When stalking stocks and ETFs for potential breakout buy entry, we always prefer to see confirmation on multiple time frames (as opposed to just the daily or weekly chart) because it increases the odds of a successful breakout that follows through to the upside.

The iShares MSCI South Korea Index Fund ($EWY) is one ETF on our internal watchlist as a potential breakout on multiple time frames (daily, weekly, and monthly charts), though the daily chart has yet to present us with a low-risk buy entry point.

Below, the daily chart shows the recent bullish crossover signal when the 50-day moving average crossed above the 200-day moving average. The 200-day MA is beginning to trend higher as well. This indicates a bullish reversal of the dominant trend:



Notice that $EWY is attempting to set its first "higher low" since pulling back in off the swing high in October. Over the next week or two, we would like to see the price action tighten up around the 50-day moving average, which would present us with a low-risk buy entry point.

Zooming out to the weekly chart, we see the current base of consolidation that has formed right at the highs of 2012.

The current base is seven weeks old, and for the most part has held above the 10-week moving average (similar to the 50-day moving average). From here, a breakout above the high of the seven-week base should produce enough bullish momentum to take out the highs of 2012:



The long-term monthly chart shows the tight price action of the past few months. A breakout above the $66 level should lead to a test of the 2011 high (around $70), and potentially a test of the 2008 high at $75:



Our current long position in Financial Bull 3x ($FAS) jumped off support of the 20-day EMA on Friday, after pulling back to a prior swing high from Oct. 22.

If $FAS is unable to break out to new highs this week, then it should at the very least continue to set higher lows along the way. The $FAS swing trade is presently showing an unrealized gain of 5.9% since buy entry, but is nicely poised to rack up much larger gains in the near-term.

Going into today, there are two ETF buy setups and one individual stock buy setup. As always, regular subscribers should note the "Watchlist" section of today's Wagner Daily for our exact trigger, stop, and target prices for each setup. There are also a few updates to stop prices of current positions.

Deron Wagner is the Founder and Head Trader of both Morpheus Capital LP, a U.S. hedge fund, and MorpheusTrading.com, a trader education firm.