Free Trade Alerts What is this? - Where Wall Street Wizards Share Their Trade

Trending Tickers

TA Education

    Our new Education section on Technical Analysis basics serves as a free mini course on everything you need to know to trade on your own based on TA. Learn to identify Base Patterns and Topping Patterns, including 22 behaviors that may help you become better at identifying bases before a stock breaks out, and 18 patterns for identifying distribution and other changes of character in a stock before it tops or retreats into a basing phase.

Harry Boxer's Charts of the Day

NKTR, SRNE, KORS, SNDK - Stock Charts to Watch

Be alerted when Harry posts an article

It was a tough day for the market on Wednesday. Very tough. Very tedious-type trading, and a bit harrowing as well. There aren’t very many days like that, but Wednesday was one of them. It looks like they are either at a short-term low, or they are going to have a severe crack, and it will get much deeper if they do. It is a critical time for the market, but let’s keep vigilant and hope for the best. We’re going to take a look at both shorts and longs here, starting with the long side.

This video is no longer available.
It was a tough day for the market....

Nektar Therapeutics (NKTR) was up 88 cents to 13.45, or 7%, on 6.8 million shares, and has been up 7 days in a row. It formed a head-and-shoulder base pattern that started to move. On Wednesday, it had a breakaway gap that may very well catch momentum and head up towards 14 1/2 short-term. The secondary target is 16 1/4.

Sorrento Therapeutics, Inc. (SRNE) has been doing very well of late. It got all the way up to 17.80, before backing off and closing at 16.67 on Wednesday, barely up 2 cents, on 1.1 million shares, so perhaps there’s a reversal in progress. A lot of biotech’s got that reversal. SRNE was trading at 8.00, and change, just 7 weeks ago, and has gone up 5-waves. The fifth wave may have more to go. Be careful on this one. Keep watching the 16.78 level and Tuesday’s low at the 12 1/4 range for a possible stop. Long-term targets are 20-20 1/2, and then the mid 20’s.

Stocks on the Short Side….

Michael Kors Holdings Limited (KORS), a retailer, topped, stair-stepped down, flagged and formed a bear wedge over and over on its way down. It then made a breakaway move to the downside, forming an exhaustion gap or spike-down climax. However, the wedge that formed below the gap is indicating that it wants to move lower to 45 1/2. If it breaks here, it could drop 8-9 points. Be careful with this one.

SanDisk Corp. (SNDK) is falling down despite takeover rumors. It spiked down, formed a bear flag, spiked down again, formed a bear wedge, and now it’s coming down again right on support. If it gets through 63-63 1/2, then it should see the mid 50’s, maybe even 52-3.

Other stocks on Harry’s Charts of the Day included Applied Optoelectronics, Inc. (AAOI), Alder Biopharmaceuticals Inc. (ALDR), Anacor Pharmaceuticals, Inc. (ANAC), Rockwell Medical, Inc., and Take-Two Interactive Software Inc. (TTWO).

Stocks on the short side included Fossil Group, Inc. (FOSL), Norfolk Southern Corporation (NSC), Open Text Corporation (OTEX), Pacira Pharmaceuticals, Inc. (PCRX), TAL International Group, Inc. (TAL), TriNet Group, Inc. (TNET), Universal Electronics Inc. (UEIC), Union Pacific Corporation (UNP), and Workday, Inc. (WDAY).