Friday’s Stock Watch
The bulls
moved to avenge yesterday’s losses as the major indexes posted gains
on the day. Average volume on the session led the Nasdaq off its 50-day moving
average, with the Dow and the S&P remaining below this mark. Stocks on our watch
list were mixed, with our most recent breakout stocks moving further south.
Market breadth was positive, with
NYSE advancing issues over declining issues by a ratio of 1.66, and up volume
over down volume by a 1.40 ratio. Nasdaq advancing issues over declining
issues came in at 1.54, and up volume beat down volume by a 2.61 ratio.
The Dow Jones Industrial Average
(
$INDU |
Quote |
Chart |
News |
PowerRating) closed up
1.42% to
9,850.04. The S&P 500
(
$SPX |
Quote |
Chart |
News |
PowerRating)
closed up
1.00% to
1,138.88.
The Nasdaq [$COMPQ |$COMPQ] closed up
2.13% to
1,985.82.
Issues
Volume
783,808,000
1,319,736,000
558,816,000
503,995,000
Volume
1,358,436,000
1,851,908,000
Highs
Lows
Top sectors:
Dow Jones Internet Commerce Index
(
$ECM.X |
Quote |
Chart |
News |
PowerRating) up
4.98% to 53.11.
GSTI Hardware Index
(
$GHA.X |
Quote |
Chart |
News |
PowerRating) up 4.10% at 274.66.
Losing sectors:
Airline Index
(
$XAL.X |
Quote |
Chart |
News |
PowerRating) down
3.70% at 90.21.
Morgan Stanley Health Provider Index
(
$RXH.X |
Quote |
Chart |
News |
PowerRating) down
2.33% to 71.47.
Sectors With New
Highs:
Business Services – 5
Gold – 5
Health Care – 5
Medical – 3
REITs – 6
Resorts and Casinos – 4
Utilities – 3
Watch List Action
Direct Focus Inc.
(
DFXI |
Quote |
Chart |
News |
PowerRating) fell another 2.13% on twice-average volume for
a distribution day. Using a 33.34 pivot buy point, the stock
fell 4.7% below this mark at its low of the day. The stock’s recent action moves it dangerously close
to hitting a 7% stop loss, though we would obviously like to see this one become
a leader.
PEC Solutions
(
PECS |
Quote |
Chart |
News |
PowerRating) fell another 2.73% on above-average volume. The
stock has now retraced over 32% from its 1/07 high, and is trading below its
50-day moving average.
Recent Breakouts
size=2>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 1.97% on
below-average volume.
Copart Inc.
(
CPRT |
Quote |
Chart |
News |
PowerRating), up 1.04% on below-average
volume for an accumulation day.
MTR Gaming Group
(
MNTG |
Quote |
Chart |
News |
PowerRating), up 1.41% on below-average
volume.
Nvidia Corp.
(
NVDA |
Quote |
Chart |
News |
PowerRating), up 3.50% on average
volume.
Panera Bread Co.
(
PNRA |
Quote |
Chart |
News |
PowerRating), down 0.56% on above-average volume
for a distribution day.
PEC Solutions
(
PECS |
Quote |
Chart |
News |
PowerRating), down 2.73% on above-average
volume.
| color=#ffffff size=2>Company Name | color=#ffffff size=2>Symbol | color=#ffffff size=2>12 Month RS | color=#ffffff size=2>Price | color=#ffffff size=2>Price Change | color=#ffffff size=2>Average Volume |
| size=2>American Healthways Inc. | size=2> ( AMHC | Quote | Chart | News | PowerRating) | size=2>96 | 29.98 | + 0.58 | 318,900 |
| size=2>Copart Inc. | size=2> ( CPRT | Quote | Chart | News | PowerRating) | 77 | 32.94 | + 0.34 | 738,800 |
| size=2>Direct Focus Inc. | size=2> ( DFXI | Quote | Chart | News | PowerRating) | 94 | 32.95 | – 0.72 | 812,400 |
| size=2>Ebay | size=2> ( EBAY | Quote | Chart | News | PowerRating) | 83 | 61.61 | + 1.67 | 6,366,500 |
| size=2>Genesis Microchip | size=2> ( GNSS | Quote | Chart | News | PowerRating) | size=2>99 | 68.21 | + 3.81 | 2,548,800 |
| size=2>MTR Gaming Group | size=2> ( MNTG | Quote | Chart | News | PowerRating) | 97 | 14.35 | +0.20 | 510,400 |
| size=2>Nvidia Corp. | size=2> ( NVDA | Quote | Chart | News | PowerRating) | 96 | 64.99 | + 2.20 | 9,398,100 |
| size=2>Panera Bread Co. | size=2> ( PNRA | Quote | Chart | News | PowerRating) | 95 | 56.77 | – 0.32 | 274,400 |
| size=2>PEC Solutions | size=2> ( PECS | Quote | Chart | News | PowerRating) | 98 | 29.85 | – 0.84 | 684,200 |
Stocks Forming a Handle
Integra Lifesciences
(
IART |
Quote |
Chart |
News |
PowerRating) up 4.28% on
below-average volume.
| color=#ffffff size=2>Company Name | color=#ffffff size=2>Symbol | color=#ffffff size=2>12 Month RS | color=#ffffff size=2>Price | color=#ffffff size=2>Price Change | color=#ffffff size=2>Average Volume |
| size=2>Integra Lifesciences | size=2> ( IART | Quote | Chart | News | PowerRating) | size=2>86 | 30.66 | + 1.26 | size=2>297,700 |
Stocks Building A Base
Multimedia Games Inc.
(
MGAM |
Quote |
Chart |
News |
PowerRating), up 0.28% on above-average volume for an accumulation day.
| color=#ffffff size=2>Company Name | color=#ffffff size=2>Symbol | color=#ffffff size=2>12 Month RS | color=#ffffff size=2>Price | color=#ffffff size=2>Price Change | color=#ffffff size=2>Average Volume |
| size=2>Multimedia Games Inc. | size=2> ( MGAM | Quote | Chart | News | PowerRating) | size=2>99 | 35.15 | + 0.10 | size=2>187,400 |
href=”mailto:danielb@tradingmarkets.com”>danielb@tradingmarkets.com