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Thursday, May 28, 2015

DDD 3D Systems Daily Chart Falling Wedge Oversold Positive Divergence

The 3-D stocks have fallen out of favor. A couple years ago, traders were tripping over each other to buy SSYS calling it best in breed. DDD, XONE and VJET are other key players. The production of human tissue and such body parts such as ears have a great future ahead for 3-D bio-printing. The 3-D technology provides a future world where most of your needs can be produced at home instead of going to the store. Valuations got out of  hand and the stocks went into bubble territory popping in 2014. Now you cannot give away a 3-D printer.

The charts indicate that the beatings have gone on long enough and some recovery is in order. For DDD, and the others, SSYS, XONE and VJET, the daily and weekly charts show positive divergence across all indicators so as knife-catch speculative plays, the 3D arena is very attractive. DDD, SSYS, VJET and XONE can all be viewed as attractive speculative long plays. Keystone bot DDD opening a new long position. This information is for educational and entertainment purposes only. Do not invest based on anything you read or view here. Consult your financial advisor before making any investment decision.

Note Added Monday morning, 6/1/15, at 5:50 AM: DDD bounced +5% on Thursday and then gave back one-half on Friday. There is a high short interest in the stock so any sound bites create potential catalysts for the stock. A rumor hit on Thursday that GE is exploring a takeover of DDD at 32-42 per share. This appears to be market shenanigans with someone long DDD trying to pump the shares higher. The positive divergence as described above, along with the potential short-covering fuel, are both bullish but the play remains speculative. The new week of trading may prove quite interesting for the 3-D printers.

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