It’s About The Dough
Each
morning this list will contain those stocks with the potential to
make a quick but tradable move in the first hour. The
information listed here is designed for the trader who catches
the early morning momentum, between the first five and 45 minutes
of trading. Many stocks open each morning, run for several points
and then reverse. I will cover stocks with this potential and
highlight possible reversal points and resistance areas. These
points need to be monitored closely, as the stocks may turn
quickly here. Be ready to lock in profits quickly.
Morning
Outlook
The
S&P futures are -1.60, fair value is -3.60, and the Nasdaq
futures are -11.00, also above fair value. Watch for a turnaround
in the first 10-30 minutes of trading. Keep an eye on the stocks
that gap the most in the morning. Use the Nasdaq tracking stock (
leading indicators.
Broadvision
(
BVSN |
Quote |
Chart |
News |
PowerRating) is trading up 4 points on very strong
volume, on the news that it is being added to the S&P 500.
Look for resistance near 28, 28 3/4 and 30. If this thing really
has some legs, watch for more trouble near 33. The stock has been
in a downtrend since February.
Novellus
(
NVLS |
Quote |
Chart |
News |
PowerRating) was down on an “accidental”
earnings release on Monday. It is rebounding a bit on Tuesday
morning, trading up 1 1/2 points. With the downtrend remaning intact, watch for a reversal and a breakdown below 32 3/8, which
was the intraday low from Monday.
Electronics for Imaging
(
EFII |
Quote |
Chart |
News |
PowerRating), once a $70 stock, is
trading down over 4 poins to 12. There is no near-term support.
The ADX reading of almost 40 suggests that the downtrend may
continue. Look for psychological support at 10. On the other side
of the trade, watch for a gap filling back toward 16.
Until later,