PowerRatings Heat Map Focus: The Drug Sector
The drug sector continues to offer up fresh potential buying opportunities from today’s
PowerRatings Heat Map. Let’s take a deeper look into the sector from
the heat map and daily charts of some of the top PowerRated stocks.Â
Stocks with high PowerRatings (8 or higher) have been
historically proven to outperform the S&P 500 over the next 5 sessions by up to
a 14.7 to 1 margin. Low PowerRatings have been shown to underperform the
S&P 500 over the next 5 days. These stocks should be put on a list of stocks
to avoid. More aggressive traders may want to keep an eye on these stocks
for a potential short entry.
One of the great features of
PowerRatings Heat Maps is that we can quickly gauge the overall stock market
or zoom in
on a particular sector for a deeper look. Here we have a close up of the
Drug sector:
Here are a few daily charts of the some of the stocks
listed above:
Dendreon
(
DNDN |
Quote |
Chart |
News |
PowerRating)
DNDN has appeared on our
PowerRatings Most Requested Stocks list for the past few weeks and has a
high PowerRating of 7. This stock has pure momentum written all over it,
characterized by wild swings in both directions, which has provided great
opportunities for outsized gains. Once again, we see it pullback hard.Â
Keep this big mover on your watchlist.
La Jolla Pharmaceuticals
(
LJPC |
Quote |
Chart |
News |
PowerRating)
Specialty biopharma company La Jolla Pharmaceuticals
(
LJPC |
Quote |
Chart |
News |
PowerRating) shows similar
characteristics to DNDN above. LJPC has
a high PowerRating of 8 and is pulling back from recent highs. Keep an eye
on this stock to make a move back up in the direction of the trend.
InterMune Inc.
(
ITMN |
Quote |
Chart |
News |
PowerRating)
Intermune
(
ITMN |
Quote |
Chart |
News |
PowerRating) has been pulling back in the past few sessions and currently
has a PowerRating of 8. Watch for ITMN to make a move back up as the
sellers start to lose momentum.
If you would like to attend a free class which covers this
research and strategy further, please
click here
for the calendar of the upcoming online classes. Topics
covered include our latest research on
entries and exits, and
how to use PowerRatings with our new
Preferred Stock List.
For a free PowerRatings trial,
click here. If
you have any questions about PowerRatings or the new Stock Indicators please
feel free to email us or call 213-955-5858 ext 1.
Darren Wong
Associate Editor
Reminder: We are in no way recommending the purchase or short sale of these
stocks. This article is intended for education purposes only. Trading should be based on your own understanding of market conditions,
price patterns and risk; our information is designed to contribute to your
understanding.