Last up is Express Scripts (ESRX), a stock that rallied yesterday following news that the firm's planned merger with Medco Health Solutions went through successfully. The merger had been a major black cloud over the firm, as regulatory interference could have been costly for the firm. Now, with investor ennui shaken out of ESRX, this stock is in breakout mode.
Shares of ESRX had been consolidating in a channel for much of 2012, stuck in between a narrow range of support at $52 and resistance at $55. But the news that the Medco merger went though was enough to push ESRX through that price ceiling. That's sending a buy signal in shares of this pharmacy benefit manager right now. The breakout keeps this stock in the uptrend that's defined shares in 2012 -- that same uptrend should keep ESRX on track for gains in April.
If you decide to be a buyer at this point, I'd recommend keeping a protective stop at the 50-day moving average.To see these plays in action, check out the Technical Setups for the Week portfolio at Stockpickr. -- Written by Jonas Elmerraji in Baltimore.
Twitter and become a fan on Facebook.
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV