HCBK is a $3.4 billion financial company that that provides retail banking services in the northeastern part of the United States. We've seen money rotate recently between sectors and even within sectors. HCBK recently saw a stellar run up in price to the $7.25 area. But its momenum oscillators reached extremely overbought territory with its RSI touching 80 and its stochastics approaching 100. The selling was normal profit-taking and now sets HCBK up for another run to the $7.25 initially. We expect a breakout, however, with a target of $7.75. To the downside, we'd keep a closing stop beneath $6.70, especially if it's accompanied by increasing volume. Those wanting to give HCBK more downside room could consider the rising 50 day SMA, now at $6.31.

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