Stock Moving Higher - Electro Optical Sciences (MELA)
Shares of Electro Optical Sciences (MELA) surged 7.25% in the morning to $3.7 per share with no news announcement. The medical instrument maker makes non-invasive detection device for skin cancer. The company's flagship product MelaFind is still under FDA review for pre-market approval so the company has not yet generate revenue. The company burns about $5 million in cash per quarter and has $30 million in cash at the moment.. The stock has not been doing well last year and lost more than half of its value in November as the company is still waiting for the final approval for its product. The technical chart does show positive signal as the stock is now trading above 50 day and 100 day moving average. Though KD line shows short term weakness as both KD lines are going downward.
Bouncing Back - L&L Energy Inc
Shares of Seattle based L&L Energy (Nasdaq:LLEN) have surged 24% since yesterday as bargain hunters and short squeezes probably push the stock up rapidly. The stock just reached new 52 weeks low this week on concerns of lack of transparency of Chinese companies. Although L&L Energy is based in Seattle the company's main operations are actually in China and probably cause investors concern. However when people are abandoning the stock for reason like this, it is probably the best time to buy quality stock like LLEN which explains the heavy volume purchase these two days. Technical chart shows the stock still has room to grow at least to the 20 day moving average lien around $6.5.
Cancer Stock Moving Higher - GTX Inc
Shares of GTX Inc skyrocketed 34.55% to $3.7 per share as Citigroup analysts upgrade the rating of the stock from Hold to Buy. The company makes small molecules that selectively target hormone pathways to prevent and treat cancer, fractures and bone loss, muscle loss and other serious medical conditions. Since the company is in the lucrative cancer market with one drug on the market for breast cancer treatment and one other at stage III of the clinical trial for prostate cancer and 4 other on the pipeline, expect more future growth to come. The stock is now near 52 weeks high so expect resistance at this point.
Stock Bucking the Trend - Skilled Healthcare Group, Inc.
While the market is doing very poorly today due to disappointing first quarter report from Alcoa, shares of nursing facilities operator Skilled Healthcare Group (SKH) surged 10.49% to $15.49 per share as the company is putting itself up for sale. After becoming a penny stock last July to as low as $1.43 per share the stock went on to gain 980% in the next nine months. The technical chart still indicates bullish trend as both 50 day and 200 day moving average are going up.
Hot Sector of the Day - Rare Earth Metals
Shares of most Rare Earth Metal stocks are on rally mode today with most stocks up anywhere from 6% to 10%. Molycorp, the US based rare earth company rose 6.94% to $71.85 per share, Canada based REE surged 10.12% to $15.88 per share and another Canadian rare earth company AVL also surged 8% to $10.02 per share. Chinese based rare earth metal stocks SHZ and CHGS jumped 8.4% and 9.9% respectively.
Obama's Energy Strategy Stock - UQM Technologies Inc
President Obama's new energy policy aims to cut oil import by one-third over the next decade. To achieve the goal, President Obama suggested more investment in electric cars, natural gas run trucks, and biofuels refineries. One of the company that could benefit is UQM Technologies (UQM) which develop energy efficient electric motors for electric cars. The company's technology is behind the recently introduced electric powered Rolls-Royce car.
Shares of the electric motor maker have not been doing well for the past 52 weeks, losing 25% so far. However the technical chart points to potential upside as both 100 day and 50 day moving average are both pointing up.
Obama's Energy Strategy Related Stock - Oshkosh Truck Corporation
President Obama's proposed energy policy aims to cut oil import by one-third over the next decade. To achieve the goal, President Obama suggested more investment in electric cars, natural gas run trucks, and biofuels refineries.
To the investors, this speech points to many stocks that may benefit, one of such stock is Oshkosh Truck (OSH), a truck maker which develops hybrid electric drive system for heavy trucks. Turning gas guzzling trucks into fuel efficient ones is on President Obama's wish list so company such as Oshkosh should benefit a lot with such initiative.
Shares of Oshkosh are relatively cheap with P/E ratio at 4.6. The stock is currently on rising trend with stock trading above 100 day moving average and should be expected to keep rising for a while.
