On Assignment (ASGN)

Company

"On Assignment, Inc. is a diversified professional staffing firm providing flexible and permanent staffing solutions in specialty skills including Laboratory/Scientific, Healthcare/Nursing, Physicians, Medical Financial, Information Technology and Engineering. The corporate headquarters are located in Calabasas, California. On Assignment, Inc. was founded in 1985 as On Assignment/Lab Support and went public in 1992. The Company's branch network encompasses approximately 71 branch offices across the United States, United Kingdom, Netherlands, Ireland and Belgium and the Company also provides physicians in Australia and New Zealand." (company website)

asgn(4-1)
ASGN 4-month chart
asgn(4-1)_1yr
ASGN 1-year chart

Buy

On Assignment plunged in February, but has been recovering since then. In August, the 50-day moving average crossed above the 200-day MA which, itself, has started to rise again. ASGN is now making a second run at a resistance level right around $6.50 — by buying, I'm betting it will break above resistance.

  • Percentage price oscillator (PPO) — just a tad below the signal line
  • Volume — increasing slightly, and the really high-volume days have been mostly up-days

Based on technical analysis, MarketEdge calls ASGN a "buy" in a "weak upward trend."

Sell

gain Bottom line
-7%

Instead of going on assignment, this stock went AWOL. The Bollinger bands are narrowing and ASGN is trading just above the 50-day moving average, the PPO line has been falling gradually and has started to diverge from the signal line. I bailed this morning.