Monday’s Top Stocks
Just another day in the market’s ‘confirmed rally.’ It might not have been
the best day for those that are waiting around for the phone call ‘to sell’
( a bit like waiting for Godot), as the market did finish down between .65%
to 1.5%–but for purveyors of the intraday tea leaves, it was another day of
opportunity as key technical levels were once again challenged. With lighter,
and below-average volume, and three days since the much-celebrated Nasdaq 2000,
things are looking a bit more bullish from this angle.
As you know, I came in looking for reversal longs and breakouts after yesterday’s
technical hold of price supports, and fortunately for us, the market was kind
enough to offer a second attempt–just in case you missed it the first time
around. In the end, it wasn’t nearly as pretty, but it still afforded plenty
of high-probability intraday trades. It should be noted that a few more issues
became part of the plungers list. This fact ultimately leaves the intermediate
trader with a little bit more time on their hands, or at least a little bit
less opportunity as quite a few issues are now in repair mode, rather than breakout
mode. But, with the market still holding its own, technically speaking, I don’t
mind making the call–let’s continue to stick with our disciplined, consistent
brand of daytrading, and let the other guy support the market over the weekend–’cause
we always have Monday.
Volatility Readings:
| Volatility Index | Close | Net Change | Signals/Direction | % Above/Below 10 Day Moving Average | Significance |
| VXO ( $VXO | Quote | Chart | News | PowerRating) |
17.34 | up .78 | none | 3% above | not at extreme |
| VXN ( $VXN | Quote | Chart | News | PowerRating) |
27 | up .19 | cvn 1 buy | 1% above | not at extreme |
Hottest Sectors : Oil Services
(
OIH |
Quote |
Chart |
News |
PowerRating) and Gold/Silver (XAU)
Weakest Sectors : Semiconductors
(
SMH |
Quote |
Chart |
News |
PowerRating) and Software
(
SWH |
Quote |
Chart |
News |
PowerRating)
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 |
| MGI Pharmy | ( MOGN | Quote | Chart | News | PowerRating) |
39.01 | Cup and handle intraday on increased, above-average volume, off hammer daily bar to recross MA resistance |
487 | 531 |
| Checkfree | ( CKFR | Quote | Chart | News | PowerRating) |
26.39 | Top of range consolidation on double bottom daily technical test, with increased, above-average trade |
1,276 | 2,893 |
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 |
| FARO Tech | ( FARO | Quote | Chart | News | PowerRating) |
25.20 | Bottom of range close off continuation bar trigger of 123 reversal top pattern |
615 | 447 |
| Take-Two Interactive | ( TTWO | Quote | Chart | News | PowerRating) |
30.11 | Bottom of range consolidation on increased, above average volume, testing double bottom and gap fill levels below the 200-day ema |
1,363 | 2,528 |
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 |
| Columbia Sportswear | ( COLM | Quote | Chart | News | PowerRating) |
55.25 | Inside bar after technical zone test, closing in intraday consolidation slightly above prior supports |
196 | 184 |
Short Reversals Closing Basis.
| Name | Symbol | Price | Technical Strength | Average Volume 000’s | Today’s Volume |
| MICROS Systems | ( MCRS | Quote | Chart | News | PowerRating) |
41.53 | Low of day break below descending triangle supports 30-minute chart and thru 20-day ema on heavy, increased trade |
108 | 260 |
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 |
| Verizon | ( VZ | Quote | Chart | News | PowerRating) |
33.40 | 8,026 | 7,502 |
| MedImmune | ( MEDI | Quote | Chart | News | PowerRating) |
27.04 | 6,501 | 19,195 |
| Qualcomm | ( QCOM | Quote | Chart | News | PowerRating) |
49.48 | 9,676 | 16,458 |
Institutional Laggards.
| Name | Symbol | Price | Average Volume 000’s | Today’s Volume |
| QLogic | ( QLGC | Quote | Chart | News | PowerRating) |
52.79 | 4,276 | 4,389 |
| Amgen | ( AMGN | Quote | Chart | News | PowerRating) |
58.30 | 10,034 | 9,055 |
| Sina.com | ( SINA | Quote | Chart | News | PowerRating) |
32.92 | 10,606 | 5,306 |
Best of luck to everyone. Please use protective stops on all trades.
Chris Tyler