Wednesday’s Top Stocks
Without doubt, Travelzoo
(TZOO) is the winner of the day. It has broken out of a triangle on
extremely heavy volume and finished at a new high. Look at the bullish wide
range bar. Should you buy this stock tomorrow as soon as it trades above today’s
high? If you feel the issue is too much overbought, try to wait for TZOO to test
the prior high.
Diamonds Trust (DIA), in spite of Friday’s bearish bar, managed to gain
0.75%, and Nasdaq-100 Index Tracking Stock (QQQ) formed a directionless
inside bar.
Let’s see three stocks for Wednesday:
Research in Motion (RIMM): The stock gapped up at the open and took out
the August 26 high on heavy volume. Look for a continuation of the upward
momentum. Of course, you can wait for RIMM to re-test the prior high for a
pullback buy entry.
International Paper (IP): The issue finished below the declining 20-day
SMA, and formed a bearish tail. Look for a resumption of the downtrend.
QUALCOMM Inc (QCOM):Â The stock successfully broke out of a trading
range to a new high on heavy volume. we are looking for a continuation of the
upward move, but again, you can wait for QCOM to re-test the top of the trading
range.
Good night and see you tomorrow.
If you have questions, feel free to mail them to me.