10 Stocks That Have Been Pumped & Pumped…

BIG has been recently up after an analyst upgraded the stock, citing its cheapness and recovering same-store sales. The stock wasn’t able to hold up above $20.00 for too long and eventually broke below it. With sellers taking the stock below $20.00 it will be interesting to see if this negative trend continues adding further selling pressure to it.

WFMI is slowly approaching its 200 dma. It is up 27% in the last 5 trading days and will face its first key resistance at $16.00. Potential on the next bounce up. Stop loss on the break of $16.00. RSI pointing to short-term overbought levels.

DK recently reported positive earnings, which lead to 38% increase in stock price in the last 5 trading days. Overdone ? Maybe…it did break past its previous high of $8.49 and sitting pretty at $9.63 after reversing from day’s high of $9.96. $10.00 should hold first line of resistance. If it cannot break it second time, we might get some selling. Worth scalping trade only.

Hibbett Sports Inc. (HIBB) posted flat net income in the fiscal fourth-quarter net as margins improved but same-store sales fell slightly. We saw a gap up yesterday, with the stock running up above the 200dma. However this was short-lived and today it broke below it. Previous highs were $18.28 and $18.47 suggesting triple tops. Everytime when this stock has seen a reversal, it has given up sizable chunk.

PFCB took out its 200dma recently and has been on a positive uptrend. Historically 22-23 range has provided strong resistance for this stock. Shorts have taken charge at this point heavily selling it. Can this be another shorting opportunity ? $23.50 should be trying short.

LFT has put up confusing volume recently. Huge spike has been followed by very low volume, which has then been followed by more than average volume. There is no clear indication of the volume trend. However the stock seems to have peaked at $20.00, at which point it finds a wall of sellers. Additionally $19.00 has provided decent support for long side traders. However RSI points to overbought levels, and favors the shorts. If $19.00 is broken on the downside, we will see more selling pressure. (Disclosure: I am short this stock)

Star Scientific, Inc. (STSI) develops very low- tobacco-specific nitrosamines (TSNAs) dissolvable smokeless tobacco products that carry warnings, which includes ARIVA; compressed powdered tobacco cigalett pieces and STONEWALL Hard Snuff.  STSI is a watchlist stock and not a potential short yet. It has broken past its previous high of $3.85 and looking strong to break above $4.00. Be patient and wait for the selling to begin to short into.

IMGN has broken out of its critical resistance of $5.30. Another watchlist stock. Dont be the early short to get squeezed into. Let this rally fade, and let the stock see some selling before shorting into it.

OPTV is at a critical resistance level. As the charts indicate $1.40 level has seen seller step in and sell heavily till $1.00 support. I expect same behavior to follow once again. If this goes red tomorrow I will take a short position.

CAVM provides another excellent shorting opportunity. This has gone red and was potential short on the break of $12.00 today. I missed shorting this one, but will follow the stock closely tomorrow looking for potential short entry. Every pump and has been eventually sold into providing shorts with juicy returns. No support till $11.00.