MR is a $4.0 billion healthcare company that develops, manufactures, and markets medical devices worldwide. From late November 2009 to early January 2010, MR rose from $28.40 to over $40.00. Since that time, it has consolidated in a fairly loose range from $33.80 to $39.60. Overall, the long-term volume trends remain quite strong and as long as the lower end of the trading range holds as support, we like MR on the long side. Note that the MACD is now stretched to the downside, testing the level where the price bottomed in late November. We'd expect another bounce from the current level. The momentum oscillators were seriously overbought at the recent highs, while the selling these last few weeks now has MR sporting RSI and Stochastics in oversold territory. We like entry from the current price down to $34.00 with a closing stop beneath $33.80. To the upside, we'd look for a retest of the $39.60 March closing high.
MR - Mindray Medical International Limited (NYSE)
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