Thursday’s Top Stocks
‘Relax, and take a deep breath…’
I’m not sure if those are the exact words,
but the message of reassuring confidence from the Charles Schwab commercial
where anxious investors are asking very demanding questions about the market’s
next move seemed very appropriate after the last two sessions. Today’s action
was marked by narrowing volatility as the ETFs closed lower in “doji” fashion.
Our three index proxies finished down between .25 and 1% on heavy volume, with
decliners taking a slight lead over advancing issues in Wednesday’s trade.
Not exactly the pullback that I was referring to
yesterday, but it’s a step in the right direction. The SPYs and QQQs are off
their best levels in many months by 1% or 2%, while the lagging DIAs
managed to pretty much keep most of their gains intact. Today brought about some
more consolidation, or downward action in some of our High RS stocks. That’s
good action, and the starting point for buying strength on weakness, or
pullbacks, such as the 3-Day Simple pullback method or other techniques outlined
by our resident “swinger” Dave
Landry.Â
I’d personally like to see a bit more of this very constructive
action, without violating recent price supports such as trendlines, Fibonacci’s,
and Institutional support levels such as the 200 and 50 moving averages. On a
final note, in my opinion there’s been a tad too much of ‘dot com fever’ hitting
some our lower price issues as of late too, i.e., TheGlobe.com
(
TGLO |
Quote |
Chart |
News |
PowerRating).
As far as this particular party is concerned, I’d welcome some Excedrin type of
action before we take the next leg higher in the broader market averages.
While investors and position traders might have
some concern as to whether their recent bullish tracks are going to leave an
easy mark for the market’s resident bear, as daytraders our one concern is much
simpler. By
preparing our list of High and Low RS issues each night, and then watching to
see which suit the market will be wearing in tomorrow’s trade, we can trade
consistent intraday setups from either side, regardless of which one of our
favorite animal friends decides to drop in on us.
Hottest Sectors : Oil Services
(
OIH |
Quote |
Chart |
News |
PowerRating)
and Broker / Dealers
(
$XBD.X |
Quote |
Chart |
News |
PowerRating)
Weakest Sectors : Biotech
(
BBH |
Quote |
Chart |
News |
PowerRating) and Semiconductors
(
SMH |
Quote |
Chart |
News |
PowerRating)
Thursday’s HELVETICA>stocks to watch:
High
RS issues
closing in Top of Range.
Stocks are scanned from 3 Month RS of 80 or higher
and TM’s Proprietary and Technology 10 Momentum lists on the Indicators page.
size=2 Helvetica face=”Arial”>Name | class=890430920-15102001>Symbol | class=890430920-15102001>Relative Strength | class=890430920-15102001> size=2 Helvetica face=”Arial”>Price | class=890430920-15102001>Average Volume | class=890430920-15102001>Today’s Volume |
Artisan Components | ( ARTI | Quote | Chart | News | PowerRating) | 83 | 21.05 | 304K | 2,824M |
Centex | ( CTX | Quote | Chart | News | PowerRating) | 76 | 67.40 | 1,220M | 1,314M |
class=890430920-15102001> Network Appliance | class=890430920-15102001> ( NTAP | Quote | Chart | News | PowerRating) | class=890430920-15102001> 83 | class=890430920-15102001> 15.18 | class=890430920-15102001> 7,049M | class=890430920-15102001> 7,415M |
Weak RS issues closing in
Bottom of Range.
Stocks
are scanned from 3 Month RS of 35 or lower and TM’s Implosion and Technology
Implosion Lists on the Indicators page.
class=890430920-15102001>
size=2 Helvetica face=”Arial”>Name | class=890430920-15102001>Symbol | class=890430920-15102001>Relative Strength | class=890430920-15102001> size=2 Helvetica face=”Arial”>Price | class=890430920-15102001>Average Volume | class=890430920-15102001>Today’s Volume |
HCA | ( HCA | Quote | Chart | News | PowerRating) | 4 | 31.78 | 5,603M | 5,508M |
j2 Global | ( JCOM | Quote | Chart | News | PowerRating) | 44 | 27.00 | 604K | 847K |
High RS issues with Volume
Surge in last hour.
Stocks are scanned from 3 Month
RS of 80 or higher and TM’s Proprietary and Technology 10 Momentum lists on the
Indicators page.
size=2 Helvetica face=”Arial”>Name | class=890430920-15102001>Symbol | class=890430920-15102001>Relative Strength | class=890430920-15102001> size=2 Helvetica face=”Arial”>Price | class=890430920-15102001>Average Volume | class=890430920-15102001>Today’s Volume |
Hyperion Solutions | ( HYSL | Quote | Chart | News | PowerRating) | 71 | 30.29 | 758K | 923K |
Weak RS issues with
Volume Surge in last hour.
Stocks are scanned
from 3 Month RS of 35 or lower and TM’s Implosion and Technology Implosion Lists
on the Indicators page.
None Today.
