Allion Healthcare, Inc. (ALLI)

Company

"Allion Healthcare, Inc. is a national provider of specialty pharmacy and disease management services focused on HIV/AIDS patients as well as specialized biopharmaceutical medications and services to chronically ill patients. Allion Healthcare sells HIV/AIDS medications, ancillary drugs and nutritional supplies under the trade name MOMSPharmacy. Allion Healthcare provides services for the intravenous immunoglobulin, Blood Clotting Factor and other therapies through its Biomed America division. Allion Healthcare works closely with physicians, nurses, clinics, AIDS Service Organizations, and with government and private payors to improve clinical outcomes and reduce treatment costs." (company website)

alli(2-1)
ALLI 4-month chart
alli(2-1)_1yr
ALLI 1-year chart

Buy

Allion bottomed out in December and has been rising sharply in the past six months. It has now crossed above both the 50- and 200-day moving averages, both of which are rising again. After a peak in eary May, just as the two averages were crossing, the price fell back nearly 20% to touch up with the 50-day average again. Yesterday it took a big bounce off the 50-day, just after the Bollinger bands were at their narrowest.

  • Percentage price oscillator (PPO) — crossed above signal line last week and rising sharply
  • Volume — since earnings, there have been more higher-volume up-days than higher-volume down days.

Based on technical analysis, MarketEdge calls ALLI a "buy" in a "weak upward trend" but notes that it is "overbought." (While that may be so technically, I think the other positive signs over-ride that concern.)

My buy order has been in for two days, and this morning the price got down to within 1¢ of my bid and then just sat there for over an hour. Nobody bid over me, and no seller lowered their offer (the closest was 3¢ above me). Finally I increased my bid by 1¢ and the most remarkable thing happened: my bid was immediately accepted, and that seemed to clear a logjam — within minutes, the price is now up more than 25¢.

Sell

gain Bottom line
-0%

For no apparent reason, my automated trades stopped me out of ALLI this morning. Since I really didn't want to be out, I jumped right back in, albeit for a slightly higher price.