Wednesday’s Top Stocks
This cautious bull
smells something fishy. With the S&P500 and Nasdaq Composite fractionally
higher, between .12% to .14%, some will point at today’s trade as a
nice light volume consolidation day after a solid up-thrust bar which took out
channel resistance in yesterday’s trade. You might not agree with me, but
bears do enjoy their fishy snacks, and this one looks to be a hook, line, and
sinker. No yahoo here, only the humble words to keep it light and tight.
As I’ve said before, this cautious bull has
been sidelined quite a bit–no problem in this corner as I can’t be in ’em all
the time. However, with the market’s almost deafening stampede of comments
being used to defend the bullish move thus far, as well as in the days ahead,
I will say that if you do dare listen to the siren song of why this time it’s
different–please keep vigilant with protective stop loss management.
With Year-To-Date lows in the VXO volatility
index, much ado about a channel line breakout within an existing intermediate
downtrend, and growth stock breakouts that are still not really doing it like
one would expect to see, its a great time to heed caution. Throw in some
contrary indicator stuff like lower oil prices already factored in to the move
off our lows, the all so powerful advance/decline line that everyone it seems
is totally fixated on (I guess since no one wants to look at the VXO), and the
fact that the semiconductors are still entrenched in a Fibonacci pattern
resistance formation (39.10 – 40.38)–and it’s more than enough evidence to
keep it real by using disciplined, consistent daytrading tactics and nothing
else.
Volatility Readings
| Volatility Index | Close | Net Change | Signals/Direction | % Above/Below 10 Day Moving Average |
Significance |
| VXO ( $VXO | Quote | Chart | News | PowerRating) |
13.75 | down .95 | na | 14% below | at extreme |
| VXN ( $VXN | Quote | Chart | News | PowerRating) |
22.19 | down .46 | na | 2% below | not at extreme |
Hottest Sectors : Internet
(
HHH |
Quote |
Chart |
News |
PowerRating)
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.
Â
| Name | Symbol | Price | Technical Assesment | Average Volume 000’s | Today’s Volume |
| Novatel | ( NVTL | Quote | Chart | News | PowerRating) |
19.76 | Top of range close on increased volume, closing thru key daily resistance |
1,319 | 1,056 |
| Digital River | ( DRIV | Quote | Chart | News | PowerRating) |
33.28 | Thrust bar on increased, above average volume, within high level consolidation |
848 | 1,426 |
Â
^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.
Â
Name |
Symbol | Price | Technical Assesment |
Average Volume 000’s |
Today’s Volume |
| Shuffle Master | ( SHFL | Quote | Chart | News | PowerRating) |
38.46 | Inside day confirmation bar of Bear Butterfly reversal pattern on daily |
546 | 1,577 |
| Martek Biosciences | ( MATK | Quote | Chart | News | PowerRating) |
62.49 | bottom of range continuation day, within daily right shoulder |
623 | 306 |
| NII Holdings | ( NIHD | Quote | Chart | News | PowerRating) |
34.55 | bottom of range close on increased, above average volume, breaking recent price supports |
704 | 2,062 |
Â
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) |
43.84 | 8,394 | 9,345 |
| Juniper Networks | ( JNPR | Quote | Chart | News | PowerRating) |
21.55 | 13,045 | 15,441 |
| Teva Pharmaceuticals | ( TEVA | Quote | Chart | News | PowerRating) |
66.75 | 2,526 | 1,830 |
Â
Institutional Shorts
| Name | Symbol | Price | Average Volume 000’s | Today’s Volume |
| Oil Services | ( OIH | Quote | Chart | News | PowerRating) |
66.23 | 2,056 | 2,485 |
| Genentech | ( DNA | Quote | Chart | News | PowerRating) |
56.54 | 1,974 | 6,163 |
Â
Best of luck to everyone. Please use protective
stops on all trades.
Chris Tyler