Aug 27, 2010 10:04 AM PDT
These are all breakout or breakdown candidates - some more so than others. We've done as much background work as we can, though we suggest you do a little more on your own before taking the plunge with real money.
Note that none of these are actually official SCN trades (at least not yet), so we may or may not follow up in the future. They do look good enough to mention now though.
Immersion Corporation (IMMR)
Just to be crystal clear, this is not yet a breakout situation we're entirely comfortable with. IMMR looks like it's at the upper end of what's been a bearish trading range (see the chart), and only in the last couple of days has challenged that resistance. So why is it here? Just a little more umph from the buyers could break the ceiling, though we may not know it for sure until we see the first real retest - can it hold off a wave of sellers? Volume is an issue (or lack of volume, actually).
Just FYI, the company has done a great job of getting their message and opportunity out to the community, but earnings aren't in sight.
Advanced Cell Technology Inc. (ACTC)
Though we saw a decent burst of strength on Friday (higher than average volume and a gain of about 20%), what kept our attention os how we've seen a lot more interest here in the last few months than we've seen in years - most all of it bullish. A wedge has formed, but ACTC has yet to break out of it. It's on the verge though.
What's going on here is much bigger-picture than the company itself. The company has figured out a way to make 'safe' stem-like cells....cells that act like embryonic stem cells, but really aren't. Thus, political hurdles aren't fostered. The company is getting (relatively) close to a final product for testing.
Industrial Nanotech Inc. (INTK)
How low can a stock go? You're about to find out. The poor thing's being driven into the ground.
It's not necessarily a bad company... kind of interesting actually. They make specialty coatings, and have a product on the market (and are even increasing revenue). Doesn't matter though - the sellers are killing it, and it's better to side with the majority.
NeoMedia Technologies Inc. (NEOM)
Just a few days ago it looked like NeoMedia shares were going to be able to form a base around $0.02. My how quickly things change. Once support at $0.02 broke, things went from bad to worse. By the time it's all said and done, this penny stock could fall all the way back to $0.004, where it found support before being launched in March.
NeoMedia is a software company, and the owner of several key patents that, frankly, haven't been respected by some big players. UniLever's move into mobile couponing may be one of those patent infringements... but it's a fight NeoMedia may or may not be able to fight.
Cell Therapeutics Inc. (CTIC)
This penny stock is one of the one's we feel best about, not because of a great Friday, but because of a string of surges, and a break above a minor wedge. The buzz is the possibility that the company could win a priority review for a new drug. Or, maybe the market's just glad to have a lawsuit put behind the company (as of yesterday), even though Cell Therapeutics had to settle.
It's speculative, but compelling.
If any of you have any other thoughts, insights, or knowledge to share with the community please chime in below.
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