The market's up today, but how long can the rally really last? While the large caps that lead he major indices are in flux, we've found a few micro caps that are taking a very decisive (i.e. trade-worthy) direction. Those names are Juniper Group, Inc. (OTC:JUNP), XTend Medical Corp. (PINK:XMDC), and Total Nutraceutical Solutions (OTC:TNUS). Here's a detailed look at each chart.

A little bad news for all you traders who still own Total Nutraceutical Solutions (OTC:TNUS) shares. After two days of brilliant gains, the party is probably over - time to get out if you haven't already (or short it if you can).

The defining clue - not that we really needed one - is today's major outside reversal. Total Nutraceutical Solutions shares opened above Friday's high, and as of right now are below Friday's low... and Friday's close was much higher than Friday's open. The two-day pattern TNUS has made is called an outside reversal, call such because if the sudden and drastic change in momentum. 

As for a downside target on Total Nutraceutical Solutions, forget about it. This thing trades so thin, there's not much point; maybe a return to $0.05 would be reasonable.... I just don't know. I do, however, encourage you to burn this chart if TNUS into your mind. This is a classic pump and dump pattern. There's nothing wrong with riding them higher; you just want to get out at the high when the pumpers are doing so - the tumble is big and fast.

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I mentioned some bullish potential from Juniper Group, Inc. (OTC:JUNP) a few days ago. At the time I thought I made my 'second wave' theory pretty clear, but I just went back and read my comments.... I never even brought it up. I need to do so today. 



At the time, I loved the high-volume strength we were seeing from Juniper Group shares. My only issue with those kinds of moves is that the surges invite profit-taking, which sends the shares lower again. Sometimes that retraction is permanent, and other times, that dip is just temporary. I though the latter possibility was what we were going to see from JUNP.

Well, JUNP did indeed pull back, though on light volume (another vital clue). As of today, Juniper Group is flattening. So far this means nothing, but a higher high from following the decelerated pullback last week could be the beginning of the second - and better-paced - bullish wave from this chart.

And finally, XTend Medical Corp. (PINK:XMDC) is looking a little bearish based on both elements we mentioned for our other two stocks.... the selling volume is strong while the buying volume is weak, and the chart itself has made (almost) a couple of major outside day reversals within the last six trading days.

First, the reversal bars; though not technically an 'outside day', the bars from four and five days ago for XTend Medical shares, with their height, the gap from the first day, and the mirror image of the first bar with the second bar, are all classic signs of a major shift in momentum. Today's and Friday's bars for XMDC make the same hints. [Sometimes you have to interpret the spirit of the patter if you don't actually get the prefect pattern/signal.]

As for the volume, that's a little easier to see. The bullish (blue) volume bars from XTend Medical on Thursday and Friday were mild, while today's on pace to give us a higher degree of bearish volume. In other words, there are still more sellers (net) of XMDC than buyers.

Any of the prior lows could be an initial target, though I'd play it by ear.


If you'd like to know of any changes in our opinion of TNUS, JUNP, or XMDC (or if we officially recommend them as trades), be sure to sign up for our free newsletter today. It's delivered weekly.