An Ideal Situation For Further Upside?

October 11, 2002
Daniel Beighley

All
sectors were positive as the major indexes rocketed higher for
another day. Semiconductors were best bid,

Kevin Haggerty‘s ideal situation for further upside. Yesterday’s low was
cited by

Carolyn Boroden as having potential to hold, though will need further signs
of institutional support per intermediate-term traders.

Traders ignored a negative
report on consumer sentiment. The rally was broad-based and on high volume, as
price action gapped up off the opening bell, and holding an uptrend for most of
the session, with selling pressure hitting in the afternoon.

In economic news, The
Michigan Sentiment report gave a reading of 80.4, where the market expected
an 85.2. Retail sales fell 1.2% vs. an expected loss of 0.1%. Also PPI
came in at 0.1% as expected, and core PPI was 0.1% as expected.

U.S. Treasury Bonds
closed -1’14 at 112 ’10.

The Dollar was unchanged
at 107.60.

Volume was well above
average again, at 1,783,544,000
on the NYSE, and 1,907,913,000
on the Nasdaq.

Market breadth was positive,
with NYSE advancing issues over declining issues by a ratio of 3.55, and up
volume over down volume by a 8.52 ratio. Nasdaq advancing issues over declining
issues came in at 2.18, and up volume beat down volume by a 4.13 ratio.

The

VIX was -2.85 at 43.44. The

TRIN was +0.03 at 0.41.

And, General Electric
(
GE |
Quote |
Chart |
News |
PowerRating), +6.06% at 23.97, has
beat its earnings consensus by a penny, with profits of $0.41.

Stocks in the news:

Office supply company
International Paper
(
IP |
Quote |
Chart |
News |
PowerRating), +4.86% at 34.49, has been downgraded by Lehman
Brothers to “underweight” from “equal weight”.

Regional bank Doral
Financial
(
DORL |
Quote |
Chart |
News |
PowerRating), +11.46% at 26.25, has beat its third-quarter earnings
expectations by $0.07 with profits of $0.74 per share.

Self-service coin counting
company Coinstar
(
CSTR |
Quote |
Chart |
News |
PowerRating), +10.97% at 27.21, has increased its revenue
guidance to $41 million vs. previous guidance of between $39 million and $41
million.

Software giant Microsoft
(
MSFT |
Quote |
Chart |
News |
PowerRating), +5.3% at 48.87, was said by UBS Warburg to have had a “huge surge”
in license sales for the September quarter, though expects the company to remain
cautious on its outlook.

Telecom stock Lucent
Technologies
(
LU |
Quote |
Chart |
News |
PowerRating), -14.14% at 0.58, announced a restructuring program
that will eliminate 10,000 jobs, and said that it expects a larger than expected
loss for the fourth-quarter. The company said it expects to return to
profitability in 2003.

Cruise line Royal Caribbean
(
RCL |
Quote |
Chart |
News |
PowerRating), +9.26% at 18.40, announced that it expects its third-quarter earnings
to come in ahead of expectations, based on continued strength in bookings, and a
reduction in costs.

An Ideal Situation For Further Upside?

BUY THE FEAR, SELL THE GREED

Quick Links

Company Info

Contact

Company Resources