|
|
us stock market, trade stock
Begin part 3 of 3
THE PLAYS
Good movers: CHRW; CTRP; EZPW; FORM; ININ; NYX; UARM
Thursday night play results:
ECL: Faded back Friday, making a test of the solid Thursday move
FLR: Gapped up but low volume & waffled off high.
FSL: Took a breather at the 50 day EMA
HOLX: Ran higher on better volume early, but then faded. Will be ready this week.
SMSI: Gapped higher on strong trade.
New Plays:
Upside:
Play Date: 06/30/2006
ENDP (Endo Pharmaceuticals--$32.98; +1.03; optionable): Drugs
http://biz.yahoo.com/p/e/endp.html
After Hours: $33.49
STATUS: Cup w/handle. With a name like ENDO you have to wonder what orifice is used to ingest these drugs. Solid break higher Friday as ENDP starts the move out of a 14 week cup with handle base as ENDP heads for a new all-time high. Relatively new issue (went public in 2001) with a lot of vigor. Strong 6 to 3 accumulation in the base (6 up price weeks on rising volume to 3 down price weeks on rising volume) shows plenty of buying. Relative strength is breaking out ahead of price, a very good sign for the stock given the market's strength Thursday; it shows us that ENDP is indeed a leader (along with its great pattern, accumulation, and solid fundamentals growth). Looking to move in as it leads higher this coming week.
Volume: 6.578M Avg Volume: 1.308M
BUY POINT: $33.15 Volume=1.8M Target=$39.89 Stop=$31.00
POSITION: IUK JF - Oct. $30c (70 delta) &/or Stock
http://www.investmenthouse.com/ci/endp.html
Play Date: 06/30/2006
FWRD (Forward Air--$40.73; +0.80; no options): Trucking. Getting ripe for a split announcement.
http://biz.yahoo.com/p/f/fwrd.html
After Hours: $40.63
STATUS: Cup w/handle. FWRD has formed a somewhat skewed base the past 7 weeks, breaking higher Friday, clearing the handle. This is part of a larger 7.5 month trading range between 35 and 41. Lots of buying during the base with some 9 to 4 accumulation; a solid stock in a strong sector right now. This pattern is perched on top of a multiyear (5.5 year) cup with handle base, that base providing an excellent foundation for FWRD to make some long term positive moves. Looking for more volume this week as the stock tries to extend this move. Relative strength is ready for the breakout; in this kind of market you really like to see that relative strength breaking higher as another very good indicator that the stock is a leader. When combined with the strong price pattern and accumulation it is a strong positive.
Volume: 249.13K Avg Volume: 266.105K
BUY POINT: $41.11 Volume=399K Target=$47.95 Stop=$38.95
POSITION: - Stock (no option chain)
http://www.investmenthouse.com/ci/fwrd.html
Play Date: 06/30/2006
IDEV (Interneuron Pharma--$5.47; +0.10; optionable): Biotechnology
http://biz.yahoo.com/p/i/idev.html
STATUS: Cup. Taking another look at IDEV as it caught itself on the 50 day SMA (4.99 on the recent dip and bounced Wednesday through Friday on some solid above average trade. Nice 17 week pattern that used the 200 day SMA (4.87) as support, an indication the big money institutions are supporting it at that level, accumulating shares. Positive accumulation and surging money flow trying to lead IDEV off of the 200 day. Good trade the last half of the week started the move; need to see that continue as it moves through resistance to the buy point.
