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The stock market had another pretty good day on Tuesday. The S&P 500 did much better than the Nasdaq 100, with the DOW and S&P 500 making new, all-time highs, and they still closed positive for the day. We have a lot of stocks here that did well on Tuesday, so let’s get started with a few highlights.
bluebird bio, Inc. (BLUE) has been doing fantastic ever since it popped, pulled back, we gave you a buy on it, and it moved up about 13 points. It exploded 6.80, or 9.4% to 78.95, on 2.1 million shares traded, and continues to look great. My targets are 85, and then 95.
Exelixis, Inc. (EXEL) was up another 42 cents, or 2.36%, to 18.25, reaching a high of 18.29, on 6.2 million shares traded. That’s the highest close since 2001, which is 15 years. There’s a good resistance zone up around 19 1/4. So, it’s getting there, but I think that this kind of momentum, three days to cover, a rising flag, and it’s going to spike towards 22-23.
NVIDIA Corporation (NVDA) jumped another 1.51, or 1.64%, to 93.39, on 10.77 million shares traded on Tuesday. It needs to get through 95 1/4, and then the short-term target is 102-3. This is a great-looking chart.
Western Digital Corporation (WDC) not only looked good on Tuesday intraday, but also on an inside day that took it up another 1.76, or 2.8%, to 63.85, on 4.3 million shares traded. It also looked good in after hours with a great report, and blew out 63 3/4 all the way to 68, and backed off to consolidate. It formed a nice bull-coil, looks like it wants to go higher. There’s some resistance at 69.25 that it could take out as early as Wednesday morning, which is my potential day trade if it gets up there.
Stocks on the long side included Advanced Micro Devices, Inc. (AMD), Avianca Holdings S.A. (AVH), bluebird bio, Inc. (BLUE), Cavium, Inc. (CAVM), Clovis Oncology Inc (CLVS), Conns Inc. (CONN), Deutsche Bank AG (DB), Exelixis, Inc. (EXEL), Francesca's Holdings Corporation (FRAN), KEMET Corporation (KEM), Kopin Corporation (KOPN), Kornit Digital Ltd. (KRNT), Neovasc Inc. (NVCN), NVIDIA Corporation (NVDA), Opko Health, Inc. (OPK), Potash Corporation of Saskatchewan Inc. (POT), Sage Therapeutics, Inc. (SAGE), Terex Corporation (TEX), Tilly's, Inc. (TLYS), TherapeuticsMD, Inc. (TXMD), Western Digital Corporation (WDC), Winnebago Industries, Inc. (WGO), United States Steel Corp. (X), Xencor, Inc. (XNCR), and Zynerba Pharmaceuticals, Inc. (ZYNE).
Days to cover is the amount of short interest divided by the company's average daily share volume. In other words, the number of days required to close out all the short positions. A higher number means more potential fuel to a stock’s rally as shorts cover, and thus accelerate the move, when the stock’s price rises.
On Balance Volume (OBV), developed by Joe Granville, is a running summation of volume on up-days minus volume on down days. OBV rises when volume on up days outpaces volume on down days -- and falls when volume on down days is stronger. A rising OBV reflects positive volume pressure that can lead to higher prices. Conversely, falling OBV reflects negative volume pressure that can foreshadow lower prices.