Hey everybody, we hope you had a great Thursday. The bulls certainly did everything they could do to make sure it was a good day, though I think today's strength was 100% spurred by the announcement that the Obamacare deadline was extended by six weeks. Then again, nothing causes bullishness like bullishness. Traders saw a rather vulnerable market ignore the risks of a pullback and take a step forward, which makes it a heck of a lot easier for other would-be buyers to jump on the bandwagon tomorrow. Who knows? Maybe this is the beginning of a rare-but-possible melt-up. It's sure not about value or the market's fundamentals though. (It hasn't been about either of those things in a while.) As I've been telling you for the past few days, I wouldn't trust any hints the market was dropping now ... and especially this week. The market may have been up Thursday, but for the week it's still clearly range-bound. Until we see something more convincing in either direction, I still don't see a lot of reason to take on any significant bets. Again though, I'll just add how it's going to be very tough - though not impossible - for the bulls to extend the current rally as overbought as it currently is. It's all just a little suspicious, you know? 'Nuff said. So what do I want to talk about with you today? Mostly Commercial Metals Co. (CMC). First and foremost, if you took on a position in Commercial Metals from our October 15th newsletter, you're now up about 8.0% from the opening price of $16.83 on the 16th. That's enough of a gain to start protecting your profits from any pullback. So, my advice here is to put a stop-loss in place. I can't tell you where you should put it exactly; only you know what your personal risk tolerances are. For the newsletter's purposes though, we're drawing a mental line in the sand at $16.90, which will all but assure us of no worse than a breakeven barring the nastiest of bearish gaps. That's not the most exciting part of Commercial Metals Co. today, however. What's most exciting here is how this week's breakout move above a key resistance line probably, as they say, unleashed the hounds. The chart of CMC below is going to look a little familiar. It's the same one we showed you a week and half ago when we were explaining how the stock was being compressed by a falling resistance line and a rising support line. The deeper the stock went into that wedge pattern, the more the pressure to break out of those confines built up. If-and-when released from those shackles, it was apt to be an explosive move. Well, as you can see, this week answered the "if" - the "when" is now. Yes, this week's rally from Commercial Metals Co. is a hot one, but given the age and size of the wedge shape, there's a lot more upside in store. That's still not the whole story here, however. You already know the fundamental side of the story - CMC is undervalued, earnings are growing, and are expected to keep growing too. The forward-looking P/E is a mere 10.3, which is a "value" kind of price even though we're getting "growth" earnings. It's not just Commercial Metals expecting better days ahead either. A lot of people who know a lot more about industrial metals than I do are calling for a major rebound, as explained here, here, and here, for starters. Yet, that's still not the whole bullish story for Commercial Metals. I've mentioned this to you before but I can't say it often enough ... being in the right sector is almost as important in being in the right stock, since 40% of a stock's movement is driven simply by its keeping pace with its sector or industry peers. This may well be the most underappreciated tool in a stock-picker's arsenal. It's also an idea that matters tremendously to us right now because all the metal and steel stocks are breaking out of a long-term slump, telling us the undertow pushing CMC higher is deep and wide, and should last a while. Here's a look at the Dow Jones Steel Index, which popped above a key ceiling at 227.60 last week, and kept going this week. The non-ferrous metals index is also putting some distance between itself and a turnaround effort from a few weeks ago. The related aluminum index and the industrial metals index (some overlap, some not) are giving us similar breakout shapes. No need to show 'em, but trust me - they look about the same. Were every sector or every industry making decisive breakouts from long-term slumps, I wouldn't even bother bringing this one up, because it wouldn't matter. This is a new trend though, and one the rest of the market can't give us. Most other industries are overbought and struggling to make higher highs at this point. But, with steel and metal stocks as a group not participating in the rally over the past two and a half years, they've got a ton of room to keep rising from here. It just so happens that CMC is my personal pick of the litter. We suggested it as a short-term idea, but we're more than willing to let it ride as a long-term holding if it continues to trade well. Is it overkill to analyze the daylights out of a stock the way we just did? Honestly, no, it isn't. In fact, this is the kind of holistic analysis I'd like to be able to do more of for you guys (and gals); the chart AND the fundamentals AND the market environment all matter if you want to be a successful trader. Oh, it didn't used to be that way, but it's the way things are now. Woe to anybody who simply picks a stock because its fundamentals look good on paper at a single point in time. As thorough as my analysis was, honestly, it's still not as thorough as the kind of holistic stock-picking John Monroe's team over at the SmallCap Network Elite Opportunity does on a regular basis. I wish I could just cut and paste how they decided to make the pick they did today for their newsletter's readers, because it serves as a great "how to" for stock-selection. But, I can't do that ... it wouldn't be fair to their subscribers. I can't even tell you which stock the SCN EO picked. But, I can tell you it's worth a look to see how completely (yet efficiently) the SmallCap Network Elite Opportunity decided on today's new trade by combining small and large ideas, as well as company-specific and environment-specific themes. If you want to see exactly what I'm talking about, for free, just utilize the two-week trial to the SCN EO service. You can look at all the old newsletters as well as all their stock picks with your two-week access. Here's how to get it. Or, copy and paste the following link in your browser: http://www.smallcapnetwork.com/?vmpd_ckstr[click_track]=SCN+Newsletter&vmpd_ckstr_redirect=/pages/SCNEO/v1/