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IOMI topped off today, should test $2.00 - a good bounce spot around $1.80

GNVC about topped maybe one last squeeze to $2.50 before it retest $2.00
 

FEED on the verge of a breakout here! Watch for a squeeze towards $18 - then put your shorts on.
 

CROX Tanked after hours and will be in play tomorrow! The chart can’t really tell the tale as far as where we are looking for support - but this should be on heavy radar out of the open. I’m sure there will be a quick dead cat bounce before it sells off some more. Join us in chat in the morning to share your views on it!

Yesterday’s standouts from scan each ended up just where we thought with the exception of GNVC.. .. which I am still not convinced can break to much higher BUT at this point won’t short it unless it squeezes first. EBS and SMSI both lost their support and BIDZ broke down towards the 50 day moving average.

IOMI starting to get a bit toppy around the $2.50 mark.

GENC
This showing no signs of weakness. The way this one moves it could continue towards $30 dollars before it takes a break but highly unlikely. I am looking for a breakout out of open followed by a sell off much like CPST did today. Gaps up a bit higher than its previous close and stays strong until about 10 or 10:30AM before beginning its topping and selling off. I don’t anticpate GENC to test $30 this move.. however that’s not to say it won’t

KOG
Squeezing quite a bit lately - Kodiak Oil and Gas. I’d like to see this push a bit higher before taking a posistion on the short side. This has $3 written all over it but is also carrying a huge move the past few days, so the first sign of weakness may cause a lot of panic.

NOG
Figures… it rhymes with the above mentioned (KOG). This is still in full squeeze move I’d watch it to test $10.00 again out of open before taking on a short because if it breaks today’s highs this will squeeze to $11. If it has trouble getting past today’s high’s of $10.30 watch it like a hawk for the short

CBLI is breaking out nicely above it’s previous highs. It has a gap to fill to the $8 dollar mark but I doubt it does that this round. I’m looking for a gap and run out of open followed by a sell off (this is the play I’m going to try to capture). I think there will be a good $.30 to $.50 downside after it squeezes Tuesday.

MEA
This should test the 12.00 mark tomorrow. It broke the previous top of $11.60 so is carrying some momentum with it. This doesn’t have a very good track record of keeping it’s gains so I’m looking for a short above $12 on its first sign of weakness.

NGS
Natural Gas Services Group, trades a bit thin so I wouldn’t recommend any large position but give me a break $18.39 to 28.74 with no breaks? This may have a gap over $29 but I’m watching for a “gap and crap” scenario. This should retest $27 levels once the squeeze is done.

XCO
Exco Resources fighting towards $24 and winning. I anticipate this opens over $24 and will be watching for weakness from there. I expect a two day sell off from the end of the squeeze similar to SMSI

After last weeks scan for Thursday and Friday provided us with some pretty good results I’ve added some new stocks to watch for Monday. Although many more came about in live chat, I’ve focused on a few stocks that have had rather tremendous moves towards the upside and are approach 100% + moves over the past months. At these levels a short position for the quick trade seems more reliable than jumping in as a long.

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From the last blog EBS, SMSI, GNVC are all similar patterns that are beginning to get a bit top heavy.

GNVC I am watching like a hawk! This continues to become more and more of an over extended move. No matter how attractive the move may look as of its prior close… all nice moves don’t necessarily come to an end… but they do have to take a break… Once the support (longs) decides they’ve done enough and begin taking on too much inventory (stock) this will sharply correct towards the sub 2 dollar mark. This likes to squeeze in the morning and sell off during the day.
How will I play this? I will sit on my hands and watch the daily squeeze (which normally happens 15 minutes after open the past 2 days) and decide what to do. If $2.20 is tested but cannot break, I will take on a short position. If it does, I will wait and let it test $2.30. At $2.30 there will be two plays, the first it breaks and squeezes much higher (which will provide a great short on the spike at a 20 to 30 cent premium to it’s current levels), or it triple tops and screams “SHORT ME” before it takes out Friday’s lows and breaks through $2.00.

DMLP

Dorchester Minerals is on a tear lately taking out its past resistance around the $22 mark. I’m looking for this to test $24 dollars before taking a short position. $24 dollars is the next physiological break for a lot of traders, whether it turns into a short squeeze from there we will only find out with the results of the test. If it does I’d sit back and watch for weakness, there should be a nice 50 cents to $1.00 retrace after the recent move up.

IVAN
Surprisingly Ivanhoe Energy has held it’s recent gains. The 50 and 200 day moving averages will be crossing in the next week turning into what technical traders may refer to as a ‘technical breakout’ on the ‘golden cross’ (when a 200 and 50 day moving average cross). If IVAN doesn’t break $2.10 it’s not really worth the space on your radar screen… but if it does, keep your eyes peeled! Ivanhoe normally carries many surprises as it carries a large base of haters (shorts) which has led to many unexpected jumps in the past, breaking through resistance levels (like $2.10) as if they weren’t even there. One thing that can be expected is a rather quick correction after the squeeze (as we’ve seen in the past). If it breaks $2.10 I am watching for a 30 to 40 cent spike before shorting.

