us stock market, stock split

Begin part 3 of 3

THE PLAYS

Good movers: BMRN; CELG; DIOD; MINI; PETS

Thursday night play results: Our plays took the day off just as did the market.
AQNT: Held basically steady on lower, below average volume. Still set to move.
CEPH: Volume faded as CEPH held steady.
IEX: Took a day off after the strong Thursday move.
VMC: Still set to make the break.

New Plays:

Upside:

Play Date: 02/25/2006
BABY (Natus Medical--$18.95; +0.04; optionable): Medical appliances
http://biz.yahoo.com/p/b/baby.html
After Hours: $19
STATUS: Ascending base. Volume has surged the past week as BABY butts up against the breakout from a 16 week base formed above the 50 day EMA (17.75). Made a higher low at that 50 day support here in February, setting up the breakout to a new all-time high. Outstanding 6 to 2 accumulation in the base (6 up price weeks on rising volume to 2 down price weeks on rising volume) shows all buying, setting up the move to come. Super technical pattern, super growth in its sales and earnings.
Volume: 208.611K Avg Volume: 142.003K
BUY POINT: $19.25 Volume=213K Target=$23.12 Stop=$18.21
POSITION: QBU GW - July $17.50c (71 delta) &/or Stock
http://www.investmenthouse.com/ci/baby.html

Play Date: 02/25/2006
CHRS (Charming Shoppes--$13.65; -0.2; optionable): Apparel stores
http://biz.yahoo.com/p/c/chrs.html
After Hours: $13.67
STATUS: Cup w/handle. A charming little 11 week base that formed using the 50 day EMA (12.91) as support. Excellent 4 to 0 accumulation (4 up price weeks on rising volume to 0 down price weeks on rising volume) shows all buying as CHRS consolidates and sets up the breakout to an 11 year high. This base follows the breakout from a 4.5 month base in November; a solid, steady performer. Strong money flow and relative strength ready to make the breakout with the stock. Strong pattern and solid fundamentals.
Volume: 546.16K Avg Volume: 1.063M
BUY POINT: $14.11 Volume=1.6M Target=$16.95 Stop=$13.42
POSITION: QSR GV - July $12.50c (71 delta) &/or Stock
http://www.investmenthouse.com/ci/chrs.html

Play Date: 02/25/2006
CLZR (Canela--$18.69; +0.61; optionable): Medical appliances and equipment. Just announced earnings on 2-1-06. Researching to pinpoint an exact date but like the entry it is giving us.
BACKGROUND: Last announced a 2:1 split on 1-27-04 at $24.50. Before that it announced a 3:2 split on 1-19-00 at $19.
http://biz.yahoo.com/p/c/clzr.html
STATUS: Test breakout. CLZR gapped out of a 21 month base to start the month, following through on a strong early January move. It has come back to fill much of the gap, holding near support at the 50 day EMA (16.30) on very low, below average volume. Last week it started up off that support on a good shot of rising volume. It is butting right up against resistance at 19 that formed from the early February rally. Looking for CLZR to move through that point to give us the entry for the play. Top ranked stock in fundamentals growth to go with its pattern.
Volume: 382.423K Avg Volume: 371.755K
BUY POINT: $19.12 Volume=558K Target=$22.95 Stop=$18
POSITION: UKZ HW - Aug. $17.50c (66 delta) &/or Stock
http://www.investmenthouse.com/ci/clzr.html

Play Date: 02/25/2006
RADS (Radian Systems--$14.60; +0.22; optionable): Site operations software for retail, food services businesses.
http://biz.yahoo.com/p/r/rads.html
STATUS: Ascending triangle. RADS has formed a short 6 week triangle as it consolidates the January breakout from a 6.5 month base. As the market sold off RADS used the selling to set up for the next move. It has done just that, showing outstanding 7 to 0 accumulation. Strong money flow complements the accumulation. Relative strength is ready to breakout again as well, a sign of continued strength. Strong technically and strong fundamentally as well.
Volume: 241.197K Avg Volume: 330.732K
BUY POINT: $14.89 Volume=496K Target=$17.95 Stop=$13.98
POSITION: QRC GC - July $15c (54 delta) &/or Stock
http://www.investmenthouse.com/ci/rads.html

New buy point on a current position:

Play Date: 02/25/2006
PWAV (Powerwave Technologies--$14.85; +0.13; optionable): Telecom equipment
http://biz.yahoo.com/p/p/pwav.html
After Hours: $14.86
STATUS: Breakout test. Looking at some more positions on PWAV as it has made the break higher and has now faded to near support on low volume ahead of resuming the move. It broke out from an 11 week base in late January and rallied to 15.50. It spent last week testing that move on lower volume, holding the 10 day EMA (14.72) on the closes. It has made the test and is now ready to continue the breakout move. Excellent fundamentals growth is spurring the stock along.
Volume: 771.801K Avg Volume: 2.558M
BUY POINT: $15.21 Volume=3.2M Target=$17.95 Stop=$14.31
POSITION: VFQ HC - Aug. $15c (58 delta) &/or Stock
http://www.investmenthouse.com/ci/pwav.html

Downside:

Play Date: 02/25/2006
LTR (Loews Corp.--$93.35; -1.95; optionable): P&C insurance
http://biz.yahoo.com/p/l/ltr.html
STATUS: Put. Head and shoulders. LTR peaked in early January on low, low volume. When a stock makes a new high on low volume that shows a lack of support on the move, i.e. fewer buyers coming in. It cannot sustain such a move and the question becomes whether the sellers act to drive it lower. LTR drifted lower to end January and begin February, falling to the 'neckline' in the 16 week bearish pattern. It rebounded but could only make it back to the 10 day EMA (95.17). It struggled there and then started lower, rally dropping hard Friday. That pushed it through the bottom of the neckline on strong trade. That signals the break lower. We set our initial target for a conservative drop that will land us a 39%ish gain. With this kind of pattern, however, a stock typically falls the height of the pattern, and that would be about $6. If it continues down with a hard drop we will let it fall but will also look to take some gain along the way.
Volume: 1.789M Avg Volume: 557.158K
BUY POINT: $93.15 Volume=600K Target=$90.85 Stop=$94.05
POSITION: LTR PS - Apr. $95p (-39 delta)
http://www.investmenthouse.com/ci/ltr.html

Good Investing!
Jon L. Johnson and your IH Alerts Team

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 in 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.

us stock market
stock split