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Gettin' Technical - A Review of CTIC, ETFC, SPNG, FORC

|Includes: CTI BioPharma Corp. (CTIC), ETFC

Force Energy, SpongeTech, E*TRADE, and Cell Therapeutics are under the chart technician's microscope.

All stock charts are interesting for one reason or another, but none more so today than those of Force Energy Corp. (OTCPK:FORC), SpongeTech Delivery Systems, Inc. (OTC:SPNG), E*TRADE Financial Corporation (NASDAQ:ETFC), and Cell Therapeutics, Inc. (NASDAQ:CTIC). Here's a quick look at what you may want to know about each one.

You may have also seen it referred to as Nuance Resources, but it's actually Force Energy Corp. (FORC) now... though the bulls seem to have very little force or energy when it comes to the chart.

The breakout effort from the 5th was impressive.... a strong move past a big resistance line, on high volume. The turning of the tide the very next day more than trumped the breakout move though; those tall 'train track' reversals tend to stock - as they have here for Force Energy shares.

After seeing another mini-train track downside move on Tuesday and Wednesday of this week, it's hard not to believe the bears are going to beat FORC shares down for a while when given the opportunity.

Ever since it fell under $5.00 per share, E*TRADE Financial Corporation (ETFC) has been of as much interest to true speculators as it has to long-term investors - and the chart shows it.... lots of volatility.

Though the last few days - and weeks - have been modestly bullish, E*Trade is still contending with a resistance line that extends all the way back to early last year. It's at $1.58 right now. Until that line is broken (and the break is confirmed), ETFC can't exactly be trusted.


 

Working against the online broker is a slowdown in the number of new accounts being opened. Though the market was up in Q2, E*Trade's total account number actually fell. The company is also now doubtful about receiving $800 million in TARP money (E*Trade is also a bank, and could use the funds right now.)

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With the absence of any meaningful Pixantrone discussion, Cell Therapeutics, Inc. (CTIC) hasn't been nearly as interesting to talk about lately..... until yesterday.

The wedge pointed out in an August 4th article - the one that might suggest CTIC's next move - was bullishly breached yesterday. It's still a tad shaky, but it is something that the buyers can build one.

By the way, Pixantrone is Cell Therapeutics' test treatment for non-Hodgkin's lymphoma (NHL). It was submitted for approval to the FDA in June, but any decision isn't expected until late this year.

Is there something significant about the 18 cent level for SpongeTech Delivery Systems, Inc. (SPNG)? It looks as if there might be, judging from the way the stock pulled back the last two times it was reached. Had it not been for a wild (and perhaps errant) brief blip up to 28 cents in mid June, 18 cents would have been a 52-week high....hit three times over the span of two months.

Part of the reason there's a ceiling there could stem from our June 10th valuation model, which suggested SPNG was worth approximately 19/20 cents per share. However, traders should understand that our model was based on last year's numbers, but the current and forward-looking numbers are much-improved.

Though sliding lower right now, note the volume behind the selling has been very light. Plus, given the company's commitment to a consistent stream of positive press releases, the better bet has been betting on the bullish side of the SpongeTech table.

Conservative traders may want to wait for a break above 18 cents, while more aggressive traders may be satisfied with a mere break of the falling resistance line that's taken shape over the last week and a half.
 
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