Thursday’s Top Stocks
Wednesday brought in a fourth session of light volume and consolidation work
in the indices as the Nasdaq Composite and S&P500 closed fractionally mixed
between a slight hesitation of .08%, to a slightly more robust .35% gain. Some
will say that this type of action is strong evidence for the bulls, as the gains
from last week are digested. Hmm, with Thursday’s triple play (Intel mid quarter,
OPEC, and ECB rate decision) still hanging over the market, the beach scene
still thriving, and an intermediate downtrend that’s still in place–this cautious
bull sees our current range as something other than home sweet home.
More light volume and divergences beneath the surface continue to make it a
challenging environment. Who are you going to believe–the bulls, with their
coveted FTD and some growth issues trying to breakout of weekly bases, or da
bears, with the intermediate downtrend, low volatility readings, and plenty of
stocks setting up as shorts? Personally, I still have a bearish to neutral
viewpoint on where we are, and in which direction we are ultimately heading.
However, the intraday environment definitely remains one where its best to be
looking for both shorts and longs. I’ve seen plenty of both work lately, and
also quite a few that haven’t been as kind. How you end up staying ahead in the
game at the end of every day with so many different styles and preferences out
there is something we must decide for ourselves. The one thing we can all agree
upon is the continued use of our disciplined, consistent daytrading tactics.
Volatility Readings:
| Volatility Index | Close | Net Change | Signals/Direction | % Above/Below 10 Day Moving Average | Significance |
| VXO ( $VXO | Quote | Chart | News | PowerRating) |
16.24 | down .43 | na | 6% below | not at extreme |
| VXN ( $VXN | Quote | Chart | News | PowerRating) |
22.61 | up .04 | na | 3% below | not at extreme |
Hottest Sectors : Biotech
(
BBH |
Quote |
Chart |
News |
PowerRating)
Weakest Sectors : Semiconductor
(
SMH |
Quote |
Chart |
News |
PowerRating)
Thursday’s stocks to watch:
Longs.
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 Assesment | Average Volume 000’s | Today’s Volume |
| Avid Technology | ( AVID | Quote | Chart | News | PowerRating) |
53.26 | Top of range close on increased trade w/in weekly base | 538 | 467 |
| Digital River | ( DRIV | Quote | Chart | News | PowerRating) |
31.73 | One week consolidation off technical supports within weekly base |
847 | 785 |
| Apple | ( AAPL | Quote | Chart | News | PowerRating) |
28.92 | Increased volume handle breakout on daily | 7,163 | 5,686 |
Shorts.
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 Assesment | Average Volume 000’s | Today’s Volume |
| eBay | ( EBAY | Quote | Chart | News | PowerRating) |
89 | Bottom of range close on slight breach of Bear Butterfly pattern daily |
8,252 | 8,188 |
| Newmont Mining | ( NEM | Quote | Chart | News | PowerRating) |
38.82 | continuation day out of counter-trend rally from lows | 5,626 | 4,078 |
Institutional Longs and Institutional Shorts.
The following stocks are selected from the Nasdaq, S&P 500 & 600 Indices,
and HOLDRs, and are based on a combination of daily and intraday analysis.
Institutional Longs
| Name | Symbol | Price | Average Volume 000’s | Today’s Volume |
| Merck | ( MRK | Quote | Chart | News | PowerRating) |
47.83 | 6,152 | 4,783 |
| Seibel | ( SEBL | Quote | Chart | News | PowerRating) |
11.02 | 8,634 | 13,099 |
| Lowes | ( LOW | Quote | Chart | News | PowerRating) |
54 | 3,907 | 3,977 |
Institutional Shorts
| Name | Symbol | Price | Average Volume 000’s | Today’s Volume |
| Texas Instruments | ( TXN | Quote | Chart | News | PowerRating) |
25.18 | 12,820 | 14,095 |
| Sina Corp | ( SINA | Quote | Chart | News | PowerRating) |
38.82 | 4,080 | 11,597 |
| Research In Motion | ( RIMM | Quote | Chart | News | PowerRating) |
118.97 | 6,131 | 8,343 |
| Merrill Lynch | ( MER | Quote | Chart | News | PowerRating) |
55.60 | 5,009 | 5,034 |
Best of luck to everyone. Please use protective stops on all trades.
Chris Tyler