stock split, stock recommendation

Begin part 3 of 3

THE PLAYS

Good movers: ADM; CYBS; NVDA; NUAN; PSSI; VLTR; WFR; YMI

Monday night play results:
ADAM: Nope. Imploded on huge volume.
AH: Still working on the nice test on below average volume.
SCMR: Strong volume but gapped higher and could not hold much of the move.
YMI: Gapped higher and held the move on strong volume.

New Plays:

Upside:

Play Date: 03/14/2006
CDNS (Cadence Design Systems--$18.2; +0.34; optionable): Electronic design automation
http://biz.yahoo.com/p/c/cdns.html
After Hours: $18.24
STATUS: Cup w/handle. Nice above average volume as CDNS starts toward the breakout from a nicely formed 12 week base formed using the 50 day EMA (17.48) as support. Picture perfect base sporting positive accumulation and surging money flow. Strong fundamental growth rates to go along with the solid technical pattern. Ready to move in as CDNS makes the breakout move, likely on Wednesday.
Volume: 2.731M Avg Volume: 2.343M
BUY POINT: $18.39 Volume=3.2M Target=$21.95 Stop=$17.48
POSITION: CDN HW - Aug. $17.50c (64 delta) &/or Stock
http://www.investmenthouse.com/cd/cdns.html

Play Date: 03/14/2006
CELG (Celgene--$39.13; -0.04; optionable): Drugs
http://biz.yahoo.com/p/c/celg.html
After Hours: $39.20
STATUS: Test breakout. Coming back for more on CELG as it comes back to test the late February breakout from a 6 week ascending base. Made us some great money and now setting up along the 10 day EMA (38.95) the past week in a tight, narrow range on low volume. All of the attributes of quiet before the storm. Nice run up to and through the split and a nice test of that breakout. Money flow remains strong. We just need to see some volume as CELG starts back up to resume the breakout move. A top rated stock fundamentally. Now just waiting for the next break higher.
Volume: 1.877M Avg Volume: 4.97M
BUY POINT: $39.75 Volume=6M Target=$47.45 Stop=$37.97
POSITION: LQH GH - July $40c (50 delta) &/or Stock
http://www.investmenthouse.com/cd/celg.html

Play Date: 03/14/2006
IVAC (Intevac--$21.61; +1.88; no options): Thin film disk sputtering equipment
http://biz.yahoo.com/p/i/ivac.html
After Hours: $21.66
STATUS: Test breakout. Back on the report. IVAC gapped higher in early February as part of its breakout from a 25 week cup with handle base. This move lower the past two weeks on mostly lower, below average volume is the first real test of that move. It held the breakout with one intraday test lower last week, moving laterally just below the 18 day EMA (20.39). Tuesday volume surged above average as IVAC barreled higher, moving base the initial high on the breakout. Strong money flow is surging higher. Ready to move in as it continues the move. Solid fundamentals support the move to a 7 year high.
Volume: 759.824K Avg Volume: 414.005K
BUY POINT: $21.78 Volume=500K Target=$26.98 Stop=$20.26
POSITION: - Stock (no option chain)
http://www.investmenthouse.com/cd/ivac.html

Play Date: 03/14/2006
PRFT (Perficient--$11.1; -0.04; no options): e-Business integration solutions
http://biz.yahoo.com/p/p/prft.html
STATUS: Test breakout. Taking another look as PRFT broke higher last week on strong, above average volume, moving out of its 8 week flat base. Nice pattern that formed over the 50 day EMA (10.18) and showing excellent 4 to 1 accumulation (4 up price weeks on rising volume to 1 down price weeks on rising volume). Relative strength broke out on the move, a good corroboration of the price move. PRFT has moved laterally the past two sessions on very low, below average volume, catching its breath and ready for the continued move higher. Strong fundamentals to go with the strong technical pattern. Moving to a nice 5 year high.
Volume: 84.358K Avg Volume: 178.41K
BUY POINT: $11.32 Volume=268K Target=$13.65 Stop=$10.69
POSITION: - Stock (no option chain)
http://www.investmenthouse.com/cd/prft.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, BRCM, CELG, COH, FFIV, GME, MRVL, NVDA, PSYS, UNH

AAPL: Still rising but on lower and lower volume as it moves toward the 50 day EMA (69.46). Running out of strength but still trying to set a double bottom pattern.

BRCM: Some stronger volume as it moved off the Monday doji.

COH: Just needs some more volume.

GME: Nice above average volume as GME recovers off the 50 day EMA. Very promising.

NVDA: Looks ready for the next buy if it can continue this move.

SUBSCRIBER WATCHLIST:

WIRE: Rallying nicely up the 10 day EMA after a late January breakout from a 13 week ascending base. Not in position to buy right now as it is in its second bounce off the 10 day EMA after the breakout and needs to come back for the next test.

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