Core Insights - The article discusses the relationship between market behaviors and the impact of various announcements, emphasizing that significant events like earnings beats have a more pronounced effect on stock prices than routine announcements [1][2] - It outlines a three-step process for identifying securities under bearish pressure that are likely to bounce back over the next 10 weeks, focusing on those with a history of recovery [3] Company Analysis: Cadence Design Systems (CDNS) - Cadence Design Systems (CDNS) has experienced a 4% stock gain over the past month but has faced struggles since late October, leading to a Barchart Technical Opinion rating of 40% Buy, indicating a neutral-to-slightly-bullish sentiment among traders [5] - A bespoke algorithm analyzing CDNS stock price data suggests that the forward 10-week returns could range between $323 and $373, with a clustering around $350 based on the last closing price of $337.53 [6] - The current signal indicates a 3-7-D formation, with CDNS stock showing three up weeks and seven down weeks in the past 10 weeks, suggesting potential outcomes between $327 and $383, with price clustering likely around $362 [7]