Harry Boxer is following four stocks that accelerated Monday: Medidata Solutions (MDSO), Mimecast Limited (MIME), Square Inc. (SQ),and Varonis Systems Inc. (VRNS). He’s the author of The Technical Trader.
Medidata Solutions, Inc. (MDSO) climbed to a new all-time high of $73.15 on Monday (May 22), closing the session up $2.08, or 3%, to $72.76, on 455,600 shares traded. The cloud technology stock has been stair-stepping up a rising channel over the last few months and has popped $4.57 since Wednesday's close. The next target is near the channel top at around $79-$80. Short interest of 7.9 times its average volume could fuel the move as shorts cover on a rally.
Mimecast Limited (MIME) popped another $1.10, or 4.25%, to $27.00, on 388,800 shares traded. The advance up came as the email security company's CEO and CFO spoke at J.P. Morgan's technology conference in Boston. Despite no dramatic increase in volume, the stock's technicals look positive, climbing steadily since early March and holding support on the pullbacks. Watch for price to exceed last week's all-time high of $27.25 to reach $30-31 in the short term.
Square, Inc. (SQ) reached a new all-time high on Monday of $21. It closed up $1.04, or 5.2%, at $20.95 on 9.8 million shares traded. The payment technology stock has been climbing since last week, when industry analysts raised targets after the company's first investor day. Price has doubled over the last year, and there may still be some room left to run to $22, but the stock is near the top of its channel.
Varonis Systems, Inc. (VRNS) rose 60 cents, or 1.67%, to 36.55 on 495,700 shares traded Monday. Price broke out of its bull wedge consolidation on Friday and followed through Monday to close at its highest level since 2014. The stock has risen nearly 14% since the data management software company announced better-than-expected Q1 results earlier this month. The way price and volume are accelerating, the next target is $50, which would be the top of the rising channel going back to late 2015.
