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Begin Part 3 of 3

DHR (Danaher--$63.74; +1.33; optionable):
http://biz.yahoo.com/p/d/dhr.html
BACKGROUND: Last announced a 2:1 split on 3-6-98 with a board meeting. The stock price was $70. The annual shareholder meeting was on 5-1-01 at which time authorized shares were increased. The company has enough shares for a 2:1 split.
STATUS: Tested the 50 day MVA (60.29) at its low Wednesday, and gapped up today but could not take out the highs in its ascending wedge. In fact, the move was not very strong as volume dipped back to 1.04 million (average 1.06 million). Still could get the breakout from here, but we could also see a test back, and we would look for that move to hold the short-term MVA's (61.91), making another higher low in the pattern to set up a move. Target: 72.
BUY POINT: 64.35 on volume of 1.4 million. Stop: 59.85 (7%)
POSITION: Stock and/or March $60 calls to buy (DHR CL).

JCI (Johnson Controls--$84.06; +0.79; optionable): Auto parts. Working on a date.
http://biz.yahoo.com/p/j/jci.html
BACKGROUND: Based upon our research it does not appear that JCI has ever split its stock. The annual shareholder meeting was 0n 1-24-01 at which time no additional shares were authorized. The company has sufficient shares for a 2:1 split.
STATUS: Broke out Wednesday to a new high. JCI had made a pretty good recovery after dropping back to test near its 200 day MVA (75), but surged back over its consolidation range (formed after completing a 'v' shaped cup) with a strong move. Volume remained high today (654,100; average 403,000), and JCI hit up to 84.95 but pulled back to close. Still a buy up to 86.84 on continued strong volume, but if we get a pullback off of this less-than-stunning follow up move, we will see if it holds the former high at 82.70. Target is 90.
BUY POINT: Still a buy up to 86.84 on continued strong volume. Stop: 78.20-80.76.
PLAY: Stock and/or April $80 calls to buy (JCI DP).

POST SPLITS BEST PLAYS:
1) VAR - What a move!

VAR (Varian Medical--$39.40; +1.80; optionable): Split 2:1 on 1-16-02.
http://biz.yahoo.com/p/v/var.html
STATUS: Made the breakout! VAR formed a nice 'flying w' with handle pattern, and after a couple of attempts to make a move, today it blasted up on very strong volume (1.08 million; average 279,800). The move takes VAR to a new high, The former high was 38.63 (from June before dropping into a long cup). Still a buy up to 39.90. Target: 43.
PLAY: Still a buy up to 39.90 with continued strong volume, and stock and/or May $35 calls to buy (VAR EG). Stop: 37.11.
* * * *
WATCHLISTS: Many of these have made such good moves lately we have put them here to look for the next entry point.

PRE-ANNOUNCEMENTS WATCHLIST: BRL, NDN

DRI ($41.20; +1.75): We are working on a date. Wow. Nice rebound and breakout Wednesday, and today DRI blasted up again on even stronger volume (1.75 million; average 731,600). It is over its upper channel trendline and this could be a climax run, so we will bring up stops and protect positions, because these runs can lead to some abrupt drops.

LSTR ($86.81; +2.24): Working on a new date. Beautiful. Continues its beautiful run, gapping up and moving closer to the target at 90. Moving stops up to protect the gains, as we could get more of a pullback at any time.

LLL ($102.52; +3.42): No announcement but a great move! After tapping down to its 18 day MVA (94.50) at the low Wednesday, it ran back up hard, and today continued up to 104.83 at its high. However, LLL pulled back to close, indicating that we could see a dip back. Watching short-term positions for such a dip, and looking for the 100 level to hold.

TGH ($73.53; +0.24): Forecast to announce a split on 2-8-02 before the market opens in conjunction with earnings. Moving in on the split date next week, and TGH has made a really good move. It rambled up to 74.75 intraday Thursday, pulling back to close. Like with LLL, we will watch support on a possible drop back, with the 18 day (71.57) having acted as strong support on the recent run.

GTK ($50.91; +1.40): Working on a date. GTK is making an impressive move! It started near 42 and has taken out the recent highs at 47.50, and has continued up the last two sessions after a short break. Volume blasted up again, and we are still targeting 55.

