Monday’s Top Stocks


Prices in the ETFs broke recent support levels,
as geopolitical sabre rattling
and an employment number that initially “goosed” the market higher was
actually a case of Wall Street saying, “Oops, my bad”. After
further analysis of the released data, and time to sell the gap opening,
analysts apologized for their initial, hasty enthusiasm, and promised to give
back all the proceeds of their early morning trading activities to anyone who
took the other side. The pump and dump sequence in early trade then gave way to
very listless trade on light volume, as traders refrained from placing heavy
bets in front of the weekend, but with the bears obviously in control as the
market closed down for the fourth week in a row.

Here we are, but not for long. Maybe
it will take actual sword play instead of just rattling to kill the last of the
bulls, but don’t count on it. On a closing basis, it looks as if lower prices
are in store for the ETFs, and I don’t think they’re going to wait for anyone.
With the VIX consolidating near recent highs, and the VXN looking like it
actually might break its downtrend line, we have the right ingredients for a
nice downside mix.

Fortunately for us, our focus allows
us to participate in the flow of the day without having to make those
unnecessary calls. All we have to do is be prepared to trade those names from
our lists of High and Low RS stocks, keeping ourselves consistent in trading
methodology, and let others worry about all those pesky daily chart
levels.

Hottest Sectors (HOLDRs):
Regional Banks
(
RKH |
Quote |
Chart |
News |
PowerRating)
and Biotech
(
BBH |
Quote |
Chart |
News |
PowerRating)


Weakest Sectors (HOLDRs): Internet
(
HHH |
Quote |
Chart |
News |
PowerRating)
and Oil Services
(
OIH |
Quote |
Chart |
News |
PowerRating)


Monday’s HELVETICA>stocks to watch:


High

RS issues
closing in Top of Range.

Stocks are scanned from 3 Month RS of 80 or higher
and TM’s Proprietary and Technology 10 Momentum lists on the Indicators page.




class=890430920-15102001>







class=890430920-15102001>







size=2 Helvetica>Name

class=890430920-15102001>Symbol
class=890430920-15102001>Relative
Strength
class=890430920-15102001> size=2 Helvetica>Price class=890430920-15102001>Average
Volume
class=890430920-15102001>Today’s
Volume
Mercury
Interactive

(
MERQ |
Quote |
Chart |
News |
PowerRating)
79 34.08 3,494,000 3,853,000



Weak RS issues closing in
Bottom of Range.

Stocks
are scanned from 3 Month RS of 35 or lower and TM’s Implosion and Technology
Implosion Lists on the Indicators page.



class=890430920-15102001>







class=890430920-15102001>







size=2 Helvetica>Name

class=890430920-15102001>Symbol
class=890430920-15102001>Relative
Strength
class=890430920-15102001> size=2 Helvetica>Price class=890430920-15102001>Average
Volume
class=890430920-15102001>Today’s
Volume
Omnicom
(
OMC |
Quote |
Chart |
News |
PowerRating)
24 56.60 1,547,000 1,708,000

class=890430920-15102001>

High RS issues with Volume
Surge in last hour.

Stocks are scanned from 3 Month
RS of 80 or higher and TM’s Proprietary and Technology 10 Momentum lists on the
Indicators page.


None Today.


Weak RS issues with
Volume Surge in last hour.

Stocks are scanned
from 3 Month RS of 35 or lower and TM’s Implosion and Technology Implosion Lists
on the Indicators page.

























size=2 Helvetica>Name

class=890430920-15102001>Symbol
class=890430920-15102001>Relative
Strength
class=890430920-15102001> size=2 Helvetica>Price class=890430920-15102001>Average
Volume
class=890430920-15102001>Today’s
Volume
Cheesecake
Factory

(
CAKE |
Quote |
Chart |
News |
PowerRating)
24 29.10 830,000 972,000
Toll
Brothers

(
TOL |
Quote |
Chart |
News |
PowerRating)
24 18.60 741,000 1,711,000

Stocks in Slim
Jims


High RS Slim Jims.

class=890430920-15102001>Stocks are
scanned from 3 Month RS of 80 or higher and TM’s Proprietary and Technology 10
Momentum lists on the Indicators page.



None Today.





