Break Out Stocks & Consoldiation Patterns for Friday the 9th
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ATPG - up $5 dollars today beats wall street views but then again its up from then $27 range. Watch for a gap and continuation tomorrow before thinking about taking advantage of some profit-taking-correction. This very well may test the $40s before it consolidates in the $36-38 range, thats the spike I’d look for towards $40.
CHTR slowly creeping up, a lot of the lower priced stocks have been holding gains and spiking into the $2s-2.50s so I am waiting for that, if it did sell off it’d be minimal and not really worth taking the risk here. If you look at how it traded today on the 1 minute chart its in a very tight channel.
NYNY - very nice move up over 300% in the past 2 months. These gains have been slow and therefore sustained because of consolidation on the way up at $2.00 and $2.50. $3.50 might be the magnet here, watch for a squeeze off that, if we don’t see one it may want to correct back towards $3.
PWAV headed up on Powerwave shares up on narrower 1Q loss; analysts lift views this may crack towards $4 on a break of $3.50. Although they are still losing money seems like people are confident at these levels, it’s consolidated a bita t $3.25, tested it 3 times… and held.
RHD - NYSE stocks are always hard to predict because sometimes they take on a life different than a normal NASDAQ stock and absorb a ton of stock on the way down and move on air on the way up (aka harder for shorts to predict). Watching for this to continue tomorrow and then should provide a good swing as shorts jump on it. If it heads read after a gap tomorrow its probably a good short but be ready to cut losses quick if it squeezes.
IBM spoke about it today mid day, this is one tough break. It was able to get through the $125 mark and did make a 52 week high however… it fell straight back down after each break. There is some heavy selling pressure at those levels, in fact there was over 300,000 shares at $125 from one seller. Once those were absorbed it spiked about 17 cents after those shares were eaten but quickly fell back towards the $124.60-75s. This may gap in the morning and take out new highs but for some reason either funds don’t want it to break yet or people are still very unsure of the market and are happy to take profits at these levels. Like RIMM, once it settles over $125 people will start talking about how its going to $150-200 once again, their psychological target.
CTT again squeezing much higher than anticipated, this may test $3, its quite a low volume play so very easy to get stuck in this. It’s an FDA type of play Competitive Technologies Files FDA Application for Pain Management Device. So there is some forward looking events on this which is allowing for quite the sustained run, I do expect though… we see $2.50s again after it spikes a bit.
UTEK After consolidating for 2 weeks holding ALL gains, UTEK busted right through the $15 resistance and carried on through the day. $16-17 is possible I wouldn’t anticipate much more for this run.. It may bore out a lot of traders but within 2-3 weeks it’all probably be back to $14. They were upgraded today TSC Ratings’ Upgrades, Downgrades.
May 11th, 2008 at 10:41 pm
[…] ATPG - ALMOST hit the $40 before correcting back to the $36 to $38 range, it played out perfectly as expected on the scan. This is a perfect example of what I’ve explained many times about a “gap and crap” You can view the scan HERE […]
May 14th, 2008 at 10:19 pm
[…] we mentioned HERE. This has been a very bullish move and should squeeze shortly to $5+ Watch for a correction back to […]