Even though the stock market is showing signs of wear and tear, there are still some stocks that are making moves and breaking out. So we’re still going to look at some longs here.
Arris Group Inc. (ARRS) has a nice, long channel as well. The angle of ascent has increased or ascended mid-Oct and accelerated. It popped in Dec, popped in Jan, and on Wednesday, it cleanly broke out of the declining topsline of the entire 2-year consolidation, up 36 cents to 16.95, or 2% on 2.5 million shares. It’s not a big gain, although it did close 18-19 cents off the high. It has a short-term target at 18, then secondary target at 19 1/2.
Furiex Pharmaceuticals, Inc. (FURX) had a big day on Wednesday. After a huge pop on solid drug news the last week of Jan, this stock moved sideways and coiled tightly. In the last two weeks it’s gotten narrower and narrower, and on Wednesday, it popped, getting up to 37.25, and backing off to 36.27, up 2.16, or 6.3%, on 200,000 shares. Lite on volume, but this stock could make a major move up to the low 40’s. There is a swing trade target on it at the 38-9 range.
Mitek Systems Inc. (MITK) is continuing five consecutive days up. On Wednesday, it popped another 19 cents to 4.93, or 4%, on 701,000 shares traded. Good volume for this stock. It appears that a major left shoulder-head-right shoulder were broken, it retested the trend line in a nice 3-wave move up, and then an extension. There could be some push back between 5.10 and 5.40. That’s where it’s headed. If it gets through there, this stock could spike up to the 6 1/2 range, which is the next major resistance. The OBV, Balance of Power, and Money Stream are increasing, which is what you want to see when a stock is recovered.
Pharmacyclics Inc. (PCYC) had a special day on Wednesday. A major resistance was broken with a pop, it broke out of a 3-week consolidation, popped to the upside, and ran up 6.66 to 77.03, or 9.5%, on 1.4 million shares. That was the biggest volume on an up day all the way back several months. Look for a test of 80 short-term, and on the long-term pattern, look for it to get up to over 100, but for now, the secondary target is set for the high 80’s.
Other stocks on Harry’s Charts of the Day are Achillion Pharmaceuticals, Inc. (ACHN), Cynosure, Inc. (CYNO), foe, Goldfield Corp. (GV), Hercules Offshore, Inc. (HERO), Proto Labs, Inc. (PRLB), RPX Corporation (RPXC), and Trulia, Inc. (TRLA).