Wednesday’s Stock Watch
The broader
markets closed mixed on the heels of the Federal Reserve’s
announcement of a 25-basis-point rate cut. Overall, volume was average, marking
distribution on the Dow and S&P 500, and accumulation on the Nasdaq. Market
breadth was mixed, with NYSE declining issues and volume having a slight edge
over upward indicators; and Nasdaq advancing volume commanding a 2:1
dominance to declining volume, with advancing issues slightly over declining
issues. Overall, our watch list was mixed, though there were some nice gains
made on the “Recent Breakout” list.
The Dow Jones Industrial Average
(
$INDU |
Quote |
Chart |
News |
PowerRating) closed down
0.33% to
9,888.37. The S&P 500
(
$SPX |
Quote |
Chart |
News |
PowerRating)
closed down
0.28% to
1,136.72.
The Nasdaq [$COMPQ |$COMPQ] closed up
0.49% to
2,001.92.
| NYSE | NASDAQ | |
| Advancing Issues | 1,556 |
1,950 |
| Declining Issues | 1,571 |
1,705 |
| Advancing Volume | 553,581,000 |
1,370,831,000 |
| Declining Volume |
756,142,000 |
564,094,000 |
| Total Volume | 1,342,295,000 |
1,954,630,000 |
| New 52-week Highs | 17 | 35 |
| New 52-week Lows | 16 | 3 |
Top sectors:
CBOE Internet Index
(
$INX.X |
Quote |
Chart |
News |
PowerRating), up 4.56% to
145.65.
GSTI Software Index
(
$GIN.X |
Quote |
Chart |
News |
PowerRating), up 1.37% to
185.47.
Losing sectors:
Utility Sector Index
(
$UTY.X |
Quote |
Chart |
News |
PowerRating), down
2.46% at 306.01.
Computer Hardware Index
(
$HWI.X |
Quote |
Chart |
News |
PowerRating), down
2.32% to 164.72.
Sectors With New Highs:
Business Equipment — 1
Business Services — 3
Business Software and Services — 1
General Building Materials — 1
General Contractors — 2
Medical Appliances and Equipment — 2
Medical Instruments and Supplies — 2
Restaurants — 4
Watch List Action
PEC
Solutions
(
PECS |
Quote |
Chart |
News |
PowerRating) reared its head today with a 4.45% gain on over two times
average volume. The chart pattern has now formed a channel line with its uptrend
still intact.
Cholestech Corp.
(
CTEC |
Quote |
Chart |
News |
PowerRating) was recently added to our “Building a Base” list
for being in an ascending base. The stock was our worst performer on the day
with a loss of 5.46% on slightly below-average volume. With the ascending base
formation, we watch for a breakout above the upper trendline on heavy volume.
Unfortunately, this stock is currently challenging its lower trendline, which, if
violated, would remove it from our list. With an RS of 99 and last-quarter
earnings 999% greater than the previous year’s, this easily met our
qualifications for a potential winner.
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 1.36% on
over two times average volume.
Copart Inc.
(
CPRT |
Quote |
Chart |
News |
PowerRating), up 0.52% on below-average volume.
eBay
(
EBAY |
Quote |
Chart |
News |
PowerRating), up 4.62% on
average volume for an accumulation day.
Genesis Microchip
(
GNSS |
Quote |
Chart |
News |
PowerRating), up 3.93% on
average volume.
MTR Gaming Group
(
MNTG |
Quote |
Chart |
News |
PowerRating), up 1.70% on
average
volume for an accumulation day.
Nvidia Corp.
(
NVDA |
Quote |
Chart |
News |
PowerRating), up 3.58% on below-average volume.
Panera Bread Co.
(
PNRA |
Quote |
Chart |
News |
PowerRating), up 1.58% on below-average
volume.
THQ Inc.
(
THQI |
Quote |
Chart |
News |
PowerRating), up 3.46% on twice average
volume.
Company Name |
Symbol |
12 Month RS |
Price |
Price Change |
Average Volume |
| American Healthways Inc. | ( AMHC | Quote | Chart | News | PowerRating) |
99 | 36.50 | + 0.49 | 228,300 |
| Copart Inc. | ( CPRT | Quote | Chart | News | PowerRating) |
94 | 34.75 | + 0.18 | 296,100 |
| eBay | ( EBAY | Quote | Chart | News | PowerRating) |
93 | 70.10 | + 3.10 | 9,042,100 |
| Genesis Microchip | ( GNSS | Quote | Chart | News | PowerRating) |
99 | 63.89 | + 2.42 | 2,627,300 |
| Krispy Kreme Doughnuts | ( KKD | Quote | Chart | News | PowerRating) |
93 | 38.86 | + 0.16 | 874,200 |
| MTR Gaming Group | ( MNTG | Quote | Chart | News | PowerRating) |
94 | 13.10 | + 0.22 | 334,400 |
| Nvidia Corp. | ( NVDA | Quote | Chart | News | PowerRating) |
97 | 62.72 | + 2.17 | 10,451,700 |
| Panera Bread Co. | ( PNRA | Quote | Chart | News | PowerRating) |
95 | 50.78 | + 0.79 | 305,900 |
| PEC Solutions | ( PECS | Quote | Chart | News | PowerRating) |
99 | 35.41 | + 1.51 | 482,400 |
| THQ Inc. | ( THQI | Quote | Chart | News | PowerRating) |
94 | 57.98 | + 1.94 | 1,594,300 |
Stocks Forming a Handle
BioReliance Corp.
(
BREL |
Quote |
Chart |
News |
PowerRating), up 0.53% on
below-average volume.
Career Education Corp.
(
CECO |
Quote |
Chart |
News |
PowerRating), down 1% on
below-average volume for a distribution day.
Direct Focus Inc.
(
DFXI |
Quote |
Chart |
News |
PowerRating), down 6.07% on
above-average volume.
Integra LifeSciences
(
IART |
Quote |
Chart |
News |
PowerRating), down 0.58% on
average volume for a distribution day.
Krispy Kreme Doughnuts
(
KKD |
Quote |
Chart |
News |
PowerRating), up 0.41% on
half its average volume.
Company Name |
Symbol |
12 Month RS |
Price |
Price Change |
Average Volume |
| BioReliance Corp. | ( BREL | Quote | Chart | News | PowerRating) |
99 | 31.77 | + 0.17 | 285,900 |
| Career Education Corp. | ( CECO | Quote | Chart | News | PowerRating) |
91 | 33.64 | – 0.34 | 836,600 |
| Direct Focus Inc. | ( DFXI | Quote | Chart | News | PowerRating) |
89 | 29.55 | – 1.91 | 644,300 |
| Integra Lifesciences | ( IART | Quote | Chart | News | PowerRating) |
93 | 27.09 | – 0.16 | 331,700 |
| Krispy Kreme Doughnuts | ( KKD | Quote | Chart | News | PowerRating) |
94 | 38.86 | + 0.16 | 876,600 |
Stocks Building A Base
Company Name |
Symbol |
12 Month RS |
Price |
Price Change |
Average Volume |
| Cholestech Corp. | ( CTEC | Quote | Chart | News | PowerRating) |
99 | 22.29 | – 1.29 | 370,100 |