( click to enlarge )The stock on the spotlight today is MGIC Investment Corporation ( MTG ),the nation's largest private mortgage insurer. The stock today surged 9.75% or 73 cents to 8.55 per share at six times average volumn of 6 million shares, after reported its first quarterly profit Tuesday after 11 straight quarters of losses. The company earned second quarter net income of $24.6 million, or 13 cents a share, compared with a loss of $339.8 million, or $2.74 a share, last year. Revenue totaled $406.4 million, down 10.6% from $454.5 million. Net premiums declined $295.3 million, or 10.5%, from $330.4 million. Lets take look at the technical chart in more detail to see if this is the stock worth buying. From a technical perspective, MTG seems to have broken a falling wedge pattern today. This classical pattern often precedes reversals. The falling wedge is a bullish pattern that begins wide at the top and contracts as prices move lower. If you look closely you will also observe positive divergence on MACD histogram to price. Today’s high of $8.72 is resistance for Wednesday’s continuation move. If the market continues to move up, MTG could be a big mover. Keep a close eye on the stock for Wednesday.
( click to enlarge )Looking at the technical chart over the past month, we can see a possible Inverted Head & Shoulders pattern forming. This could be a big clue as to where direction heads next. I would not be surprised to see the neckline to be broken soon. However, the stock is still in a downtrend, so it should be considered guilty until proven innocent.
( click to enlarge )INTC broke through a 4-day high, as the stock was able to break through the $21.60 resistance level. The stock looks to have found support near $21 and I expect to see the stock move higher. Watch INTC tomorrow.
( click to enlarge )MOT closed positive again but is weakening, which is not a surprise based on the stocks upside move the past few sessions. MOT might consolidated again on Wednesday, but you should watch in case it makes a move. Resistance is now at $8.10, which was today’s high. There has been heavy buying in MOT, which is why you want to keep watching the stock for the next upside move.
( click to enlarge )ROYL made a reversal move today with a solid upside volume. Today’s high of $1.87 is resistance for Wednesday’s continuation move. The technical chart shows the stock is due for a possible recovery as %K line is back above %D line showing some positive momentum.
New 52-week High stocks
SO - SOUTHERN CO
HCP - HCP Inc
EPD - ENTERPRISE PRODUCTS
RAI - RJ Reynolds Tobacco
LINE - LINN ENERGY LLC UTS
WTR - PHILADELPHIA SUBURB
CYBS - CyberSource Corporation
EPB - EL Paso Pipeline Pa
MMP - Williams Energy Par
OHI - OMEGA HEALTHCARE IN
MWE - MARKWEST ENERGY PTN
WEC - WISCONSIN ENERGY CORP
ETP - HERITAGE PROPANE PT
AZO - AUTOZONE INC NEVADA
BF.B - Brown-Foreman Class B
LFL - Lan Airlines
WPZ - WILLIAMS PARTNERS L.P.
BWP - BOARDWALK PIPELINE
CLB - CORE LABORATORIES N V
PAA - PLAINS ALL AMERICAN
Price crossed above its: MA(13)
BBT - BB&T CORPORATION
KBH - Kaufman and Broad H
BA - BOEING CO
WU - Western Union 15.54
RCL - ROYAL CARIBBEAN CRUISE
TRV - The Travelers Co
ARO - AEROPOSTALE INC
BBBY - Bed Bath & Beyond Inc.
HAS - HASBRO INC
KMX - CarMax Inc
ANF - ABERCROMBIE & FITCH CO
AIB - ALLIED IRISH BANKS
RS - RELIANCE STEEL & AL
BC - BRUNSWICK CORP
AMX - America Movil SA
AUO - AU OPTRONICS CORP
K - KELLOGG CO
HERO - HERCULES OFFSHORE I
WYN - Wyndham Worldwide WI
AMP - AMERIPRISE FINANCIAL
SSL - Sasol Ltd
ROST - Ross Stores, Inc.
PL - PROTECTIVE LIFE CORP
CRK - COMSTOCK RESOURCES INC
SM - Sm Energy Co
KIE - SPDR KBW INSURE
AAN - AARON RENTS INC
OFC - CORPORATE OFF PPTYS
NGG - National Grid Trans
PSEC - Prospect Cptl Cp
TWTC - Tw Telecom Inc A
AF - Astoria Financial C
SEIC - SEI Investments Com
IRET - Investors Real Estate
XIDE - EXIDE TECHNOLOGIES WI
MTH - Meritage Homes
Unusual Volume detected
TSTR - MOTIENT CORP
FROI - Fero Industries Inc
TUP - Tupperware Brands
OXIS - Oxis Interntnl
IBKR - Interactive Brokers
ARGC - Artepharm Global Corp
TKS - TOMKINS P L C
RSRZY - Rossi Residencial SA
NAUH - Camden Learning Corp
SILA - Gold Ameri Minng
BZF - WisdomTree Dreyfus
APGA - American Paramount
SCPB - SPDR Barclays Cptl
EGMI - ELECTRONIC GAME CAR
The daily chart created a bullish engulfing candlestick formation on Tuesday
MTL - MECHEL OAO
TIE - TITANIUM METALS CORP
HUN - HUNTSMAN CORPORATION
UBS - UBS AG
POT - POTASH CORP SASKATC
HNZ - HEINZ H J CO
L - LOEWS CORP
EOG - EOG Resourses
IAG - IAMGOLD CP
TC - BLUE PEARL MINING LT
PPG - P P G INDUSTRIES INC
TIF - TIFFANY AND CO
RDC - ROWAN COS INC
HBC - HSBC Holdings PLC
RRC - Range Resources Corp
AMX - America Movil SA
CAKE - Cheesecake Factory
DNDN - Dendreon Corporation
RRD - Donnelley (RR) & Sons
FULT - Fulton Financial Co
TS - Tenaris SA
WM - WASTE MANAGEMENT INC
RTN - Raytheon Co
Disclaimer : This is not an investment advisory, and should not be used to make investment decisions. Information in AC Investor Blog is often opinionated and should be considered for information purposes only. No stock exchange anywhere has approved or disapproved of the information contained herein. There is no express or implied solicitation to buy or sell securities. The charts provided here are not meant for investment purposes and only serve as technical examples. Don't consider buying or selling any stock without conducting your own due diligence.
Good luck to all,
AC
