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Begin Part 4 of 4

POST SPLITS REMAINING PLAYS:

BAX (Baxter International--$52.15; -0.65; optionable): Health Services. Split 2:1 effective 5-30-01.
http://biz.yahoo.com/p/b/bax.html
STATUS: BAX made a great run post-split, and could be readying for yet another move. The stock hit a high of 54.50 last week, but after pulling back off of that level its has shown a second consecutive doji, holding over its 10 day MVA (51.86). At its intraday low of 51.60 it tapped its up trendline (connecting April-May lows), and from here we will see if it can make a move back up toward its high. We will use care with stops on a move up, but on this move the stock could hit up to 58.
PLAY: A bounce up from here on continued strong volume (up to 3.37 million today; average 1.6 million), with stock and/or August $50 calls to buy (BAX HJ).

BRCD (Brocade--$38.31; +2.27; optionable (UBF): Telecom
http://biz.yahoo.com/p/b/brcd.html
STATUS: Fell back below its recent rolling range last week, and now is doing the same thing below a confluence of resistance (10 day at 38.89, 50 day at 41). The stock continued a drop back Monday, rebounding today to close back up under the 10 day. We will have to see the stock make it past the 50 day for an interest in positions to the upside, but on a drop we could see some strong selling back below its recent lows, and we will still be looking at a put play. We would target 30 initially.
PLAY: Aggressive: In a weak Nasdaq, a drop below 34.34 on increased volume near the average (15.4 million; today up to 13.6 million), with August $50 puts to buy (UBF TJ). In this market we will carefully be ready for a bounce back.

CAKE (Cheesecake Factory--$24.89; -1.03; optionable): Restaurant. Splits 3:2 effective 6-19-01.
http://biz.yahoo.com/p/c/cake.html
STATUS: After blasting up last Thursday to close just under its early May high at 26.80, CAKE has dropped hard, today pulling all the way back to its 10 day MVA. Volume was up and strong (745,200; average 401,000), so the selling might not be over. However, there is some near support at the 50 day MVA (24.33) and its recent pre-split consolidation in the 24 range, so there is not enough room for a put play yet, and we could get a relief bounce after this sharp drop.
PLAY: A move below 24 on continued strong volume, with August $26.63 puts to buy (OCF TY). We would look at 22 as an initial target.

EMLX (Emulex--$33.56; +1.45; optionable (UMQ): Computer Hardware: Peripherals
http://biz.yahoo.com/p/e/emlx.html
STATUS: EMLX is struggling below resistance in the form of several moving averages, gapping down today but recovering to close just under the 10 day MVA (33.35), where the stock showed consecutive dojis the last three sessions. It has been holding 30 at its lows, so we will see if, in a weak market, the stock makes a move back below the 30 level. Our initial target will be in the 25-27 range.
PLAY: In a weak market, a drop back below 30 on average or better volume (up to 4.5 million today; average 6.3 million), with August $40 puts to buy (UMQ TH).

ESRX (Express Scripts--$53.06; +1.96; optionable): Split 2:1 effective on or about June 25.
http://biz.yahoo.com/p/e/esrx.html
STATUS: ESRX made a great run into the split, and showed a bit of weakness the last few sessions, selling back below its 18 day MVA (42.73). We expected a bounce back up to test the 18 day, and in fact the stock jumped back up and closed at the 10 day. We will continue to watch for weakness, looking for this move to give way to selling back again, looking for ESRX to test its 50 day MVA, at 48.83.
PLAY: A drop back below the 18 day MVA on increased volume (down to 851,000 today; average 659,000), with August $60 puts to buy (XTQ TL - check broker for deltas, prices etc.).

