Last nights scan I posted two stocks to watch on their breakouts to new highs. One of them, MXFD ended the day up 24% which equated to up over 5 bucks per share today. This is an extremely tightly held float and all shorts are toast. Since ARCA and similar market makers have been the main players in MXFD and KYUS I’m curious if the two are connected and their squeezing MXFD to new highs to keep shorts hurting and out of the game on KYUS. Its possible but either way I don’t anticipate KYUS holds $3.50 more much longer, although it has surprised me with its strength so far. The volume most definitely took a hit compared to last week today and at some point it will dry up until people panic again and sell before the bottom falls out.

There are still many under the radar stocks making new highs and worth keeping your eyes on.

I will have a scan for tomorrow shortly!

DIGA nice chart setting up - great consolidation between .60 and .70 and broke through the .75 resistance - if this breaks previous highs it may be a great area to accumulate for the move over $1

CNSL - Nice move today breaking out of consolidation - on watch for a squeeze over $16 if it breaks

IXYS - Watching for $11 gap and run play followed by a potential short opportunity once a top is put in place (I would not try to guess a top here as it could squeeze more than a dollar)

TAYD - trades extremely thin, with the recent moves in low floaters (such as MXC, FPP, PDO) its worth a watch for any sustained momentum

QCOR breaking out of consolidation - this could test 52 week highs

ENVI making higher highs on a 14 page mailer

PGOG broke to new highs today - not bad volume out of the gate, watching for continuation.

MXFD the blast from the past back again making new 52 week highs to $23.00 only up 2000% percent + for the year on less than $100k revenues.

Never going broke taking a profit is what its all about. The move up was incredible on KYUS - but as always at some point gravity and shorts kick in and you’ll find yourself at a steep haircut off the highs - and this is what you DON’T want to be invovled in. As we saw Friday the battle began between long and shorts, the price had risen just a bit too much in the past weeks and a large correction was imminent. $4.10 had been the support from open Friday which had held all day except moving into close where it began its break down and broke through $4. Fortunately for shareholders ARCA decided to buy everything below $4 and hold it green for the day (more than likely hoping to get another day out of it on any stragglers (mailers) that hadn’t hit yet and may be looking to buy out of open Tuesday - because lets face it, who wants to buy a red stock. For some reason everyone loves chasing the green ones, and they know this. Today out of open the stock moved above $4 to a high of $4.19 - unable to break any higher the breakdown began and the stock took out $4. As you saw triggered everyone to sell immediately. BUT unfortunately you’re probably in one of four predicaments.

1.) You’ve set a limit sell at the bid price and you’re not getting filled
2.) You’ve set a market sell and you’ve even having trouble getting filled
3.) You’ve set a limit far below the bid price are having trouble getting filled

Unfortunately all of these together lead to one EXTREMELY tough sell.

Theres a chance you’re on your 50th modification to your limit order because you kept putting it at the best bid price to sell. Theres also a good chance you’re out but at 50 cents less than where you wanted to be. Long story short - this is a good story to show why greed kills. Sure there will be a physhological bounce point where everyone pulls up their technicals and decides $2.75 or $2.9 might be a good bounce back to $3.30-$3.50 but all in all, this is not going to $35 as the mailer stated. Once shorts cover they’ll help prop it up so they can get better prices to short a second time around and because of that we’ll see a nice bounce.

If you didn’t read my previous posts you can do so HERE and HERE (titled you can’t go broke taking a profit).