|
|
trade stock, stock recommendation
Begin part 3 of 3
THE PLAYS:
Upside: Friday is not our favorite buying day, but there are still many stocks at good buy points, and whichever way the jobs report comes out they can give us good upside potential.
Play Date: 06/04/2009
BHI (Baker Hughes--$40.07; +1.13; optionable): Oil field services
http://biz.yahoo.com/p/b/bhi.html
After Hours: $40.07
EARNINGS: 04/29/2009
STATUS: Test breakout. That familiar pattern that has developed, the 6 month range, a modest breakout, and then a 4 week May base and early June breakout. Testing that move now after gapping over the 200 day SMA (38.92) and then testing it Tuesday through Thursday. Started back up off the test Thursday though not the same upside volume seen on the breakout. No problems; just want to see trade raise as BHI continues the move. Had plenty of room to move upside to the gap lower in October, and that is our initial target.
Volume: 3.535M Avg Volume: 4.973M
BUY POINT: $40.32 Volume=6M Target=$48.95 Stop=$37.68
POSITION: BIJ JH - Oct. $40c (56 delta) &/or Stock
http://www.investmenthouse.com/ci/bhi.html
Play Date: 06/04/2009
DE (Deere & Co.--$46.42; +1.69; optionable): Farm and construction machinery
http://biz.yahoo.com/p/d/de.html
After Hours: $46.42
EARNINGS: 08/19/2009
STATUS: Double bottom w/handle. This neat little pattern has formed the past five weeks, consolidating the run off the March low that took DE just over the January high. It gave up that move and formed this base, holding the February peak as support. Came off the 10 day EMA (44.59) test from Wednesday, bouncing Thursday. Looking for some more upside and a bit more volume to give us the buy.
Volume: 4.179M Avg Volume: 6.224M
BUY POINT: $46.84 Volume=6.5M Target=$55.89 Stop=$43.56
POSITION: DGV II - Sept. $45c (58 delta) &/or Stock
http://www.investmenthouse.com/ci/de.html
Play Date: 06/04/2009
MEOH (Methanex--$12.52; +0.49; optionable): Chemicals
http://biz.yahoo.com/p/m/meoh.html
After Hours: $12.19
EARNINGS: 07/28/2009
STATUS: Cup w/handle. Similar to other stocks in the commodities, ag, industrial sectors, MEOH has formed a short 5 week base that has consolidated the March to May run. MEOH broke out from a larger 4 month Cup w/handle base in late May, surging nicely. It then formed this base with the rest of the market. Great volume to end May as it jumped and now a nice low volume test. Like how it gapped over the 200 day SMA (12.18) to start the month and after a quick one-day test below that level, bounced right back up.
Volume: 307.603K Avg Volume: 710.495K
BUY POINT: $12.84 Volume=875K Target=$15.45 Stop=$11.78
POSITION: QPN JV - Oct. $12.50c (58 delta) &/or Stock
http://www.investmenthouse.com/ci/meoh.html
Play Date: 06/04/2009
WFC (Wells Fargo--$25.10; +0.97; optionable): Banks
http://biz.yahoo.com/p/w/wfc.html
After Hours: $25.05
EARNINGS: 04/22/2009
STATUS: Pennant. Financials consolidated a bit longer than some of the early leaders on this last move, but they set up some decent bases in the process. WFC jumped over the 200 day SMA (24.30) the first week of May then traded lower but always holding over that key level. The range has tightened up considerably and WFC is in a prime position to make the break higher. Want to see it break through the top of the pennant downward sloping trendline.
Volume: 75.248M Avg Volume: 167.892M
BUY POINT: $25.66 Volume=200M Target=$29.95 Stop=$23.63
POSITION: FHU JY - Oct. $25c (57 delta) &/or Stock
http://www.investmenthouse.com/ci/wfc.html
New buy point on a current position:
Play Date: 06/04/2009
SIGM (Sigma Designs--$15.37; -0.02; optionable): Semiconductors
http://biz.yahoo.com/p/s/sigm.html
EARNINGS: 05/27/2009
STATUS: Breakout test. SIGM is testing the strong move it gave us through the end of May after breaking higher from a 10 week triangle. It has come back to sit on top of the March closing high and the 18 day EMA (15). SIGM has moved laterally for a week and now the range is tightening again; that often precedes a new break. Being patient and watching for SIGM to break higher and hold the move into the close to signal the buy.
Volume: 480.761K Avg Volume: 725.288K
BUY POINT: $15.91 Volume=975K Target=$19.72 Stop=$14.84
POSITION: MQN JC - Oct. $15c (57 delta) &/or Stock
http://www.investmenthouse.com/ci/sigm.html
Good Investing!
Jon L. Johnson and your IH Alerts Team
All of the foregoing is commentary for informational purposes only. All statements and expressions are the opinion of Online Investment Services, LP. or its paid consultants and are not meant to be a solicitation or recommendation to buy, sell, or hold securities. We are not licensed or registered in the securities industry. The information presented herein and on our related web site has been obtained from sources believed to be reliable, but its accuracy is not guaranteed. The security portfolio of Partners in Online Investment Services, LP. or its paid consultants may, in some instances, include securities mentioned herein and on our web site. Estimates, assumptions and other forward-looking information are subject to the limits of forecasting. Actual future developments may differ materially due to many factors.
|
trade stock
stock recommendation
|
