The Ones Which Hold on Are Keepers

La Jolla Pharmaceutical (LJPC) priced a 3.7 million common stock offering at $33.50/share this morning.

But, as you can see below on the biopharmaceutical firm's daily chart, is the stock is absorbing the offering remarkably well. Generally, offerings are seen as dilutive to existing shares and thus short-term bearish. 

However, when a stock can remain unperturbed by the offering and actually flourish, it is seen as a bullish "tell" that underlying demand is incredibly strong. 

Either way, as this market consolidation plays out we want to continue to put in the daily work to identify relative strength names. And LJPC fit that bill as the overall chart is in an uptrend with explosive upside potential.