Friday’s Stock Watch
The broader
markets fell on negative news from the retail sector and networking
companies. Slightly above-average volume on the session signals distribution on
the Nasdaq, with down-volume beating up-volume by almost 4:1, and declining
issues over advancing issues by 2:1. The NYSE had down-volume over up-volume by
2:1, and declining issues over advancing issues by 2:1 as well. New 52-week
highs on the day came in at a low level, though residential construction came on
to this scene with a good showing. The stocks on our watch list held up well,
with some nice accumulation bucking the overall trend.
The Dow Jones Industrial Average
(
$INDU |
Quote |
Chart |
News |
PowerRating) closed down
1.30% to
9,766.45. The S&P 500
(
$SPX |
Quote |
Chart |
News |
PowerRating)
closed down
1.60% to
1,118.84.
The Nasdaq [$COMPQ |$COMPQ] closed down
3.22% to
1,946.53.
| NYSE | NASDAQ | |
| Advancing Issues | 1,065 | 1,302 |
| Declining Issues | 2,055 | 2,323 |
| Advancing Volume |
456,348,000 | 427,619,000 |
| Declining Volume |
919,337,000 | 1,594,514,000 |
| Total Volume | 1,419,476,000 | 2,031,314,000 |
| New 52-week Highs | 10 | 11 |
| New 52-week Lows | 7 | 2 |
Top sectors:
Biotechnology Index
(
$BTK.X |
Quote |
Chart |
News |
PowerRating), up 1.25% at 567.58.
Morgan Stanley Healthcare Payor Index
(
$HMO.X |
Quote |
Chart |
News |
PowerRating), up
0.65% to
418.87.
Losing sectors:
Networking
Index
(
$NWX.X |
Quote |
Chart |
News |
PowerRating), down 9.57% at 314.56
GSTI Multimedia Networking Index
(
$GIP.X |
Quote |
Chart |
News |
PowerRating), down
8.59% to 127.13.
Sectors With New Highs:
Internet Information Providers
— 2
Internet Software and Services
— 2
Semiconductor Integrated Circuits — 2
Semiconductor Memory Chips — 1
Semiconductor Specialized — 3
Semiconductor Equipment and Materials — 1
Residential Construction — 4
Watch List Action
PEC
Solutions
(
PECS |
Quote |
Chart |
News |
PowerRating) gained 0.81% on the day on average volume. The stock has
bounced off its lower trendline again and is still alive with upward momentum.
Bioreliance Corp.
(
BREL |
Quote |
Chart |
News |
PowerRating), which was recently added to our watch list,
gained 3.75% on the day with half-average volume. This stock is trading in the
handle portion of its cup-with-handle formation. Ideally we like to see the
handle last at least five days, and no more than a couple weeks, with the price
action trending down drying up the selling pressure. So far, this one looks good;
we just need a high-volume breakout to create a pivot buy move.
Recent Breakouts
We monitor the action of Recent Breakouts as an indicator
of the market health for IT traders. When breakouts are acting well, this is a
good sign for the likelihood of further sustainable breakouts. When breakouts
are failing, IT traders should be even more cautious.
American Healthways Inc.
(
AMHC |
Quote |
Chart |
News |
PowerRating), up 0.27% on
above-average volume for an accumulation day.
Copart Inc.
(
CPRT |
Quote |
Chart |
News |
PowerRating), down 0.91% on below-average volume
for a distribution day.
eBay
(
EBAY |
Quote |
Chart |
News |
PowerRating), down 4.80% on
below-average volume.
Genesis Microchip
(
GNSS |
Quote |
Chart |
News |
PowerRating), down 4.88% on
average volume.
MTR Gaming Group
(
MNTG |
Quote |
Chart |
News |
PowerRating), up 0.74% on
above-average
volume.
Nvidia Corp.
(
NVDA |
Quote |
Chart |
News |
PowerRating), down 2.87% on below-average volume.
Panera Bread Co.
(
PNRA |
Quote |
Chart |
News |
PowerRating), down 1.13% on below-average
volume.
THQ Inc.
(
THQI |
Quote |
Chart |
News |
PowerRating), down 3.10% on below-average
volume.
Company Name |
Symbol |
12 Month RS |
Price |
Price Change |
Average Volume |
| American Healthways Inc. | ( AMHC | Quote | Chart | News | PowerRating) |
99 | 36.25 | + 0.10 | 228,300 |
| Copart Inc. | ( CPRT | Quote | Chart | News | PowerRating) |
94 | 33.72 | – 0.31 | 296,100 |
| eBay | ( EBAY | Quote | Chart | News | PowerRating) |
93 | 66.16 | – 3.34 | 9,042,100 |
| Genesis Microchip | ( GNSS | Quote | Chart | News | PowerRating) |
99 | 64.20 | – 3.30 | 2,627,300 |
| MTR Gaming Group | ( MNTG | Quote | Chart | News | PowerRating) |
94 | 13.60 | + 0.10 | 334,400 |
| Nvidia Corp. | ( NVDA | Quote | Chart | News | PowerRating) |
97 | 62.81 | – 1.86 | 10,451,700 |
| Panera Bread Co. | ( PNRA | Quote | Chart | News | PowerRating) |
95 | 48.80 | – 0.56 | 305,900 |
| PEC Solutions | ( PECS | Quote | Chart | News | PowerRating) |
99 | 34.80 | + 0.28 | 482,400 |
| THQ Inc. | ( THQI | Quote | Chart | News | PowerRating) |
94 | 56.85 | – 1.82 | 1,594,300 |
Stocks Forming a Handle
Career Education Corp.
(
CECO |
Quote |
Chart |
News |
PowerRating), up 4.03% on
average volume for an accumulation day.
Direct Focus Inc.
(
DFXI |
Quote |
Chart |
News |
PowerRating), up 4.01% on
average volume.
Integra LifeSciences
(
IART |
Quote |
Chart |
News |
PowerRating), unchanged on
above-average volume for an accumulation day.
Krispy Kreme Doughnuts
(
KKD |
Quote |
Chart |
News |
PowerRating), up 1.92% on
below-average volume for an accumulation day.
Company Name |
Symbol |
12 Month RS |
Price |
Price Change |
Average Volume |
| BioReliance Corp. | ( BREL | Quote | Chart | News | PowerRating) |
99 | 32.63 | + 1.18 | 285,900 |
| Career Education Corp. | ( CECO | Quote | Chart | News | PowerRating) |
91 | 35.58 | + 1.38 | 836,600 |
| Direct Focus Inc. | ( DFXI | Quote | Chart | News | PowerRating) |
89 | 30.33 | + 1.17 | 644,300 |
| Integra LifeSciences | ( IART | Quote | Chart | News | PowerRating) |
93 | 26.40 | + 0.00 | 331,700 |
| Krispy Kreme Doughnuts | ( KKD | Quote | Chart | News | PowerRating) |
94 | 39.65 | + 0.75 | 876,600 |
Stocks Building A Base
Company Name |
Symbol |
12 Month RS |
Price |
Price Change |
Average Volume |
| None |