Monday, June 1, 2015

Stocks To Watch: ZIOP, MSFT, ACHN, CTIC, OAS


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The daily technical chart pattern of ZIOPHARM Oncology Inc. (NASDAQ:ZIOP) has been consolidating within a falling wedge pattern that has bullish implications. A breakout is needed to end this large consolidation and resume the uptrend. At this point Im inclined to mark a key resistance zone around 10-10.2. A move above this area, would break the upper trendline and the resistance zone. If a breakout occurs, we could see an acceleration of the bullish momentum and move toward the 11.50-12.13 area. Daily technical indicators are looking bullish, MACD and RSI are showing upward momentum. On watch.


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Microsoft Corporation (NASDAQ:MSFT) has been consolidating in a bullish pennant over the last five weeks. Play the break of the pattern.

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Achillion Pharmaceuticals, Inc. (NASDAQ:ACHN) has gained momentum recently and the stock rebounded about 10% in the past couple of trading sessions on increased volume. On Friday, the stock closed near its critical breakout point of $10, which may be broken out next week. Looking at the daily technical chart the MACD momentum is rising and RSI is on a strong uptrend, which when combined with the strengthening MACD could spell a strong move for the stock. If it crosses the $10 level, the stock has potential to gain 10-12%.

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CTI BioPharma Corp (NASDAQ:CTIC) could be in the early stages of a technical breakout. Technicals are showing bullish signals supported by rising MACD, ADX and RSI on the daily charts. For now, expect a run up to next resistance area around $2. If the stock is able to cross it and sustain above it, then it might go to $2.40. Keep it on your watch list going forward.

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I continue to support the idea of a significant rally on shares of Oasis Petroleum Inc. (NYSE:OAS), probably even above the February highs. The bulls remain in control as long as it continues consolidating its recent move. We still need to see a break and close above 17.83 or 100EMA to confirm a continuation to the upside with a next target in the 20 area. Only a break back below the 15 would invalidate this bullish outlook.
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