FIC (Fair Isaac--$56.10; +0.74; no options): Split 3:2 effective June 5.
http://biz.yahoo.com/p/f/fic.html
STATUS: Business services. The stock has made a great run for us since breaking out from a cup with handle in January back in the 35 range. After a couple of more patterns, the stock is now making steady progress up its short-term MVA's (54.03 and 53.11, respectively), breaking from a small ascending wedge Monday. It continued up today, hitting a new high of 56. 57 intraday. Volume dipped back below average on the move today (109,300; average 96,600), and it could test the 10 day before another move up. With any positions we will use care with stops as it has made quite a big run. Still shows strong money flow and buying, with relative strength breaking out.
PLAY: Aggressive: A move up after a test of the 10 day MVA, looking for increased volume on the move up, with stock.

JNJ (Johnson&Johnson--$51.11; -0.49; optionable): Drugs. Split 2:1 June 12.
http://biz.yahoo.com/p/j/jnj.html
STATUS: Has dipped back steadily the past week from its high of 54.20, gapping back steadily. It has shown some promise, Monday showing a doji over the 18 day MVA (51.41), but the stock dipped back again today, showing a doji on its up trendline (connecting March and May closing lows), tapping its 10 day MVA (51.86) at its high. We will see if it can make a move from here, but will need to see a strong bounce, and will be carefully protecting positions.
PLAY: Aggressive: A move over 52 on increased volume (down to 9.3 million; average 9 million), with stock and/or October $50 calls to buy (JNJ JJ). Stop: 48.36 (50 day MVA at 49.82).

LH (Laboratory Corp--$74.96; -0.54; optionable): Health Services. Split 2:1 June 11.
http://biz.yahoo.com/p/l/lh.html
STATUS: Has been trying to hold on post-split, holding over its 18 day MVA (76.56) until Monday. Today it tapped back to the 50 day (73) before recovering back up to close with a doji. Off of the doji we will see if it can bounce, looking for it to take out its recent high in the post-split consolidation, at 80.90.
PLAY: Aggressive: A bounce back over 81 (recent pre-split high at 82.50) on increased volume (451,300 Monday; 478,700), with stock and/or August $75 calls to buy (LH HO).

LNCR (Lincare Holdings--$31.30; -0.06; optionable): Health Services. Split 2:1 effective 6-25-01.
http://biz.yahoo.com/p/l/lncr.html
STATUS: Made a strong pre-split move, but dropped back hard the last few sessions. It held on to the 18 day MVA (56.06) today with a doji, so we could get a bounce, but given the post-split trading and the recent weakness, we will see if it will test the 50 day (56.71) again. We will see if it holds and perhaps consolidates.
PLAY: Aggressive: After holding a consolidation over the 18 day, a move back over the high of 32, with stock and/or October $30 calls to buy (LQN JF).

SEBL (Siebel--$42.44; +2.38; optionable) (SGW): Application Software
http://biz.yahoo.com/p/s/sebl.html
STATUS: Recovered today from the its drop from the preceding two sessions, but could only climb back to its 10 day MVA (42.80) to close. Volume was solid at 15.9 million (average 16.6 million), so we will see if it can hold up and make a move back over its 50 day MVA (44.52) if we get some market strength. Still in a weak pattern, however, so we will for now continue to look to the downside. Today's low was 38.85, with the recent low at 36.60.
PLAY: Aggressive: A drop back through 40 on market weakness, looking at increased volume on the drop, with August $55 puts to buy (SGW TK).

WFMI (Whole Foods--$26.36; +0.14; optionable): Grocery Stores. Split 2:1 June 5.
http://biz.yahoo.com/p/w/wfmi.html
STATUS: Has formed a long handle to a cup pattern, and it was in a nice, flat consolidation until dropping back last week. It has hit down to the 50 day MVA (26.34), Monday, showing a loose doji today after reaching up to 26.79 at its intraday high (10 day MVA at 27). Looking for a bounce back after this shakeout.
PLAY: Aggressive: Over the recent consolidation high of 28.50 on above average volume (477,500; today up to 615,700). Breakout: 29.55 on volume of 720,000, with stock and/or August $27.50 calls to buy (FMQ HY).

Good Investing!
Jon L. Johnson and the Stock Split Report Staff.

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 of 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.

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