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Begin part 3 of 3

We apologize for the late delivery. We suffered a network crash this evening that had to be repaired before we could generate teh report.

THE PLAYS

Good movers: AN; ATYT; EMR; MUSA

Tuesday night play results:
EFX: Tried to rally with strong volume but gave it all back and more buy the close. Still in the pattern and will see if it can re-set.
JBX: Gapped higher but closed flat on lower, average volume. Still a solid pattern.
UTHR: Gapped higher as well but it too faded back to flat on the close.

New Plays:

Upside:

Play Date: 04/13/2005
TZIX (Trizetto Group--$8.95; -0.16; optionable): Healthcare information software
http://biz.yahoo.com/p/t/tzix.html
After Hours: $8.97
STATUS: Ascending triangle. TZIX is making a higher low over the 50 day EMA (8.86) as it sets up for a run at a breakout from its 14 week base. Solid 3 to 1 accumulation in the pattern shows net buyers as it consolidates in another base after an early December breakout and run higher. These bases build pressure from below as the stocks makes higher lows below a constant top and then breaking higher typically with an explosive move. Excellent money flow is leading higher, and we expect the stock to follow it.
Volume: 100.042K Avg Volume: 200.272K
BUY POINT: $9.62 Volume=300K Target=$11.55 Stop=$9.32
POSITION: FUG IU - Sept. $7.50c (85 delta) &/or Stock
http://www.investmenthouse.com/cd/tzix.html

Play Date: 04/13/2005
UBET (Youbet.com--$6.10; +0.03; no options): Para-mutual wagering online.
http://biz.yahoo.com/p/u/ubet.html
After Hours: $6.11
STATUS: Test 18 day EMA. Taking another run at UBET after it dumped lower Monday and Tuesday, but each session managing to recover to close above the 18 day EMA (5.84), a key near term support level. The stock broke out in late March from a short 7 week pattern that acted as the handle to a much larger 12 month cup base. Excellent 5 to 0 accumulation in the short base has set up the move, and this test of near support after the breakout readies it for the next move higher. Solid money flow, and relative strength is ready for the next breakout move.
Volume: 284.523K Avg Volume: 315K
BUY POINT: $6.35 Volume=472K Target=$7.64 Stop=$5.97
POSITION: - Stock (no option chain)
http://www.investmenthouse.com/cd/ubet.html

Downside:

Play Date: 04/13/2005
LOW (Lowes--$53.81; -1.46; optionable): Home improvement
http://biz.yahoo.com/p/l/low.html
After Hours: $53.81
STATUS: Double top. LOW topped in November and then in February, the second top coming on low volume. That is a sign the buyers just are not there on the second move higher. It rolled over on rising trade and has slipped down since. It tanked hard last week, falling below the 200 day SMA (55.08), bounced back, and then tanked again Wednesday on very strong trade. Lots of downside momentum and looking to move in and catch the ride down to next support. A move to the target gives us a38%ish gain.
Volume: 5.673M Avg Volume: 2.962M
BUY POINT: $53.69 Volume=3.2M Target=$52.08 Stop=$54.22
POSITION: LOW QJ - May $55p (-60 delta)
http://www.investmenthouse.com/cd/low.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.

AAPL, BLUD, BR, COH, HW, STN, TSRA

AAPL: Excellent earnings after hours. Sold off on the news but managed to recover. Not a great response so tomorrow could be rocky; when earnings are huge but the stock does not respond in kind that could be trouble.

BR: Key test of the 50 day EMA right now as volume shoots higher.

HW: Falling below the 50 day EMA. AT least volume backed way off.


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:

DGIN: Working on a 15 week base over the 200 day SMA, its first base after a long drop in 2004.

NUCO: Nice gap higher from a cup base in late March, rallying to near 27 on vastly improved volume. It has eased back on low trade to test the move, holding at the 18 day EMA. This is where you want to see it hold if it is going to continue the run.

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.


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