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June 6, 2017, 12:42 p.m. EDT

Harry Boxer’s two biotech stocks and two tech stocks to watch

Bluebird bio, Cara Therapeutics, Gigamon and Mimecast trade on heavy volume

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By Harry Boxer

A combination of good news and technical momentum are fueling two biotechnology stocks and two tech stocks that are among today’s top charts to watch.

Bluebird bio Inc. /zigman2/quotes/207450173/composite BLUE -1.97% jumped $7.15, or 8.5%, to close at $91.30, on 2.3 million shares traded Monday. The biotech company released positive trial results for its blood cancer therapy being jointly developed with Celgene /zigman2/quotes/207213661/composite CELG +1.13% . Price gapped up above its 21-day and 50-day moving averages, and closed above that, a positive sign. Near-term targets are at $100 and $110, and beyond that the channel top near $120. Short interest of 13.8 times its average volume could fuel the move as short-sellers cover their positions on a rally.

Cara Therapeutics Inc. /zigman2/quotes/208720116/composite CARA -2.84% also had a strong session on Monday, rising 64 cents, or 3.6%, to $18.20 on 1.3 million shares. The stock recently broke out of a six-week downtrend, traversing from its rising channel top to the channel bottom, and has now moved to its highest close since mid-April. Watch for a test of resistance in the $19.25-$19.35 area, a breakthrough that could lead to $21, the March high. Beyond that, the mid-channel target is $24.

Gigamon Inc. spiked up $3.55, or 9%, to close at $42.85 on nearly 2.2 million shares traded Monday. The move came on news that the networking-hardware company was considering a possible sale. Price broke through the bull wedge consolidation pattern the stock has been in for most of the past month. In the short term, a pullback may bring price into the $42 support zone, but the stock may very well head toward next lateral resistance at around $49 unless the market falls apart.

Mimecast /zigman2/quotes/202578603/composite MIME -1.26% reached an all-time high of $29.01 intraday Monday, before closing up 55 cents at $28.83 on 408,200 shares traded. After months of consolidation within its long-term rising channel, the cybersecurity-technology stock is up about 50% since mid-March. Monday’s move came on news the company is collaborating with PhishMe to help organizations improve employee awareness of email-borne attacks. Next targets are $31 and $35.

See Harry’s video-chart analysis on these stocks.

The write has no holdings in any securities mentioned in this column.

Harry Boxer is founder of TheTechTrader.com, a live trading room featuring his stock picks, technical market analysis and live chart presentations.

/zigman2/quotes/207450173/composite
US : U.S.: Nasdaq
$ 89.53
-1.80 -1.97%
Volume: 894,424
Oct. 18, 2019 4:00p
P/E Ratio
N/A
Dividend Yield
N/A
Market Cap
$4.95 billion
Rev. per Employee
$71,439
loading...
/zigman2/quotes/207213661/composite
US : U.S.: Nasdaq
$ 102.95
+1.15 +1.13%
Volume: 4.88M
Oct. 18, 2019 4:00p
P/E Ratio
14.08
Dividend Yield
N/A
Market Cap
$72.96 billion
Rev. per Employee
$1.73M
loading...
/zigman2/quotes/208720116/composite
US : U.S.: Nasdaq
$ 19.13
-0.56 -2.84%
Volume: 396,528
Oct. 18, 2019 4:00p
P/E Ratio
N/A
Dividend Yield
N/A
Market Cap
$891.23 million
Rev. per Employee
$244,891
loading...
/zigman2/quotes/202578603/composite
US : U.S.: Nasdaq
$ 38.40
-0.49 -1.26%
Volume: 534,068
Oct. 18, 2019 4:00p
P/E Ratio
N/A
Dividend Yield
N/A
Market Cap
$2.38 billion
Rev. per Employee
$269,786
loading...

Harry Boxer is founder of TheTechTrader.com, a live trading room featuring his stock picks, technical market analysis, and live chart presentations.

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