It was an interesting day on Wall Street on Tuesday. There was movement all over the place, but a nice rally at the end of the day caused some gains on the session. Look, we had this set up for a rally because of the negative tick that came down about 216-230 on Tuesday. Let’s take a look at the charts that did well on Tuesday.
Digimarc Corporation (O:DMRC) is doing great. The inverse head-and-shoulders was broken with a breakaway gap and thrust to close at the high end of the range on Tuesday, up 6.84 to 41.78, or 20%, on 257,100 shares traded. It was a nice day trade for us. With 15.32 days to cover, it could easily test the July high at 49.25. Look for a follow-through to get it to 46-47 first.
ORBCOMM Inc (O:ORBC), a swing trade of ours, is acting well, up 19 cents to 7.50, or 2.6%, on 749,000 shares traded on Tuesday. The key to this stock is, looking at the long-term consolidation, two years in the making, it’s acting like it wants to blow through it. It already made it through the June high. It still has the Feb-Mar highs from 2014, which, if taken out, would be a test of the 8.00-8.10 range, which is the short-term target. Long-term it may have a chance at 9.00.
Silicon Graphics International (O:SGI)had a big pop on Tuesday, up 1.50 to 6.24, or 31.5%, on 2.9 million shares. It was a good day trade for our group, particularly at the end of the day when it made a nice move. It broke out of a coil, ran up, pulled back and closed up on the day. The next directive would be to take out 6.65, which could happen as early as Wednesday. Ultimately, this is a stock that can get to 8.00. A thrust like this, with 8.74 days to cover, and 2.9 million shares, it may follow through.
Stocks on the long side included Digimarc Corporation (DMRC), VelocityShares 3x Inverse Crude linked to S&P GSCI Crude Oil Excess Return (N:DWTI), ProShares UltraShort Bloomberg Crude Oil (N:SCO), 8x8 Inc (O:EGHT), Direxion Daily S&P Biotech Bull 3X Shares (N:LABU), Nevro Corp (N:NVRO), ORBCOMM Inc (O:ORBC), Pacific Biosciences of California (O:PACB), Ringcentral Inc (N:RNG), Silicon Graphics International (O:SGI), Sientra Inc (O:SIEN), and Vuzix Corp Cmn Stk (O:VUZI).