Stocks in Play for Oct 20: JDSU, LDK, RMBS, SOL

JDS Uniphase Corporation (JDSU) broke down its support today on increased volume and selling pressure making this stock appear that it could easily be sent down to its support around $10. Only the break of the prior support now resistance confirmed by a daily closing will support higher levels. The indicators of the daily chart are still negative suggesting further possible pressure, only a strong closing again above the top of today could change this scenario.

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LDK Solar Co., Ltd. (LDK) – The near-term outlook is bearish and the stock could drop to the $10.44-10 range. Bulls could remain invested with a stop loss at $9.62. This is a crucial level. Breakdown will result in a greater fall.

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ReneSola Ltd. (SOL) – Hold with a stop-loss at $11.89. If stock breaks this level then the stock can head to $11.52 and if this level is breached then the level of $11 is visible. Fresh exposures may be avoided, as the short-term outlook is bearish. A close below $11 would impart further weakness and a subsequent test of $10-10.32 is not ruled out. The trend would turn positive only a close above $13.34. Long positions may be considered on a daily close above this level.

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Rambus Inc. (RMBS) – The decline over the last few days occurred on lower volume and the stock is firming around 19.38. Technically, the stock still in downtrend in short term but at this level is showing some resistance to move down. The current price is above the 50-day moving average of 19.31. Sustained move above the average could signal development of an new uptrend. RMBS looks like it is gonna squeeze some shorts to me. Let’s keep an eye on it.

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Other Stocks to watch:

NTAP – Network Appliance continues to trend higher.Watching for a close above $51.77.

YHOO – Yahoo results beat expectations. The stock has a strong resistance at $16.76.

CTIC – Cell Therapeutics, Inc. is now in Breakout mode. There are some great news about the results of its products that should come to the market soon. Keep the stock in your radar for a possible breakout over $.493.

GIGM – Gigamedia – The stock keeps holding the major support nicely.

THQI – THQ Inc – Watching for a close above $4.24

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.

About Antonio Costa 324 Articles

Antonio Costa is a 35 year old part-time trader who trade stocks in the US market.

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