Friday’s Top Stocks
It’s what some might call, ‘fugly.’ Today’s trade took all the major averages
down handily, breaking daily pivot supports on heavy, above-average trade. Booking
profits it seems has never been more in vogue–especially on the Nasdaq Composite,
where today’s volume eclipsed the Year-To-Date highs. Its April pivot lows were
taken out as it closed off by 1.55%. The S&P 500 fared a little bit better,
down .64%, with decreased trade, but volume still came in well-above-average–and
that my friends ain’t your ‘Average Joe’ doing the selling.
It must have been the intermediate downtrend that set off a second vicious
day of big, red ugly bars on the Nasdaq, ’cause nothing else seems to make any
sense. They, the smart money loved ‘it’ just over a week ago, and now they’re
booking profits and selling the dream, with even greater zest…hmm, I’ll just
shake my head over that non-‘cents.’ For the rest of us, there was about 90-seconds
of relative strength in the semiconductors today, before they gave it up–and
once again led the move to the downside.
While there were a couple of nice intraday reversal entries, unfortunately
the first zone of daily chart technical support didn’t hold, so if you gave
it a little bit of extra room in consideration of an already oversold condition
and the daily perspective–then you might have found yourself with something
that I would personally call, ‘fugly.’ More strange-looking charts at this point,
but I would expect a bounce as the smart money decides to ‘shift gears’ as they
hop on the ‘happy spin cycle.’ That’s what I would expect–but the only thing
I’m really committed to believing in is our disciplined, consistent brand of
daytrading tactics.
Volatility Readings:
| Volatility Index | Close | Net Change | Signals/Direction | % Above/Below 10 Day Moving Average | Significance |
| VXO ( $VXO | Quote | Chart | News | PowerRating) |
17.17 | up .45 | na | 10% above | at extreme |
| VXN ( $VXN | Quote | Chart | News | PowerRating) |
24.86 | up .94 | cvn 3, 6 buy | 11% above | at extreme |
Hottest Sectors : Telecom
(
TTH |
Quote |
Chart |
News |
PowerRating)
Weakest Sectors : Oil Services
(
OIH |
Quote |
Chart |
News |
PowerRating)
Friday’s stocks to watch:
Technical Strength.
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.
| Name | Symbol | Price | Technical Strength | Average Volume 000’s | Today’s Volume |
| Artisan Components | ( ARTI | Quote | Chart | News | PowerRating) |
23.82 | Top of range close, on increased, above-average daily chart handle b/o |
445 | 1,431 |
Technical Weakness.
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.
| Name | Symbol | Price | Technical Strength | Average Volume 000’s | Today’s Volume |
| Chico’s FAS | ( CHS | Quote | Chart | News | PowerRating) |
40.96 | Bottom of range close on increased, above-average b/d of daily supports |
1,100 | 1,574 |
^Next^
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 basing patterns (Slim Jims, 1,2,3s,
Double bottoms) consolidations, and triangle reversals. 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.
Long Reversals Closing Basis.
| Name | Symbol | Price | Technical Strength | Average Volume 000’s | Today’s Volume |
| NA | NA | NA | NA | NA | NA |
Short Reversals Closing Basis.
| Name | Symbol | Price | Technical Strength | Average Volume 000’s | Today’s Volume |
| NA | NA | NA | NA | NA | NA |
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, patterns (consolidations or Slim Jims) , or
last hour volume surges, indicative of follow through in the very near term.
Institutional Favorites
| Name | Symbol | Price | Average Volume 000’s | Today’s Volume |
| Adobe | ( ADBE | Quote | Chart | News | PowerRating) |
41.63 | 3,414 | 3,991 |
Institutional Laggards.
| Name | Symbol | Price | Average Volume 000’s | Today’s Volume |
| Merrill Lynch | ( MER | Quote | Chart | News | PowerRating) |
54.81 | 4,775 | 6,566 |
| 3 M | ( MMM | Quote | Chart | News | PowerRating) |
86.12 | 3,014 | 3,152 |
Best of luck to everyone. Please use protective stops on all trades.
Chris Tyler