Calling The Medics For SpectraneticsPosted: August 26, 2013
Spectranetics (SPNC) has been on an uptrend since early 2009 and has been respecting its trend-line drawn from March 2011 until August 2013 where the trend-line broke down. The bearish case accumulates further with SPNC unable to trade back above the 200 day moving average for a week. Furthermore, SPNC has a 6-months H&S Top in the making with life support at 16.79. Note that this support level was a major resistance level back in 2007. A break and close below the neckline yields a possible target of 12.80. One drawback for this short idea is its low volume. Will the bears pull the plug on this one?