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Begin Part 3 of 4

PRE-ANNOUNCEMENTS REMAINING PLAYS
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FITB (Fifth Third Bancorp--$59.17; -1.17; optionable): Looking for an announcement with earnings on 7-16-01 before the market open.
http://biz.yahoo.com/p/f/fitb.html
BACKGROUND: Last announced a 3:1 split on 6-20-00 at a stock price of $61. The annual shareholder meeting was on 3-20-01 at which time authorized shares were increased.
STATUS: Still hanging on, holding recent lows in its second handle to a cup pattern. It broke out two weeks ago from a prior handle, but that move lasted just one session, and the stock has gradually pulled back. Today it fell to the bottom of the range of its prior (early June) handle, with selling on higher, though below average volume of 1.33 million (average is 1.60 million). With the low volume and the stock still holding support (50 day MVA at 58.75), we will still watch for a move back up as the forecast draws near. Target on breakout: 70.
BUY POINT: Aggressive: After holding the 50 day, a move back over the 10 day (60.48) on above average volume. Stop: 56.27. Breakout: 63.13 on volume of 1.8 million. Stop: 58.71.
POSITION: Aggressive: Stock and/or August and October $55 calls to buy (FTQ HK and OKC JK). Breakout: Stock and/or August and October $60 calls to buy (FTQ JK). With earnings plays, we buy short-term options to sell before the announcement when the earnings run loses steam, and longer-term options to hold through the announcement.

ELN (Elan--$61.40; +0.40; optionable): Forecast to announce a split on 7-18-01 in conjunction with earnings. The company has not confirmed this date.
http://biz.yahoo.com/p/e/eln.html
BACKGROUND: Last announced a 3:2 split on 3-2-99 in conjunction with a board of director meeting. The stock price was $76.88. Prior to that announced a 3:2 split on 8-15-96 at a stock price of $63.
STATUS: The stock has been moving well, recently breaking from a ten-month cup with handle base (hitting 65), and then coming back to test the breakout. It has bounced a bit on its up trendline connecting April-June closing lows (at 60.75), trying a move the last couple of sessions but not looking like it will get anywhere for the moment. It has been moving on low volume, and today gapped up but could only pull back from its opening high at 61.89, moving on lower volume of 1.09 million (average 1.49 million). It has been contracting into something of a pennant, so we will see if it can again make a higher low by holding the trendline, and look for it to finally make a strong move up going into the forecast.
BUY POINT: After holding the 60-61 range on a pullback, a move back over 62 on above average volume.
POSITION: Stock and/or October $60 calls to buy (ELN JL).

DFXI (Direct Focus--$43.51; -1.27; optionable): Forecast to announce a split on 7-17-01 after the market close in conjunction with earnings.
http://biz.yahoo.com/p/d/dfxi.html
BACKGROUND: A frequent splitter, it last announced a 3:2 split on 12-12-00 in conjunction with a board meeting. The stock price was $44. Prior to that announced a 3:2 split on 6-28-00 in conjunction with a board meeting. The stock price was $44. See a pattern here? The annual shareholder meeting was on 6-4-01 at which time no additional shares were authorized. The company has sufficient shares for a 2:1 split.
STATUS: A very solid stock that has performed well, and is proving to be a consistent splitter. It broke from a cup (and subsequent ascending wedge) recently and has made two solid surges, hitting 48 on its last move before pulling back. The stock has been consolidating over its 18 day MVA (42.99), today gapping up to open but pulling back to close just over that support. Volume continued to be on the low side (215,500; average 325,800), fine for this kind of pattern, and we will look for it to hold and then look at a strong move as we grow nearer the forecast.
BUY POINT: Aggressive: A move over 46.50 on above average volume. Stop: 43.25.
POSITION: Aggressive: Stock and/or August and October $40 calls to buy (DQF HH and DQF JH).

THQI (THQ Inc.--$57.03; -0.67; optionable): Forecast to announce a split on 7-20-01 in conjunction with the shareholder meeting (earnings 7-26-01).
http://biz.yahoo.com/p/t/thqi.html
BACKGROUND: Last announced a 3:2 split on 10-26-99 in conjunction with earnings. The stock price was $44. Prior to that announced a 3:2 split on 7-23-98 in conjunction with earnings. The stock price was $33. The annual shareholder meeting is on 7-20-01 at which time authorized shares will be increased. The company has sufficient shares for a 2:1 split.
STATUS: THQI has really been hanging in there, continuing to show strength after a long, steady run. We have been looking for a test back to its 50 day MVA (50.61), as strong stocks will often do, but it continues to hold the range of its short-term MVA's (10 & 18 day at 56.90 and 55.88, respectively). Tuesday was the fifth straight doji or loose doji pattern, reaching up to 59.86 before pulling back to close. Volume jumped a bit to 677,300 (average 579,200), so perhaps the stock is ready to make another move if we can get a decent day in the market. Continuing to hold strong in a consolidation range, however, would not be a bad thing.
BUY POINT: Aggressive: In a decent market, a move over 60 on continued strong volume, looking at possible resistance from the high at 62. We are still looking for THQI to pull back and try a consolidation over its 50 day MVA.
POSITION: Aggressive: Stock and/or September $60 calls to buy (QHI IL).

