One Heating Up, One Cooling Off, and One Set to Simmer: NEWN, CLDX, and CXM in Focus

Like it or not, stocks are trading more on momentum (or lack thereof) right now than they are on fundamentals. That's what makes Celldex Therapeutics, Inc. (NASDAQ:CLDX), Cardium Therapeutics Inc. (AMEX:CXM), and New Energy Systems Group (AMEX:NEWN) worth a closer look this morning - not because of underlying corporate performance, but because CXM, NEWN, and CLDX are starting to drop some key technical hints. Take a look.

For Cardium Therapeutics Inc., the hint isn't an encouraging one. It was clear that CXM was at risk in mid-December, when it fell under the 200-day moving average line (green), and then became unable to fight its way back above it. The 100-day line was still acting as a floor though, at least keeping the stock in the hunt.

As of Friday, however, things took a turn for the worst. CXM slid under the 100-day moving average at $0.287, and kept on trucking. That's not to say the chart's completely beyond salvaging here, but with that big bullish gap from October still out there and begging to be filled, the odds are certainly stacked against Cardium Therapeutics right now.

Not that we haven't been faked out by this move from New Energy Systems Group before, but the recent action (and Friday's in particular) suggests there's at least a great deal of near-term upside ahead.

In all likelihood, NEWN is overbought in the very near-term thanks to Friday's 37% rally. Once the dust settles though, and we take care of any profit-taking that's in the cards, the odds favor New Energy Systems Group continuing on with the reversal effort started in early December.

The shape and pacing of it is the key. The pivot was made on a shallow 'V' shape with a bowl-shaped pattern surrounding it. These tend to be the most durable of reversals, especially after a big plunge like we aw from NEWN in mid-November. Just pick and choose your spot.

Last but not least, Celldex Therapeutics, Inc. may not be over the hump yet, but it's sure acting like it wants to. Indeed, it's right on the verge of a pretty meaningful leap after being forced lower since April by a falling resistance line.

Once again, CLDX is pressing into that falling resistance line (orange) that's been in place since April's peak. This is t he third test of it in less than two months, but the shape of things now is different than the shape of things with prior tests of that line. This time around, Celldex Therapeutics shares are finding support at their 20-day and 50-day moving averages (blue and purple, respectively), both of which are within pennies of crossing above the 100-day line (gray). If they can just get over $2.75, then we'll have another key crossover.

Simultaneously, we can see this chart has been slowly transition - during a consolidation phase - from lower lows and lower highs to higher lows and higher highs. If CLDX can just get over the key horizontal line at $3.04, another key technical hurdle will have been cleared.

Celldex is brewing up nicely - keep it close.