Start Your Week with an Edge
On Friday, the Dow Industrials fell 366 points (-2.6%), and the S&P500 fell
40 points (-2.6%), in a broad market selloff, triggered by weaker forecasts from
some major U.S. companies. Huge selloffs and swing days are a part of daily
market life. Instead of heading to the hills and waiting it out, the
institutions and big boys on the Street all came to work on Monday ready to make
money.
The PowerRatings (for Traders) Preferred list focuses specifically on stocks
that the institutions are watching. These are stocks that are characterized by
high growth and big moves. While these fast movers can make you a lot of money
quickly, they are often the first to plunge when bad news hits the airwaves.
Then again, these are also the stocks that the institutions are going to be
jumping into, after the market finishes falling.
Preferred List
Cummins
(
CMI |
Quote |
Chart |
News |
PowerRating) has a PowerRating (for Traders) of 8. CMI is up 164%
for the year, so it’s clear that the institutions are behind this move. Watch
for a bounce from extended weak levels.
Daktronics
(
DAKT |
Quote |
Chart |
News |
PowerRating) had a great year last year, but has struggled
so far in 2007. Extended lows have historically led to higher prices, so watch
for a move in this stock as well.
