Diagnostic-Testing Company on Uptrend Dear Chart Of The Day Reader, Yesterday, we looked at a Daily Price Chart of Cogent Communications Holdings, Inc. noting the stock's monthly price is trading above the 10-Month SMA. Today's chart is for Quidel Corp. (NYSE: QDEL). Quidel Corporation develops, manufactures, and markets diagnostic testing solutions for applications in infectious diseases, cardiology, thyroid, women's and general health, eye health, gastrointestinal diseases, and toxicology worldwide. It offers Sofia and Sofia 2 fluorescent immunoassay systems; QuickVue, a lateral flow immunoassay products; and InflammaDry and AdenoPlus, a point-of-care products for the detection of infectious and inflammatory diseases and conditions of the eye. Now, the Daily Price Chart below shows that QDEL has been making a series of 52-Week Highs since early December. The stock's uptrend has been going on for long enough and happening in such a consistent pattern that we can reasonably predict its continued rise. Stocks in a price uptrend, as we know, do not advance in a straight line. There are always price retracements along the way. QDEL experienced periodic price pullbacks during its strong advance since December. Traders can get a lower risk entry point after a 3 to 5% price retracement as the stock normally resumes its price up trend after such retracements. We'll be sure to continue following Quidel Corp. as it climbs to new heights, and watching for price retracements. Additionally, we'd like to talk about how a previous Chart of the Day stock has done… Yesterday, we highlighted Cogent Communications Holdings, Inc. (NYSE: CCOI), noting that CCOI's monthly price was trading above the 10-Month SMA. If you happened to have purchased CCOI shares on that day, you'd already be up 6.3%. But… if you had purchased the right call option contract, you would be up 28.2% in just a days' time! That's the power of options. Best Regards, Chuck Hughes Editor, Chart Of The Day |
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