Tuesday’s Top Stocks
It seems to be a case of the tail wagging the dog in today’s session. Overseas
bourses rallied in part, due to Friday’s rally in our own S&P500 and Nasdaq
Composite. In turn, that news led in part to more buying in our own markets
in Monday’s trade, after looking like a dog of a close on Friday (in one guy’s
humble opinion). Sound confusing, well if you are I can tell you that you’re
not alone, as the most recent action has had this cautious bull pretty much
steering clear of the action. On the day however, some bulls or bears did come
out to play as the trading range was decisively broken by price. Both the S&P500
and Nasdaq Composite finished strong on the day, up between 1.61% to 2.12% respectively.
Volume however, while stronger on the session was still not what most would
call decisive action, although if you happened to come in long you’re probably
not complaining either, and you might just be saying, ‘oh yahoo.’
Price comes first and then volume in this guy’s and most technicians vote for
what matters most. I’ll be the first to admit, the price thing has surprised
this cautious bull. I’ll also say that in doing my intermediate-term growth
stock research, there were more stocks setting up than I had thought–but, I
didn’t come away thinking that today was going to be a trigger day in most of
those issues. As it turns out, from my own list of twenty stocks currently making
the grade six or seven triggered, and a couple of others are extremely close
to breaking out. The two biggest problems have been that most are just barely,
week old handle patterns and the volume in general has been questionable while
the trigger level is actually being elected. Perplexing to say the least, especially
as this is occurring on low volatilities and up against all kinds of resistance
in an intermediate term downtrend–at least that’s where I thought we stood.
Oh well, they say the market loves to climb a wall of worry. Maybe so, but if
its going to be that way–this cautious bull will continue to play their game
using the usual 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) |
14.70 | down 1.81 | na | 10% below | not at extreme |
| VXN ( $VXN | Quote | Chart | News | PowerRating) |
22.57 | down 1.57 | cvn 1 buy | 0% | not at extreme |
Hottest Sectors : Semiconductor
(
SMH |
Quote |
Chart |
News |
PowerRating)
Weakest Sectors : Biotech
(
BBH |
Quote |
Chart |
News |
PowerRating)
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 |
| Juniper Networks | ( JNPR | Quote | Chart | News | PowerRating) |
20.87 | Engulfing bullish lower low double bottom on increased, above-average trade |
12,870 | 19,173 |
^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 |
| J.B. Hunt Transport | ( JBHT | Quote | Chart | News | PowerRating) |
35.75 | Bottom of range consolidation on daily chart shooting star Bear Butterfly pattern |
769 | 1,005 |
| Martek Biosciences | ( MATK | Quote | Chart | News | PowerRating) |
62.85 | Low of day close, continuation bar out of countertrend pullback from lows |
669 | 294 |
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 |
| Broadcom | ( BRCM | Quote | Chart | News | PowerRating) |
43.44 | 8,394 | 9,252 |
| Mercury Interactive | ( MERQ | Quote | Chart | News | PowerRating) |
49.54 | 2,438 | 2,243 |
| Teva Pharmaceuticals | ( TEVA | Quote | Chart | News | PowerRating) |
66.40 | 2,526 | 1,704 |
Institutional Shorts
| Name | Symbol | Price | Average Volume 000’s | Today’s Volume |
| eBay | ( EBAY | Quote | Chart | News | PowerRating) |
88.46 | 8,430 | 7,793 |
| Genentech | ( DNA | Quote | Chart | News | PowerRating) |
57.25 | 1,832 | 10,792 |
Best of luck to everyone. Please use protective stops on all trades.
Chris Tyler