Elite Pharmaceuticals, Inc. (OTC:ELTP), Altair Nanotechnologies, Inc. (NASDAQ:ALTI),
and Comtech Telecomm. Corp. (NASDAQ:CMTL)
may not be perfect, but as of today, all three are shaping up to be better than average bets.
Take Altair Nanotechnologies, Inc.
as an example. It’s up 22% today one strong volume. Were there any news behind the move, the big gain would be understandable. There’s no news though – this is all organic, or more likely, in response to a rumor or a leak. Either way, ALTI has pushed above several key moving averages today after struggling with all of them for several weeks.
To be fair, longevity for this new trend is a question mark. We’ve seen big pops from ALTI before (like late July) to no avail. This one is different though… more contained, and better paced. The key will be how Altair Nanotechnologies acts after its first real retest/pullback. As long as the same moving averages (all around $1.15) hold up as a floor, the next bullish swing is likely to last a while.
It’s not very evident on a daily chart of Comtech Telecomm. Corp.,
but when you zoom out to a weekly chart you can tell… CMTL is chipping away. Trapped by falling resistance lines that extend all the way back to 2008, this small cap telecom equipment manufacturer has just been unable to make any real progress. As of this week though, both of those key resistance levels have been hurdled. And, there’s been a growing amount of bullish volume behind the effort.
The last line in the sand for CMTL is $29.75 (orange), where this chart has hit a ceiling three times earlier in the year. After a string of higher lows though – and just the sheer persistence of the bulls - Comtech Telecomm. Corp. has the odds working in its favor. And considering this stock was trading as high as $50 in 2008, the upside potential of any breakout is more than a little significant.
Finally, the 20% jump from Elite Pharmaceuticals, Inc.
today is encouraging to say the least, though not necessarily the kind of thing you’d want to jump on while it’s on the way up. Rather, as was the case with Altair Nanotechnologies, this is a breakout move you want to see confirm its strength by rekindling itself after a pullback. The key will be for ELTP to find support around $0.10, where the 200-day moving average line is now.
The subtly hint that the bulls are serious here is the volume surge. ELTP traded 11.2 million shares yesterday, and the stock’s on pace for something near there today. It’s the most volume we’ve seen in several weeks. It’s just that the current technicals from Elite Pharmaceuticals aren’t the kind that foster immediate follow-through. It needs to set up a base above $0.10.