It’s In The Numbers
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
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
futures and tracking stock as leading indicators.
Let’s take a quick
look to see where the Nasdaq last left us. After rallying off its
lows, the Nasdaq traded higher on strong volume for several days,
before closing Friday just under new resistance.
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Names To
Watch
We have another
week of earnings ahead of us. But this time, rather than falling
after earnings announcements, many issues have been trading
higher, including SDL Inc
(
SDLI |
Quote |
Chart |
News |
PowerRating) and Sun Microsystems
(
SUNW |
Quote |
Chart |
News |
PowerRating).
On the Nasdaq,
watch those names scheduled to make announcements this week, and
primarily today. Names in all of the major tech groups are
scheduled to report this week, and likely to see increased volume
and volatility.
Inktomi
(
INKT |
Quote |
Chart |
News |
PowerRating), the Internet software maker, JDS Uniphase
(
JDSU |
Quote |
Chart |
News |
PowerRating), the fiber optics company, and Amazon.com
(
AMZN |
Quote |
Chart |
News |
PowerRating),
the Internet behemoth, are all scheduled for this week. As well,
we are awaiting earnings from Verisgn
(
VRSN |
Quote |
Chart |
News |
PowerRating) and Siebel
Systems
(
SEBL |
Quote |
Chart |
News |
PowerRating).
These are some of the Nasdaq names which we will monitor to
gap in the direction of the Nasdaq futures.
Over on the NYSE, both mergers and earnings are likely to move
some of the big names.
Watch General Electric
(
GE |
Quote |
Chart |
News |
PowerRating) and Honeywell,
(
HON |
Quote |
Chart |
News |
PowerRating), as
investors and traders both react to the merger. On the earnings
side, keep an eye on Lucent
(
LU |
Quote |
Chart |
News |
PowerRating) and Compaq
(
CPQ |
Quote |
Chart |
News |
PowerRating). While
these two names are not attractive to all daytraders, they can
make good scalps. SCI Systems
(
SCI |
Quote |
Chart |
News |
PowerRating) is also scheduled to
report. It is likely to see increased volatility as many people
are expecting to be disappointed following its recent warning.