Hot stocks for Wednesday - Steven Madden and CardioNet
Chart courtesy of www.stockcharts.com ( click to enlarge )BEAT - The technical chart shows the stock broke the rising wedge in early April, and this trendline break is holding. There was a small bounce after the break, but the stock remains way below 27. Looking at price action since mid-April, we can see a sharp decline and then a flat consolidation. A break below these consolidation lows would signal a continuation lower and further the downtrend. Conversely, a break above the consolidation high at $21.48 would be bullish and I would then expect more gains. Watch for a move above 21.48 for a bullish action and a move below 19.55 for serious weakness.
Chart courtesy of www.stockcharts.com ( click to enlarge )SHOO - Stock broke out to all time highs again. This is generally a hot buy from a technical perspective, however and at this point the stock is too extended for additional positions. The RSI indicator at the top of the chart is showing a high overbought reading. This doesn't mean that the price cannot go higher, but it is extended. A correction back to the $27-$28 level would not hurt the long term trend at all, in fact, it would shake out weak hands building a stronger base for a more sustainable assault higher. Right now it is way too risky for a long position.
Disclaimer : Trading stocks involves risk, this information should not be viewed as trading recommendations.The charts provided here are not meant for investment purposes and only serve as technical examples.
That's all Folks. See you tomorrow !!!
AC