Volume: 5.84M Avg Volume: 524.075K
BUY POINT: $5.62 Volume=550K Target=$6.95 Stop=$5.23
POSITION: QUF LA - Dec. $5c (65 delta) &/or Stock
http://www.investmenthouse.com/ci/idev.html
Play Date: 06/30/2006
MSTR (Microstrategy--$97.52; +2.64; optionable): Business software
http://biz.yahoo.com/p/m/mstr.html
STATUS: Reverse head and shoulders. A leader that faded some in the May selling but did not tank by any means. It has quietly gone about its business, holding support at the 200 day SMA (88.84) on the pattern low and then quietly forming the right shoulder to its 6 week base that is actually the bottom of a 9 week cup. In a choppy market we often see the RH&S pattern form at the bottom of a larger base. Friday MSTR bolted higher through the 50 day EMA (95.65) on strong trade. We are looking to climb on board as it continues and then likely again when it gives us a bit of a pullback to test the move through the 50 day. Solid. Using options on this play to leverage our position for better gains.
Volume: 619.397K Avg Volume: 336.798K
BUY POINT: $98.38 Volume=450K Target=$107.50 Stop=$95.55
POSITION: EOU JT - Oct. $100c (51 delta)
http://www.investmenthouse.com/ci/mstr.html
Play Date: 06/30/2006
VIVO (Meridian Biosciences--$24.95; +0.07; optionable): Diagnostic substances. Setting up for a breakout and another split announcement in early August.
http://biz.yahoo.com/p/v/vivo.html
STATUS: Double bottom. We expect the breakout before the split announcement, of course, as VIVO is showing strong volume Thursday and Friday as it moves toward the breakout from its 12 week price pattern. Tried to set up a move in April and early May but faded further, continuing the base formation. It held at the 200 day SMA (22.73) on the May and April lows, setting up the move higher. Excellent 7 to 3 accumulation shows solid buying during the base that is setting VIVO up for a run to a new all-time high. Friday it tried the 'hump' in the pattern (25.73), but backed off. Strong leader that has set up for another try at a high.
Volume: 464.943K Avg Volume: 191.708K
BUY POINT: $25.78 Volume=288K Target=$30.95 Stop=$24.11
POSITION: ZUG JE - Oct. $25c (54 delta) &/or Stock
http://www.investmenthouse.com/ci/vivo.html
Continuing plays ready to make their move:
Play Date: 06/13/2006
DIOD (Diodes--$41.44; +0.79; optionable): Semiconductor integrated circuits
http://biz.yahoo.com/p/d/diod.html
STATUS: Double bottom w/handle. Pretty corny name, but this is one solid stock. Volume was up Friday as DIOD rallied to the intraday high hit on two other occasions the past week. That makes 42 look like the new resistance to clear in the handle to this nicely formed base. The dip early in the week was a good shakeout with DIOD rebounding off near support at the 18 day EMA(39.31). Looks ready to make the breakout from its 10 week base after this final shakeout of the sellers. A solid market leader, semiconductor or not.
Volume: 617.457K Avg Volume: 358.155K
BUY POINT: New: $42.11 (orig. $41.05) Volume=450K Target=$50.00 Stop=$38.18
POSITION: DUH LH - Dec. $40c (51 delta) &/or Stock
http://www.investmenthouse.com/ci/diod.html
Play Date: 06/26/2006
ILMN (Illumina--$29.66; +0.68; optionable): Biotechnology
http://biz.yahoo.com/p/i/ilmn.html
After Hours: $29.61
STATUS: Double bottom w/handle. Some illuminating volume Thursday and Friday as ILMN moved up to kiss the breakout point. A really nice base has set up and it is showing really solid price/volume action the past two weeks. To recap: Pretty 10 week double bottom that worked to nicely fill the gap higher in mid-April. The action last week finished its handle. Now it is set to give us the breakout to a 5.5 year high. Positive accumulation and surging money flow go hand in hand. Relative strength is making the breakout well ahead of price, a very bullish indication.
Volume: 1.175M Avg Volume: 737.262K
BUY POINT: $30.25 Volume=1M Target=$36.50 Stop=$28.22
POSITION: IQA LF - Dec. $30c (58 delta) &/or Stock
http://www.investmenthouse.com/ci/ilmn.html
FDX
THX: Will be ready after a bit more fade.
TSAI: Volume is moving higher. More trade as it moves thru 42 is a buy.
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
trade stock
|
