Sunday, April 22, 2012

The stock cleared

The S&P 500 snapped a two-week losing streak, but the Nasdaq failed to do the same. Top-rated stocks also showed some mixed action. Some marquee names further weakened, but a few of them managed gains amid choppy market conditions.
Apple (AAPL) logged a second straight weekly loss. The stock is now in its first test of its 10-week line since it cleared a cup-with-handle base in January. But its pullback came in heavy trading, which is not ideal.
The bellwether has had a long, steep ascent and has been above its 10-week line since December. Apple reports after the market's close Tuesday.


Panera Bread (PNRA), which was No. 40 in last week's 50, dropped out of this week's list. It tumbled 7% for the week and now sports an E Accumulation-Distribution Rating.
Chipotle Mexican Grill (CMG) snapped a 17-week win streak in big volume. A break can be expected after a long advance. But the stock fell hard Friday despite better-than-expected Q1 results late Thursday.
On a bright note SXC Health Solutions (SXCI), Sturm Ruger (RGR) and Spirit Airline (SAVE) all gained ground this week.
Taiwanese chip designer Silicon Motion (SIMO) also had a big week. The stock cleared a low handle in big volume.
Silicon Motion has delivered triple-digit profit growth in the past three quarters. It reports Q1 results Thursday, April 26. Analysts see its bottom line growth slowing to a still respectable 83%.
TransDigm (TDG), an aircraft parts maker, cleared a 121.58 buy point in a flat base. It passed an earlier buy point of 118.31 April 12, but did so in soft turnover.
Elsewhere, Herbalife (HLF) is near a record high after bouncing off its 10-week moving average. Volume, however, has been soft.
GNC Holdings (GNC) is near a record high after testing its 10-week line. Its relative strength line is at a new high ahead of price.
The nutritional supplement retailer came public just over a year ago and has doubled since then.
The IBD 50 fell 1.1% for the week. But SXC Health vastly outperformed with a 22% surge. The pharmacy benefits manager agreed to buy Catalyst Health Solutions for $4.4 billion.

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