American International Group was a screaming short according to StockTwits traders like @smbcapital. Shares of AIG fell 22% after a 1-20 reverse stock split, and the chart has formed a double bottom breakdown, a distinctly bearish signal. Things look grim for the beleaguered insurer, despite the claims of CEO Ed Liddy who said AIG has…
Novavax is on StockTwits radar as the flu vaccine company signs a deal with Spain’s health ministry to license technology and build infrastructure. Trading well above the upper Bollinger in an uptrend with a rising 20sma suggests that NVAX has more upside potential if it can stay above 2.25. This market can’t seem to get…
Fuqi International (pronounced foo-chee) has caught the attention StockTwits as the Chinese jewelry company forms a bullish triangle breakout. Increasing Asian prosperity bodes well for this precious metals distributor and so growth expectations are rising. High above a rising upper Bollinger, 13.62 is the only visible support, so position accordingly. Broad market conditions continue to…
Palm continues to make multi-year highs and it’s causing plenty of StockTwits chatter. With the Pre in play, the market continues to bet PALM can give Research in Motion a run for their money and grab a few iPhone/AT&T haters. PALM is appearing on my favorite screen, along with memory manufacture magnate STEC and technical…
The best market news I’ve seen is the positive move in the NYSE McClellan Oscillator. This is a very handy short term indicator, and it is saying we have more bounce on the way. It remains below the zero mark so I’m not in a rush to get invested, but I’m getting less cautious about…
Monsanto chatter has been germinating on StockTwits, but stockholders sipped the Roundup as it fell 3.96% to close at 76.16. Despite the hippie outcry, the GM seed business continues to thrive, but folks have taken to eating dandelions, and aren’t spraying weeds with herbicide. The stock formed a bearish triple bottom breakdown and is trading…
Although the financial sector closed positive on Tuesday, the corresponding Bullidex fell .62%, to close at 159. Higher prices mask the internals of the sector, which is decreasing in bullish breadth relative to volatility. This divergence suggests that the rally is false, and that shorting XLF or FAS is a good idea. The XLF remains…
Boeing is causing a stir on StockTwits as the company delays the 787 Dreamliner for a fifth time, closing the day down 6.46%. Unlike many stocks in today’s investment universe, BA has not breached the 2003 lows, which is an impressive feat. BA also remains above the 20sma, which has flattened and is beginning to…
Volatility continues to increase relative to the number of rising stocks, indicated by the 17.69% fall in the S&P500 Bullidex. This trend is not conducive to lucrative investment as the probability of buying a good stock and not getting shaken out diminishes. Though there will certainly be up days, the odds favor further deterioration. Staying…
Medarex is causing a stir on StockTwits due to a new prostate cancer treatment called Ipilimumab. MEDX has had a solid run since forming a double top breakout buy signal on April 22nd, but it has stopped at a level that served as support in June 2006. With the overall market continuing to show weakness,…