CHV (Chevron--$89.40; -0.64; optionable): Forecast to announce a split on 7-24-01 before the open in conjunction with earnings. At this time the company cannot confirm the date.
http://biz.yahoo.com/p/c/chv.html
BACKGROUND: The annual shareholder meeting was on 4-25-01 at which time authorized shares were increased.
STATUS: CHV has taken a hard fall with its sector. After bouncing up to its 10 day MVA (91.07), the stock retreated the last three days on above average volume. Still a continuing put play down to the range of its 200 day (87.45), but we are not looking at new plays right here.

CEFT (Concord EFS--$54.99; -0.06; optionable): Forecast to announce a split on 7-25-01 in conjunction with earnings. At this time the company cannot confirm this date, but based upon our research this is the date for the release.
http://biz.yahoo.com/p/c/ceft.html
BACKGROUND: Last announced a 3:2 split on 8-26-99 at a stock price of $37. Prior to that announced a 3:2 split on 5-14-98 in conjunction with its annual shareholder meeting. The annual shareholder meeting is scheduled for 5-24-01 at 9:30 am CST at which time additional shares will be authorized.
STATUS: Has been very erratic since its breakout move in mid-June, but the past week has settled down a bit over its 10 day MVA (54.42). It has actually formed a small pennant pattern, showing a doji today on slightly lower volume of 3.33 million (average 3.42 million). Looking better and better, with relative strength breaking out, and money flow and buying looking strong. Still want a breakout for positions given the recent volatility.
BUY POINT: Over the high of 56.93 on above average volume.
PLAY: Stock and/or September $50 calls to buy (CQF IJ).

MNC (Monaco--$28.26; -0.28; optionable): Automotive. Forecast to announce a split on 7-26-01 in conjunction with earnings. At this time the company has not confirmed a time for the release.
http://biz.yahoo.com/p/m/mnc.html
BACKGROUND: Last announced a 3:2 split on 6-7-99 in conjunction with a board meeting. The stock price was $34.75. The annual shareholder meeting was on 5-17-01 at which time no additional shares were authorized. The company has sufficient shares for a 2:1 split.
STATUS: Broke out of a large cup pattern at the end of June (prior high 30.94 in August 1999), surging up to 33.20 with a great move before pulling back. The stock has split several times in the 30's, and with a continuation of this move could be ready to announce again. It is currently holding the 18 day MVA (27.61), today with another loose doji on above average volume (140,700; average 88,200). Looking for the stock to continue to hold here, perhaps consolidating a bit in a handle, but we will also watch for a continuation of the strong move. Excellent buying.
BUY POINT: Aggressive: A bounce back over 30 on continued strong volume. Stop: 27.90.
POSITION: Stock and/or October $25 calls to buy (MNC JE - but very low open interest).

ACS (ACS Inc.--$72.92; +0.78; optionable): Forecast to announce a split on 7-31-01 before the market opens in conjunction with earnings.
http://biz.yahoo.com/p/a/acs.html
BACKGROUND: Last announced a 2:1 split in October 1996 at a stock price of $60. The annual shareholder meeting was on 10-26-00 at which time no additional shares were authorized. The company has sufficient shares for a 2:1 split.
STATUS: Has been trending up solidly the past year, making a new high at 55 in December and continuing up along its 50 day MVA, hitting a high of 77.68 in June. From that point the stock has pulled back, but is holding its May consolidation range and 50 day MVA (72.05). The stock moved back over that MVA today as volume increased (439,500; average 738,000), closing just under the 18 day MVA (73.08). Looking for the momentum to continue.
BUY POINT: Aggressive: A move back over 74 on increased volume in a strong Nasdaq.
POSITION: Stock and/or October $70 calls to buy (ACS GN).

