Medical- Equipment/Systems stocks are hot right now

The stocks that I like in this group are: Cutera (CUTR), Holix (HOLX) and Schick Technologies Inc. (SCHK.OB), and Iris Intl (IRIS).


I'll start with SCHK. SCHK is a company that engages in the design, development and manufacture of digital radiographic imagin systems and devices for the dental market. Basically it provides equipment for x-rays. This can be a great market, especially with the aging population! As people get older, they need increased care for their teeth! No wonder this stock has been on fire lately! The fact that it is an .OB stock makes a lot of people fearful of investing their money into SCHK. I believe that regardless of its OB status, it
is a great company!

Schick Technologies (SCHK.OB) 3 month chart



Just from looking at the chart, you can notice a few key things. One, is the volatility in the stock, and Two, the increasing volume, especially after that big drop! Overall, the chart looks good!





Approach: One thing is for sure, do not go too crazy with SCHK. The truth is, it is still an .OB stock, so you need to excercise caution. Like I have previously explained, different rules apply to .OB and pink sheet stocks. There are greater risks and it is not mandatory for the companies to post certain documents that NYSE, AMEX and NASDAQ stocks have to. So because the SEC doesn't regulate these stocks as strongly, they have a habit oh pulling some shady moves. Look at RSTG, NAUC and any other stock that is an .OB and you will see what I mean. So, buy 100-300 shares tops and keep a careful eye on it.

Time Frame: I want you to regard SCHK as a trade. That way, you can sell it quickly if bad news hits the wire. Hold as a mid to long term trade.

Target: I would like the stock to come back down a little for starters. 1st target would be going to $30 and holding it. 2nd target is $40.

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Cutera Inc (CUTR) is one of my favorite companies! It is currently trading at 24.40! I first noticed the stock when it was trading at 19 dollars. Unfortunatly I was so focused on oil stocks at the time that I completley forgot about it. CUTR develops laser and other lightbased products for safe, effective and noninvasive aesthetic medical procedures such as hair removal. The company also has an excellent earnings record!

Cutera Inc (CUTR)

Although I like the chart, I want to wait a see how the stock holds up. If I see that the stock rises and can stay above the 52wk high, then I will issue an full buy recommendation. I would also like volume to pick up more as well.

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