Stocks in Slim
Jims
High RS Slim Jims.
class=890430920-15102001>Stocks are
scanned from 3 Month RS of 80 or higher and TM’s Proprietary and Technology 10
Momentum lists on the Indicators page.
size=2 Helvetica face=”Arial”>Name | class=890430920-15102001>Symbol | class=890430920-15102001>Relative Strength | class=890430920-15102001> size=2 Helvetica face=”Arial”>Price | class=890430920-15102001>Average Volume | class=890430920-15102001>Today’s Volume |
Halliburton | ( HAL | Quote | Chart | News | PowerRating) | 66 | 23.40 | 3,978M | 6,100M |
Manhattan Associates | ( MANH | Quote | Chart | News | PowerRating) | 64 | 24.75 | 702K | 287K |
Weak RS
Slim Jimsclass=890430920-15102001>.
class=890430920-15102001>Stocks
are scanned from 3 Month RS of 35 or lower and TM’s Implosion and Technology
Implosion Lists on the Indicators page.
class=890430920-15102001>
None Today.
class=890430920-15102001>
High RS
Reversal Patterns.
Stocks with 3 Month RS of 80 and / or
Institutional Favorites that are setting up on a closing basis as potential
short or long 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 1,2,3s
,Slim Jim (SJ)
consolidations, and Triangles. Background
supports in the form of Fibonacci levels, EMAs (DEMA=daily ema), and former price supports are
used in the decision making process.
size=2 Helvetica face=”Arial”>Name | class=890430920-15102001>Symbol | class=890430920-15102001>Relative Strength | class=890430920-15102001> size=2 Helvetica face=”Arial”>Price | Direction | Pattern Type | class=890430920-15102001>Average Volume | class=890430920-15102001>Today’s Volume |
Semiconductor HOLDRs | ( SMH | Quote | Chart | News | PowerRating) | 77 | 27.44 | LONG | 123 Intraday off of daily price supports | 6,547M | 5,682M |
class=890430920-15102001> Genzyme | class=890430920-15102001> ( GENZ | Quote | Chart | News | PowerRating) | class=890430920-15102001> 76 | class=890430920-15102001> 39.52 | class=890430920-15102001>LONG | class=890430920-15102001>Narrow Range Bar/3-Day Simple pullback w/ intra sym.triangle bottom | class=890430920-15102001>3,448M | class=890430920-15102001>2,923M |
class=890430920-15102001>Low RS
Reversal Patterns.
Stocks with 3 Month RS of 35 and / or
Institutional Favorites that are setting up (within .15 of trigger) on a closing basis as potential
short or long reversal pattern
candidates. Patterns include 1,2,3s and Slim Jim (S.J.) consolidations. Whenever
possible background evidence of resistance in the form of Fibonacci levels, EMAs, and former price supports are
used in the decision making process.
size=2 Helvetica face=”Arial”>Name | class=890430920-15102001>Symbol | class=890430920-15102001>Relative Strength | class=890430920-15102001> size=2 Helvetica face=”Arial”>Price | Direction | Pattern Type | class=890430920-15102001>Average Volume | class=890430920-15102001>Today’s Volume |
Transocean | ( RIG | Quote | Chart | News | PowerRating) | 9 | 19.73 | LONG | SJ off 3-Day Haggerty Wake Up Call | 2,855M | 6,511M |
class=890430920-15102001> Bausch & Lomb | class=890430920-15102001> ( BOL | Quote | Chart | News | PowerRating) | class=890430920-15102001> 29 | class=890430920-15102001> 33.13 | class=890430920-15102001>LONG | class=890430920-15102001>123 off 200 Day SMA & 50% Fibonacci | class=890430920-15102001>617K | class=890430920-15102001>3,174M |
class=890430920-15102001>
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, pattern (Slim
Jims), or last hour volume surges, indicative of follow through in the very near term. Due to the
institutional participation, which can provide additional follow through not
always found in less active issues, the 3 Month RS criteria is more subjective, and quite often less stringent in
evaluating an issues near term prospects. Program trading (which affects many of these
issues) can also be viewed as a potential beneficial factor when stocks listed
below are exhibiting price pattern setups on an intraday and / or daily chart
basis.
Institutional
Favorites
size=2 Helvetica face=”Arial”>Name | class=890430920-15102001>Symbol | class=890430920-15102001>Relative Strength | class=890430920-15102001> size=2 Helvetica face=”Arial”>Price | class=890430920-15102001>Average Volume | class=890430920-15102001>Today’s Volume |
Amazon | ( AMZN | Quote | Chart | News | PowerRating) | 86 | 30.70 | 9,046M | 10,339M |
Checkpoint Software | ( CHKP | Quote | Chart | News | PowerRating) | 75 | 17.48 | 3,142M | 6,258M |
Merrill Lynch | ( MER | Quote | Chart | News | PowerRating) | 68 | 42.90 | 6,222M | 13,068M |
Echostar | ( DISH | Quote | Chart | News | PowerRating) | 81 | 33.60 | 4,073M | 7,903M |
Institutional
Laggards.
size=2 Helvetica face=”Arial”>Name | class=890430920-15102001>Symbol | class=890430920-15102001>Relative Strength | class=890430920-15102001> size=2 Helvetica face=”Arial”>Price | class=890430920-15102001>Average Volume | class=890430920-15102001>Today’s Volume |
Qualcomm | ( QCOM | Quote | Chart | News | PowerRating) | 10 | 31.94 | 14,791M | 15,539M |
3M Company | ( MMM | Quote | Chart | News | PowerRating) | 12 | 121.51 | class=890430920-15102001> 2,820M | 3,297M |
Microchip Technology | ( MCHP | Quote | Chart | News | PowerRating) | 36 | 21.12 | 5,272M | 7,108M |
Best of luck to everyone. Please use
protective stops on class=890430920-15102001> all trades.
P.S. I’ve
just released a new trading module on Intraday Breakouts. If
you’d like more information, click
here.