Sector Update: Financial Stocks Ending Mostly Lower; Higher One Lives Up to Name, Breezes Past Technical Resistance

Top Financial Stocks

JPM -0.89%

BAC -0.75%

WFC -0.74%

C -1.06%

USB -0.18%

Financial stocks were mostly lower with the NYSE Financial Sector Index retreating about 0.8% and the S&P Financial 100 Index declining about 0.5%.

In company news, shares of Higher One Holdings Inc. ( ONE ) rallied Monday after a technical strategist at touted the financial-services company targeting collage and university students as a stock now priced under $10 a share that's set to soar higher.

The stock topped out at $4.52 today, up 13.5%, more recently trading at $4.37 within a 52-week range of $3.47 to $11.21 a share. A Seeking Alpha blogpost last week similarly ignited an 8% advance for ONE.

ONE shares were hard hit two months ago, sliding over 44% from a recent high around $6.50 apiece after the company May 13 disclosed the Federal Reserve was seeking an administrative order and financial penalties in response to ONE's marketing and disclosure practices for its OneAccount option for financial aid refunds.

But the stock soon established a double bottom around the $3.50 mark, which author Roberto Pedone sees as positioning ONE for a "possible breakout trade" if shares were able to climb past near-term resistance between $4.04 to $4.07 a share. Next up would be resistance at the stock's 50-day moving average of $4.29 a share.

"A sustained high-volume move or close above those levels will set up ONE to retest or possibly take out its next major overhead resistance at $5.00 or $5.50, or even $6 to $6.50 a share," Pedone wrote.

ONE shares steadily advanced Monday morning, eclipsing its near-term resistance within the first 30 minutes of today's session and pushing past their 50-day moving average shortly after 10:30 a.m. ET. Volume also has been unusually strong, with around 935,000 shares changing hands so far today - or more than double its 396,900 daily average over the past three months.

In other sector news,

(+) KKR, Sells its stake in WILD Flavors food-ingredient business to Archer-Daniels Midland ( ADM ) as part of a $2.2 bln cash buyout. ADM also assumes around $100 mln in WILD Flavors debt.

(-) ACE, Agrees to acquire the property and casualty insurance business in Brazil of Ita Seguros for $685 mln. The unit had an 18% market share in Brazil during 2013, writing around $950 mln in gross premiums last year.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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