Thursday, September 6, 2012

Wed, Sept 5: BIDU, CELG, LIFE

Baidu Inc (BIDU) shares exhibited noteworthy price action on Sept 5. On the 5-minute candles chart, the security is seen reacting away from 20-day price channel resistance on Tuesday, Sept 4, and subsequently falling further on the 5th, albeit remaining somewhat above a double-low at approximately $110.15. Shares of the Chinese search engine were recently covered on these pages, as the stock was sharply selling off on August 23rd.

BIDU. Aug 16 to present. 5-minute candles.
Celgene Corp (CELG) showed a break of channel support from the hourly-candles perspective. The violated channel is fairly robustly defined and stretches back by approximately three months. That said, price action is at its 200-hour simple moving average, rather than below, so the chance of continuing price consolidation is relatively high.

CELG. May 25 to present. Hourly candles.
Life Technologies (LIFE) appears to be breaking through 3-year channel resistance, albeit doing so in both slow motion and on low volume. These latter characteristics of the advance increase the odds of the analysis being predicated on a mis-drawn channel, which is quite possible as the current channel is of only a moderately sound fit.

LIFE. Sept 2009 to present. Daily candles.