Wednesday’s Top Stocks

  • May 6, 2003
  • Chris Tyler

The ETFs managed to post a solid day of gains with volume

that was the best of the year for the Nasdaq. With advancers beating decliners by over a 2:1
margin on the NYSE, and roughly 1.5:1 over on the “other floor,” Monday’s poor finish seems like a distant memory. Not even an FOMC meeting
that “switched gears” towards an easing bias could keep the bull
contained in Tuesday’s trade.

Both the SPYs and the QQQs had their best closes in many months. With the SPY up
over .85% on the session, this was the market proxies’ best finish since December,
2002. For the QQQs, up over 1.25%, the closing level in Tuesday’s trade had not
been seen since the summer of 2002 The DIAs,
while still lagging, joined the party, up .50%, and notching its best finish
since January 2003.

Now that everyone is all “bulled up,” are we
ready for a pullback? Last week during the finishing touches of a consolidation,
“everyone” was saying that the market “has to pull back” first. Since then, with
the market gaining anywhere from 2% to about 3.5%, and deeper into technical
resistance, it sure seems like “mum’s the word,” as nobody’s talking about what
still threatens our three heroes, namely resistance, and maybe Cisco.

Who knows? But we are becoming extended in some
names, which in my opinion is best evidenced by the fact that some of the names
in my universe of High and Low RS stocks have started to “act up a bit” during
the past couple of sessions. This tells me to keep a hand on the sails, and not
to throw caution to the wind. No doom and gloom here, just a passing thought
about staying in the game, but knowing when it’s time to take a seat.

For the rest of us, whose primary concern is
daytrading in the here and now, we’ll be in the best position to continue to
ride the bull, or dance with the bear, if we stick to our daily regiment. By
keeping our list of High and Low RS issues and “tracking” them vigilantly, we
only take action to hunt when the intraday setup tells us that it’s safe to pull
the trigger on bigger animals than ourselves.

Hottest Sectors : Semiconductors
(
SMH |
Quote |
Chart |
News |
PowerRating)
and Retail
(
RTH |
Quote |
Chart |
News |
PowerRating)


Weakest Sectors : Biotech
(
BBH |
Quote |
Chart |
News |
PowerRating) and
Utilities
(
UTH |
Quote |
Chart |
News |
PowerRating)


Wednesday’s HELVETICA>stocks to watch:


High

RS issues
closing in Top of Range.

Stocks are scanned from 3 Month RS of 80 or higher
and TM’s Proprietary and Technology 10 Momentum lists on the Indicators page.




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class=890430920-15102001>









class=890430920-15102001>

















size=2 Helvetica face=”Arial”>Name

 class=890430920-15102001>Symbol
class=890430920-15102001>Relative
Strength 		class=890430920-15102001> size=2 Helvetica face=”Arial”>Price class=890430920-15102001>Average
Volume 		class=890430920-15102001>Today’s
Volume

Capital One


(
COF |
Quote |
Chart |
News |
PowerRating)
91
46.61
4,239M
9,693M

Autozone

(
AZO |
Quote |
Chart |
News |
PowerRating)
76
85.63
1,212M
2,054M

class=890430920-15102001>
New Century Financial
class=890430920-15102001>

(
NCEN |
Quote |
Chart |
News |
PowerRating)
class=890430920-15102001>
89
class=890430920-15102001>
41.79
class=890430920-15102001>
523K
class=890430920-15102001>
835K




Weak RS issues closing in
Bottom of Range.

Stocks
are scanned from 3 Month RS of 35 or lower and TM’s Implosion and Technology
Implosion Lists on the Indicators page.

class=890430920-15102001>



































size=2 Helvetica face=”Arial”>Name

 class=890430920-15102001>Symbol
class=890430920-15102001>Relative
Strength 		class=890430920-15102001> size=2 Helvetica face=”Arial”>Price class=890430920-15102001>Average
Volume 		class=890430920-15102001>Today’s
Volume

H&R Block


(
HRB |
Quote |
Chart |
News |
PowerRating)
15
38.10
1,712M
1,523M

Imation

(
IMN |
Quote |
Chart |
News |
PowerRating)
13
34.47
332K
371K

j2 Global

(
JCOM |
Quote |
Chart |
News |
PowerRating)
51
27.80
592K
776K


High RS issues with Volume
Surge in last hour.

Stocks are scanned from 3 Month
RS of 80 or higher and TM’s Proprietary and Technology 10 Momentum lists on the
Indicators page.


None Today.


Weak RS issues with
Volume Surge in last hour.