Weak RS

Slim Jimsclass=890430920-15102001>.

class=890430920-15102001>Stocks
are scanned from 3 Month RS of 35 or lower and TM’s Implosion and Technology
Implosion Lists on the Indicators page.




class=890430920-15102001>







class=890430920-15102001>







class=890430920-15102001>







size=2 Helvetica>Name

class=890430920-15102001>Symbol
class=890430920-15102001>Relative
Strength
class=890430920-15102001> size=2 Helvetica>Price class=890430920-15102001>Average
Volume
class=890430920-15102001>Today’s
Volume
Lifepoint
Hospitals

(
LPNT |
Quote |
Chart |
News |
PowerRating)
9 22.95 764,000 848,000
BB
& T Corp

(
BBT |
Quote |
Chart |
News |
PowerRating)
21 32.22 1,393,000 998,000


class=890430920-15102001>


High RS
Reversal Patterns.


Stocks with 3 Month RS of 80 and / or
Institutional Favorites that are setting up on a closing basis as potential long reversal pattern
candidates. Patterns include 1,2,3s and Slim Jim consolidations. Background
supports in the form of Fibonacci levels, EMAs, and former price supports are
used in the decision making process.




class=890430920-15102001>







class=890430920-15102001>







class=890430920-15102001>







class=890430920-15102001>







class=890430920-15102001>







size=2 Helvetica>Name

class=890430920-15102001>Symbol
class=890430920-15102001>Relative
Strength
class=890430920-15102001> size=2 Helvetica>Price class=890430920-15102001>Average
Volume
class=890430920-15102001>Today’s
Volume
CBRL
(
CBRL |
Quote |
Chart |
News |
PowerRating)
81 29.56 685,000 508,000
Symantec
(
SYMC |
Quote |
Chart |
News |
PowerRating)
74 46.06 3,443,000 2,693,000
Barr
Labs

(
BRL |
Quote |
Chart |
News |
PowerRating)
82 72.25 685,000 1,729,000
New
Century Financial

(
NCEN |
Quote |
Chart |
News |
PowerRating)
80 26.66 792,000 825,000


class=890430920-15102001>Low RS
Reversal Patterns.

Stocks with 3 Month RS of 35 and / or
Institutional Favorites that are setting up on a closing basis as potential
short reversal pattern
candidates. Patterns include 1,2,3s and Slim Jim consolidations. Whenever
possible background evidence of resistance in the form of Fibonacci levels, EMAs, and former price supports are
used in the decision making process.



class=890430920-15102001>
None Today.


class=890430920-15102001>

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, pattern (Slim
Jims
), or last hour volume surges, indicative of follow through in the very near term. Due to the
institutional participation, which can provide additional follow through not
always found in less active issues, the 3 Month RS criteria is more subjective, and quite often less stringent in
evaluating an issues near term prospects. Program trading (which affects many of these
issues) can also be viewed as a potential beneficial factor when stocks listed
below are exhibiting price pattern setups on an intraday and / or daily chart
basis.

Institutional
Favorites































size=2 Helvetica>Name

class=890430920-15102001>Symbol
class=890430920-15102001>Relative
Strength
class=890430920-15102001> size=2 Helvetica>Price class=890430920-15102001>Average
Volume
class=890430920-15102001>Today’s
Volume
Medimmune
(
MEDI |
Quote |
Chart |
News |
PowerRating)
79 29.31 4,587,000 4,118,000
Amgen
(
AMGN |
Quote |
Chart |
News |
PowerRating)
70 52.09 13,329,000 10,540,000
Qualcomm
(
QCOM |
Quote |
Chart |
News |
PowerRating)
57 36.24 12,728,000 11,093,000

class=890430920-15102001>Institutional
Laggards.



class=890430920-15102001>









class=890430920-15102001>









class=890430920-15102001>









class=890430920-15102001>

















size=2 Helvetica>Name

class=890430920-15102001>Symbol
class=890430920-15102001>Relative
Strength
class=890430920-15102001> size=2 Helvetica>Price class=890430920-15102001>Average
Volume
class=890430920-15102001>Today’s
Volume
Cintas
(
CTAS |
Quote |
Chart |
News |
PowerRating)
17 39.38 1,349,000 2,430,000
Freddie
Mac

(
FRE |
Quote |
Chart |
News |
PowerRating)
21 54.80 3,165,000 2,430,000
WalMart
(
WMT |
Quote |
Chart |
News |
PowerRating)
26 46.81 8,180,000 8,193,000
Altria…cough,
cough

(
MO |
Quote |
Chart |
News |
PowerRating)
29 37.62 8,819,000 8,097,000

Best of luck with your trading. Please use
protective stops on trades on all Long Market calls.