Thursday’s Top Stocks
In Wednesday’s trade the bull camp got their textbook light volume consolidation.
After yesterday’s strong volume move higher, it’s what technicians typically
expect from the market, as ‘the pause’ is seen as part of the digestive process.
Actually, with the S&P500 and Nasdaq Composite both closing up fractionally
in the plus column, between .17% to .59%–you could say the bulls got another
notch on their horns in today’s session. However, don’t think we’re out of the
woods just yet–cuz’ the last time I looked, it sure doesn’t seem like the bears
have gone off into hibernation just yet.
Ironically, even with the tight range consolidation bar in the broader
averages, my own day was a better one. Maybe that’s because the lunchtime lull
didn’t bring in the ‘noon balloon’ while I had my attention elsewhere–so there
wasn’t really much to miss out on in this humble bull’s opinion. Within the
market’s intermediate downtrend, today was nice to see after yesterday’s Nasdaq
FTD–but, maybe not for the same reasons that you’re thinking.
For me, this action and where we stand in relation to the bigger picture, is
the type that lends itself to trading from both sides. Just like in our recent
late March move up, I think we’ll be finding some decent opportunities for all
kinds of set ups to work, at least on an intraday basis. Stay prepared to trade
with your own list of favorite shorts and longs–as I’ve got a hunch that the
Boys Of Summer are going to make it a good game for our brand of disciplined,
consistent daytrading.
Volatility Readings:
| Volatility Index | Close | Net Change | Signals/Direction | % Above/Below 10 Day Moving Average | Significance |
| VXO ( $VXO | Quote | Chart | News | PowerRating) |
16.23 | up .32 | cvr 2, 3 sell | 13% below | at extreme |
| VXN ( $VXN | Quote | Chart | News | PowerRating) |
21.67 | down .37 | cvn 3, 6 sell | 18% below | at extreme |
Hottest Sectors : Biotech
(
BBH |
Quote |
Chart |
News |
PowerRating)
Weakest Sectors : Retail
(
RTH |
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 |
| Digital River | ( DRIV | Quote | Chart | News | PowerRating) |
31.30 | Inside bar gap lower into technical range supports | 803 | 2,659 |
| Lifeway Foods | ( LWAY | Quote | Chart | News | PowerRating) |
13 | 2nd attempt downtrend b/o finishing high of day on increased, relative above-average volume |
307 | 297 |
| Surmodics | ( SRDX | Quote | Chart | News | PowerRating) |
23.13 | Wide range bullish bar within daily chart YTD cup and handle pattern |
324 | 387 |
^next^
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 |
| Magal Security | ( MAGS | Quote | Chart | News | PowerRating) |
20.85 | Top of range close w/ negative intraday divergence, on record volume upthrust bar |
2,879 | 16,917 |
| Microstrategy | ( MSTR | Quote | Chart | News | PowerRating) |
47.93 | Bottom of range consolidation w/in daily chart pullback from lows congestion pattern |
452 | 304 |
| Burlington Resources | ( BR | Quote | Chart | News | PowerRating) |
68.30 | Bottom of range close on increased volume test of prior highs |
1,530 | 1,516 |
Institutional Longs and Institutional Shorts.
The following stocks are selected from the Nasdaq, S&P 500 & 600 Indices,
and HOLDRs.
Institutional Longs
| Name | Symbol | Price | Average Volume 000’s | Today’s Volume |
| Teva Pharma | ( TEVA | Quote | Chart | News | PowerRating) |
66.48 | 2,657 | 1,710 |
| Amazon | ( AMZN | Quote | Chart | News | PowerRating) |
44.69 | 7,191 | 7,328 |
| Genentech | ( DNA | Quote | Chart | News | PowerRating) |
60.85 | 1,781 | 3,553 |
| Microchip | ( MCHP | Quote | Chart | News | PowerRating) |
31.16 | 3,012 | 3,125 |
Institutional Shorts
| Name | Symbol | Price | Average Volume 000’s | Today’s Volume |
| Nextel | ( NXTL | Quote | Chart | News | PowerRating) |
22.50 | 13,344 | 17,082 |
| Schlumberger | ( SLB | Quote | Chart | News | PowerRating) |
58.12 | 3,543 | 2,737 |
| Research In Motion | ( RIMM | Quote | Chart | News | PowerRating) |
114.89 | 5,996 | 6,971 |
Best of luck to everyone. Please use protective stops on all trades.
Chris Tyler