|
|
top stock pick, stock trading tool
Begin part 3 of 3
THE PLAYS
New Plays:
Play Date: 12/03/2003
EONC (Eon Communications--$3.55; +0.3; no options): Internet telephony
http://biz.yahoo.com/p/e/eonc.html
STATUS: Reverse head and shoulders. EONC is in the process of a breakout move from its 10 week base sporting strong 3 to 1 accumulation (3 up price weeks on rising volume to 1 down price week on rising volume). That accumulation sets the foundation for a stronger move as it shows steady buying as the stock worked through the pattern and shook out the sellers. Wednesday EONC was surging on a big shot of volume. It backed off and gave back half of its gain, but relative strength broke out on the move and the stock is following surging money flow. Looking for EONC to continue the breakout move.
Volume: 712.788K Avg Volume: 147.59K
BUY POINT: $3.68 Volume=225K Target=$4.78 Stop=$3.38
POSITION: - Stock (no option chain)
http://www.investmenthouse.com/cd/eonc.html
Play Date: 12/03/2003
SMTL (Semitool--$11.23; -0.08; no options): Chip equipment
http://biz.yahoo.com/p/s/smtl.html
STATUS: Testing the breakout. SMTL broke out of a 9 week flat base to start November, rallied to 12, and then started the current lateral 3 week move over the 18 day MVA (11.01). The intraday trading range has tightened up considerably the past week as volume backed off; that is what you like to see on a test: nice, quiet action. Wednesday it exploded higher on strong volume, rallying to 12.24 on the high. It got caught up in the market pullback and gave the gain back. Solid 4 to 2 accumulation and surging money flow. Looking for SMTL to try the breakout move again.
Volume: 177.964K Avg Volume: 79.59K
BUY POINT: $11.74 Volume=120K Target=$14.12 Stop=$11.98
POSITION: - Stock (no option chain)
http://www.investmenthouse.com/cd/smtl.html
Play Date: 12/03/2003
RIC (Richmont Mines--$5.04; -0.04; no options): Gold mining
http://biz.yahoo.com/p/r/ric.html
STATUS: Double bottom. Taking another look at RIC as it forms a short, 7 week base on top of a 7 week cup base in September and October. Accumulation is an excellent 3 to 0 in the current base that held the 50 day MVA (4.68) on the two lows in the base. We like to see stocks hold that level in bases as it shows the buyers coming in to pick it up at that important support. Very good action. Tuesday RIC showed some excellent volume as it moved higher. It took a low volume breather Wednesday, and now we look for a breakotu on volume.
Volume: 54.6K Avg Volume: 97.454K
BUY POINT: $5.18 Volume=146K Target=$6.75 Stop=$4.84
POSITION: - Stock (no option chain)
http://www.investmenthouse.com/cd/ric.html
Look ready for Thursday: ARTX; A; OBAS (nice test); RCRC
SUBSCRIBER PORTFOLIO: These are stocks subscribers suggest by vote that we put in a portfolio to track and move into the stocks if they set up well.
Considering injecting some fresh blood into this section. Please forward any favorites that you feel would be good, solid inserts.
AVID, COH, DIS, GTRC, KKD, LPNT, OCR, TGT, UTSI, XMSR
DIS: Cat fight between management and a surviving Disney heir is taking its toll. DIS collapsed through the 50 day MVA on huge volume Wednesday.Needs to retakt that level in the next few sessions.
SUBSCRIBER WATCHLIST
We continually receive ideas for potential plays from our subscribers. Many times they are already on our watchlists, other times not. We always take a look at them and sometimes find a few pearls. This weekend we are starting a new feature where we include some subscriber choices that could develop into plays. We are not necessarily endorsing these, but want to provide a forum for subscribers with ideas that may appeal to their portfolio. Typically we will put these on without commentary, but if we see something we really like or dislike we will point it out. That way we can maybe come up with some new plays, find some plays that may fit your style, and have another great educational tool to discuss problems or good aspects about stocks our subscribers are looking at.
MTRX: A great surge from an October breakout has doubled the price, and now it is making a higher volume test of the move, coming back to the 10 day MVA. This is a possible entry point but somewhat dicey.
LRCX: A chip leader, LRCX has rallied up the 50 day MVA since the April breakout. It is now at the upper channel of its uptrend and we anticipate a test back in the range. If it continues higher from here it is most likely in some sort of blow off move that will need a deeper correction. A very nice run, but extended.
Good Investing!
Jon L. Johnson and The Daily 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.
|
top stock pick
stock trading tool
|
