Tuesday’s Stock Watch
The broader markets
took it down a notch today,
as dismal news circulated through the world and
financial community. Light volume across the indexes was dominated by a ratio of
over three to one on the Nasdaq, and by only a slight advantage to the Bears on the
NYSE. The number of new 52-week highs lost some steam, though there were only a
handful of new 52-week lows. Today’s selling was targeted for the most part on
the techs. The stocks on our watch list were mixed, with only one distribution day
and one accumulation day. We like to see our stocks stand strong on days when
the price action is down.
The Dow Jones Industrial Average
(
$INDU |
Quote |
Chart |
News |
PowerRating) closed up 0.23% to 9,851.56. The
S&P 500
(
$SPX |
Quote |
Chart |
News |
PowerRating) closed down 0.17% % to
1,138.22. The Nasdaq
(
$COMPQ |
Quote |
Chart |
News |
PowerRating) closed down
1.32% to 1,904.90.
| NYSE | NASDAQ | |
| Advancing Issues | 1,272 |
1,322 |
| Declining Issues | 1,875 |
2,284 |
| Advancing Volume | 503,069,000 |
327,354,000 |
| Declining Volume |
679,594,000 |
1,142,697,000 |
| Total Volume | 1,189,688,000 |
1,486,360,000 |
| New 52-week Highs | 20 | 18 |
| New 52-week Lows | 8 | 1 |
Top sectors:
Pharmaceutical Index (AMEX)
(
$DRG.X |
Quote |
Chart |
News |
PowerRating)
up 0.29% to 398.79
S&P Healthcare Index
(
$HCX.X |
Quote |
Chart |
News |
PowerRating) up 0.27%
to 845.88.
Nasdaq Insurance Index
(
$INSR.X |
Quote |
Chart |
News |
PowerRating)
up 0.20% to 2319.57.
Losing sectors:
Street.com Internet Index
(
$DOT.X |
Quote |
Chart |
News |
PowerRating) down 3.68%
to 178.42.
Networking Index
(
$NWX.X |
Quote |
Chart |
News |
PowerRating) down
3.58% to 316.59.
Biotechnology Index
(
$BTK.X |
Quote |
Chart |
News |
PowerRating) down 3.25% to
585.33.
Sectors With New Highs:
Business Equipment – 1
Business Services – 4
Computer Peripherals – 1
Computer Wholesale – 2
General Building Materials – 3
Medical Appliances and
Equipment – 4
Medical Equipment and Wholesale
– 1
Medical Instruments – 1
Semiconductor Integrated Circuits – 2
Semiconductor Memory Chips – 1
Watch List Action
PEC
Solutions
(
PECS |
Quote |
Chart |
News |
PowerRating) had another good day, up 2.39% on above-average volume for
an accumulation day. Though this company specializes in the Internet, it does so
from the standpoint of a business service company. While the Internet suffered
losses today, business services had four new highs made. With the Internet still
in its developing stages, there is often debate as to exactly how companies
should be classified.
The biggest gainer on our watch list today was Genesis Microchip
(
GNSS |
Quote |
Chart |
News |
PowerRating), up 2.93% on
average volume. This developer of semiconductor integrated circuits was a member
of the new 52-week high list today. The last two quarters of earnings came in at
190% and 0% respectively. Ideally, we like to see consistent and strong earnings,
but we added this to the list for its exceptional potential. Next year’s
earnings are estimated to be 623%.
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.
American Healthways Inc.
(
AMHC |
Quote |
Chart |
News |
PowerRating) up 5.11% on
average volume.
Copart Inc.
(
CPRT |
Quote |
Chart |
News |
PowerRating) down 1.80% on slightly below-average volume.
Ebay
(
EBAY |
Quote |
Chart |
News |
PowerRating) down 1.57% on
half-average volume. Special note on this one: we have added this to the recent
breakout list as it broke a cup-and-handle within 15% of its 52-week high.
Though earnings have tapered off in the last two quarters, this is not a top pick,
though a member of the strong Internet sector.
Krispy Kreme Doughnuts
(
KKD |
Quote |
Chart |
News |
PowerRating) down 0.13% on
below-average volume.
MTR Gaming Group
(
MNTG |
Quote |
Chart |
News |
PowerRating) up 0.81% on average
volume.
Nvidia Corp.
(
NVDA |
Quote |
Chart |
News |
PowerRating)
down 1.51% on below-average volume.
Panera Bread Co.
(
PNRA |
Quote |
Chart |
News |
PowerRating) down 1.94% average
volume for a distribution day.
Company Name |
Symbol |
12 Month RS |
Price |
Price Change |
Average Volume |
| American Healthways Inc. | ( AMHC | Quote | Chart | News | PowerRating) |
99 | 31.95 | – 1.15 | 214,800 |
| Copart Inc. | ( CPRT | Quote | Chart | News | PowerRating) |
94 | 33.66 | – 0.62 | 816,800 |
| Ebay | ( EBAY | Quote | Chart | News | PowerRating) |
92 | 67.00 | – 1.07 | 9,130,800 |
| Genesis Microchip | ( GNSS | Quote | Chart | News | PowerRating) |
99 | 58.60 | + 1.67 | 2,432,300 |
| Krispy Kreme Doughnuts | ( KKD | Quote | Chart | News | PowerRating) |
94 | 37.20 | – 0.05 | 854,000 |
| MTR Gaming Group | ( MNTG | Quote | Chart | News | PowerRating) |
96 | 13.67 | + 0.11 | 304,100 |
| Nvidia Corp. | ( NVDA | Quote | Chart | News | PowerRating) |
96 | 53.81 | – 0.83 | 9,986,100 |
| Panera Bread Co. | ( PNRA | Quote | Chart | News | PowerRating) |
96 | 50.79 | – 1.01 | 320,700 |
| PEC Solutions | ( PECS | Quote | Chart | News | PowerRating) |
99 | 36.85 | + 0.86 | 431,300 |
Stocks Forming a Handle
THQ Inc.
(
THQI |
Quote |
Chart |
News |
PowerRating) up 1.09% on below average volume.
Company Name |
Symbol |
12 Month RS |
Price |
Price Change |
Average Volume |
| THQ Inc. | ( THQI | Quote | Chart | News | PowerRating) |
96 | 57.92 | + 0.63 | 1,500,600 |
Stocks Building A Base
Company Name |
Symbol |
12 Month RS |
Price |
Price Change |
Average Volume |
| None |