Thursday's Stocks to Watch (& Why): DHT, RLD, TELK

While the overall market may be running into a headwind, a few stocks are acting like they're finally ready to run. Among them are RealD (NYSE:RLD), DHT Holdings Inc. (NYSE:DHT), and Telik, Inc. (NASDAQ:TELK). Here's a closer look at each, and what to watch for.

RealD has been working on its rebound since late December. It's only been this week, however, that RLD has made a convincing bullish effort that says its up and over key hurdles. The 50-day average line (purple) had been a ceiling up until a week ago, but as of yesterday, the stock has re-crossed that 50-day line and is now pressuring the 100-day average (gray).

To be fair, the chart's already back to an overbought condition, so don't look for RLD to immediately punch through the 100-day average at $9.78. Once some of the froth is burned off though, and the stock's had a chance to pull back and regroup, the bigger upward momentum should kick in again. To really appreciate how the tide has turned for RealD though, take a look at this weekly chart.

Telik, Inc. hasn't exactly made a ton of meaningful technical progress of late. But, it has been dropping some hints, and has worked its way into a position where key technical progress is within reach. From here, TELK just needs to fight its way above the 100-day average line at $0.25... though it will also need to hurdle the 50-day average line at $0.223 first [which has become a wall again].

So if all those barriers need to be broken first, what's so bullish about TELK now? Though it's not a perfect setup yet, we are seeing a key clue in volume.... the buying volume is growing. We've seen two 'up' days with very strong accumulation, but if you could see even more detail on the chart, you'd actually see that the buying volume for Telik, Inc. has been persistently on the rise since late-December.

As was the case with RealD, a weekly chart puts things in perspective. We've seen a seven week string of higher lows, and growing pressure on the moving averages that are holding Telik down. Something's got to give soon.

Finally, DHT Holdings Inc. may be putting the final touches on a near-perfect U-shaped reversal. This shipping stock (crude oil transporter) had nothing less than a miserable 2011, topping out above $5.00 early in the year, and then hitting bottom at $0.66 in mid-December. Things changed dramatically for DHT then, beginning with a cross above the 50-day average line (for the first time in a year).

The kicker is the massive high-volume buy-in we've seen over the past two weeks; it's the highest volume we've seen for DHT, well, ever, to be honest. And, that in itself speaks volumes about how things are perceived as having changed for DHT Holdings.

The other subtle clue here, as was alluded to, is the shape of the DHT chart itself. While V-shaped reversals tend to peter out, the slow, drawn-out U-shaped rebounds tend to last a while and make good follow-through. This chart may need to cool off just a tad after Monday's explosive day, but the heavy lifting's been done. Anything above the recent ceiling of $1.15 will be huge.