Friday’s Top Stocks
The ETFs made good on their
technical follow through off of yesterday’s “inside day.” After
testing initial price supports in Tuesday’s trade, Thursday witnessed an initial
thrust higher in the opening hour of trade. Positive news in the software sector
(
SWH |
Quote |
Chart |
News |
PowerRating) from Synopsys
(
SNPS |
Quote |
Chart |
News |
PowerRating), and positive analyst spins on relief for
Altria
(
MO |
Quote |
Chart |
News |
PowerRating), as well as dividend speculation for the homebuilders (CTX), (KBH),
(LEN), fueled today’s upside action. Much of the trade for the remainder of the
session was marked by lateral churn, but keeping the averages well in the green
for the closing bell. All three ETFs were up around the 1% mark on solid, above
average volume, and market breadth statistics approaching a favorable 2:1.
Solid volume, nice market breadth, and sound
price action off of technical supports, what more could a trader ask for? Well,
why don’t we ask Mr.Softy
(
MSFT |
Quote |
Chart |
News |
PowerRating), General Electric
(
GE |
Quote |
Chart |
News |
PowerRating), Merrill Lynch
(
MER |
Quote |
Chart |
News |
PowerRating),
or GM
(
GM |
Quote |
Chart |
News |
PowerRating) for that matter. Where’s the love for these titans of commerce?
Better yet, let’s have someone else worry about that while we continue to focus
on those issues that are working for daytraders in the here and now. By keeping
our list of High and Low RS stocks up to date, and then waiting to take action
as high-probability setups trigger the next day, we can sing the praises of Mr. Bobby
McFerrin…”don’t worry, be happy,” while the “other guy” hopes that
his portfolio might go along for the ride in tomorrow’s session.
Volatility Readings:
Volatility Index |
Close | Net Change |
Signals/Direction | % Above/Below 10 Day Moving Average |
Significance |
VIX | 21.62 | Down 1.59 |
     None |
3% Below |
 Not At Extreme |
VXN | 30.11 | Down .77 |
      None | 5.5% Below |
Not At Extreme |
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Hottest Sectors:Â Biotech
(
BBH |
Quote |
Chart |
News |
PowerRating) and Internet
(
HHH |
Quote |
Chart |
News |
PowerRating)Â
Weakest Sectors: Gold and Silver Index
(
$XAU.X |
Quote |
Chart |
News |
PowerRating)
and Oil
Services
(
OIH |
Quote |
Chart |
News |
PowerRating)
Friday’s HELVETICA>stocks to watch:
Technical
Strength Top of Range.
Stocks are scanned from TM’s Proprietary and Technology 10 Momentum lists on the Indicators
page, as well as being hand selected, based on the most recent technical action.
This may include some or all of the following: abnormal volume, price patterns,
as well as bullish action off of technical price supports or clearance of
technical resistance in that day’s session.
size=2 Helvetica face=”Arial”>Name | class=890430920-15102001>Symbol | class=890430920-15102001> size=2 Helvetica face=”Arial”>Price | Technical Strength | class=890430920-15102001>Average Volume | class=890430920-15102001>Today’s Volume |
Avid Technologies | ( AVID | Quote | Chart | News | PowerRating) | 28.85 | 52-Week High , top of range | 723k | 544k |
class=890430920-15102001> KB Homes | class=890430920-15102001> ( KBH | Quote | Chart | News | PowerRating) | class=890430920-15102001> 55.36 | class=890430920-15102001> 52-Week High, volume surge, top of range | class=890430920-15102001> 919k | class=890430920-15102001> 2,140m |
class=890430920-15102001> Digital River | class=890430920-15102001> ( DRIV | Quote | Chart | News | PowerRating) | class=890430920-15102001> 18.14 | class=890430920-15102001> Slim Jim at highs, reversal bar off daily pivot test in Wednesday’s session | class=890430920-15102001> 1,188m | class=890430920-15102001> 1,278m |
class=890430920-15102001> OmniVision | class=890430920-15102001> ( OVTI | Quote | Chart | News | PowerRating) | class=890430920-15102001> 30.15 | class=890430920-15102001> Slim Jim near highs on reversal follow thru | class=890430920-15102001> 1,347m | class=890430920-15102001> 951k |
class=890430920-15102001> Cognos | class=890430920-15102001> ( COGN | Quote | Chart | News | PowerRating) | class=890430920-15102001> 25.83 | class=890430920-15102001> Slim Jim on daily continuation bar out of ‘spinning tops’ technical reversal with volume increase | class=890430920-15102001> 1,156m | class=890430920-15102001> 1,176m |
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Technical Weakness Bottom of Range.
