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BLUEBIRD BIO, INC. (BLUE), a swing trade of ours, has been doing very well. It came off of the support level, jumping 2.85, or 3.7%, to 79.30, on 777,143 shares traded after reaching 80.20 earlier in the day on Tuesday. Average volume. If it can get through resistance at 79.70, I would not be surprised to see it make as run as early as Wednesday to the mid 80’s, and then the mid 90’s.
Kate Spade & Company (KATE) popped, broke out of a coil today on Tuesday, and was up 83 cents, or 4.4%, to 19.61, on 8.9 million shares traded. After the declining topsline and channel were broken, it coiled for a month sideways, and is breaking out again. If Tuesday’s high of 20.07 is taken out, it could run to 22 pretty quickly.
Oclaro, Inc. (OCLR) had a very nice day on Tuesday. A wedge broke on Monday, it followed through on Tuesday, running 94 cents, or 10%, to 10.87, on 14 million shares traded. That was huge volume. This stock broke through all of the tops. I think it’s headed to 13 1/2-14.
U.S. Silica Holdings, Inc. (SLCA) continues to push. On Tuesday, it was up another 2.32, or 4%, to 59.98, on 1.4 million shares traded, reaching a nominal new high at 60.08. It’s in a tremendous uptrend, and headed to 64.00. If it gets through that, the target is 74.00.
Stocks on the long side included Applied Optoelectronics, Inc. (AAOI), ACADIA Pharmaceuticals Inc. (ACAD), Acacia Communications, Inc. (ACIA), AXT Inc. (AXTI), Aircastle Limited (AYR), bluebird bio, Inc. (BLUE), Cara Therapeutics Inc. (CARA), Corbus Pharmaceuticals Holdings, Inc. (CRBP), Syneron Medical Ltd. (ELOS), EMCORE Corporation (EMKR), The Goldfield Corporation (GV), Infinera Corporation (INFN), Intevac, Inc. (IVAC), Direxion Daily Jr Gld Mnrs Bull 3X ETF (JNUG), Kate Spade & Company (KATE), Direxion Daily S&P Biotech Bull 3X ETF (LABU), LSB Industries Inc. (LXU), Oclaro, Inc. (OCLR), OraSure Technologies, Inc. (OSUR), Ignyta, Inc. (RXDX), SolarEdge Technologies, Inc. (SEDG), U.S. Silica Holdings, Inc. (SLCA), Global X Uranium ETF (URA), XOMA Corporation (XOMA), XPO Logistics, Inc. (XPO), 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.