Wednesday’s Top Stocks From TradingMarkets

October 12, 2004
Tsutae Kamada

Airline Index ($XAL.X)
formed a mildly bullish bar above a support line. I am not looking
for a big rally, but it may be moving back to the declining 50-day MA. Look at
two charts from the sector. Northwest Airlines (NWAC) also shaped a
hammer on heavy volume, and AMR Corp (AMR) appears to be forming a double
bottom. Again, I’m not looking for a major rally, but a pullback.

Nasdaq-100 Index Tracking Stock (QQQ) closed just below the 200-day MA.
On the other hand, Diamonds Trust (DIA) finished slightly below the
50-day MA.

Let’s look at three stocks for Wednesday:

America Movil SA (AMX): The stock tested the prior high, and it
re-crossed above the 20-day MA. We are looking for a resumption of the uptrend.

Premcor (PCO): The issue formed a doji bar just above a rising trendline
after pulling back from the October 7 high. It may be ready to resume its
uptrend.