Thursday’s Top Stocks
Only Gold and Oil looked
good. Many traders were prepared for a resumption of the downtrend,
but the late afternoon rally gave a pleasant surprise to market participants.
Diamonds Trust (DIA) closed above the 200-Day EMA, and the RSI indicator
took out the descending trendline. Nasdaq-100 Index Tracking Stock (QQQ)
does not look as bullish as DIA, but it has formed a doji bar.
Let’s look at three stocks for tomorrow:
PalmOne Inc (PLMO): The stock is breaking out of a bull flag on the daily
chart, and looks ready to challenge the July 21 high. Trading volume was about
its daily average. Watch out for a sudden reversal.
Black&Decker (BDK): After gapping higher on July 19, the issue has been
trading in a narrow range. Look for a breakout.
Eli Lilly (LLY): On its 60-minute chart, LLY is forming a double bottom.
If the issue clears the gap zone, this is a buy signal.
Good night and see you tomorrow.
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