the move.

LEU broke out in the first 15 minutes of the day and the entry was in the first 5 minutes as LEU undercut the prior days late intraday range and rallied higher. A stop at the low of the day would be slightly more than a 2% risk.

With 2% individual stock risk you could size up to 20% (plenty in a high ADR name) and be risking less than 0.5% of your portfolio.

Here is LEU on a 5 min

By the end of the day you had over a 5% cushion on a stock that was showing momentum and moving up the right side.

The next few days LEU consolidated and acted well, forming a new range.

On Sep 15 it looked like it was reconfirming. but then pulled back into the pivot and reset on Sep 17. Note how on the upside reversal on Sep 17 the low held the Sep 15 low and pushed off the 10ema. Good action

This allowed for a re-breakout Sep 18. A chance for an add or initial position. On Sep 18 we had a slight gap up, pull in to the prior days close before LEU took off

Daily Chart

5 Minute Chart

Future thoughts

Here is the current chart of LEU

It is acting great but is somewhat short term extended. The range breakout allowed us to position early and get involved before the range breakout.

A base breakout failure would signal something is wrong. Constructive action would be stair steps higher trending above the 10 and 21emas.

Homework

Take a look at OKLO’s range breakout on your own and look for entry point where you could have managed risk tightly.