Here's another interesting example of P&F from same guys those analysis for EMLX and BRCD ...
(it's a possible break-out Jerry <g> so I think you can't resist looking at it , LOL !....also similar observations for the $BTK we were seeing today )
consider the stock CAH in the Health Care provider space:
stockcharts.com
nice long call for AFFX today and before Eagle~man ! ;)
" Healthy Habits "
Bulls were moving back into health care stocks Monday,
excluding major Pharmaceuticals (DRG.X). The DRG.X finished
0.47 percent lower for the day, diverging from the strength in
the Biotechs (BTK.X) and HMOs (HMO.X). The two both finished
more than 1.8 percent higher.
For its part, the BTK.X finished above its 200-dma for the
first time in about two months. Stellar performances were
put in by Affymetrix (NASDAQ:AFFX), Myriad Genetics (NASDAQ:MYGN),
Gilead Sciences (NASDAQ:GILD), ICOS (NASDAQ:ICOS), and
Genentech (NYSE:DNA). Fractional weakness was observed in only
four of the 25 biotech stocks that I track. In other words,
the BTK.X rally Monday was well participated in by individual
stocks.
The HMO.X, by comparison, finished at a new all-time high.
Beaten down Pacificare (NASDAQ:PHSY) led the rally in the
group with its 3.21 percent gain. Other movers included
Human (NYSE:HUM), Anthem (NYSE:ATH), and Mid Atlantic
Medical (NYSE:MME). Like the BTK.X advance, the HMO.X rally
was broad in scope.
Crow Call
The strength in the broader health care space most likely
contributed to the breakout in Cardinal Health (NYSE:CAH), a
stock Jeff Bailey highlighted over the weekend as bullish.
As he normally is, Jeff on the money with his observations
in CAH. I'd like to add a few of my own especially after
today's 1.21 percent rally and close above the 200-dma.
Jeff's bullish bias was based on observations from April
of 2000 during which CAH broke above a triple top on its
point and figure chart while at the same time clearing its
200-dma. History often repeats itself in the marketplace,
which is what we're seeing again in CAH.
After breaking out above its triple-top last week, CAH
continued above its 200-dma in today's trading. The
company announced an acquisition, which may have been the
cause, or perhaps the explanation, for today's rally. More
likely was that the buyers were already waiting to take
this stock higher. And the buyers did show up with
conviction as CAH exchanged almost twice its 30-day
average volume in Monday's session. In doing so, the
buyers carried CAH up to its next hurdle at $70, which is
a double-top on its PnF chart.
Triple Double |
