CPE, MR, SREV, TRAK Among Charts to Watch

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On Monday, optimistically, we covered some of the biotech and medical stocks. A lot of them had some additional movement Tuesday, so we’re going to take a look at some of those.

Callon Petroleum Co. (CPE) had a big day on Tuesday, gapping up and running hard, up 1.38, or 22.3%, on 3.38 million shares. That’s the biggest volume since February. Coming across the 50-day moving average and the declining topsline, the ceiling may be clear now for at least a run to 8 1/2 to test the late February high, and perhaps in the 9 – 9 1/2 zone at lateral price resistance.

Mindray Medical International Limited (MR), a day trade pick of ours, opened at 28.55 on Tuesday and went to 30 1/2 before backing off. Still, it was up 2.13 to 29.67, or 7.73%, on 2 3/4 million shares traded. That’s the heaviest volume this year. We’re looking for a run to the 31 range, and then 33 beyond that.

ServiceSource International, Inc. (SREV) was by far the stock of the day on Tuesday. It gapped up slightly to 15.55, and then exploded to 19 1/2, closing at 19.26 at the end of the day, up 4.35, or 29%, on 2.7 million shares. That was the heaviest volume since the end of March, and a big day for this stock. With momentum as strong as it is, this stock could get up to the low 20s in the next day or two.

DealerTrack Holdings, Inc. (TRAK) also had an explosive price-volume surge and breakaway gap on Tuesday coming off of new multi-year highs. Lateral price resistance comes in around 28, that’s our short-term target, intermediate-target is up around 32, and the long-term target is in the mid-30s.

Other stocks in our Charts for the Day are Alkermes, Inc. (ALKS), ArQule Inc. (ARQL), BioScrip Inc. (BIOS), China Techfaith Wireless Communication Technology Limited (CNTF), Genetic Technologies Ltd. (GENE), Global Crossing Ltd. (GLBC), Oxigene Inc. (OXGN), Rockwell Medical Technologies Inc. (RMTI), ShoreTel, Inc. (SHOR), Unilife Corporation (UNIS).