For a third example of a small, young, financial-sector stock that's showing good technical strength, look to FX Alliance (FX), a forex-trading platform for institutional users. The company operates under the moniker FXall. It went public at $12 in February, and was trading at around $16.60 toward the end of Tuesday's session, a gain of 38% since its debut. It, too, was showing some buying above its 10-week line.
These companies are outpacing the market in a downturn and they are good ones to continue watching in coming weeks. There are plenty of examples of stocks that get swept away in a new tsunami of selling, so moving-average support can be broken.
The upshot? Recent IPOs showing good moving average support are worth tracking, but new buys in this poor market environment could be at risk of breaking down.
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