Tuesday’s Top Stocks
Not a peep out of raging bulls about the now reversed S&P500 channel line
that was so key for way too many folks bullish case. Couple that with volatility
indices finally showing signs of life after a quadruple bottom, and growth stocks
still showing something other than real leadership–yup, all in all a very good
day for profit-taking while the getting is still good. With the S&P500 and Nasdaq Composite down between .98% to 1.49% it seems that some investors decided
it was high time to put Bonzo the Rally Monkey to bed, and not a moment too
soon in this cautious bull’s opinion, as he was looking quite tired after climbing
that wall of worry.
Today was certainly a start, but for this cautious bull that’s all it was.
The intermediate downtrend is still very much in place, growth stock breakouts
have continued, on a whole, to be opportunities for high-probability shorts,
and while today’s move in the volatility indices looked impressive–it really
wasn’t anything to write home about, or to write calls on, for that matter.
Oh well, maybe tomorrow, or maybe not. The only certainty is that we’ll continue
to focus on our disciplined, consistent daytrading tactics regardless if the
market is ultimately a high-probability swing short, or just a simple pullback
from highs that this cautious bull continues to steer clear of.
Volatility Readings:
| Volatility Index | Close | Net Change | Signals/Direction | % Above/Below 10 Day Moving Average | Significance |
| VXO ( $VXO | Quote | Chart | News | PowerRating) |
16.15 | up 2.32 | cvr 6 sell | 4% above | not at extreme |
| VXN ( $VXN | Quote | Chart | News | PowerRating) |
22.28 | up 1.05 | cvn 2 sell | 1% below | not at extreme |
Hottest Sectors : Biotech
(
BBH |
Quote |
Chart |
News |
PowerRating)
Weakest Sectors : Gold/Silver (XAU)
Tuesday’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 |
| Aquantive | ( AQNT | Quote | Chart | News | PowerRating) |
10.65 | High volume inside spinning top bar within daily handle | 664 | 674 |
| Juniper Networks | ( JNPR | Quote | Chart | News | PowerRating) |
20.28 | 60-minute chart bull butterfly w/in daily support zone | 13,089 | 8,353 |
^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 |
| Research In Motion | ( RIMM | Quote | Chart | News | PowerRating) |
54.37 | Bottom of range close on increased, above-average breakdown of daily chart supports |
6,800 | 7,181 |
| Lamar | ( LAMR | Quote | Chart | News | PowerRating) |
43.80 | Daily double top pattern | 738 | 665 |
Institutional Longs and Institutional Shorts.
The following stocks are selected from the Nasdaq, S&P 500 & 600 Indices,
and HOLDRs, and are based on a combination of daily and intraday analysis.
Institutional Longs
| Name | Symbol | Price | Average Volume 000’s | Today’s Volume |
| Genentech | ( DNA | Quote | Chart | News | PowerRating) |
53.83 | 2,360 | 7,427 |
| Microsoft | ( MSFT | Quote | Chart | News | PowerRating) |
26.90 | 67,693 | 67,197 |
Institutional Shorts
| Name | Symbol | Price | Average Volume 000’s | Today’s Volume |
| Symantec | ( SYMC | Quote | Chart | News | PowerRating) |
43 | 4,992 | 4,534 |
| Yahoo | ( YHOO | Quote | Chart | News | PowerRating) |
31.66 | 10,618 | 11,738 |
| Halliburton | ( HAL | Quote | Chart | News | PowerRating) |
29.13 | 4,070 | 2,963 |
Best of luck to everyone. Please use protective stops on all trades.
Chris Tyler