Thursday’s Top Stocks
Nope, I didn’t see today’s seesaw ride coming, but that’s probably just due
to all the ‘smart money’ intraday reevaluation that went on during the session.
Today’s most important, latest and greatest economic report was confirmation
that, at some point, the Fed’s interest rate policy will surely change. The
CPI number apparently had a lot of folks shook up in the early going, well at
least enough to cause a news-driven gap lower off more inflationary chatter
by the talking heads. But, after the opening curtain, in one cautious bull’s
opinion, it did turn out to be a strange show. I don’t think it was just me,
’cause judging by the numbers, a fractional loss of between .11% and .25% on
lighter, below-average volume–it seems to spell out indecisive action by a
few other audience members that have much better seats than I’ll ever have.
Well today they finally ‘pepper sprayed’ some of the momo issues like MACE,
or sent ’em through the rinse cycle…whichever works for you. I do know that
50% retracements don’t work very well for investors. Then again, they probably
shouldn’t be playing with a fire that’s surely going to be put out just as quickly
as the time it takes to go through a car wash. As a very wise man said once,
‘I pity da fool!!’
As for cautious bulls, I’m not sure what level reversed the S&P 500 on
the daily, but I do know that the 50-day MA band, as well as the gap fill in
the Naz was tested, and that I’m still focused on mostly long side opportunities
within the realm of growth stocks. I also know my name is Chris, and although
today wasn’t a personal best, you can bet that come tomorrow I’ll be back with
the same old 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) |
17.50 | up 2.06 | na | 11% above | at extreme |
| VXN ( $VXN | Quote | Chart | News | PowerRating) |
22.30 | up 1.93 | cvn 2, 6 sell | 1% above | not at extreme |
Hottest Sectors : Pharmaceuticals
(
PPH |
Quote |
Chart |
News |
PowerRating)
Weakest Sectors : Semiconductors
(
SMH |
Quote |
Chart |
News |
PowerRating)
Thursday’s stocks to watch:
Technical Strength.
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 |
| Axcan Pharma | ( AXCA | Quote | Chart | News | PowerRating) |
17.93 | doji confirmation of hammer technical reversal | 308 | 214 |
| Navarre | ( NAVR | Quote | Chart | News | PowerRating) |
8.16 | top of range, high volume weekly base b/o | 502 | 4,160 |
Technical Weakness.
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 |
| Coach | ( COH | Quote | Chart | News | PowerRating) |
40.13 | Angular daily price break on increased trade, closing at 50-Day EMA |
1,457 | 914 |
| Jos. A. Bank | ( JOSB | Quote | Chart | News | PowerRating) |
34.40 | Bottom of range consolidation on increased, above-average trade, breaking daily price and MA supports |
289 | 628 |
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 |
| NA | NA | NA | NA | NA | NA |
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 |
| Merck | ( MRK | Quote | Chart | News | PowerRating) |
45.44 | 7,202 | 8,779 |
| Adobe | ( ADBE | Quote | Chart | News | PowerRating) |
42.58 | 3,608 | 2,628 |
Institutional Laggards.
| Name | Symbol | Price | Average Volume 000’s | Today’s Volume |
| Merrill Lynch | ( MER | Quote | Chart | News | PowerRating) |
57.84 | 4,764 | 5,656 |
| Nextel | ( NXTL | Quote | Chart | News | PowerRating) |
24.21 | 13,779 | 17,999 |
| Target | ( TGT | Quote | Chart | News | PowerRating) |
42.86 | 4,220 | 5,383 |
Best of luck to everyone. Please use protective stops on all trades.
Chris Tyler