The last day of the month and the markets had a pullback session. It was not a surprise. We saw the big one up to overhead resistance last week. This is what we call an overdue kind of consolidation-pullback, or at least the start of one. We’ll see where it goes from here. Meanwhile, there are still a lot of stocks that are up, so we’re going to look at both longs and shorts here.
Heron Therapeutics, Inc. (HRTX), one of our prior swing trades, ran up a little bit, pulled back and consolidated for three or four weeks, and broke out again on Monday, up 3.00 to 38.46, or 8.5%, on 2.3 million shares. Right now, it looks like it’s in run mode. The target is 42 1/2-3/4. Beyond that, this stock could reach up to the mid-to-high 50’s.
Tantech Holdings Ltd (TANH) has been beautiful. It’s had at least 6 waves up, possibly 7, and it broke out again on Monday, up 1.18 to 31.09, or 4%, on 231,800 shares traded. It’s been up 5 consecutive days, and I'm looking for it to head up toward 40, which is the target on this one if it doesn’t pull back and retest first.
Stocks on the Short Side…..
Cimpress N.V. (CMPR) is looking ugly. After the top broke, and it formed a massive pattern, it dropped back another 3.48 to 69.98, or nearly 5%, on a little over a half million shares on Monday. It seems to be indicating that it wants to go lower, testing 60, maybe even 50 at some point.
Tableau Software, Inc. (DATA) is not looking so good as of late. After breaking the trendline and gapping down, it formed a wedge and broke down again, down another 2.99 to 94.17, or 3%, on 2.5 million shares. It’s at secondary support. If that breaks the support level, which is under 90, it may be headed down to the mid 70’s. Be careful with this one.
Other stocks on the long side include Arch Coal Inc. (ACI), Basic Energy Services, Inc. (BAS), Flotek Industries Inc. (FTK), Global Blood Therapeutics, Inc. (GBT), The Medicines Company (MDCO), NeuroDerm Ltd. (NDRM), Oasis Petroleum Inc. (OAS), ProShares Ultra Bloomberg Crude Oil (UCO), ProShares Ultra VIX Short-Term Futures (UVXY), and Whiting Petroleum Corp. (WLL).
Stocks on the short side include Apollo Education Group, Inc. (APOL), CEB Inc. (CEB), Criteo SA (CRTO), Constant Contact, Inc. (CTCT), Tableau Software, Inc. (DATA), Mallinckrodt Public Limited Company (MNK), Skyworks Solutions Inc. (SWKS), Tupperware Brands Corporation (TUP), Universal Electronics Inc. (UEIC), and Varonis Systems, Inc. (VRNS).