Tuesday’s Top Stocks
Monday ushered in more of the same, as the Nasdaq looks to be leading the way.
Unfortunately folks, that looks to be down, unless you like to put all of your
apples in the likes of the S&P500. So far so good, I’m sure–but with a
double-top pattern in place against weekly technical resistance, and the Nasdaq
and its leading growth stocks showing more and more signs of stunted growth,
well let’s just say that this cautious bull doesn’t mind steering clear of any
bovine droppings before they occur in earnest.
On the session though, the two major indices were once again locked in unison
as both finished down between .28% to 1.49%. Volume was lighter and below-average
on the NYSE—just the way our friend Mr. Bill likes it, but personally speaking,
it just doesn’t make me want to shout ‘yahoo.’ Volume on the Nasdaq however,
showed increased participation in the ‘profit-taking’ department, and I’ll tell
you, the final number is so darned close to being a potential downside Follow-Thru-Day,
that this cautious bull doesn’t mind thinking that it was, ’cause at a minimum
it will keep the horns sharp and dry for the time when the high-probability
move is there for the taking.
Further testing in both the Nasdaq and the semiconductor sector, but once again
the S&P500 is doing a dismal job of washing out weak holders by being as
stubborn as an ox, and that’s no bull. More individual growth issues have taken
the leap toward technical supports, and some have in fact broken completely
out of prior base building and their respective uptrends—and that is never
a good thing as far as the near-term prospects for intermediate-term players.
‘Oh No Mr.Bill’—aw, don’t worry, he’ll be alright, because unlike the Saturday
Night Live Character, that colorful guy has the smarts to move out the way when
danger is approaching. For the rest of us, we’ll stay even a little bit smarter
by just sticking with what we like to do best, regardless of bull, bear, or
pig–namely disciplined, consistent daytrading tactics.
Volatility Readings:
| Volatility Index | Close | Net Change | Signals/Direction | % Above/Below 10 Day Moving Average | Significance |
| VXO ( $VXO | Quote | Chart | News | PowerRating) |
15.83 | down .42 | cvr 1 buy | 1% above | not at extreme |
| VXN ( $VXN | Quote | Chart | News | PowerRating) |
24.54 | up .42 | na | 2% above | not at extreme |
Hottest Sectors : NA
Weakest Sectors : Semiconductor
(
SMH |
Quote |
Chart |
News |
PowerRating)
Tuesday’s stocks to watch:
Technical Strength Top of Range.
Stocks are scanned from TM’s Proprietary and Technology 10 Momentum lists on
the Indicators page, as well as being hand selected, based on the most recent
technical action. This may include some or all of the following: abnormal
volume, price patterns, as well as bullish action off of technical price
supports or clearance of technical resistance in that day’s session.
| Name | Symbol | Price | Technical Strength | Average Volume 000’s | Today’s Volume |
| NovAtel | ( NGPS | Quote | Chart | News | PowerRating) |
18.34 | Top of range consolidation on increased, above-average(IAA) volume, fresh 52-week highs |
138 | 462 |
| Micro-tek | ( MTMD | Quote | Chart | News | PowerRating) |
6.07 | Extended 60-minute lateral consolidation with IAA volume today |
295 | 302 |
Technical Weakness Bottom of Range.
Stocks are scanned from TM’s Implosion and Technology Implosion Lists on the
Indicators page, as well as being hand selected, based on the most recent
technical action. This may include some or all of the following: abnormal
volume, price patterns, as well as bearish technical action at key support,
or resistance levels based on closing prices.
| Name | Symbol | Price | Technical Strength | Average Volume 000’s | Today’s Volume |
| Schnizter | ( SCHN | Quote | Chart | News | PowerRating) |
44.82 | Bottom of range consolidation on bearish gap follow-thru, Low RS issue |
1,234 | 912 |
| Carrier Access | ( CACS | Quote | Chart | News | PowerRating) |
10.37 | Low of day close on IAA volume, breaking daily neckline support |
404 | 809 |
| Cognizant Technology | ( CTSH | Quote | Chart | News | PowerRating) |
47.81 | Low of day close on IAA volume, after failure at technical resistance from below |
1,319 | 1,596 |
Stock Reversal Setups Closing Basis.
Stocks that are setting up on a closing basis as potential long or short reversal pattern
candidates. Candidates listed may have triggered on a closing basis, or close
to triggering ( my general rule is to list the pattern setup if it is within
+/-.15 of trigger price). Patterns include basing patterns (Slim Jims, 1,2,3s,
Double bottoms) consolidations, and triangle reversals. Background technical
supports in the form of Fibonacci levels, EMAs (DEMA=daily ema), RS, and former
price action are used in the decision making process.
Long Reversals Closing Basis.
| Name | Symbol | Price | Technical Strength | Average Volume 000’s | Today’s Volume |
| NA | NA | NA | NA | NA | NA |
Short Reversals Closing Basis.
| Name | Symbol | Price | Technical Strength | Average Volume 000’s | Today’s Volume |
| NA | NA | NA | NA | NA | NA |
Institutional Favorites and Institutional Laggards.
The following stocks are selected from the Nasdaq, S&P 500 & 600 Indices,
and HOLDRs. These are normally heavily traded, liquid issues that are exhibiting
relative strength or weakness, patterns (consolidations or Slim Jims) , or
last hour volume surges, indicative of follow through in the very near term.
Institutional Favorites
| Name | Symbol | Price | Average Volume 000’s | Today’s Volume |
| Altria | ( MO | Quote | Chart | News | PowerRating) |
56.63 | 5,823 | 6,783 |
| General Electric | ( GE | Quote | Chart | News | PowerRating) |
33.42 | 20,563 | 20,825 |
Institutional Laggards.
| Name | Symbol | Price | Average Volume 000’s | Today’s Volume |
| Yahoo | ( YHOO | Quote | Chart | News | PowerRating) |
44.91 | 9,888 | 9,319 |
| Veritas | ( VRTS | Quote | Chart | News | PowerRating) |
30.76 | 6,159 | 8,356 |
| Foundry | ( FDRY | Quote | Chart | News | PowerRating) |
21.02 | 3,679 | 3,491 |
Best of luck to everyone. Please use protective stops on all trades.
Chris Tyler