Wednesday’s Top Stocks
Tuesday’s action, judging by the closing numbers, sure looked harmless enough–and
it was, as long as you decided to keep to the ‘cautious bull’ stance and not
make today a day of portfolio feasting. With the holiday almost upon us, and
yesterday’s already impressive gains probably needing time to digest, why not
save some of the pigging out for the ‘other table’? As it stands, for the session
our ETF friends closed between a remarkable 0% to a sturdy .35%. Volume was
slightly heavier on the Nasdaq and just about at the 50-day average benchmark,
but with this the ‘one’ that we look to for bullish support–you might say with
this being the weakest of the indices, that today’s trade wasn’t light as a
feather…although I still would be hard-pressed to call it a turkey within
the market’s ‘confirmed rally.’
I personally was looking for a bit more lateral or pullback-type consolidation
work today–which was anything but the case. The range of our index proxies
doesn’t really show it, but it was one of those days filled with shrapnel, if
you didn’t watch your step. This comes from the pen of ‘cautious bull’ himself.
Lots of weirdness within the market’s ‘confirmed rally’, but I wasn’t there
trying to press the ‘trade issue’ for our subscribers either…so some of us
can be thankful for that–ahead of the official holiday. I’m not gonna try and
blow sunshine up the you know where, folks…if you haven’t done the consistent,
disciplined daytrading thing yet…why don’t you leave the carving up somewhere
other than the ol’ trading account, and make it a nice extended holiday?
Volatility Readings:
| Volatility Index | Close | Net Change | Signals/Direction | % Above/Below 10 Day Moving Average | Significance |
| VXO[CBOT:$VXO] | 16.29 | down .86 | none | 12% below | at extreme |
| VXN[CBOT:$VXN] | 26.02 | down 1.05 | none | 6% below | not at extreme |
Hottest Sectors : Health/Medical (HMO) and Internet
(
HHH |
Quote |
Chart |
News |
PowerRating)
Weakest Sectors :Â Oil Services
(
OIH |
Quote |
Chart |
News |
PowerRating) and Gold/Silver (XAU)
Wednesday’s 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 000’s | Today’s Volume |
| Hot Topic | ( HOTT | Quote | Chart | News | PowerRating) |
29.94 | intraday cup and handle closing pattern at daily breakout levels w/ confirmed volume |
904 | 1,024 |
| Gevity HR | ( GVHR | Quote | Chart | News | PowerRating) |
21.85 | Top of range consolidation on increased,above-average trade out of multi day high level consolidation |
363 | 469 |
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 000’s | Today’s Volume |
| Silicon Labs | ( SLAB | Quote | Chart | News | PowerRating) |
48.57 | Consolidation day below the 50-Day EMA | 1,272 | 758 |
| Citrix Systems | ( CTXS | Quote | Chart | News | PowerRating) |
23.83 | Bearish tailing action below 20 and 50-day moving averages, closing bottom of range |
2,870 | 1,954 |
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.
Long Reversals Closing Basis.
| Name | Symbol | Price | Technical Strength | Average Volume 000’s | Today’s Volume |
| NA | NA | NA | NA | NA | NA |
Short Reversals Closing Basis.
| Name | Symbol | Price | Technical Strength | Average Volume 000’s | Today’s Volume |
| NA | NA | NA | NA | NA | NA |
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 000’s | Today’s Volume |
| Teva Pharmaceuticals | ( TEVA | Quote | Chart | News | PowerRating) |
58.30 | 2,052 | 3,570 |
| Marvell Technology | ( MRVL | Quote | Chart | News | PowerRating) |
38.15 | 3,106 | 7,939 |
Institutional Laggards.
| Name | Symbol | Price | Average Volume 000’s | Today’s Volume |
| Electronic Arts | ( ERTS | Quote | Chart | News | PowerRating) |
43.63 | 2,112 | 5,686 |
| Merck | ( MRK | Quote | Chart | News | PowerRating) |
41.42 | 8,455 | 18,928 |
Best of luck to everyone. Please use protective stops on all trades.
Chris Tyler