us stock market, trade stock

Begin part 3 of 3

THE PLAYS

Good movers: SMDI; AMT; KFX

Weekend play results:
ABI: Strong volume sent it higher but the market weakness pulled it back.
JTX: Nope. Tanked back on stronger volume to the 50 day EMA.
MOLX: Nope. Turned lower and fell thru the 50 day EMA. May set up a double bottom at 34 but that remains to be seen.
ZUMZ: Coming back to test some more but on very low trade & still in the pattern.
JOBS: Doji at the 18 day EMA. Holding up very well.
LIFC: Holding up nicely at the 18 day EMA on low volume.

New Plays:

Upside:

Play Date: 06/05/2006
ININ (Interactive Intelligence--$10.52; -0.02; no options): Contact center automation, self-service automation software, etc.
http://biz.yahoo.com/p/i/inin.html
STATUS: Ascending base. ININ jumped higher in late April, moving out of an 8 week flat base with a sharp, solid volume move. After rallying to 11.87 it fell into the current 6 week pattern, using the 50 day EMA (9.87) as support. It used that level the past three sessions, showing a nice doji Monday on a strong burst of volume. No real news other than an announcement it would host a conference. Strong money flow and positive accumulation go hand in hand. Looking for some continued solid trade as it breaks higher through the buy point.
Volume: 226.302K Avg Volume: 80K
BUY POINT: $11.21 Volume=120K Target=$13.45 Stop=$10.43
POSITION: - Stock (no option chain)
http://www.investmenthouse.com/cd/inin.html

Play Date: 06/05/2006
EW (Edwards Life Sciences--$44.53; -0.54; optionable): Medical appliances
http://biz.yahoo.com/p/e/ew.html
STATUS: Ascending triangle. EW has formed the current 4 month base along the 50 day EMA (43.88), part of a larger 10 month cup with handle. Positive accumulation and a nice pattern, paced by strong and rising money flow. Volume has yet to show any life, even as it moved up the past week off the most recent low. Sleeping bases often erupt, and we are going to be patient and let EW show us that move. Has held up very well during this selling, working on its base to send it to a new all-time high.
Volume: 206K Avg Volume: 347.477K
BUY POINT: $45.62 Volume=521K Target=$52.85 Stop=$43.78
POSITION: EW KI - Nov. $45c (56 delta) &/or Stock
http://www.investmenthouse.com/cd/ew.html

Downside:

Play Date: 06/05/2006
RVI (Retail Ventures--$14.88; -0.67; optionable): Department stores
http://biz.yahoo.com/p/r/rvi.html
STATUS: Head and shoulders. While many retailers are holding up well, RVI is struggling, having set up a 7 week top, breaking through the neckline of the pattern at 15 Monday as volume spiked. Ready to step in as RVI continues lower. It may not enter into a major dive, but even strong stocks go through corrections and this pattern is a sweet downside set up. A move to the target lands us a 40%ish gain.
Volume: 678K Avg Volume: 374.312K
BUY POINT: $14.78 Volume=375K Target=$13.75 Stop=$15.05
POSITION: RVI SD - July $15p (-46 delta)
http://www.investmenthouse.com/cd/rvi.html

Continuing Play ready to move:

Play Date: 05/27/2006
ACTG (Acacia Research--$12.27; -0.25; no options): Telecom equipment
http://biz.yahoo.com/p/a/actg.html
STATUS: Cup w/handle. ACTG has formed a short 4 week pattern over the 50 day EMA (10.89) after a strong move higher in April and early May. It is starting to work laterally the past two sessions, forming the handle to shakeout the sellers. After that it will be ready for its next break higher to a new high.
Volume: 196.632K Avg Volume: 204.545K
BUY POINT: $12.26 Volume=285K Target=$14.95 Stop=$11.42
POSITION: - Stock (no option chain)
http://www.investmenthouse.com/cd/actg.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, AKAM, CCJ, CELG, FLR, GME, MGPI, MRVL, NVDA, SGMS, WM

AKAM: Trying to hold 29 as the rough bottom of its new base forming.

CELG: Nice break higher last week was dumped back Monday, landing on the 10 day EMA as volume rallied.

FLR: As with many construction stocks, FLR turned back, falling through the 50 day EMA. Still trying to work on the base.

GME: Bombs away. Broke through the May lows on rising, above average volume. It has now most assuredly filled the March gap, but is not looking ready to turn back up right now.

MRVL: Turning down at the 18 day EMA once more, looking to continue the downtrend.

NVDA: Turned lower, falling back to last week's low.

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.

us stock market
trade stock