Fitzpatrick used a daily chart of Diana to confirm the pattern, noting the Jan. 2 break out to the upside was also when the 50-day moving average crossed above the 200-day moving average, a move known as a bullish crossover. The stock's 50-day average is now its floor.
Cramer said he agrees with Fitzpatrick's analysis and feels that any pullback in Diana, like the one today, is a buyable dip, as the shipping industry is finally beginning to turn the corner. He said that once Diana breaks above its current ceiling, the stock could easily achiever $14 a share and he wants viewers to get in on that pop higher.
Balm in Gilead
In the 1990s, investors looking for growth would turn to Big Pharma, Cramer told viewers, but today, the growth is in biotech, which is why he highlighted Gilead Sciences (GILD) the HIV and Hepatitis C powerhouse that's growing at 26% a year but trading at a scant 16 times earnings.
Cramer said that valuation makes Gilead cheaper than
(BMY), a stock Cramer owns for his charitable trust,
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