The markets were sloppy and choppy on Thursday, and managed to crawl their way back to mixed at the end of the day. This may still be a topping area. Many of the stocks that we follow are still looking good. Let’s take a look at some of those that are looking well. We’ll keep playing the long side. The short side is really tough. The long side is tough, too, but here there are some stocks with momentum.
Akorn, Inc. (AKRX) has been wonderful all year, and has a fabulous rising channel that goes back more than a year, all the way back to 2011, when it was trading single digits. This stock rocketed over 50. Recently, it formed a little pullback to test the moving average and trendline. It gapped up and ran 15% on Thursday, up 7.07 to 53.47, closing near the highs for the day, on 4.9 million shares. That’s the biggest day on an up-day in the last year, year-and-a-half. It was a spectacular day, and it may extend up towards 56 1/2-57. Beyond that, we’ll see if there’s the ability to follow-through. If the longer-term channel is taken out, it would call for a much, much bigger move down the road.
infoblox Inc. (BLOX), one of our Top 20 for the year, was up just 49 cents to 21.23, or 2.4%, on 1.4 million shares. However, after the close, what is significant is that the stock gapped up on an earnings report. It spiked as high as 23.75, then pulling back and forming a nice, after-hour’s ascending coil. That could very well lead to more upside on Friday. Keep an eye on this one Friday morning, because I think we could see 24 1/2, and maybe a lot more than that.
Diplomat Pharmacy, Inc. (DPLO) had an explosive move on Thursday, up 4.57 to 30.09, or 18%, on a half million shares plus. The key is that it broke out of a wedge or coiling pattern, and the on-balance volume on it has been steady through this entire pattern. At this point, I’m looking for a follow-through to test 32 1/2, maybe as quickly as Friday. Keep an eye on this one for potential scalp trade, and then longer-term if it gets through that, it could be breaking out to new, all-time high territory.
Endologix Inc. (ELGX) had a nice pop on Thursday. The pattern itself is a funky-looking, head-and-shoulder inverse. The neckline was broken with a pop on Thursday. The target is for a gap fill up near 17 1/2-18, but it didn’t close great. However, it was still up 1.06 to 15.68, or 7 1/4%, on 2.1 million shares. That’s the biggest volume this year, and the biggest volume on an up-day going way back. There should be some extension on this taking it to the range of 18-19.
Other stocks on Harry’s Charts of the Day included Advaxis, Inc. (ADXS), BroadSoft, Inc. (BSFT), Capnia, Inc. (CAPN), Cempra, Inc. (CEMP), Go, ago Inc. (GOGO), Horizon Pharma, Inc. (HZNP), INSYS Therapeutics, Inc. (INSY), ON Semiconductor Corp. (ONNN), PGT, Inc. (PGTI), Sucampo Pharmaceuticals, Inc. (SCMP), Splunk, Inc. (SPLK), and ZIOPHARM Oncology, Inc. (ZIOP).