And So We Wait
Each morning this list will contain those stocks with the potential to
make a quick but tradable move in the first hour. The information listed
here is designed for the trader who catches the early morning momentum, between
the first five and 45 minutes of trading. Many stocks open each morning, run for
several points and then reverse. I will cover stocks with this potential and
highlight possible reversal points and resistance areas. These points need to be
monitored closely, as the stocks may turn quickly here. Be ready to lock in
profits quickly.
Morning Outlook
The S&P futures are +2.90 and the
Nasdaq futures are +22.00.
Watch for a turnaround in the first 10-30 minutes of trading. Keep an eye
on the stocks that gap the most in the morning. Use the Nasdaq tracking
stock (QQQ)
or futures as leading indicators.
It sounds like traders are waiting until Tuesday to see what happens with the Fed.
Heading Up (at the
open)
Sun Microsystems
(
SUNW |
Quote |
Chart |
News |
PowerRating) is trading
up 3 points on last night’s split announcement. There is no overhead resistance
because it is trading at an all time high.
CienaÂ
(
CIEN |
Quote |
Chart |
News |
PowerRating) is trading up
roughly 7 points. The only overhead resistance is the all-time high of 189. In a
reversal, look for near-term support at 180.
Atmel
(
ATML |
Quote |
Chart |
News |
PowerRating) is trading up 3
points near 36 1/4. The 50-day MA is located at 36.221, so you may want to
consider waiting for a move a bit higher before taking a position. On Wednesday,
ATML broke its three month downtrend after gapping higher on strong volume.
ADC Telecom
(
ADCT |
Quote |
Chart |
News |
PowerRating) is trading up 3
points near 47 on strong volume. Watch for resistance at 47 5/8, 48 3/4, 49, and
50. It is now only 2 points off its all-time high.
Ariba
(
ARBA |
Quote |
Chart |
News |
PowerRating) is trading up 1 point
to 144. The stock has been stuck in a range for the last two weeks with tops
at 145 1/2 and 146 1/2. Watch for a breakout on the daily charts. The volume had
been dying but it has started to pick up a tiny bit.
Intel
(
INTC |
Quote |
Chart |
News |
PowerRating) is trading up just
over 1 point on strong volume. Watch for resistance near 71 1/2 and 73
1/2. The stock may be forming a high level cup formation on the daily
charts.