Light Movement
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 +3.00.
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 and tracking
stock
(
QQQ |
Quote |
Chart |
News |
PowerRating) futures or
tracking stock as leading indicators. Earnings are moving some of the big names
today.
Few stocks are making very significant moves following the
economic numbers out this morning.
Heading Up (at the
open)
JDS Uniphase
(
JDSU |
Quote |
Chart |
News |
PowerRating) is trading up
roughly 2 points. Watch for resistance between 119 1/2 and 120 1/8.Â
Applied Materials
(
AMAT |
Quote |
Chart |
News |
PowerRating) is
trading up 2 points on 45,000+. Watch for resistance near 72, 72 1/2, and 73
1/2. In a reversal look for support at 69.
Sun Microsystems
(
SUNW |
Quote |
Chart |
News |
PowerRating) is trading
up roughly 1 point near its all-time high. Look for resistance at 109 1/2 to
110. The all-time high is likely to cause some trouble to the upside as
well. Look for support near the lows of the last week.
Brocade
(
BRCD |
Quote |
Chart |
News |
PowerRating) is up 2 points.
Watch for resistance at 193 1/2 and 195. BRCD bounced off the 50-day MA on
Thursday.Â
Applied Micro Circuits
(
AMCC |
Quote |
Chart |
News |
PowerRating) is
trading up 4 points on light volume. Look for resistance at 150 1/2 and near 154
1/4.
Sycamore
(
SCMR |
Quote |
Chart |
News |
PowerRating) is trading up 4
points. Watch for resistance at 128 and 131. In a reversal look for a bounce
near 124 and 123.
Emulex
(
EMLX |
Quote |
Chart |
News |
PowerRating) is trading up 15
points on strong pre-market volume. Watch for resistance near 63 and 65. This
pre-market move has pushed it over much of the congestion on the near-term
charts, but it still remains in a low-level consolidation.
Look to go with the
trend in the early morning, but be prepared for reversals.Â
Until later,
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