Thursday’s Top Stocks
It seems Larry ‘knew’ his lowball bid for PeopleSoft
(
PSFT |
Quote |
Chart |
News |
PowerRating) would be raised in the near future, as Oracle
(
ORCL |
Quote |
Chart |
News |
PowerRating) upped the stakes to 19.50 a share. If only shareholders at Eastman Kodak
(
EK |
Quote |
Chart |
News |
PowerRating) could also be that prescient. Wednesday was not picture perfect for the company, as the stock was pummeled on news of lower guidance. In today’s trade Eastman finished off roughly 10% at 28.77.
The ETFs opened lower on the forementioned guidance, as well as similar news out of both CLX and NYT. The mighty Broker / Dealers
(
$XBD.X |
Quote |
Chart |
News |
PowerRating) were dealt a hand of profit taking after better-than-expected numbers (hmmm???) were obviously not as good as ‘expected.’ Believe it or not though, the Spyders
(
SPY |
Quote |
Chart |
News |
PowerRating), NASDAQ100
(
QQQ |
Quote |
Chart |
News |
PowerRating), and the Diamonds
(
DIA |
Quote |
Chart |
News |
PowerRating) spent the majority of the day vacillating around the unchanged level, due in part to strength out of the semis
(
SMH |
Quote |
Chart |
News |
PowerRating). The ‘worse-than-expected’ Book-To-Bill number might not have been that bad after all, especially after recent weakness in many sector components. All said and done, our ETF friends finished mixed on the session, with the Spyders and Diamonds off fractionally, while the Q’s held on for a modest gain of approximately .50%. Volume came in slightly higher on the day for both floors, while market breadth was a push for the NASDAQ, but decliners were seen leaning on top of advancers by approximately a 1.6 to 1 ratio over on the NYSE. Pheww!!! All I can say is, thank god for daytrading.
By sticking to our list of High and Low RS issues, and then finding those classic continuation and reversal setups that seem to somehow miraculously show up each and every day, we can let the other guy worry about whether his portfolio will measure up to investor expectations. The ‘confirmed rally’, ‘bull market’, or whatever they’re calling it these days is ‘all nice and everything’, but bottom line, it doesn’t put money ‘in the bank’ if they’re taking down the homebuilders, or cashing in the chips over at Goldman Sachs and Morgan Stanley.
Volatility Readings:
| Volatility Index | Close | Net Change | Signals/Direction | % Above/Below 10 Day Moving Average | Significance |
| VIX ( $VIX.X | Quote | Chart | News | PowerRating) |
21.60 |
down .16 | None | 4.5% below | Not At Extreme |
| VXN ( $VXN.X | Quote | Chart | News | PowerRating) |
33.15 | down .46 | None | 4% below | Not At Extreme |
Hottest Sectors :Â Semiconductors
(
SMH |
Quote |
Chart |
News |
PowerRating)
and Internet
(
HHH |
Quote |
Chart |
News |
PowerRating)
Weakest Sectors : Broker / Dealers
(
$XBD.X |
Quote |
Chart |
News |
PowerRating) and Homebuilders
(
$HGX.X |
Quote |
Chart |
News |
PowerRating)
Thursday’s HELVETICA>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 | Today’s Volume |
| L-3 Communications | ( LLL | Quote | Chart | News | PowerRating) |
45.86 | Top of range close on high volume, daily b/o of trading range |
1,124m | 1,467m |
| Artisan Components |
( ARTI | Quote | Chart | News | PowerRating) |
25.50 | 52-week high b/o of trading range on volume to close at top of intraday range |
556k | 1,552m |
| Marvel Enterprises |
( MVL | Quote | Chart | News | PowerRating) |
23.95 | Intraday top of range close on triangle b/o pattern. Daily chart reversal bar higher with confirmed volume |
1,553m | 2,875m |
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 | Today’s Volume |
| Stryker | ( SYK | Quote | Chart | News | PowerRating) |
71.13 | Bottom of range close, reversal bar lower on volume from a doji top formation |
937k | 954k |
| SAP | ( SAP | Quote | Chart | News | PowerRating) |
31.24 | Significant volume breakdown of daily trendline, closing bottom of range |
2,176m | 4,552m |
| Universal Health | ( UHS | Quote | Chart | News | PowerRating) |
41.18 | Low RS stock closing lower half of daily range on volume, from technical resistance reversal bar |
766k | 1,318m |
class=890430920-15102001>
class=890430920-15102001>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.
class=890430920-15102001>Long Reversals class=890430920-15102001>Closing Basis.
| Name | Symbol | Price | Technical Strength | Average Volume | Today’s Volume |
| Analog Devices | ( ADI | Quote | Chart | News | PowerRating) |
35.17 | Outside reversal bar higher with volume to close at top of range intraday |
4,065m | 7,078m |
class=890430920-15102001>
Short
Reversals
Closing Basis.
None Today.
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 | Today’s Volume |
| Yahoo | ( YHOO | Quote | Chart | News | PowerRating) |
32.30 | 14,147m | 16,336m |
| Lexmark | ( LXK | Quote | Chart | News | PowerRating) |
76.99 | 1,779m | 2,437m |
| Qualcomm | ( QCOM | Quote | Chart | News | PowerRating) |
35.69 | 14,,864m | 19,525m |
| EDS | ( EDS | Quote | Chart | News | PowerRating) |
24.20 | 4,040m | 12,412m |
Institutional
Laggards.
| Name | Symbol | Price | Average Volume | Today’s Volume |
| Morgan Stanley | ( MWD | Quote | Chart | News | PowerRating) |
46.89 | 5,383m | 10,529m |
| MedImmune | ( MEDI | Quote | Chart | News | PowerRating) |
36.11 | 4,038m | 11,419m |
| Autozone | ( AZO | Quote | Chart | News | PowerRating) |
76.45 | 1,339m | 1,894m |
Best of luck to everyone. Please use
protective stops on class=890430920-15102001> all trades.
Chris Tyler