Four stocks to watch on the long side

Today we feature four stocks to watch on the long side.

The first one is Cree Inc. CREE , which had a monster day on Wednesday on strong earnings, up 7.38 to 40.85, or 22%, on 14.2 million shares. That's the biggest volume in a very long time, going back as far as 2011.

CREE formed a big base in 2012, breaking through the top of the sideways channel toward the end of the year. But it surprised me by pulling back sharply in one session in early January, stabilized and turned right around. With its surge on Wednesday, it broke out not only through lateral resistance, but through the top of the channel, and closed at the very high end of the range. Look for an extension here to 44, our swing-trade target, and perhaps even into the upper end of the range at 46.

NXP Semiconductors NXPI �is in the midst of a beautiful micro pennant. The volume has been terrific, especially on Wednesday when it had a sudden surge, up 29 cents to 29.50, or .99%, reaching as high as 29.67 intraday, on 2.8 million shares. That's more than double Tuesday's volume. It may start to make another move up to the 31 area short-term, and to 35 on an intermediate-term basis. Long-term, it could get up to around 40.

Qihoo 360 Technology QIHU �has risen off a beautiful base pattern from under 15 in August, and technicals are surging. The stock broke out about four weeks ago, ran up for four to five days, backed off to test, and bounced, up 86 cents on Wednesday to 32.63, or 2.7%, on 2.1 million shares. It's in a micro-wedge pattern, and if it gets through 33 in the next couple days, it should test 35 short-term, and maybe 39.50 intermediate term.

Threshold Pharmaceuticals Inc. THLD �popped 83 cents to 5.14, or 19%, on 3.4 million shares Wednesday. That's the best volume and highest close since October. On the weekly chart, we see a long two-year consolidation, followed by a breakout in early 2012 and then a platform. I'd love to see its support line hold, and the stock move up and take out its high from September just under 9. That's the long-term target. Short-term, look for a test of the key resistance line around 6, followed by 7 intermediate term.

See Harry's video chart analysis on these stocks.