Stock Picks For Traders After Market Gives A Dead Cat Bounce

EFOI is reaching its 200 dma at $1.73. This should provide first line of resistance. If this is take out, EFOI can run up to $2.00. Potential short if it doesnt break $1.73

LFT is picking volume and heavy price action. LFT has been on an upward movement from $13.00 all the way till $17.00 breaking through various resistance. It has recently broken out of its 200 dma strongly. Next it faces $17.80 level as the next strong resistance level. For trader anything below $17.80 should be the short entry, with stop loss on the break of $18.00. RSI levels are overbought indicating possibility of selloffs.

SWHC is making its 3rd attempt towards the $4.00 mark. It closed above the 200 dma today. Can it break past the all important $4.00 level ? This is definitely a potential short if $4.00 isnt taken out. Previously i shorted @3.95, eventually covering at @3.60 and @3.56 levels. I expect to trade similarly, with stop loss above $4.00

HTX is an extreme volatile stock that has almost doubled recently. This kind of pumps always die out eventually and drop back heavily. $5.00 will provide strong resistance as seen from the chart. Potential short play below $5.00 mark. Note that the pop was due to earnings news. You need to be extra careful to short any stock which is up on earnings news. Early shorts get squeezed. Play with tight stop losses.

GCA saw huge volume increase recently. This volume is now dying away. GCA faces stiff resistance at $3.50 and $3.75 level. If they are not taken out, this can very well drop back to $3.00 level. Keep watching.

JSDA crash landed as expected. Read my previous post here. Once the pump reverses, traders dump it very fast. Classic pump and dump case.

PWRD played out exactly like predicted yesterday. On the break of $10.00 it spiked up all the way to $10.97 giving 10% gain. Whenver oversold stock reverses on earnings news, it always gives a decent pop running up for decent gain.

MHS is another stock that I expected to rally along. After huge sell off from $48.00 levels to $37.00, bargain hunters saw some value yesterday. With improving RSI, more buyers jumped in causing the rally to extend 2 days in a row.