Friday’s Top Stocks From TradingMarkets
Although crude oil was nearing 55,
airline was today’s top performing sector. It could be only a
short-covering rally, but $XAL.X (Airline Index) is pulling back toward
its 50-day MA. Notice, the 14-period RSI is positively diverging.
Diamonds Trust (DIA) formed a bullish long tail again. But as you can
see, a short-term declining trendline is still intact. It tried, but
Nasdaq-100 Index Tracking Stock (QQQ) could not finish above a resistance
line. Volume was heavy for both issues.
Let’s look at three stocks for Friday:
PeopleSoft (PSFT): The stock looks ready for a recovery rally. PSFT
tested a support line and closed near the day’s high. Long above today’s high
(20.50), and the initial target is around 21.70. A stop can be placed just below
today’s low (19.76).
Marvell Technology Group (MRVL): The issue is challenging a resistance
line. A buy can be placed above 30, and we are looking for around 32. Risk 1
point or place a stop just below the 20-day MA.
Medicines Company (MDCO): The stock failed to take out the 50-day MA.
Short below today’s low (24.65), and our target is the October 14 low (22.27).
Also consider taking a partial profit at the 20-day MA. Set a stop just above
today’s high (25.34).
Good night!
If you have questions, feel free to mail them to me.
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