Monday’s Top Stocks From TradersWire
Let’s look at the weekly
charts of the Dow Jones Industrial Average and Nasdaq Composite
Index. It was another disappointing weak for buyers, but each index managed to
hold above the 50% retracement level. Notice the 12-period momentum indicator is
beginning to improve. We may see a minor recovery rally soon.
Countrywide Financial (CFC) hit our sell price shortly before 11:00 AM,
and finished at the lowest level of the day on heavy volume. We took a partial
profit just before the close and adjusted our stop price to breakeven.
Now, four stocks for Monday:
Panera Bread Company (PNRA): The issue closed at the confluence of the
20-day EMA (exponential moving average) and 50% retracement level after pulling
back from the March 28 high. Long PNRA if it takes out 57. Target is 59. Risk
0.5-0.75.
InterActive Corp (IACI): The stock failed to close above its resistance
level and closed poorly. Short IACI if it moves below 22.10. We are looking for
21. Risk 0.35-0.5.
New Century Financial (NEW): The issue could not take out the 38.2%
retracement level and closed just below a declining trendline. Short NEW if it
slips below 46.19. Target is near 44. Risk 0.5-0.75.
Community Health (CYH): The stock appears ready to break out of a 3-day
trading range. Long CYH if it trades above 35.25. Target is the March 29 high
(36.33). Risk 0.35.
T.Kamada
If you have questions, feel free to
mail them to me.