AXTI our Free Stock Pick for Mon Dec 27th 2010
AXT Inc. (AXTI), a semiconductor substrate producer, has been in a bullish trend since May 2009, its stock price rising with increased demand for its materials. In the last two months the stock has consolidated in an ascending triangle pattern after a big price and volume surge in late October.
On Thursday, the latest trading session, the stock closed near its highest price since 2003 on heavy volume, thus indicating it could break again. If a breakout occurs we could see move to the 9.80-10.20 trading range.
Preferred entry (buy stop) price is 9.25, with a stop loss at 8.90. See our Trading Rules page for more detail.