Stocks are scanned
from 3 Month RS of 35 or lower and TM’s Implosion and Technology Implosion Lists
on the Indicators page.




















size=2 Helvetica face=”Arial”>Name

 class=890430920-15102001>Symbol
class=890430920-15102001>Relative
Strength 		class=890430920-15102001> size=2 Helvetica face=”Arial”>Price class=890430920-15102001>Average
Volume 		class=890430920-15102001>Today’s
Volume

Apache


(
APA |
Quote |
Chart |
News |
PowerRating)
13
57.21
1,711M
2,761M


Stocks in Slim
Jims


High RS Slim Jims.

class=890430920-15102001>Stocks are
scanned from 3 Month RS of 80 or higher and TM’s Proprietary and Technology 10
Momentum lists on the Indicators page.




























size=2 Helvetica face=”Arial”>Name

 class=890430920-15102001>Symbol
class=890430920-15102001>Relative
Strength 		class=890430920-15102001> size=2 Helvetica face=”Arial”>Price class=890430920-15102001>Average
Volume 		class=890430920-15102001>Today’s
Volume

Zebra


(
ZBRA |
Quote |
Chart |
News |
PowerRating)
69
69.15
380K
505K

Hi-Tech Pharmaceuticals

(
HITK |
Quote |
Chart |
News |
PowerRating)
96
36.75
361K
588K





Weak RS



Slim Jimsclass=890430920-15102001>.

class=890430920-15102001>Stocks
are scanned from 3 Month RS of 35 or lower and TM’s Implosion and Technology
Implosion Lists on the Indicators page.

class=890430920-15102001>






class=890430920-15102001>









class=890430920-15102001>









size=2 Helvetica face=”Arial”>Name

 class=890430920-15102001>Symbol
class=890430920-15102001>Relative
Strength 		class=890430920-15102001> size=2 Helvetica face=”Arial”>Price class=890430920-15102001>Average
Volume 		class=890430920-15102001>Today’s
Volume

HCA


(
HCA |
Quote |
Chart |
News |
PowerRating)
4
32.16
5,540M
7,908M

class=890430920-15102001>
High RS
Reversal Patterns.

Stocks with 3 Month RS of 80 and / or
Institutional Favorites that are setting up on a closing basis as potential

short or long 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 1,2,3s and Slim Jim (SJ) consolidations. Background
supports in the form of Fibonacci levels, EMAs (DEMA=daily ema), and former price supports are
used in the decision making process.




class=890430920-15102001>











class=890430920-15102001>











size=2 Helvetica face=”Arial”>Name

 class=890430920-15102001>Symbol
class=890430920-15102001>Relative
Strength 		class=890430920-15102001> size=2 Helvetica face=”Arial”>Price Direction Pattern
Type		 class=890430920-15102001>Average
Volume 		class=890430920-15102001>Today’s
Volume
Able
Labs
(
ABRX |
Quote |
Chart |
News |
PowerRating)		 95 16.84 LONG SJ Mid
level that held the 50% fib intraday and opening bar prices after daily
test of supports		 420K 2,813M



None Today.


class=890430920-15102001>Low RS
Reversal Patterns.

Stocks with 3 Month RS of 35 and / or
Institutional Favorites that are setting up (within .15 of trigger) on a closing basis as potential

short or long reversal pattern
candidates. Patterns include 1,2,3s and Slim Jim (S.J.) consolidations. Whenever
possible background evidence of resistance in the form of Fibonacci levels, EMAs, and former price supports are
used in the decision making process.



None Today.



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, pattern (Slim
Jims), or last hour volume surges, indicative of follow through in the very near term. Due to the
institutional participation, which can provide additional follow through not
always found in less active issues, the 3 Month RS criteria is more subjective, and quite often less stringent in
evaluating an issues near term prospects. Program trading (which affects many of these
issues) can also be viewed as a potential beneficial factor when stocks listed
below are exhibiting price pattern setups on an intraday and / or daily chart
basis.

Institutional
Favorites



















































size=2 Helvetica face=”Arial”>Name

 class=890430920-15102001>Symbol
class=890430920-15102001>Relative
Strength 		class=890430920-15102001> size=2 Helvetica face=”Arial”>Price class=890430920-15102001>Average
Volume 		class=890430920-15102001>Today’s
Volume

Amazon

(
AMZN |
Quote |
Chart |
News |
PowerRating)
85
30.88
8,951M
13,922M

Schlumberger

(
SLB |
Quote |
Chart |
News |
PowerRating)
72
44.71
3,430M
3,546M

Dell

(
DELL |
Quote |
Chart |
News |
PowerRating)
69
30.51
21,037M
35,921M

Staples

(
SPLS |
Quote |
Chart |
News |
PowerRating)
60
20.30
4,183M
7,070M

QLogic

(
QLGC |
Quote |
Chart |
News |
PowerRating)
85
46.20
7,568M
7,383M

Institutional
Laggards.



class=890430920-15102001>









class=890430920-15102001>









class=890430920-15102001>









size=2 Helvetica face=”Arial”>Name

 class=890430920-15102001>Symbol
class=890430920-15102001>Relative
Strength 		class=890430920-15102001> size=2 Helvetica face=”Arial”>Price class=890430920-15102001>Average
Volume 		class=890430920-15102001>Today’s
Volume

IDEC Pharmaceuticals

(
IDPH |
Quote |
Chart |
News |
PowerRating)
31
32.55
4,073M
5,608M

3M Company

(
MMM |
Quote |
Chart |
News |
PowerRating)
13
122.89
2,814M
3,720M

Best of luck to everyone. Please use
protective stops on class=890430920-15102001> all trades.


P.S. I’ve
just released a new trading module on Intraday Breakouts. If
you’d like more information, click
here.