Get MBLX and COCO on your screen now

Published: Fri, 09/19/14

 

Hello fellow investors / traders,
 
As promised, get Metabolix Inc (MBLX) and Corinthian Colleges Inc (COCO) on your screen now.
 
Let me start by saying be careful chasing large gap ups.
 
Now, I think both these tickers could run big today for different reasons.
 
First MBLX...
 
MBLX has a tiny float of just 24m shares, a huge short interest and a hot chart.
 
 
 
There is a very obvious support / resistance area at $0.75
 
Yesterday it pulled back to this area and held support before bouncing. I think this bounce and  break out chart pattern could continue today and next week.
 
 
The second ticker I want you to watch is COCO...
 
I like COCO for different reasons. 
 
First let me be clear that COCO is in financial strife and could very well be bankrupt in the coming months.
 
But in the interim, the chart is technically oversold, has a tiny market cap & float and is heavily shorted with a short interest of 28% of the float.
 
If COCO gives us a dead cat bounce there will likely be a lot of short covering. If this happens, momentum traders will jump in.
 
 
 
Let me reiterate. COCO is a short term momentum trade only. Momentum may last one day, or it might last several days - just trade the momentum and take gains where you can.
 
 
Remember, manage your risk and be wary of large gap ups... only chase if momentum is strong, otherwise wait for pullbacks/consolidation to enter the trade.
 
All the best today.

 
www.ShiznitStocks.com
 

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