Wednesday’s Stock Watch
Bulls clearly
dominated today’s action, as average volume accounted for
accumulation days on the NYSE and Nasdaq. Leading the broad based rally were the
telecoms, networking, and semiconductors, while REITs and gold and silver made
losses. New 52-week highs came in at decent levels, with market breadth
impressively bullish. Stocks on our watch list were mostly up, with one from our
“breakout” list falling off.
Market breadth was positive, with NYSE
advancing issues over declining issues by a ratio of 2.38, and up volume over
down volume by a 6.24 ratio. Nasdaq advancing issues over declining issues came
in at 2.46, and up volume beat down volume by a 7.89 ratio.
The Dow Jones Industrial Average
(
$INDU |
Quote |
Chart |
News |
PowerRating) closed d2.05% at 10301.32. The S&P 500
(
$SPX |
Quote |
Chart |
News |
PowerRating)
closed up 2.31% at 1128.11.
The Nasdaq [$COMPQ |$COMPQ] closed up 3.50% at 1815.17.
Â
2,237
2,551
Issues
940
1,039
1,154,510,000
1,552,908,000
185,094,000
196,938,000
Total
Volume
1,344,782,000
1,761,139,000
Highs
91
73
2
2
Top sectors:
North American Telecoms
Index
(
$XTC.X |
Quote |
Chart |
News |
PowerRating) up 10.23% at
602.96.
GSTI Multimedia Networking
Index
(
$GIP.X |
Quote |
Chart |
News |
PowerRating) up 8.28% to 96.67.
Losing sectors:
Dow Jones Equity REIT Index
(
$DJR.X |
Quote |
Chart |
News |
PowerRating), down 1.82% at
96.72.
Gold and Silver Index
(
$XAU.X |
Quote |
Chart |
News |
PowerRating),
down 0.99% at 68.87.
New 52-Week Highs Consolidations:
Banking – 70
Consumer Non-Durables – 27
Diversified Services – 21
Internet – 21
Electronics – 19
Insurance – 16
Real Estate – 15
Automotive – 14
Retail – 14
Manufacturing – 13
Leisure – 12
Materials and Construction – 11
Media – 10
Specialty Retail – 10
metals and Mining – 9
Computer Software – 8
Consumer Durables – 7
Health Services – 7
Utilities – 7
Wholesale – 7
Financial Services – 6
Food and Beverages – 6
Telecommunications – 6
Aerospace/Defense – 5
Chemicals – 5
Transportation – 4
Drugs – 3
Watch List Action:
Ameristar Casinos
(
ASCA |
Quote |
Chart |
News |
PowerRating) fell 1.73% on below average volume for a
distribution day. At its low today, the stock was over 11% from the high
of its handle. We don’t like to see the price action in the handle drop more
than 10% to 15% from its high, though we will keep this on the lookout
list.
Christopher & Banks Corp
(
CHBS |
Quote |
Chart |
News |
PowerRating) rose 3.72% on low volume as
it claimed a new 52-week high. This is good, but the low volume makes the move
suspect.
Recent Breakouts
size=2>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
3.72%
on low volume.
Group 1 Automotive
(
GPI |
Quote |
Chart |
News |
PowerRating), up 0.09% on
below average volume for an accumulation day.
size=2>Multimedia Games Inc.
(
MGAM |
Quote |
Chart |
News |
PowerRating), down 25.49% on over 11 times
average volume. This one came under fire after difficulties with classification
for its casino machines came under srutiny. It’s coming off the list.
size=2>Panera Bread Co
(
PNRA |
Quote |
Chart |
News |
PowerRating), up 1.81% on
below-average volume.
| color=#ffffff size=2>Company Name | color=#ffffff size=2>Symbol | color=#ffffff size=2>12 Month RS | color=#ffffff size=2>Price | color=#ffffff size=2>Price Change | color=#ffffff size=2>Average Volume | Pivot | 52-Week High |
Christopher & Banks | ( CHBS | Quote | Chart | News | PowerRating) | 90 | 39 | + 1.40 | 570,700 | 33.60 | 38.69 |
Group 1 Automotive | ( GPI | Quote | Chart | News | PowerRating) | 94 | 41.98 | + 0.04 | 323,500 | 38.19 | 43.69 |
size=2>Multimedia Games Inc. | size=2> ( MGAM | Quote | Chart | News | PowerRating) | 98 | 26.24 | – 8.98 | 364,900 | 30.91 | 37.05 |
size=2>Panera Bread Co | size=2> ( PNRA | Quote | Chart | News | PowerRating) | 94 | 68.96 | + 1.23 | 465,500 | 66.23 | 69.70 |
Stocks Forming a Handle
Ameristar Casninos
(
ASCA |
Quote |
Chart |
News |
PowerRating), down 1.77% on
average volume for its second distribution day in a row.
Krispy Kreme Doughnuts
(
KKD |
Quote |
Chart |
News |
PowerRating), down 2.95% on
below average volume for a distribution day.
| color=#ffffff size=2>Company Name | color=#ffffff size=2>Symbol | color=#ffffff size=2>12 Month RS | color=#ffffff size=2>Price | color=#ffffff size=2>Price Change | color=#ffffff size=2>Average Volume | Pivot |
Ameristar Casninos | ( ASCA | Quote | Chart | News | PowerRating) | 96 | 28.20 | – 0.51 | 171,000 | 30.90 |
Krispy Kreme Doughnuts | ( KKD | Quote | Chart | News | PowerRating) | 77 | 39.42 | – 1.20 | 628,100 | 44.12 |
Stocks Building A Base
Beazer Homes
(
BZH |
Quote |
Chart |
News |
PowerRating), down 0.12% on average
volume.
| color=#ffffff size=2>Company Name | color=#ffffff size=2>Symbol | color=#ffffff size=2>12 Month RS | color=#ffffff size=2>Price | color=#ffffff size=2>Price Change | color=#ffffff size=2>Average Volume |
Beazer Homes | ( BZH | Quote | Chart | News | PowerRating) | 86 | 79.65 | – 0.10 | 538,900 |
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href=”mailto:danielb@tradingmarkets.com”>danielb@tradingmarkets.com
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