The market is selling off sharply today, but no one let the solar stocks know, which are rising sharply higher following positive earnings results and forecasts from SunTech (STP) and Trina Solar (TSL). The rise comes despite oil dipping 2.25% below $80 as that trade has unraveled and solar stocks are actually starting to have a fundamental rationale to investing in them, and are closing in on economic viability. Also, the recent news of subsidies in India is still having a positive impact. Shares of Canadian Solar (CSIQ) and SolarFun (SOLF) are seeing increased bullish call activity today, and are breaking out on a technical basis. However, juggernaut First Solar (FSLR) is down on the day, along with LDK Solar (LDK), so it looks like traders are targeting specific companies in the sector, which is also an unraveling, as usually the entire group trades together, but now momentum and value players are putting money to work, as can be seen by the relative strong shar e volume today.
JOE KUNKLE, OptionsHawk.com
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