2 stocks for Monday

Santa is always
here. It is a state of mind.
The mood on the street is good right now as the
rally attempts to get legs and it will get legs when the Dow crosses 11000.
The actual number to cross on a close is 10985. It is a mere 25 points away
from that level. I am in cash right now save for 1000 shares of HMY that I
neglected to sell on Friday. I locked in a gain of 7.5% and am not opposed to
go after more when I get back from the swing I take over the next 2 weeks. It
does a trader a world of good to take a break regularly and step away. I come
back refreshed and focused and ready to exploit the opportunities that come my
way. Lots of opportunities come my way and lately I have been hot and when I
get hot serious money is made. I intend to make lots of money this year for my
partners and myself. I have lots of partners. Together we will score going
long stocks that are technically healthy and timely and selling short stocks
that are trading in decline. The balance of the portfolio will endeavor to
embark on a journey out there in never never land. Places like Brazil and
Argentina, Japan and Hong Kong, and Canada and Mexico. There is gold and oil
and anything that is related to energy including water. That is where the best
action is right now and I am knocking on the door and will move toward it and
move in. I get in any door I choose to get into. That is who I am. I go to
anyplace and I am quite at home where ever that is. Get that? I will celebrate
the Shabbat on January 20^th with the Chadad in Santa Monica and
dance and dance and dance around the Torah and feel the presence and power of
NOW. In that moment the only expression on the faces of every Human in that
place is joy. Simple sweet joy. Joy pursed on the lips that extend into a
smile and that turns me on. I am turned on by people that are happy. The night
before I will get involved in a poker game with locals that work in the film
industry. I go from a poker game in an art gallery at Venice Beach to the
Shabbat evening service at the Chadad in Santa Monica a night later and all it
all does is help me trade better and make more money for myself and my
partners. It’s all about the power of NOW.

This is a trading
diary and I am getting ready for an important swing to the West coast by way
of the East Village, the spiritual capital of NYC. The place of my youth
revisited as an established adult. The East Village in NYC is a place that
contains very special energy. I understand it cause I was born there. I was
born on the East River between Gramercy Park and the fringe of the East
Village. I lived there when I was a kid attending NYU. It is a favorite place
to let the power of NOW work. When I am in the East Village I am totally
present and focused. I am home. Now lets get into the market and focus on that
for a moment. Well why should I. I am out of the market right now and although
an oversold condition got adjusted in the first week of trading bouncing after
it puked up in December in similar fashion to the way it performed in April
and January last year. This year the mood on the street is optimistic yet odd
lot short sellers are short in record numbers. Guess what odd lotters
typically do? The wrong thing. That’s what they do. It is traditional and
classical. I am out of the market right now for my own reasons. I am into
performance and if I could capture a gain of close to 8% in the first week of
any month I am likely to take it. I was able to accomplish that because the
portfolio I put together had the right instruments and those stocks
collectively rose to better NASDAQ by 3%. Not bad. That is why I am in cash. I
am constantly examining the stocks that intended to get back involved in every
day. I am not trading. Just honing in and getting ready to pounce at the right
moment. I may be back involved after I come back from the West Coast on
January 23^rd for the last week of trading and I can assure you that
if this current market comes in mid month to reign in the optimism then I will
attack it through the index and move with it as the end of quarter mark up
begins. I will challenge a 5% gain in February. I will make the effort to
commit all my efforts to make 5% in the month of February and do that before
February 18^th. That is my intention. Here is how I am going to do
it. Lets examine a few instruments that I will employ or am anticipating
employing to get me there.

Yahoo

(
YHOO |
Quote |
Chart |
News |
PowerRating) 43.21

I sold it. Made money. Will
buy it back if it comes in and fills the gap open that occurred on Friday. It
made a new 52-week high on Friday in heavy trade. It’s a stock that I am
focused on and intend to buy back coming in. Place the trading stop at 39.74.

Tellabs

(
TLAB |
Quote |
Chart |
News |
PowerRating) 11.69

What’d I tell you about this
stock? I told you about it on numerous occasions many percents ago. It is a
break out and what most technicians that are into the stock have been waiting
for has happened. It broke above its very long term base and rose above the
key inflection point necessary to sustain this advance and it is a stunning
advance at that isn’t it? Any one out there follow that one? Too bad! Still
have a chance here in this stock you know. You do still have an opportunity to
make lots of money involved in TLAB. Buy it coming in to support in the
11-11.25 range. Stick a toe in right now if you must. It is extended and it
pays to be patient because the market will come in and so will TLAB. Place the
stop at 9.99.

Iconix Brand Group

(
ICON |
Quote |
Chart |
News |
PowerRating) 11.38

I have about 40 stocks, ETFs and Indexes that I am tracking. This is the last stock I will get into
today. There will be more action on the new site I am launching for qualified
investors and you are invited to go there at

www.ramhedge.com. That is the new web site that I have launched and I will
be actively writing down in journal form a snap shot of what I am doing and
what I am learning from. It will be an exciting addition to what is already
happening. I am willing to be as transparent as humanly possible and in the
end you will see why it makes sense to have me run your money for you. Here is
another example of a stock that I just recently sold into the strength of its
current move and am inclined to pick it back up if it persists in its stunning
advance. The advance is shaping in good volume. Incidentally I am the RAM.
When I refer to RAM in the writing I do it is a reference to me. I am the RAM.
The RAM stands for Rothstein Asset Management. I am open for business and
invite you in. Now for this stock check out the chart and see a stunning
advance. It’s up 11.68% this year. I caught that. I didn’t have enough of it
to make it worthwhile but enough to put a smile on my face. I sold it and will
buy it back coming in because as of this moment it is extended. ICON is up
131% in the last year and it just keeps going so why argue with reality. Get
on board and ride the wave. I intend to when it comes in. Place the stop at
9.49.

The second week of the New
Year is happening right now. Wake up and check it out. Markets are positive
across the Globe. Japan is still celebrating. Hong Kong is soaring. Gold is
up. Oil is up. European stocks are coming in off the earlier morning highs and
our futures are flat. I am in cash. I intend to stay that way till January 23^rd.
Then I will focus on the stock that I come at you with every day that I am
here. When I travel you will hear from me sporadically. Part of the strategy
is to combine business with pleasure and return refreshed to make as much
money as possible and then hoard it for another day. Its called hit and run
action because this market will never move straight up and lots of attention
must be paid how shifts happen. Right now a shift is about to happen as I move
away from this and into a nice cup of Chinese tea that requires no lemon at
all. The tea goes well with the research I am about to take in. Yes Monday
morning and TGIM. Ready set go.

Jack S. Rothstein

Rothstein Investment Advisory Services, Inc.

3600 Chain
Bridge Road, Suite 200

www.jrmoney.com
— www.wealthcast.com

Jack Rothstein is the
President of Rothstein Investment Advisory Services, Inc. and is a 20-year
veteran stock trader and a money manager.

Mr. Rothstein also writes Wealthcast, a monthly newsletter about the technical
behavior of the markets. He has been quoted on Bloomberg, CNNFn, the Dick Davis
Digest and the Dow Jones Newswire. Since 1993, Mr. Rothstein also hosted
WealthCast, a radio show in the Washington DC area covering the stock market.