Thursday’s Top Stocks
Hewlett
(
HPQ |
Quote |
Chart |
News |
PowerRating) may be ‘packing’ it in, but with ‘quarter’s tight’, they
might try storing their stuff elsewhere. Maybe they should try
Network Appliance
(
NTAP |
Quote |
Chart |
News |
PowerRating), as it seems their storage biz is doing just fine as
evidenced by that company’s latest report. What’s it all mean? Net-net, down
roughly 10% for Hewlett, and up a very handsome 15% for NTAP…and for the
market? Well, after spending the majority of the session in a very tight range,
our ETF friends finished the day down fractionally, between .25% and .40% on
moderate volume with mixed breadth statistics, and indicative of the reason
why I don’t
mind
keeping the horns ready, but in a defensive posture as we head into tomorrow’s
show.
‘Mooove’ up say the bulls, or is that ‘Johnny Come Lately’ speaking? No doubt,
as mentioned in days gone past, the market does look good as evidenced by
breakouts in growth names taking hold, as well as some of the major averages
going up on what some parties refer to as a ‘follow-thru’ day. Unfortunately
for those that like to read the Cliff Notes and not the whole story, well you
could be in for another kind of tall tale altogether in the next couple
of sessions. After two weeks of a beeline higher, I don’t mind putting down
the ‘party horns’ to take a well-deserved breather, until the next high-probability
move decides to present itself. Besides, until then and always, we’ve got our
disciplined, consistent daytrading to fall back on just in case.
Hey, I love da’
Bulls as much as the next guy, but I love the world of the daytrading
elite even more. If you want to trade consistently, the only way to participate,
come bull, bear or something inbetween, is by chosing to stick with the original
game plan. Each and every day we come back in prepared to play ball with our
list of High and Low RS issues. When the classic continuation and reversal
patterns appear, as they so often do, we take the ‘bull’ by the horns, or the
bear by the tail, it doesn’t really matter as they’re both equally bankable
at ‘Wall and Broad.’
Volatility Readings:
| Volatility Index | Close | Net Change | Signals/Direction | % Above/Below 10 Day Moving Average | Significance |
| VIX ( $VIX | Quote | Chart | News | PowerRating) |
19.71 | up .48 | CVR 2,6 Sell | 3% below | Not At Extreme |
| VXN ( $VXN | Quote | Chart | News | PowerRating) |
27.64 | up 1.14 | CVR 2,6 Sell | 8% below | Not At Extreme |
Hottest Sectors: Gold/Silver (XAU) and Disc Drives (DDX)
Weakest Sectors: Health/Medical (HMO) and Computer Technology (XCI)
Thursday’s 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 |
| Netflix | ( NFLX | Quote | Chart | News | PowerRating) |
27.75 | Top of range finish on high volume test of 52-week high | 1,104m | 2,100m |
| Celgene | ( CELG | Quote | Chart | News | PowerRating) |
39.17 | weekly handle b/o on above average volume | 1,353m | 1,464m |
| Websense | ( WBSN | Quote | Chart | News | PowerRating) |
23.12 | Consolidation day after b/o of daily range prior session | 667k | 493k |
| Chiron | ( CHIR | Quote | Chart | News | PowerRating) |
48.95 | Top of range consolidation pattern near 52-week high and b/o levels on daily chart |
1,772m | 1,851m |
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 |
| Abbott Labs | ( ABT | Quote | Chart | News | PowerRating) |
39 | Consolidation pattern on volume, to close below recent price supports |
3,857m | 4,727m |
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.
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 |
| Juniper | ( JNPR | Quote | Chart | News | PowerRating) |
15.39 | 11,546m | 20,113m |
| Bed, Bath & Beyond | ( BBBY | Quote | Chart | News | PowerRating) |
42 | 3,502m | 3,305m |
Institutional Laggards.
| Name | Symbol | Price | Average Volume | Today’s Volume |
| Fannie Mae | ( FNM | Quote | Chart | News | PowerRating) |
60.41 | 8,605m | 5,202m |
Best of luck to everyone. Please use protective stops on all trades.