This is a quick post on five charts that caught my eye on Tuesday, May 19th. All charts annotated at and downloaded from FreeStockCharts.com.
Hortonworks (NASDAQ:HDP) has struggled to make a good post-IPO impression. The first earnings report underwhelmed and led to a fresh all-time low. The last earnings report was initially well-received and then faded to a slightly negative close. However, on Tuesday, May 19th, HDP made a tremendous 15% surge that not only resumes momentum for the stock but also represents a breakout. All it took was a Barclay's) upgrade to outperform and a price target of $30.
Hortonworks, Inc. (HDP) makes a fresh breakout attempt after an ominous post-earnings fade
Intuitive Surgical, Inc. (NASDAQ:ISRG) is the stock I want to love. The last earnings report was uninspiring and traders and investors bailed fast. The selling finally ended around 200-day moving average (DMA) support. Now, a Bollinger® Band (BB) squeeze is developing. I would love to anticipate a breakout here. However, given the poor post-earnings performance, I will instead follow the break out of the BB squeeze in whatever direction it moves.
Intuitive Surgical, Inc. (ISRG) is stabilizing post-earnings with a critical retest of 200DMA support
Fortinet Inc. (NASDAQ:FTNT) is another BB squeeze candidate. Its technical profile is much better than ISRG here. The stock gapped up nicely post-earnings and has consolidated ever since. This setup makes FTNT look like a coiled spring – ready to break out and resume the very strong upward trend in the stock.
Fortinet Inc. (FTNT) looks ready to extend its run-up further
Ever since Jim Cramer hyped up the IPO for Box, Inc. (NYSE:BOX), I have been wary of betting this is eventually a single digit stock. I now have put options after the stock has slowly but surely sagged despite periodic hype fests from Cramer gushing over the stock. It is rarely a good sign when an IPO comes right out the box, so to speak, with a very poor earnings report, especially one that immediately retests post-IPO lows. The chart below shows a pattern of lower highs. It seems only a matter of time before a lower low occurs.
Box, Inc. (BOX) looks ready to breakdown as it hugs all-time lows
Finally, Wix.xom (NASDAQ:WIX) is the stock that has really called me to return. I was hoping for a pullback from a strong response to the last earnings report. The current breakout makes such a pullback unlikely. So, instead, I will have to buy back into this one on momentum. Note the persistence of strong (high volume) buying since earnings.
Wix.com (WIX) makes a fresh breakout
Full disclosure: long BOX put options