Wednesday’s Top Stocks
Believe it or not, with closing prices between .59% to 1.30% for the S&P500
and Nasdaq Composite–it really wasn’t much of a rally. The reason I say this is
because if you hadn’t gone out long overnight, you really didn’t miss much by
the closing bell. With the CPI number released this morning, and apparently
saying all the right things to those in the know–the indices gapped higher,
then meandered further with an upside bias until mid-afternoon, when some
well-placed rumor sank the market, giving some investors once again, further
opportunity to do whatever they had to do in the market’s intermediate
downtrend….’oh yahoo.’
Some report this morning said that the ‘net spec’ position in the futures was
more bullish than not, and I guess I’d have to agree with them on that front.
You get the feeling that on any given report as of late, if it doesn’t totally
make the case for the bears–then, between the shorts panicking to cover, and
the sidelined longs fearing of not being in on the latest and greatest number,
you’ll find action just like today’s. I also have to say, that in today’s trade
it really did look as though they meant it, as trade did pick up somewhat
(especially in the DJ-30). Of course that’s within the intermediate downtrend
that’s still in place, and the ongoing dilemma of not too many growth stocks
really doing the leadership thing. Oh yeah, and the low implied volatility
levels which also continue to plague any real bovine thoughts in this corner of
the trading universe.
Attitudes and convictions can be swayed. For this cautious bull, a move thru
104.82 on a closing basis in the DIA, and above 37.29 in the QQQ are two key
levels that should produce some percentage upside, if broken. A Fibonacci air
pocket exists above these levels that would lend itself to higher prices, in
order to complete a bearish pattern high on the weekly and daily time frames. I
guess we’ll just have to wait and see what the market has in store for us
next–until then, and always, we can continue using our 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) |
15.00 | down 1.15 | na | 3% below | not at extreme |
| VXN ( $VXN | Quote | Chart | News | PowerRating) |
20.92 | down 1.32 | na | 7% below | not at extreme |
Hottest Sectors : Gold/Silver (XAU)
Weakest Sectors : Biotech
(
BBH |
Quote |
Chart |
News |
PowerRating)
Wednesday’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 |
| Pier One | ( PIR | Quote | Chart | News | PowerRating) |
17.47 | High volume engulfing reversal bar off Fibonacci supports | 1,049 | 2,656 |
| Akamai | ( AKAM | Quote | Chart | News | PowerRating) |
15.69 | Increased volume reversal bar within daily handle | 3,177 | 2,938 |
^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 |
| Martek | ( MATK | Quote | Chart | News | PowerRating) |
52.46 | Increased, above-average volume continuation move lower, below key Fibonacci supports |
702 | 1,925 |
| Gtech Holdings | ( GTK | Quote | Chart | News | PowerRating) |
51.24 | Engulfing bearish bar w/in established downtrend | 931 | 895 |
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 |
| Nextel | ( NXTL | Quote | Chart | News | PowerRating) |
24.74 | 12,938 | 9,428 |
| Mercury Interactive | ( MERQ | Quote | Chart | News | PowerRating) |
48.52 | 2,317 | 1,717 |
| Maxim Integrated | ( MXIM | Quote | Chart | News | PowerRating) |
50.16 | 6,340 | 6,701 |
Institutional Shorts
| Name | Symbol | Price | Average Volume 000’s | Today’s Volume |
| Merrill Lynch | ( MER | Quote | Chart | News | PowerRating) |
54.99 | 4,990 | 5,202 |
| Yahoo | ( YHOO | Quote | Chart | News | PowerRating) |
32.10 | 10,618 | 14,779 |
| Amgen | ( AMGN | Quote | Chart | News | PowerRating) |
54.93 | 9,719 | 7,810 |
Best of luck to everyone. Please use protective stops on all trades.
Chris Tyler