Thursday’s Top Stocks
So, just like old favorites don’t always flex the same summer box office muscle that they used to,
i.e., think Han Solo in Hollywood Homicide, sometimes it also holds true with the market. Even though ‘The Cisco Kid’
(
CSCO |
Quote |
Chart |
News |
PowerRating) wasn’t quite up to the job of muscling the NASDAQ ‘box office’ (and what a show it is) higher, despite the fact that the grey haired player still looked plenty fit, it didn’t seem to affect the rest of our ‘market players’ too much. With the ‘kid’ down for the count in today’s show, our three favorite stars put on a bit of a good show. The Spyders, Diamonds, and Q’s took center stage and mounted a respectable reversal day higher after the ‘first act’ of trade. As of the close, the ETFs finished down .05% for the tech laden Q’s, while the Spyders and Diamonds were able to put in gains of .55% to .65%, respectively. Reviews of today’s performance from our other technical friends were less kind though. Audience participation picked up, but remained thin. For those who did play today, well let’s just say that they showed a complete indifference, as market breadth turned in a mixed message not worthy of a standing ovation.
‘Oooh, scary’…amazing how prophetic yesterday’s sarcasm turned out to be. Investors who dumped during the ‘opening rotation’ of trade, i.e., meaning from weak to strong hands, were probably wishing one thing as they rinsed their hands clean of their recent investment activitites, only to watch the index proxies mount a very solid intraday rally off of intraday patterns and key technical supports. ‘What’s a 1,2,3 pattern you say???’
‘Well I could tell you, but then I might have to kill you.’ It ain’t always easy, and quite often it requires a second entry. But, by preparing ahead of time with our list of High and Low RS issues and our confirming technical levels, we’d gladly welcome a second helping of today’s trade, any day of the week.
Volatility Readings:
| Volatility Index | Close | Net Change | Signals/Direction | % Above/Below 10 Day Moving Average | Significance |
| VIX ( $VIX.X | Quote | Chart | News | PowerRating) |
23.30 | down .80 | CVR 1,2,6 Buy | 8% above | At Extreme |
| VXN ( $VXN.X | Quote | Chart | News | PowerRating) |
34.43 | up .20 | CVR 1 | 8% above | Not At Extreme |
Hottest Sectors :Â Oil Services
(
OIH |
Quote |
Chart |
News |
PowerRating) and
Broker/Dealer (XBD)
Weakest Sectors : Disk Drives (DDX) and
Health/Medical (HMO)Â
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 |
| OmniVision | ( OVTI | Quote | Chart | News | PowerRating) |
42.21 | Thrust bar higher on daily, with volume, to close top of range |
1,501m | 1,235m |
| Freeport McMoran | ( FCX | Quote | Chart | News | PowerRating) |
26.49 | Test of 20-Day EMA and prior daily pivot high, to close at top of intraday range |
2,011m | 1,285m |
| ITT Education | ( ESI | Quote | Chart | News | PowerRating) |
39.86 | Hammer close on daily, High RS issue | 510k | 474k |
| Aeropostale | ( ARO | Quote | Chart | News | PowerRating) |
26.85 | Top of range consolidation on relative volume increase, near 52-week highs |
686k | 1,048m |
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 |
| Rambus | ( RMBS | Quote | Chart | News | PowerRating) |
16.90 | Bottom of range consolidation on technical b/d below 50-Day EMA |
1,560m | 1,098m |
| Eli Lilly | ( LLY | Quote | Chart | News | PowerRating) |
62.94 | Closing bottom of range in a consolidation pattern, below the 200-Day EMA |
3,855m | 3,060m |
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 |
class=890430920-15102001>
Short
Reversals
Closing Basis.
| Name | Symbol | Price | Technical Strength | Average Volume | Today’s Volume |
class=890430920-15102001>
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 |
| National Semiconductor | ( NSM | Quote | Chart | News | PowerRating) |
22.97 | 3,402m | 4,441m |
| Kohl’s | ( KSS | Quote | Chart | News | PowerRating) |
60.64 | 4,255m | 4,291m |
Institutional
Laggards.
| Name | Symbol | Price | Average Volume | Today’s Volume |
| QLogic | ( QLGC | Quote | Chart | News | PowerRating) |
41.61 | 5,570m | 6,633m |
| Genzyme | ( GENZ | Quote | Chart | News | PowerRating) |
43.49 | 3,542m | 5,054m |
| Merrill Lynch | ( MER | Quote | Chart | News | PowerRating) |
51.25 | 6,258m | 7,740m |
Best of luck to everyone. Please use
protective stops on class=890430920-15102001> all trades.
Chris Tyler