Thursday’s Top Stocks From TradersWire
Sirius Satellite Radio (SIRI)
was downgraded by Bear Stearns before the open. It affected XM
Satellite Radio (XMSR) negatively. XMSR gapped down, but it provided us a
nice reversal play. It opened below the lower Bollinger Band. You could have
bought the stock as soon as it moved above the band.
I thought Diamonds Trust (DIA) was in trouble, but the stock tested
yesterday’s low successfully and formed a narrow range bar. Nasdaq-100 Index
also held above yesterday’s low. It finished right at the bottom of a rising
channel.
Now three stocks for Thursday:
Adobe Systems (ADBE): The stock tested its 20-day EMA and shaped a narrow
range bar. Long ADBE if it takes out 61. We are looking for the December 3 high
(63.14), but the initial target is 62. Risk 0.5.
Overstock.com (OSTK): Like ADBE above, the issue is in a pullback and
formed an inside bar just above the rising 20-day EMA. Long OSTK if it trades
above 70. We are looking for 73. Risk one point.
eBay Inc (EBAY): This one is also a pullback play. The stock shaped a
bullish tail and closed near the day’s high. Long EBAY if it moves above 114.90.
Target is the December 3 high (117.33). Risk 0.75-1.00.
Good night!
If you have questions, feel free to mail them to me.
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