Wednesday’s Top Stocks
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Today the market got the nod from Uncle Al, as the FOMC policy ‘woke the ETFs
up’…barely. Inaction in today’s trade was the ‘theme to the extreme’, which had traders nodding off until Greenspan whispered sweet nothings to Wall Street. Our index proxy friends, after the initial shaking and baking action, were able to mount a modest rally to the tune of .85% to 1.5%. No whistling Dixie here, because even as market breadth had advancers over decliners by slightly more than 2:1, participation in today’s game was once again well below average as measured by real investor enthusiasm in the form of volume.
It could all happen very quickly of course, but considering that the rally off the lows has realistically been isolated to a select few names, and that ‘real enthusiasm’ as judged by Institutional quality volume statistics has been less-than-compelling, you’ll pardon me if I’m sitting on the proverbial fence that surrounds our ‘home on the range.’ Once more, thank god that while the bulls and bears play around in their comfortable playpen, we can always comfortably daytrade our consistent and disciplined game plan.
They can make it difficult, but not impossible. If the writing is on the wall, or in today’s case, in Greenspan’s pocket, I personally prefer to be scouting, rather than fighting. But, if you are going to play in the chop, at least do so with your list of High and Low RS issues that are setting up out of quality reversal and continuation patterns. With our protective gear in place, they might take you down for a round or two, but you’ll always be ready to stand up and ‘pick’ a fight in tomorrow’s trade.
Volatility Readings:
| Volatility Index | Close | Net Change | Signals/Direction | % Above/Below 10 Day Moving Average | Significance |
| VIX ( $VIX.X | Quote | Chart | News | PowerRating) |
20.21 | down 1.21 | none | 8% below | Not At Extreme |
| VXN ( $VXN.X | Quote | Chart | News | PowerRating) |
30.21 | down 1.91 | none | 7% below | Not At Extreme |
Hottest Sectors :Â Â Broker/Dealers (XBD)
and Internet
(
HHH |
Quote |
Chart |
News |
PowerRating)Â
Weakest Sectors :Â Gold/Silver (XAU) and
Pharmaceuticals
(
PPH |
Quote |
Chart |
News |
PowerRating)Â
Wednesday’s HELVETICA>stocks to watch:
Technical
Strength Top of Range.
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 Strength | Average Volume | Today’s Volume |
| Kyphon | ( KYPH | Quote | Chart | News | PowerRating) |
21.85 | Volume and range expansion out of daily triangle b/o |
316k | 333k |
| Ingersoll Rand | ( IR | Quote | Chart | News | PowerRating) |
55.49 | Top of range close to finish near daily b/o levels on volume increase |
1,351m | 1,886m |
| Knight Trading | ( NITE | Quote | Chart | News | PowerRating) |
8.97 | Range and volume expansion bar to close at top of range |
1,520m | 812k |
Technical Weakness Bottom of Range.
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 Strength | Average Volume | Today’s Volume |
class=890430920-15102001>
class=890430920-15102001>Stock Reversal Setups Closing Basis.
Stocks that are setting up on a closing basis as potential long
or short 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 basing patterns (“Slim Jims,
“1,2,3s”, Double bottoms)
consolidations, and triangle reversals. Background
technical supports in the form of Fibonacci levels, EMAs (DEMA=daily ema), RS, and former price
action are
used in the decision making process.
class=890430920-15102001>Long Reversals class=890430920-15102001>Closing Basis.
| Name | Symbol | Price | Technical Strength | Average Volume | Today’s Volume |
| Kronos | ( KRON | Quote | Chart | News | PowerRating) |
53.05 | Daily 123 trigger bar above 52.25, to close higher on volume increase |
164k | 142k |
class=890430920-15102001>
Short
Reversals
Closing Basis.
| Name | Symbol | Price | Technical Strength | Average Volume | Today’s Volume |
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, patterns (consolidations or
“Slim Jims”) , or last hour volume surges, indicative of follow through in the very near term.
Institutional
Favorites.
| Name | Symbol | Price | Average Volume | Today’s Volume |
| Lowes | ( LOW | Quote | Chart | News | PowerRating) |
48.35 | 4,241m | 3,862m |
| Goldman Sachs | ( GS | Quote | Chart | News | PowerRating) |
87.68 | 4,345m | 3,212m |
| Marvell Technology | ( MRVL | Quote | Chart | News | PowerRating) |
35.98 | 3,030m | 3,859m |
Institutional
Laggards.
| Name | Symbol | Price | Average Volume | Today’s Volume |
| MedImmune | ( MEDI | Quote | Chart | News | PowerRating) |
36.45 | 4,029m | 3,713m |
Best of luck to everyone. Please use
protective stops on class=890430920-15102001> all trades.
Chris Tyler