Acasti, Kandi, and Amarantus: Cures for the Summertime Blues? (AMBS, KNDI, ACST)

What do Acasti Pharma Inc. (NASDAQ:ACST), Kandi Technologies Group Inc. (NASDAQ:KNDI), and Amarantus Bioscience Holdings, Inc. (OTCBB:AMBS) have in common? Not a lot, if you're simply looking at their business lines. Kandi Technologies Group makes electric cars, and even though Amarantus Bioscience Holdings and Acasti Pharma are both in the pharmaceutical arena, they're not too much alike. There is one common element among AMBS, ACST, and KNDI right now, however... they're three of the market's most bullish setups. Anyone looking for a new trading idea here should start with one of these three.

If the name Amarantus Bioscience Holdings rings a bell, it may be because yours truly took a thorough trading look at it back on December 18th... the last time AMBS shares started to push up and off of rising support line. Sure enough, the stock took off, rallying from $0.0529 then to a high $0.139 by late January. As has been the MO for quite some time, however, shares peeled back from that high to the lower side of the rising trading range again. And once again, they pushed up and off that rising floor.

So what? Amarantus Bioscience Holdings shares are back in an uptrend spurred by support at that floor. Although we'd prefer to step in closer to the beginning of the rally, there's still plenty of room to keep rising before the upper edge of the trading range is met.

Kandi Technologies Group may be even more familiar, in that the last time it was scrutinized was a much more recent June 16th. The shtick then was simply that even though KNDI was hinting at a bullish breakout, it would first need to clear a major ceiling at $13.72 before becoming trade-worthy. That $13.72 mark was not only where the 100-day moving average line was at the time, but also where the stock had topped out several times since mid-April.

Care to guess what's happened to the stock in the meantime? Yes, Kandi Technologies Group shares have quietly cleared the hurdle at $13.72. We've seen some high-volume days behind the bullish effort too. Today's modest, lull-like day could be a great entry opportunity into the budding uptrend from KNDI.

Last but not least, Acasti Pharma is up an impressive 14.5% today. That's not the compelling aspect of this stock right now, however. What makes ACST worth a second look here is that fact that this is the second bullish thrust we've seen from the stock in the past three weeks, with this one being on very high volume. The bulls aren't going away. Indeed, it almost looks like they've been launched out of a slingshot, using some key moving averages as the springboard.

To fully appreciate just how much of a paradigm shift is unfurling for ACST, however, one has to take a step back and look at the weekly chart below. This is the most bullish promise we've seen in a year, and there's a ton of room for Acasti Pharma to rebound now. The high-volume reversal effort simply says now's the time it's starting to happen.

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