After a nasty shakeout from a false breakout in mid-February, MagnaChip Semiconductor Corp. ($MX) (which IPO’d in March 2011) has tightened up nicely above intermediate-term support of its 50-day moving average, and is holding above near-term support of its 20-day exponential moving average as well. Big breakouts are typically preceded by a tightening of price […]

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On August 2, small-cap stock Cambrex Corp ($CBM) reported quarterly earnings that blew away analyst estimates by 50% (33 cents EPS vs. 22 cents EPS). That day, traders piled into the stock, driving its price 22% higher on volume spike that was nearly 500% greater than average (highlighted by the pink ellipse on the chart […]

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As stocks have been correcting off their recent highs, we are seeing continued divergence among various industry sectors. The financial sector has been showing relative weakness lately, which has caused the inversely correlated Direxion Financial Bear 3x Shares ($FAZ) to form a “higher low” on its daily chart.  Yesterday, on an uptick in volume, $FAZ gapped […]

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