stock split, stock recommendation

Begin part 3 of 3

THE PLAYS

Good movers Wednesday: ADCT; AMSC; CHU; ESIO; GMR; NANO; RECN; XING (bonus)

Tuesday night play results:

ESIO: Explosive breakout.
OPLK: Still forming up well as volume rises.
PTEK: Broke higher on volume but was very volatile intraday. Late surge finished it well.

New Plays for Thursday:

Play Date: 01/07/2004
SINA (Sina.com--$41; +0.7; optionable): Chinese internet
http://biz.yahoo.com/p/s/sina.html
STATUS: Cup w/handle. The chinese stocks are moving well, having formed nice bases. SINA is starting a handle to its 12 week base that formed roughly at the 50 day MVA (35.31). Accumulation in the base is positive at 2 to 1; all it takes is positive accumulation to set the foundation for a breakout and subsequent run. These stocks can run like a deer when they start, and they have been stirring the past week. We will be patient and let SINA complete its handle and look for a strong volume break higher over the recent highs.
Volume: 6.142M Avg Volume: 8.147M
BUY POINT: $41.58 Volume=12M Target=$50 Stop=$38.67
POSITION: NOQ FH - June $40c (61 delta) or NOQ CH - Mar. $40cc (59 delta) &/or Stock
http://www.investmenthouse.com/cd/sina.html

Play Date: 01/07/2004
GENE (Genome Therapeutics--$3.8; +0.37; no options): Diagnostic substances
http://biz.yahoo.com/p/g/gene.html
STATUS: Flat base. GENE is making the breakout move from its 6 month flat base as volume surges. The base formed along the 50 day MVA (3.09), a sign that the stock enjoys strong support from investors and that they were accumulating the stock as it based. Accumulation bears that out as well as GENE shows excellent 10 to 4 accumulation in the pattern (10 up price weeks on rising volume to 4 down price weeks on rising volume). Money flow is screaming up ahead of the price and relative strength is ready for the breakout. Nice move higher, and we are looking for positions on a continued move on volume.
Volume: 831.377K Avg Volume: 331.636K
BUY POINT: $3.88 Volume=497K Target=$4.85 Stop=$3.58
POSITION: - Stock (no option chain)
http://www.investmenthouse.com/cd/gene.html

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.

AVID, COH, DIS, GTRC, KKD, LPNT, OCR, TGT, UTSI, XMSR

Play Date: 01/07/2004
COH (Coach--$38.06; -0.71; optionable): Handbags, etc.
http://biz.yahoo.com/p/c/coh.html
STATUS: Test 50 day MVA. COH split back in October and rallied up to 40 to start December, moving well ahead of the holiday numbers. After that it needed a rest, dropping to the 50 day MVA (35.99). It held 50 day MVA, an indication of institutional support. It has held that level and worked laterally the past three weeks. The past two sessions volume has started to jump. COH announced its December results were better than expected. It tested the 18 day MVA on the Wednesday low (37.20) and rebounded. Looking for a break over the recent highs to enter.
Volume: 3.722M Avg Volume: 1.785M
BUY POINT: $39.25 Volume=2.7M Target=$47 Stop=$37.38
POSITION: COH EH - May $40c (54 delta) &/or Stock
http://www.investmenthouse.com/cs/coh.html

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. We are including 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.

BEL: Broke out from a short 10 week base in mid-December and has rallied up the 10 day MVA since. It has come back to test the 10 day MVA Wednesday on rising, above average volume. Don't like that volume, but it is holding the move. Looks pretty solid.

STHLY: In a strong uptrend along the 50 day MVA since breaking out in November 2002. It has been a long run with the stock price doubling, but it still is in the uptrend, it has not increased the pace of the advance (a possible indication the move is starting to exhaust itself), and price/volume action looks pretty solid. Not a place to enter, but not a reasy ot sell existing positions.

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.

stock split
stock recommendation