It's said a picture is worth 1000 words. Well, on Wall St., a chart is said to be the sum total of all the thoughts, feelings, emotions and opinions about a company, and that the chart is always right.

When I last covered the newspaper stocks four weeks ago, my conclusion was that they were nicely trending up but were too far gone to chase. Gannett, McClatchy and The New York Times have broken out and rallied in the weeks prior; only Lee remained in its pattern. Given the lack of upside potential, there was nothing we could do but wait to enter on a pullback or wait for consolidation patterns to form. Today we'll review the charts to see if either of these two criteria has been met.

When the Internet became mainstream, the newspaper industry was near the top of everyone's "going to die" list. From a business perspective, the economics were too good to be true. Instead of printing and distributing millions of physical papers, one copy could be posted online for all to read.