OSCI
Oscient Pharmaceuticals made my scan again. Watching for this one to top off - it has recently broken the 200 day moving average of $2.34. This it trending towards $3.00 very thinly traded. I’d like to see it spike a bit more before shorting it since some new support may form in the $2.30-$2.34 range (last high and 200 day moving average).

PODD
Insulet Corp approaching the 200 day MA at $19.59. I’m looking for a rest test of $19, if unable to break we should see a near dollar or more correction towards the 50 day moving average of $16.30. I’d looking for the move towards $19 right out of open, if it doesn’t make it keep it on radar for signs of weakness.

IOMI
Similar feeling that I had on OSCI. Watching this one to squeeze a bit higher … but overall a rather over extended move. This could see a correction towards $2.00, but may consolidate in the $2.30 range as it did at 1.60. If it does, keep it on radar for weakness. Keep in mind it’s up 300% since mid February. if $2.20 support falls it has two gaps to fill both which happen to be under $2.00.

FCFS
First Cash Financial Services has been slowly moving towards $14.00. FCFS has filled the gap which took place mid January when it opened $4.00 dollars lower and sold off more than $6. This may continue to squeeze towards the $14.50 area where it’s last high was before selling off. I’d watch for the squeeze towards $14 but be eager to short if it can’t break the $13.75 mark. As soon as this retest $13 I wouldn’t be surprised to see a few stop orders triggered giving a quick cover in the $12.25-$12.50 range if not lower…

FAST
Sure … they beat estimates but that doesn’t mean much in this market. RIMM crushed wall street expectations and it turns out it was already priced in, actually … overly priced. This is sitting just under $50.00, I’d watch for the $50 break followed by a quick squeeze towards the $51 mark out of open if any squeeze takes place at all…. this is the move I’d want to short on. It’s had a low of $32 mid January, a low of $37.57 mid March, and now faced with selling pressure on Friday looks rather bearish for the coming weeks.

RECAP
Last weeks blog entry still has many great stocks in play. BIDZ turned out as expected with a big drop on Friday closing just under $9.00. This still has a about 50 cents or so more downside before any technical bounce off the 50 day moving average. IOMI needs to be watched $2.50 is key, if it doesn’t break $2.00 will come rather quickly.

Today’s scan provided us with quite a few trading ideas. Mostly are shorts followed by one bounce play worth watching like a hawk. If you have any questions or comments feel free to leave them below.

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MVIS

Microvision is approaching two points of resistance. The first is the 200 day moving average at $3.91 and the second is the phycological break of $4.00 which also happens to be over a 100% return from the lows. This is my favorite potential short out of the charts posted. This should correct back towards the $3.00 range before it makes any higher highs.

ABMC
Vista Partners gave this stock a price target of $3.20 last week. Sure, maybe over time the speculation will pay off and reward them with the 300% gains they’re looking for, but today it’s approaching some very tough resistance. There are two potential plays here: It broke the 200 day moving average which is normal a very bullish sign, if it can break the double top resistance at $1.00 this could turn into a multi day runner. I would not go long on this stock but I will monitor the activity around $1.00, if it breaks watch for the squeeze towards $1.20. Bottom line - This stock has a better chance of hitting .70 to .80 in the next few days than it does hitting $1.20.

BIDZ
Bidz.com is approaching the 200 day moving average at $9.96. It seems like it’s trying to channel between $7 and $10. This move looks a bit overextended and the short side is beginning to look more and more appealing. Give it one or two more days for a potential squeeze before quickly heading back towards the $8 mark and lower.

IOMI
Lot’s of news lately. This is above all resistance but needs a chance to cool off. I’d give it another day or two at max allowing it to take a breather before any more upside. This has gaps to fill all the way down past $2.00.
 

EBS
Emergent BioSolutions nearing 100% gains since late December. Above all resistance levels and forming a golden cross (where the 50 and 200 day moving averages cross). $10 is going to be tough resistance, watch for any breakout to short on.

SMSI
Smith Micro Software - talk about a choppy chart. I’d pay attention to how this trades below, at, and around $8.00, this is a key level. This can very easily squeeze to $8.50 before taking a dip I’m looking for, but if it fails to break past Wednesday’s high of 8.09, than I’m looking for a cover in the mid $7 dollar range.
 

GNVC
Another stunningly strong and bullish stock. Today was the first real day of selling pressure but still managed gap open, sell off and close the gap and trend back up to close within two pennies of the open. The only worthy play here is if it doesn’t break $2.20. This will head back to the $1.80’s very quickly once support is pulled, 120% gains since the beginning of March. If it does break $2.20 however, sit on your hands and watch for the next sign of weakness.
 

MNKD - Bounce Play
MannKind had a few rewarding bounces today but any gap down tomorrow is worth the watch for the bounce. It formed some strong support at $2.30 today