Stocks to watch Wednesday - Ciena and JDS Uniphase

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CIEN - The technical day chart is showing that the stock is on a bounce back rally after it lost more than 20% of its value since September. RSI is turning up and is now at 42. MACD indicator is rising above 0 also indicating a buy, and KD line shows the stock is on the positive swing. OBV is beginning to turn around which suggests the stock is no longer being sold off. In my opinion, this stock has been undervalued relative to the sector. The growth in the networking sector is now surging again. The stock is displaying upside momentum and is poised to move higher from these levels. Let’s see whether the stock can gather enough momentum to break through 12,65. If the Bulls are able to push through this level, there will be another rally towards 13,98. The uptrend continuation scenario is slightly more likely at the moment. Shareholders may remain invested with a stop-loss at 11,86.

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JDSU broke its resistance level based on yesterday chart on heavy volume confirmation ,indicating that this breakout is more likely to be real. Money flow has trended up well since last week. In addition the MACD indicator is above its signal line and is indicating further strength. The daily chart of JDSU suggests a strong confidence in stock, a clear uptrend momentum. Honestly speaking, there is a lot of upside potential in this stock, which makes it worth watching for the next few days. Keep watching the stock and expect to see another upside move soon. Next resistance is at $7.08.

Other Stocks to watch - ( Pattern is Bullish Engulfing )

SBUX - Starbucks Corporation
CVX - Chevron
HOLX - Hologic, Inc.
VVUS - Vivus, Inc.
CLWR - Clearwire Corp A
WYNN - Wynn Resorts LTD
AXL - American Axle
AEM - AGNICO EAGLE MINES LTD
AAP - ADVANCE AUTO PARTS INC
SVA - SINOVAC BIOTECH LTD
CNW - C N F TRANSPORTATION
SJR - SHAW COMMUNICATIONS
ELY - CALLAWAY GOLF CO
ACPW - Active Power, Inc.
CBB - Cincinnati Bell
SVNT - SAVIENT PHARMS
AOI - DIMON INC
ABFS - Arkansas Best Corporation
IUSA - Infogroup Inc
ITG - INVESTMENT TECHNOLOGIES
PRX - Par Pharma Cos
WRB - WR Berkley Corp
LYG - Lloyds Bankg Grp
LNT - Alliant Energy Corp
COT - COTT CORP
CYH - COMMUNITY HEALTH
IPXL - Impav labs Inc
AAV - Advantage Oil&Gs
UQM - Unique Mobility Inc
KAZ - Interunion Financial
ONXX - ONYX Pharmaceutical
NVS - NOVARTIS A G
OSIP - OSI Pharmaceuticals
VR - Validus Holdings Ltd
THI - Tim Hortons
RGS - RGS ENERGY GROUP INC
GIGM - GigaMedia Limited
CGR - CLAUDE RESOURCES INC
HSTX - HARRIS STRATEX NETWORK
PVA - PENN VIRGINIA CORP
MATK - Martek Biosciences
JAS - JO-ANN STORES INC
NSU - NEVSUN RESOURCES LTD

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 !!!
Cheers!

AC

Labels: CIEN, JDSU