Here Are Wednesday’s Names…
The
markets sold off in Tuesday’s trading session as more
cases of anthrax hit the nation and the consumer confidence number hit its lowest level
in more than
seven years. In addition, the threat of more terrorist attacks also added
pressure on the markets.
The broader markets all
closed lower. The Nasdaq Composite closed off by 1.89% and below its 50-day moving average, and putting in
another distribution day. That is 4 distribution days in the last 16 trading
sessions (if we counted correctly) for the Naz. It appears the bear is showing some signs of resurging
once again.
The best thing we can do
at this point is to continue to monitor the markets and be patient.
Watch the stocks on the watch
list, THQ Inc
(
THQI |
Quote |
Chart |
News |
PowerRating) came close to failing as it tested support at its 50-day moving
average only to close above it for the session. THQI fell on higher volume,
which is worrisome as it has experienced 4 distribution days in the last 11
sessions.
Stocks Breaking
out on High Volume with a Relative Strength of 80 or Better:
| Company Name |
Symbol | Relative Strength |
Price | Average Volume |
Today’s Volume |
| NONE |
Stocks Building
A Base With A Minimum Relative Strength of 80.
| Company Name |
Symbol | Relative Strength |
Price | Average Volume |
Today’s Volume |
| Krispy Kreme Doughnuts |
( KKD | Quote | Chart | News | PowerRating) |
93 | 35.03 | 901,800 | 303,100 |
| PEC Solutions | ( PECS | Quote | Chart | News | PowerRating) |
95 | 23.91 | 293.300 | 102,700 |
| THQI Inc. | ( THQI | Quote | Chart | News | PowerRating) |
93 | 48.90 | 1,193,000 | 1,269,000 |
Stocks forming a
Handle
| Company Name |
Symbol | Relative Strength |
Price | Average Volume |
Today’s Volume |
| Taro Pharmaceutical |
( TARO | Quote | Chart | News | PowerRating) |
98 | 42.53 | 712,100 | 292,700 |
| Independence Community Bank |
( ICBC | Quote | Chart | News | PowerRating) |
88 | 24.10 | 588,000 | 352,200 |
Sectors in the green were scarce once
again, the Gold and Silver Index
(
$XAU.X |
Quote |
Chart |
News |
PowerRating) closed higher 2.8%.
Losing ground was the Oil Services
Index
(
$OSX.X |
Quote |
Chart |
News |
PowerRating) falling 5.2%.
The Semiconductor Index
(
$SOX.X |
Quote |
Chart |
News |
PowerRating)
slid 3.9%
And the Interactive Week Internet
Index
(
$IIX.X |
Quote |
Chart |
News |
PowerRating) fell 3.1%.
Remember that all securities are
risky. In any trade, you should always reduce your risk by adjusting position
size and placing open protective stops where you will sell your long or
cover your short in case the market turns against you. For an introduction to
combining price stops with position sizing, see our lesson, Risky
Business.