The market's going to close out the day and the week in the red, though the same bearish undertones don't apply to every interesting stock we've come across today. Hythiam Inc. (NASDAQ:HYTM), Tix Corp. (NASDAQ:TIXC), and Dana Holding Corporation (NYSE:DAN) are under the microscope... but only two of them for bearish reasons.
Tix Corp. (NASDAQ:TIXC) is the bullish idea. The stock's been hammered over the last four days - that's the opportunity.
In short, TIXC fell from $3.00 to $1.77 for no particular reason. The company has acknowledged nothing's changed internally, nor are they aware of any outside factors that may have. Though the information hasn't been updated yet, there's legitimate discussion that this may be the result of a significant short position taken with TIXC. If so, the short squeeze potential is amazing.
Either way, though the trend looks bearish, the volume spike from yesterday is apt to be a pivot - from bearish to bullish - for Tix Corp. share. Most volume spikes have been the proverbial 'last hurrah' of late. The fact that today's volume is weaker than yesterday's, and that the TIXC is flat with yesterday's close, also suggests there are no more sellers left. Basically, this is a high-payoff chart with little risk left.
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Resistance at $7.45 has finally taken a toll on
Dana Holding Corporation (NYSE:DAN). After three failed attempts to break above it, the holders are starting to throw in the towel.
The chart of Dana Holding Corporation is pretty clear. The July/September run-up has completely fizzled; DAN is flat for the last three months. But, having made a lower low at the end of October following the second failed attempt to break above the ceiling leads one to wonder just how deep the current downward swing could cut.
The slowdown from DAN is crystal clear on a weekly chart, where we've now got a bearish MACD crossover.
I don't see this as a short-term trade. I think Dana Holding Corporation is headed into an intermediate-term downtrend that will require a little more volatility tolerance, but with a greater reward at the end of the road. DAN could sink as lows as $1.00 before it's all said and done (seriously), though I'm keeping a close eye on the weekly chart's momentum clues.
Finally,
Hythiam Inc. (NASDAQ:HYTM) is a good news/bad news proposition.
The good news is, Hythiam Inc. shares are getting close to a major support level at $0.26. It could fall all the way there from the current price of $0.34, and it would only be another 23% loss from current prices.
The bad news is, current investors of Hythiam Inc. probably don't want to suffer another 23% dip.... they've already ridden HYTM about 70% lower from September's peak. (It's only another 5% worth of loss from that perspective.) That said, the momentum and resistance is plenty strong enough to push the chart all the way there.
Long story made short, Hythiam isn't a buy yet. If we see any recovery effort around $0.26 though, I suspect the recovery move will be very strong. Patience.
If you'd like to know of any changes in our opinion of DAN, TIXC, or HYTM (or if we officially recommend them as trades), be sure to sign up for our free newsletter today. It's delivered weekly.
