stock ticker, stock recommendation

Begin part 3 of 3

THE PLAYS

Wednesday night play results:
APCS: Volume faded and APCS pulled back from the breakout
GTIV: Slipped to the 18 day EMA, still in the pattern.
ZQK: Eased back on lighter volume.

New plays for Thursday:

Upside:

Play Date: 10/07/2004
AVN (Avanir Pharma--$2.98; +0.16; no options): Drugs
http://biz.yahoo.com/p/a/avn.html
STATUS: Flying plateau. AVN exploded out of a long base in mid-August, surging on extremely strong volume. It peaked at 3.20 then spent the next three weeks consolidating the gains on lower, below average volume. A few volume spikes during the consolidation to go along with the 2 to 0 accumulation in the pattern. Volume surged Thursday as it moved off of 2.80, the level acting as support in the plateau. Money flow has turned sharply higher and is surging ahead of price. Looks ready to follow the money.
Volume: 1.695M Avg Volume: 812.09K
BUY POINT: $3.12 Volume=1M Target=$4.05 Stop=$2.97
POSITION: - Stock (no option chain)
http://www.investmenthouse.com/cd/avn.html

Play Date: 10/07/2004
MSCC (Microsemi--$15.30; -0.09; optionable): Semiconductor integrated circuits
http://biz.yahoo.com/p/m/mscc.html
After Hours: $15.35
STATUS: Breakout test. MSCC exploded out of an 8 month double bottom with handle base to start the month. It peaked at 16 Monday and has faded back to test the breakout move. It held up extremely well Thursday compared to the rest of the market. Accumulation in the long base is a solid 8 to 4. Looking for a test of 15 or even down to the 10 day EMA (14.80) and then a rebound on strong volume. Breakout tests are one of our favorite entry points.
Volume: 492.025K Avg Volume: 684.772K
BUY POINT: $15.75 Volume=1M Target=$19 Stop=$14.78
POSITION: QMS CC - Mar. $15c (60 delta) &/or Stock
http://www.investmenthouse.com/cd/mscc.html

Play Date: 10/07/2004
PQUE (Petroquest Energy--$5.49; +0.22; no options): Oil and gas
http://biz.yahoo.com/p/p/pque.html
After Hours: $5.60
STATUS: Cup w/handle. A sweet little 9 week base has formed over the 50 day EMA (4.80), a very important institutional support level. Great price/volume action, drying up at the bottom of the base and then rising as it rallied to form the right side of the pattern. Volume jumped Thursday as it moved to the breakout and then backed off on the close. Excellent 4 to 0 accumulation in the base shows all buyers and has set up the breakout. Looks ready to make the move.
Volume: 1.017M Avg Volume: 477.363K
BUY POINT: $5.62 Volume=716K Target=$6.78 Stop=$5.23
POSITION: - Stock (no option chain)
http://www.investmenthouse.com/cd/pque.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 perform well. If you have any suggestions for additions or deletions, email us. We don't cover them all each report, just when something interesting is developing.

BR, COH, EASI, EBAY, GMAI, GTRC, HDWR, JNPR, MSFT, QCOM

MSFT: Coming back on lower, below average volume to set the next move higher. A test and hold of 28 would be a positive.

SUBSCRIBER WATCHLIST

We continually receive ideas for potential plays from subscribers. Many times they are already on our watchlists, other times not. We always take a look and sometimes find a gem or two, or more. We don't necessarily endorse these, but want to provide a forum for subscribers with ideas that may appeal to other subscribers. We may just put on the ticker or we might describe our thoughts as to why or why not we think it is a buy or sell. This is a way we can all learn a bit more and maybe find a few more candidates to make us some good money.

Upside:

LEXR: A nice run from the august low, it has made it almost to the 200 day SMA (10.83). It has stalled at some resistance at 10 and most likely needs a bit of consolidation before it can make the break over that level.

Downside:

GVHR: A low volume move back up to the 10 day EMA in a 3 month downtrend. Looks ready to roll back over and continue the move down.

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 ticker
stock recommendation