Monday’s Top Stocks
Well, let’s just hope that the market can continue to do the right thing for
all the bulls out there—correct. Yikes!! What could ‘cautious bull’ possibly
mean by that? Well, ‘raging bull’ might not understand where we stand, ‘cuz
the bull is just getting started (oh behaaave)–but for those who want to actually
see more upside that is ultimately sustainable, today’s losses of .60% to 1.20%
in our beloved index friends is hopefully the start to that little-known skill
called ‘profit-taking.’ Maybe after a few more sessions of the inevitable, we
can also start hearing some good old-fashioned concern by the major media outlets
within the market’s ongoing show. At that point, maybe instead of running to ‘hide’,
we can actually find some stronger terra firma on which to plant our hooves
and horns–but for now, the horns just continue to hang on the sidelines.
Are we there yet? Umm…not yet, said ‘cautious bull.’ Seriously folks, if
that’s all the ‘profit-taking’ that one can stand, then we had better all take
a seat before a really ugly fall happens. Ugly, engulfing bars (for the most
part) were something new for a change. Today served as a harsh reality for many
people who might have forgotten that there’s more than just terrorism that can
weigh on a market. I will hand it to the aggressive-minded bulls out there,
because they did in fact make a real go of the upside today. Once more, many
fresh highs were established—but for some reason I’m not ‘buying’ what the
market’s ducks (Quack!! Quack!!) are so enamored with. I’m sure if I bothered
to put on the ‘boob-tube’, I’d be inundated with many good reasons why this
time, ‘it really is different!!’ I must have missed Art Cashin on that particular
day, as to why we can continue to go up for weeks on end, without a single pullback
greater than 1.75%. Hmm, I’ll have to stay tuned next time…nah. Actually,
the only thing that I want to continue to tune into to–is the same program
that we love each and every trading day–namely good ol’ fashioned consistent,
disciplined daytrading.
Volatility Readings:
| Volatility Index | Close | Net Change | Signals/Direction | % Above/Below 10 Day Moving Average | Significance |
| VXO ( $VXO | Quote | Chart | News | PowerRating) |
16.09 | up 1.63 | cvr 2 sell | 0% | not at extreme |
| VXN ( $VXN | Quote | Chart | News | PowerRating) |
23.02 | up 1.12 | cvn 2,6 sell | 1.5% below | not at extreme |
Hottest Sectors : NA
Weakest Sectors :Â Broker/Dealer (XBD) and Disc Drives (DDX)
Monday’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 |
| Sierra Wireless | ( SWIR | Quote | Chart | News | PowerRating) |
21.46 | top of range close on increased above average volume, to reverse above prior b/o levels |
967 | 1,346 |
| Central Euro Dist. | ( CEDC | Quote | Chart | News | PowerRating) |
33.20 | Upper range close on increased, relative volume–near low level cup and handle triggers within weekly basing pattern |
252 | 150 |
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 |
| Michael’s Stores | ( MIK | Quote | Chart | News | PowerRating) |
41.42 | Bottom of range consolidation near test of MA and price supports on Low RS issue |
605 | 718 |
| Odessey | ( ODSY | Quote | Chart | News | PowerRating) |
26.52 | Low RS issue closing in bottom of range, within low level daily consolidation, on increased, above-average volume |
608 | 1,682 |
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 |
| NTL Inc. | ( NTLI | Quote | Chart | News | PowerRating) |
70.29 | Low of day close, breaking extended 60-minute trendline, removed from key technical supports |
1,060 | 450 |
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 |
| NA | NA | NA | NA | NA |
Institutional Laggards.
| Name | Symbol | Price | Average Volume 000’s | Today’s Volume |
| Lowes | ( LOW | Quote | Chart | News | PowerRating) |
53 | 3,377 | 4,915 |
| eBay | ( EBAY | Quote | Chart | News | PowerRating) |
63.42 | 8,670 | 6,881 |
| QLogic | ( QLGC | Quote | Chart | News | PowerRating) |
51.36 | 3,931 | 6,579 |
Best of luck to everyone. Please use protective stops on all trades.