The stock market continues to be ugly, and despite the late rally on Monday, you can’t trust it. So, for now, we’ll look at both longs and shorts to see how they are doing.
Denny's Corporation (DENN), a stock we rarely talk about, is in a beautiful rising channel, going from a dollar in 2009 to Monday’s high of 12.60, up 84 cents, or 7%, on nearly 3 million shares. That’s the highest level this stock has reached since we’ve been following it in 1998. More importantly, the rising channel that has formed since 2009, looks like it can take this stock up to 20.00. So Denny’s could be interesting, especially with Monday’s breakout above multiple tops and finishing in a consolidation zone or basing pattern. Look for a mid-channel test around the 13 1/2-14 range, and then perhaps 18 as the secondary. Good volume. Looking for follow-through.
Teladoc, Inc. (TDOC), a new IPO, is acting great, up 1.63 to 33.20, or 5%, on 458,500 shares traded on Monday. It ran up, formed a long consolidation, and then broke out, and looks like it wants to take off and run, but it’s hesitating or stalling. It may need a little bit better technicals. The daily chart shows TDOC as having reached new, all-time highs on Monday. The new target is 36.
Stocks on the Short Side…..
3D Systems Corporation (DDD) continues to fall away, having gone from 96.00 to 12.00, and it’s through the bottom of the channel, down another 82 cents to 12.34, or 6%, on 4.6 million shares, on Monday, and usually that's a sign of an ending move. At this point, it’s hard to predict what is next. Hopefully, someone will step in, buy the company, and turn it around. It was a really good company a few years ago.
REX American Resources Corporation (REX) continues its descent on Monday, down another 1.21 to 50.43, or 2.34%, on 214,750 shares traded. It has a big move with wave one and two, and looks to be calling for a move to 38-39.
Other stocks on the long side include A10 Networks, Inc. (ATEN), ConforMIS Inc (CFMS), Chimerix, Inc. (CMRX), Dynavax Technologies Corporation (DVAX), Exelixis, Inc. (EXEL), Fitbit Inc. (FIT), Amicus Therapeutics, Inc. (FOLD), Lexicon Pharmaceuticals, Inc. (LXRX), Oragenics Inc. (OGEN), ProShares UltraShort Bloomberg Crude Oil (SCO), Sarepta Therapeutics, Inc. (SRPT), YRC Worldwide Inc. (YRCW), and ZELTIQ Aesthetics, Inc. (ZLTQ).
Stocks on the short side include Tableau Software, Inc. (DATA), Emerge Energy Services LP (EMES), Fossil Group, Inc. (FOSL), Iconix Brand Group, Inc. (ICON), Norfolk Southern Corporation (NSC), Qualys, Inc. (QLYS), TriNet Group, Inc. (TNET), Universal Electronics Inc. (UEIC), United Rentals, Inc. (URI), and Zillow Group, Inc. (Z).