Friday’s Top Stocks

No time like the present to usher in the new year as today’s trade was
dictated by slop and chop conditions.
Hmmm, maybe it had something to do with
the attitude of leaving good enough alone for many market participants–at least
for those that remained chained and bored to their desks. Others were busy
strapping on the ol’ boards, jump starting the holiday abbreviated week for
sure. Mixed volume statistics representative of possible profit-taking,
rearranging, or whatever you want to call it–went hand in hand with the
fractional price performance mix of our index friends, as they toasted in the
New Year not far off their best levels of 2003. For the day it was essentially
flat for two of the averages, while the Naz posted a minor wrinkle of
.32%…maybe that’s appropriate though as the market is a year older, but
possibly not wiser–as we closed right at 2003–Go figure?

I won’t try to make heads or tails of the end of year stuff, ’cause quite simply
it’s beyond my scope of analysis. What I do know is that the markets had a tremendous
nine month run, and personally speaking I’d love to see more of the same in
2004. As it stands, we probably are short-term overbought as the Naz has gone
up over 5% in the past several sessions–but it did take it a long while to
do so. To be a little bit more precise, over two months and change to get to
the consolidation breakout. Just as important, many growth stocks, the majority–have
just started breaking out during this time, or continue to put in solid looking
bases.

Stay ‘CALM’, I’m not saying to be 100% positioned in equities and throw caution
to the wind–no sir, ‘Cautious Bull’ just continues to preach a healthy market
environment that’s conducive to breakout plays, out of quality, leading issues.
But, if that’s not your game, and who knows for sure what kind of games January
will usher in anyhow–just continue to party on like its 1999 by doing the tried
and true disciplined, consistent daytrading thing.

Volatility Readings:

Volatility Index Close Net Change Signals/Direction % Above/Below 10 Day Moving Average Significance
VXO
(
$VXO |
Quote |
Chart |
News |
PowerRating)
17.42 up .41 none 7% above not at extreme
VXN
(
$VXN |
Quote |
Chart |
News |
PowerRating)
24.26 up .90 none 0% not at extreme

Hottest Sectors : Internet
(
HHH |
Quote |
Chart |
News |
PowerRating)

Weakest Sectors : Gold/Silver (XAU) and Oil Services
(
OIH |
Quote |
Chart |
News |
PowerRating)

Friday’s 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.

Name Symbol Price Technical Strength Average Volume 000’s Today’s Volume
Amgen
(
AMGN |
Quote |
Chart |
News |
PowerRating)
61.79 60-minute extended lateral consolidation 10,011 5,544
Altiris
(
ATRS |
Quote |
Chart |
News |
PowerRating)
36.40 High volume b/o of weekly basing pattern, closing in top
of range consolidation
300 603

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.

Name Symbol Price Technical Strength Average Volume 000’s Today’s Volume
NA NA NA NA NA NA

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
Hewlett Packard
(
HPQ |
Quote |
Chart |
News |
PowerRating)
22.97 11,499 6.095
Yahoo
(
YHOO |
Quote |
Chart |
News |
PowerRating)
45.03 12,281 9,363
General Electric [GE|:GE] 30.98 20,898 16,359

Institutional Laggards.

Name Symbol Price Average Volume 000’s Today’s Volume
Adobe
(
ADBE |
Quote |
Chart |
News |
PowerRating)
39.08 3,463 2,146
Eli Lilly
(
LLY |
Quote |
Chart |
News |
PowerRating)
70.33 3,588 3,532

Best of luck to everyone. Please use protective stops on all trades.