Market Lab Report - Premarket Pulse 5/19/15

Published : May 19 2015 at 9:37 ET
Major averages rose yesterday on lower, below average volume despite the S&P 500 and DJIA both closing at new highs. The Russell 2000 small-cap index finally regained its 50-day moving average, closing above the line yesterday in a strong confirming move as the upside momentum begins to broaden. A number of actionable names presented themselves which bodes well for the internals of the market tilting the odds in favor of a new uptrend, the likes of which we have not seen since 2014.

Mixed-signal ICS and embedded software maker CRUS is having a pocket pivot off its 10dma. Earnings and sales are sharply accelerating, ROE 25%, group rank 6.

Semiconductor SWKS had a pocket pivot off its 50-day average. Earnings and sales are robust, pretax margin 30%, ROE 26.9%, group rank 25.

Semiconductor QRVO had a pocket pivot. Earnings and sales are skyrocketing, pretax margin 27.5%, group rank 25. We reported on the buyable gap up by QRVO due to its strong prior earnings report.

Children's apparel retailer CRI had a pocket pivot after it gapped up on strong earnings a couple of weeks ago. ROE 28.4%, accelerating earnings, group rank 37.

Biotech BMRN had a pocket pivot. Institutional sponsorship has grown last 3 quarters, group rank 3.

Biotech LGND had a pocket pivot. It responded favorable to its recent earnings report. Institutional sponsorship has grown over the last 9 quarters, pretax margin 49.4%, ROE 85.5%, group rank 1.

This information is provided by Virtue of Selfish Investing, LLC (VoSI) is issued solely for informational purposes and does not constitute an offer to sell or a solicitation of an offer to buy securities. Information contained herein is based on sources which we believe to be reliable but is not guaranteed by us as being accurate and does not purport to be a complete statement or summary of available data. VoSI reports are intended to alert VoSI members to technical developments in certain securities that may or may not be actionable, only, and are not intended as recommendations. Past performance is not a guarantee, nor is it necessarily indicative, of future results. Opinions expressed herein are statements of our judgment as of the publication date and are subject to change without notice. Entities including but not limited to VoSI, its members, officers, directors, employees, customers, agents, and affiliates may have a position, long or short, in the securities referred to herein, and/or other related securities, and may increase or decrease such position or take a contra position. Additional information is available upon written request. This publication is for clients of Virtue of Selfish Investing, LLC. Reproduction without written permission is strictly prohibited and will be prosecuted to the full extent of the law. ©2016 Virtue of Selfish Investing, LLC. All rights reserved.