A caller during the Lightning Round of "Mad Money" Monday asked Jim Cramer about Fluidigm Corp. (FLDM) . Jim responded, "Everything in this space is a buy. It's good to own." Great. Let's check out the charts of Fluidigm, which makes microfluidic systems for the life science and agricultural biotechnology industries.
In this daily bar chart of FLDM, below, we can see that prices have rallied nicely from the middle of June. Prices are moving up nicely with a rising 50-day moving average line and a bullish 200-day moving average line. The daily On-Balance-Volume (OBV) line shows a good rise from early November, telling us that buyers of FLDM have become more aggressive. The Moving Average Convergence Divergence (MACD) oscillator has been above the zero line since November but recently narrowed toward a possible take-profits sell signal.
In this weekly bar chart of FLDM, below, I went back five years to show the size of the base pattern and the recent upside breakout. Notice how the volume histogram below the price shows heavy volume at the left side or beginning of the base, how it dries up in the middle and increases again on the right side? The weekly OBV line turns up in 2017 with the volume spike at the bottom. The rising OBV line tells us that buyers of FLDM have been more aggressive. The weekly MACD oscillator is hard to see, but it is in a bullish mode above the zero line.
In this Point and Figure chart of FLDM, below, we can see a large base and a recent upside breakout. A price target of $14.25 is shown, but there is no chart resistance until the low $20s.
Bottom line strategy: FLDM is emerging from an impressive base pattern. Aggressive traders could go long FLDM at current levels risking a close below $10 while looking for gains to $14.25 and probably $22 longer term.