The Nasdaq has been hitting some tough days. These days enable setups to show up. One of these setups is Essent Group (ESNT), a mortgage lender, which is surprising.

Look for a breakout of the highs and look to risk a small portion of your account size to see if the break out will continue. In trend following in many cases, stocks break out and then break down. This is reality. Keep your losses small…have a watch list.