The stock made a significant downside correction today. We need this downside correction as CCI already is in extreme overbought area on daily chart. We also should see this current downside momentum as consolidation/correction move. But remember, that we are still intact with the bullish scenario in short-term term so we must see this bearish momentum just as a correctional movement. My model remains mixed with upside bias. I’m a buyer again of Dendreon (DNDN) once it breaks through Monday’s high of $37.24. DNDN can be a great trading stock, but you have to watch it closely.
Advanced Micro Devices (AMD) – The stock has sold off most of June, but looks to have found a bottom last week. The stock closed up $.14 today and continued it’s bullish momentum in a weak market environment. After break key level 8.10, the stock topped at 8.25 and closed at 8.21. Looking at the technical chart, we can see 3 bullish candlestick with higher high and higher low for the past 3 days suggesting that the stock is in strong bullish momentum. The bias is on the upside, targeting 8.75 area. Immediate support is seen at 8.01 followed by 7.82.
Bank of America (BAC) – Looking at the technical chart, the stock is trending very nicely, in short-term but beware of today’s reversal candle. I’m very bullish on BAC but I’ll wait for a retrace to 13.90 – 14 to start buying. Short term perspective is bullish and 15.12 is a conservative objective.
Banner (BANR) – The stock held up well in a weak market environment. BANR broke resistance, but it was during the first 15 minutes of the day, which is not a good time to trade. The stock ended the day up one cent on light volume. The breakout of 2.50 is fundamental to continue the rebound toward 2.75.
Disclaimer : This is not an investment advisory, and should not be used to make investment decisions. Information in AC Investor Blog is often opinionated and should be considered for information purposes only. No stock exchange anywhere has approved or disapproved of the information contained herein. There is no express or implied solicitation to buy or sell securities. The charts provided here are not meant for investment purposes and only serve as technical examples. Don’t consider buying or selling any stock without conducting your own due diligence.