Stocks
are scanned from TM’s Implosion and Technology
Implosion Lists on the Indicators page, as well as being
hand selected, based on the most recent technical action. This may include some
or all of the following: abnormal volume, price patterns, as well as bearish
technical action at key support, or resistance levels based on closing prices.
class=890430920-15102001>
size=2 Helvetica face=”Arial”>Name | class=890430920-15102001>Symbol | class=890430920-15102001> size=2 Helvetica face=”Arial”>Price | Technical Strength | class=890430920-15102001>Average Volume | class=890430920-15102001>Today’s Volume |
CACI International | ( CAI | Quote | Chart | News | PowerRating) | 30 | Closed at March pivot lows on volume surge | 470k | 1,015m |
Imation | ( IMN | Quote | Chart | News | PowerRating) | 32.25 | Closed weak below YTD pivot supports | 380k | 536k |
Â
class=890430920-15102001>Stock Reversal Setups Closing Basis.
Stocks that are setting up on a closing basis as potential long
or short 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
technical supports in the form of Fibonacci levels, EMAs (DEMA=daily EMA), RS, and former price
action are
used in the decision making process.
class=890430920-15102001>Long Reversals class=890430920-15102001>Closing Basis.
size=2 Helvetica face=”Arial”>Name | class=890430920-15102001>Symbol | class=890430920-15102001> size=2 Helvetica face=”Arial”>Price | Technical Strength | class=890430920-15102001>Average Volume | class=890430920-15102001>Today’s Volume |
Silicon Labs | ( SLAB | Quote | Chart | News | PowerRating) | 26.60 | Intraday closing flag from daily test of technical supports, hammer daily | 1,273m | 919k |
Â
class=890430920-15102001>Short
Reversals
Closing Basis.
class=890430920-15102001>
None Today.
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.
Institutional
FavoritesÂ
size=2 Helvetica face=”Arial”>Name | class=890430920-15102001>Symbol | class=890430920-15102001> size=2 Helvetica face=”Arial”>Price | class=890430920-15102001>Average Volume | class=890430920-15102001>Today’s Volume |
USA Interactive | ( USAI | Quote | Chart | News | PowerRating) | 35.70 | 10,383m | 14,304m |
Amazon | ( AMZN | Quote | Chart | News | PowerRating) | 33 | 9,840m | 8,494m |
Teva Pharmaceuticals | ( TEVA | Quote | Chart | News | PowerRating) | 48.25 | 2,708m | 2,363m |
Target | ( TGT | Quote | Chart | News | PowerRating) | 33.69 | 4,928m | 4,105m |
Â
Institutional
Laggards.
size=2 Helvetica face=”Arial”>Name | class=890430920-15102001>Symbol | class=890430920-15102001> size=2 Helvetica face=”Arial”>Price | class=890430920-15102001>Average Volume | class=890430920-15102001>Today’s Volume |
Microsoft | ( MSFT | Quote | Chart | News | PowerRating) | 24.14 | 62,519m | 91,974m |
Johnson & Johnson | ( JNJ | Quote | Chart | News | PowerRating) | 53.38 | 7,501m | 8,110m |
Eli Lilly | ( LLY | Quote | Chart | News | PowerRating) | 57.73 | 3,291m | 5,727m |
     Â
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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 Intra-day Breakouts. If
you’d like more information, click
here.