Mannkind

Stocks that I really like to look at are those trading at their 52-week highs. (Read “Denny’s Serves Up Grand-Slam Returns.”) Some of you might ask why I would bother to look at stocks that have already eclipsed their 52-week highs. The reason is that these stocks are trading at their highs, because they are delivering results to Wall Street. As a side note, I also look at stocks near their lows, but these are predominately viewed as contrarian picks.

An excellent example of a stock at a 52-week high that I suggested readers keep on their watch lists recently was Mannkind Corporation (NASDAQ/MNKD), a biopharmaceutical company that is making some great strides in developing therapeutic products for several diseases, including diabetes, cancer, and inflammatory and autoimmune diseases.

On the chart, Mannkind has made 26 new highs this year and has shot up 213% in that time, according to data from Barchart.com. Over the past year, the stock made 32 new highs and is up a sizzling 341%, based on my technical analysis.

Examining Mannkind’s stock chart through technical analysis, the company is excellent, showing successive highs this year, as indicated by the purple circle in the chart below.

The stock is pausing now, down eight percent from its high, so it may be taking a break. I would not be chasing the stock as the easy money has been made for now, based on my technical analysis.

http://www.business2community.com/finance/buying-high-the-new-winning-investment-strategy-0521182