Thursday’s Stock Watch

  • May 1, 2002
  • TradingMarkets Editors

The
markets were mixed as the Dow and S&P 500 closed positive, color=”#000000″ size=”2″ face=”Arial”>and the Nasdaq down with
distribution. Gold and Silver, oil service, and healthcare were
the biggest gainers, with Internet, computer hardware, and
software leading the losers. New 52-week highs were in abundance,
with the lows list quiet. After yesterday’s impressive high
volume rally, we will look for follow through beginning this
Friday as an indication of institutional support. Stocks on our
watch list advanced nicely.

Market breadth was
mixed, with NYSE advancing issues over declining issues by a
ratio of 1.57, and up volume over down volume by a 2.57 ratio.
Nasdaq declining issues over advancing issues came in at 1.12,
and down volume beat up volume by a 2.28 ratio.

The Dow
Jones Industrial Average
(
$INDU |
Quote |
Chart |
News |
PowerRating) closed up 1.14% at
10059.63. The S&P 500
(
$SPX |
Quote |
Chart |
News |
PowerRating) closed up 0.88% at
1086.46. The Nasdaq [$COMPQ |$COMPQ] closed down 0.63% at
1677.53.

src=”https://tradingmarkets.com/media/2001/db/IT-05-1-1.gif”
width=”454″ height=”393″>

bordercolor=”#111111″ style=”BORDER-COLLAPSE: collapse”
height=”202″>


face=”Arial”>  face=”Arial”>NYSE face=”Arial”>NASDAQ
face=”Arial”>Advancing Issues face=”Arial, Helvetica”>1,906 face=”Arial, Helvetica”>1,657
face=”Arial”>Declining Issues face=”Arial, Helvetica”>1,214 face=”Arial, Helvetica”>1,856
face=”Arial”>Advancing Volume face=”Arial, Helvetica”>1,023,628,000 face=”Arial, Helvetica”>652,686,000
face=”Arial”>Declining Volume face=”Arial, Helvetica”>397,877,000 face=”Arial, Helvetica”>1,488,958,000
face=”Arial”>Total Volume face=”Arial, Helvetica”>1,441,657,000 face=”Arial, Helvetica”>2,167,037,000
face=”Arial”>New 52-week Highs face=”Arial, Helvetica”>89 face=”Arial, Helvetica”>33
face=”Arial”>New 52-week Lows face=”Arial, Helvetica”>3 face=”Arial, Helvetica”>12

Top sectors:

Gold and Silver Indexsize=”2″ face=”arial”>
(
$XAU.X |
Quote |
Chart |
News |
PowerRating)size=”2″ face=”Arial”>, up 3.23% at 76.35, and the

Oil Service Sector
Index
(
$OSX.X |
Quote |
Chart |
News |
PowerRating), up 2.21% at 108.41.

Losing sectors:

face=”Arial”> Dow Jones Internet Commerceface=”arial”> Indexsize=”2″ face=”arial”>
(
$ECM.X |
Quote |
Chart |
News |
PowerRating) size=”2″ face=”Arial”>down 3.51% at 48.35,face=”arial”> and the size=”2″ face=”arial”>

face=”Arial”> GSTI Softwaresize=”2″ face=”Arial”> Indexsize=”2″ face=”Arial”>
(
$GSO.X |
Quote |
Chart |
News |
PowerRating) down 2.32% at 129.18.size=”2″ face=”arial”>

Sectors with Most New 52-Week
Highs:

Banking – 52

Diversified Services
– 16

Food and Beverage –
14

Insurance – 13

Consumer Non-Durables
– 12

Retail – 10

Watch List Action:

Beazer Homes
(
BZH |
Quote |
Chart |
News |
PowerRating) advanced
3.25% on average volume for an accumulation day. This one is
positioned to breakout, though the handle formation lacks the
slope down desired to see “weak hands” shaken out.
Buying the breakout on this one means risking your capital in a
shaky market.

src=”https://tradingmarkets.com/media/2001/db/IT-05-1-2.gif”
width=”443″ height=”404″>

Group 1 Automotive
(
GPI |
Quote |
Chart |
News |
PowerRating) had an awesome day as it gained 6.18% on slightly above
average volume for an accumulation day. The stock also hit a new
52-week high.

src=”https://tradingmarkets.com/media/2001/db/IT-05-1-3.gif”
width=”443″ height=”404″>

Recent Breakouts

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.

Christopher & Banks
Corporation
(
CHBS |
Quote |
Chart |
News |
PowerRating), up 0.07% on low-volume.

Group 1 Automotive
(
GPI |
Quote |
Chart |
News |
PowerRating), up
6.18% on slightly above-average volume for its second
accumulation day in a row.

Panera Bread Co
(
PNRA |
Quote |
Chart |
News |
PowerRating), up
2.95% on above-average volume for its second accumulation day in
a row.


height=”46″>Company
Name		 height=”46″>Symbol height=”46″>12
Month RS		 height=”46″>Price height=”46″>Price
Change		 height=”46″>Average
Volume		 height=”46″>Pivot height=”46″>52-Week
High
height=”26″>Christopher &
Banks 		height=”26″>
(
CHBS |
Quote |
Chart |
News |
PowerRating)		 height=”26″>89 height=”26″>37.24 height=”26″>+ 0.07 height=”26″>515,300 height=”26″>33.60 height=”26″>39.25
height=”16″>Group 1
Automotive		 height=”16″>
(
GPI |
Quote |
Chart |
News |
PowerRating)		 height=”16″>95 height=”16″>46.55 height=”16″>+ 2.71 height=”16″>303,900 height=”16″>42.23 height=”16″>46.72
height=”2″>Panera Bread Co height=”2″>
(
PNRA |
Quote |
Chart |
News |
PowerRating)		 height=”2″>92 height=”2″>69.05 height=”2″>+ 1.98 height=”2″>395,200 height=”2″>66.74 height=”2″>– 0.82

Stocks Forming a Handle

Beazer Homes
(
BZH |
Quote |
Chart |
News |
PowerRating), up 3.25%
on average volume for an accumulation day.


height=”10″>Company
Name		 height=”10″>Symbol height=”10″>12
Month RS		 height=”10″>Price height=”10″>Price
Change		 height=”10″>Average
Volume		 height=”10″>Pivot
height=”16″>Beazer Homes height=”16″>
(
BZH |
Quote |
Chart |
News |
PowerRating)		 height=”16″>86 height=”16″>91.40 height=”16″>+ 2.88 height=”16″>581,100 height=”16″>91.45

Stocks Building A Base


height=”41″>Company
Name		 height=”41″>Symbol height=”41″>12
Month RS		 height=”41″>Price height=”41″>Price
Change		 height=”41″>Average
Volume
height=”39″>None height=”39″>  height=”39″>  height=”39″>  height=”39″>  height=”39″> 

face=”Arial”>danielb@tradingmarkets.com

If you are new to the
“IT” strategy, be sure to take a look at our href=”https://tradingmarkets.comcontent/courses/gkkm_course/”>size=”2″ face=”Arial”>intermediate-term online trading coursesize=”2″ face=”Arial”>.