Monday, November 16, 2015

Lipocine Inc (NASDAQ:LPCN)

Lipocine Inc (NASDAQ:LPCN) looks about ready to pop. The stock has finally recaptured and closed above the 50&100 day exponential moving averages. Plus, daily technical chart shows a Bullish MACD crossover and stochastics which indicate we have more room to the upside. If the stock price breaks and closes above the 13.80 level next week on heavy volume, then we will know the next major move up is likely.

Valeant Pharmaceuticals Intl Inc (NYSE: $VRX)

Valeant Pharmaceuticals Intl Inc (NYSE:VRX) Friday's price bar was a possible reversal bar. The stock made a new 52-week low during the session but closed the day with a nice gain of 2.22% , despite the market sell-off. This creates a bullish scenario for next week. Key daily technical indicators are displaying positive divergences and I think we could see a strong reversal over the coming sessions. Friday’s high of $76.30 is resistance for the next upside move. If the stock can break through this level, we should see a strong follow through move.

Enerplus Corp (NYSE: ERF)

Enerplus Corporation, together with subsidiaries, engages in the exploration and development of crude oil and natural gas in the United States and Canada. The company primarily has interests in approximately 162,000 net acres of lands comprising approximately 77,000 net acres targeting the Stacked Mannville zones and 85,000 net acres targeting the Duvernay formation in the Deep Basin region, Canada. As of December 31, 2014, it had proved plus probable gross reserves of 157,293 thousand barrels (Mbbls) of light and medium crude oil; 43,138 Mbbls of heavy crude oil; 12,798 Mbbls of natural gas liquids; 456,430 million cubic feet (MMcf) of natural gas; and 839,940 MMcf of shale gas.
Take a look at the 1-year chart of Enerplus (NYSE: ERF) with the added notations:
1-year chart of Enerplus (NYSE: ERF)
ERF has been trading sideways on top of a $4.50 support (green) during the most recent three months. Now that the stock appears to be testing that support level again, traders should be able to expect some sort of bounce. However, if the $4.50 support were to break, lower prices should follow.

The Tale of the Tape: ERF has a key level of support at $4.50. A trader could enter a long position at $4.50 with a stop placed under the level. If the stock were to break below the support a short position could be entered instead.

What does the break out of the US Dollar mean?

Following Friday's 'blockbuster' jobs report, November 6th, 2015, the markets are finally coming around to taking the FED seriously once again. The Dollar Index had enjoyed a steady and a strong rally for the past 18 months, since July of 2014 as the Federal Reserve started to communicate to the markets, its intention to wind down the massive Quantitative Easing or QE3 involving purchasing Mortgage Backed Securities and US treasuries to the tune of $85 billion.

The FED’s intention to take away the 'Punch bowl' in the aftermath of the 2008 Global Financial Crisis was met with a lot of doubt, with most of the markets expecting the FED to only come back with more QE. However, as the FED started to slowly wind down its purchases by $10 billion since December 2013, the US Dollar started to rise steadily. (more)

US Weekly Economic Calendar

time (et) report period ACTUAL forecast previous
8:30 am Empire state index Nov.   -- -11.4
8:30 am Consumer price index Oct.
0.2% -0.2%
8:30 am Core CPI Oct.
0.2% 0.2%
9:15 am Industrial production Oct.   0.1% -0.2%
9:15 am Capacity utilization Oct.   77.5% 77.5%
10 am Home builders' index Nov.   -- 64
8:30 am Housing starts Oct.   1.18 mln 1.21 mln
2 pm FOMC minutes        
8:30 am Weekly jobless claims Nov. 14   N/A N/A
10 am Philly Fed Nov.
-- -4.5
10 am Leading indicators Oct.   -- -0.2%
  None scheduled