Wednesday’s Top Stocks From TradersWire

  • February 8, 2005
  • Tsutae Kamada

Although it gained 0.23%
for the day, the Nasdaq-100 Index formed a mildly bearish tail at the
38.2% retracement level. It looks like the index needs to test the lower
boundary of a flag again. Diamonds Trust (DIA) gave us another
directionless session. It formed a narrow range bar on less than its daily
average volume.

Now. four stocks for Wednesday:

Genzyme Corp (GENZ): The stock failed to take out the January 18 high and
closed poorly. It may be forming a top. Short GENZ if it slips below 60.43. We
are looking for a test of the rising trendline (near 59). Risk 0.5.

Google Inc (GOOG): The issue formed a narrow range bar at the 50%
retracement level after pulling back from the February 2 high. Long GOOG if it
takes out 200.03. The initial target is Monday’s high (206.40). Risk one point.

Silicon Laboratories (SLAB): It tried, but the stock could not break
above a resistance line. Short SLAB if it trades below 34.90. Target is the
50-day MA (near 33). Risk 0.5-0.75.

United Parcel Service (UPS): The issue appears to be forming a 1-2-3
bottom. Long UPS if it moves above 74.15. The initial target is the February 2
high (75.48). Risk 0.5. 

T.Kamada

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