ATK (Alliant Techsystems--$86.27; +0.27; optionable): Forecast to announce a split on 8-7-01 in conjunction with its annual shareholder meeting.
http://biz.yahoo.com/p/a/atk.html
BACKGROUND: Last announced a 2:1 split on 11-2-00 in conjunction with earnings. The stock price was $89. The annual shareholder meeting is scheduled for 8-7-01 at 2:00 pm CT at which time additional shares will be authorized.
STATUS: After a big drop from a double top (recent high at 101.24, 50 day MVA at 91.33), the stock has found support in the 85 range. It its back in that range again, showing consecutive dojis after a move back up that failed at the stock's 10 day MVA (87.57). From this pattern the stock could try a move up again, but we will look for the 10 day to repel it and send it back down. On a drop we will watch the recent low at 84.10, and on a drop below that we are targeting 78-80.
BUY POINT: After a move up fails at the 10 day, a drop back through 85 on average or better volume (168,500; today up to 132,500).
POSITION: August $95 puts to buy (ATK TS).

RHB (Rehabcare--$45.20; -0.25; no options): Hospitals. Forecast to announce a split on 8-7-01 in conjunction with earnings. At this time the company cannot confirm this date, but based upon our research this should be the date.
http://biz.yahoo.com/p/r/rhb.html
BACKGROUND: Last announced a 2:1 split on 5-15-00 at a stock price of $41. The annual shareholder meeting was on 5-3-01 at which time additional shares were authorized.
STATUS: RHB has formed a cup with handle pattern (dating back to late-February, and formed out of a larger cup dating back to the beginning of the year, high of 52.50). It tried to make a breakout move at the end of June but came up just short of the handle high of 49 and has pulled back since, testing back at today's low of 44.40 near handle lows and the 50 day MVA (43.81). The pattern was a doji, but it was the third doji in four sessions as the stock has peeled back through its short-term MVA's (10 day at 45.98). We finally got a bit of volume today, although still below average at 104,000 (average 130,000), so we will see if it can finally stop the bleeding and make a run back up. Shows good relative strength and money flow, with decent buying. Target on breakout: 54-55.
BUY POINT: Aggressive: A move over 47 on increased volume. Stop: Just below the 50 day MVA. Breakout: 48.13 on volume of 195,000. Stop: 44.76.
POSITION: Stock only.

NVDA (Nvidia--$78.70; +0.64; optionable): Semiconductor. Forecast to announce a split on 8-15-01 in conjunction with its annual shareholder meeting or on 8-13-01 during the market in conjunction with earnings.
http://biz.yahoo.com/p/n/nvda.html
BACKGROUND: Last announced 5-16-00 after the close with earnings. Price was at $94, but the stock rose $8.74 that day in anticipation.
STATUS: NVDA had made a very solid run over the past several months, but after topping at 100 it made a gradual pullback to the 50 day MVA (85.66) and then tanked through that support last week. After the initial drop it has caught itself in the range of its May lows, and might bounce off of today's doji on strong volume (5.1 million; average 4.65 million). We do not expect a strong bounce, however, and will look for a failure and drop back with continued strong volume on the selling. Our initial target is the 70 range.
BUY POINT: After a relief bounce fails short of the 50 day MVA, selling back down below 80 on continued strong volume.
POSITION: August $95 puts to buy (RVU TS).

FISV (Fiserv--$59.94; 0.00; optionable): We are working on a date.
http://biz.yahoo.com/p/f/fisv.html
BACKGROUND: Last announced a 3:2 split on 3-25-99 in conjunction with its annual shareholder meeting. The stock price was $52. FISV's last two splits were announced in conjunction with its annual shareholder meeting. The company currently has sufficient shares for a 2:1 split.
STATUS: FISV showed some strength by holding the 50 day MVA (57.06) last week after its abrupt fall (from its breakout high of 64.63). It actually made a bounce up from that level on strong volume, but stalled a bit with a doji today at its 10 day MVA (60.07). We will see if it can muster the strength to continue the move, although the pattern suggests a possible pull back.
BUY POINT: Aggressive: From here, a move over 61 on increased volume (down to 1.32 million today; average 1.04 million).
POSITION: Stock and/or September $55 calls to buy (FTQ IK).

FDC (First Data--$64.26; +0.14; optionable): Working on a forecast date. Earnings were announced on 4-12-01.
http://biz.yahoo.com/p/f/fdc.html
BACKGROUND: Last split was a 2 for 1 on 11-18-96 at a stock price of $80. The annual shareholder meeting was on 1-11-01 at which time authorized shares were increased. The company has sufficient shares for a 2:1 split.
STATUS: FDC was in a decent pennant pattern but retreated back through its 50 day MVA (65.20), and has been moving laterally beneath that level. It has shown three consecutive 'spinning top' patterns that do not tell us much, weakly reaching up toward the 50 day each session, today with volume dipping back below the average at 1.19 million (average 1.45 million). It is not looking strong, and if it tries to reach up to the 50 day again and fails, on strong selling we can look at a put play with a target at the 58-60 range.
BUY POINT: After a failed move up to the 50 day, a drop through 63.50 on above average volume.
POSITION: August $70 puts to buy (FDC TN).

End Part 3 of 4

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