Penny Stock On The Move - DVW, NXXI, SVVS

• Covad Communications Group Inc. (DVW): shares of San Jose, CA based DSL and VoIP service provider surged 11.9% or 25 cents to 52 weeks high fo $2.35 per on analyst citing the company a possible take-over target. The technical chart shows a new rally has just begun as ROC has rose from oversold level while the stock is still above both 50 day and 200 day moving average. MACD show the stock is still in bull market with signal line above 0 while KD line show buy signal as K line is rising on top of D line. The coverage of the stock began on January 7 at $1.04 per share with a "Strong Buy" rating and the stock has since more than doubled with 125.96% gain.
• SAVVIS Inc. (SVVS): shares of Town & Country, MO based VPN(Virtual Private Network) service provider jumped 14.55% or 24 cents to new 52 weeks high of $1.89 per share right after the coverage on the company began last Friday at $1.65 per share. The technical chart shows it is still a good time to buy the stock as not long ago the 50 day moving average has crossed on top over 200 day moving average to form Gold Cross, a very bullish sign. In addition MACD and KD both show buy signal as MACD is on top of signal line and K line is rising above D line. However high ROC shows the stock may probably been overbought.
• Nutrition 21 Inc. (NXXI): shares of Purchase, NY based chromium-based nutrition products maker rose 7.44% or 18 cents to new 52 weeks high of $2.60 on new purchase order from a 5,000 stores national retail chain for the company's chromium products. The technical chart shows the stock is in the middle of a strong bull market as stock is on top of 50 day and 200 day moving average with both moving averages pointing up. MACD and KD also show strong buy signal as MACD is on top of signal line while K line is rising on top of D line. The only possible negative signal is ROC which has reached overbought level. The stock was first covered on Januar 14 at $1.18 per share with a "Buy" rating and has since more than double folded with 120.34% gain.