HB ($57.29; -0.19): Forecast to announce a split on 2-5-02 before the open with earnings. Holding in the range of the October high on the test of its recent move. Still looking at positions on a move over 58 on continued strong volume (154,300; average 92,000), with stock and/or March $55 calls to buy (HB CK - March $55).

STU ($88.02; +1.07): Researching a date. STU has made an impressive run, continuing up today toward the target at 90. Volume again decreased on the move, so we will be ready for a test back to the short-term MVA's (83.65-84.85), which have been support on the strong upward trend.

DIAN ($57.85; +0.86): Forecast to announce a split with earnings on 2-21-02 before the open. The bounce from the 50 day (54.39) is weaker this time, and is approaching its recent high at 59.50. We will see if it can gain some strength.

MRBK ($43.63; +0.30): Forecast to announce a split on 3-12-02 in conjunction with a board meeting. The company will not confirm this date, but our research determines this is the date for the next board meeting. No news as MRBK abruptly fell from its pattern Tuesday, and has taken a bounce from the 50 day (42.99), with volume decreasing. We will see if it holds.

IFIN ($69.60; +0.63): Looking at an announcement on 4-16 with earnings or with the 4-23 shareholder meeting. Fell out of its little pennant pattern that served as a handle to a cup dating back to July. It is holding its 50 day (68.25), and we will see if it can continue to do so and set up again.

PRE SPLITS WATCHLIST:

SYMC ($78.66; +1.76): Splits 2:1 effective February 1. Splits tomorrow, but made a heckuva run and made a bit more of a move today. Watching positions with care as the drift up could lead to a drop post-split.

BLL ($78.70; +1.32): Splits 2:1 effective February 22. Continues to amaze, having made a 20% run on this move. Another that we have to be ready to pull back, looking at 75 as a possible level where it would hold support and set up again.

FRED ($43.09; +0.96): Splits 3:2 effective February 4. One more session until it splits, but it has been a nice run. It is right at resistance from its high at 43.86, so the run is likely over.

CONTINUING CANDIDATES WATCHLIST: When splits are not announced, we will keep the best split prospects on the report rather than continue to carry all of them in case there is a an unexpected announcement. We will continue to monitor the stocks that are trimmed and add them again when we ascertain a revised split announcement date. These include AZO, BBY, EDS, ETH, JCI, MI, STJ and THQI.

ACS ($95.65; +2.74): ACS is bouncing again, and with the 10 day MVA just ahead at 96.97, and the decreasing volume on the move up (1.1 million; average 659,000), ACS could very well turn back and give us yet another chance for put positions on a ride down to 90. On a drop through 95, March $100 puts to buy (ACS OT).

THC ($63.79; +0.99): Gapped back over the short-term MVA's (10 day at 63.19), but volume on this bounce from the 50 day (61.25) has not been that impressive. We will see if it will hold this support, and then look at setting up a stronger move.

PII ($56.90; +1.15): After getting hammered with earnings it has made it back over the 50 day (54.71), but the move is precarious. We will see if it can hold, and if not we will look at a put play.

PMI ($70.55; +0.52): Not doing a whole lot here, just edging up along the short-term MVA's (68.64-69.37). Volume dipped on the slight move up today, and we could see a test back here. This would be a good time to pull back and form a consolidation from which to build for a move.

RYL ($78.31; -1.09): RYL made a very strong move, and still looks good after pulling back today on lower volume (400,400; average 371,600). We could see a test back toward recent highs at 75, but this little dip looks healthy, so it might stop the drop here and continue up toward the target of 85.

POST SPLITS WATCHLIST:

CACI ($36.30; +0.40): Struggling now, and we are dropping.

CHBS ($32.70; +1.29): Trying to hold on in its pennant pattern. If it can hold we will still look for a move over 34.50 on volume of 500,000, with stock and/or March $30 calls to buy.

CHS ($29.95; +0.17): Holding up well, although it could need some more time to consolidate or test its prior highs at 28.50 before launching another move.

Good Investing!
Jon L. Johnson and the Stock Split Report 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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