|
|
stock recommendation, stock investment information
Begin part 3 of 3
THE PLAYS
New Plays:
Upside:
Play Date: 10/29/2007
BGC (General Cable--$71.58; +1.95; optionable): wire and cable
http://biz.yahoo.com/p/b/bgc.html
EARNINGS: 10-31-07 after the close
STATUS: Cup w/handle. Taking another look at BGC as it held the 50 day EMA (68.80) on last week's low and bounced modestly. Pretty nice handle has formed the past two weeks to a 15 week base. Strong run in 2006 through July and this base is allowing it to digest the gains and set the foundation for the next breakout and run higher. Looking for some solid volume as it makes the break higher. Earnings are after the Fed decision comes out and that gives us a really good look after the announcement and ahead of the earnings after the close.
Volume: 1.07M Avg Volume: 1.726M
BUY POINT: $72.11 Volume=2.6M Target=$82.95 Stop=$69.48
POSITION: BGC BN - Feb. $70c (55 delta) &/or Stock
http://www.investmenthouse.com/ct/bgc.html
Play Date: 10/29/2007
DO (Diamond Offshore--$114.95; +2.48; optionable): Offshore oil and gas drilling
http://biz.yahoo.com/p/d/do.html
EARNINGS: Announced 10-25-07
STATUS: Test 50 day EMA. DO gapped higher ahead of earnings and tested, set up well to make the break higher on the results. It disappointed some and it sold off to test the 50 day EMA (110.59) on Friday. It bounced up Monday to hold above the 18 day EMA on lower but still strong volume. Like how it swallowed the earnings without too much disappointment, and will look to move in as DO continues higher on strong trade, showing us that the buyers are behind it again.
Volume: 2.953M Avg Volume: 2.442M
BUY POINT: $116.65 Volume=3.4M Target=$133.95 Stop=$112.32
POSITION: DO AC - Jan. $115c (58 delta) &/or Stock
http://www.investmenthouse.com/ct/do.html
Play Date: 10/29/2007
DRYS (Dryships--$130.97; +7.47; optionable): Bulk shipping
http://biz.yahoo.com/p/d/drys.html
EARNINGS: Third week of November
STATUS: Flying plateau. Made us some great money in its September to October run following its August breakout. One of the strongest runners in the market, it refused to give up any gains as it took a breather, and Monday it was moving higher on a super shot of volume, clearing the recent highs in this two week range. Ready to move in as DRYS continues its run.
Volume: 5.285M Avg Volume: 2.608M
BUY POINT: $131.48 Volume=3.2M Target=$157.45 Stop=$125.92
POSITION: DQR AV - Jan. $130c (58 delta)
http://www.investmenthouse.com/ct/drys.html
Play Date: 10/29/2007
MYGN (Myriad Genetics--$54.95; +2.55; optionable): Diagnostic substances
http://biz.yahoo.com/p/m/mygn.html
EARNINGS: 11-1-07 before the open.
STATUS: Earnings are 11-1-07 and MYGN started higher Monday on a new shot of above average volume following last week's lateral move over the 50 day EMA on very low trade. A strong break higher and run in August through the first week of October needed a deeper test. This move back to the 50 day EMA the past three weeks has given it the breather it needed to resume the run higher. It is riskier playing it into earnings, but we can get a good 5 points out of it and take the gain if it gives us that.
Volume: 852.308K Avg Volume: 716.269K
BUY POINT: $55.54 Volume=900K Target=$65.55 Stop=$52.88
POSITION: GSQ AK - Jan. $55c (57 delta) &/or Stock
http://www.investmenthouse.com/ct/mygn.html
Play Date: 10/29/2007
TDG (TransDigm Group--$46.01; +3.05; optionable): Aerospace/defense
http://biz.yahoo.com/p/t/tdg.html
EARNINGS: Second week November
STATUS: Test 50 day EMA. TDG is a top rates stock in terms of earnings growth rates and it has a great pattern to go with it. It broke higher in late September from an 11 week reverse head and shoulders base. It rallied to 47 in late September and has since come back to test, falling to the 50 day EMA (43.11), holding there last week. Monday it was back in the game, rallying nicely on stronger, above average volume. Nice test and ready to move in as TDG continues its breakout move.
Volume: 241.3K Avg Volume: 231.877K
BUY POINT: $46.25 Volume=250K Target=$55.45 Stop=$43.88
POSITION: TDG BI - Feb. $45c (52 delta) &/or Stock
http://www.investmenthouse.com/ct/tdg.html
New buy point on a current position:
Play Date: 10/29/2007
HOLX (Hologic--$67.15; +1.31; optionable): Medical appliances (Mammogram machines)
http://biz.yahoo.com/p/h/holx.html
EARNINGS: 11-6-07
STATUS: Breakout test. HOLX surged higher for us with a late September breakout from its 19 week double bottom base. Strong volume on the breakout, and some distribution volume as the run stalled & it started to sell some. Held up well, however, coming back to the 18 day EMA (65.46) the past week, testing that level on the intraday lows and bouncing. Monday it bounced up on rising, average trade. It looks as if this first test of the breakout is over and HOLX is ready for the upside once more with a run into earnings. Looking to move in as it continues this bounce on some solid trade. Great stock in great position.
Volume: 2.074M Avg Volume: 2.103M
BUY POINT: $68.89 Volume=3M Target=$79.95 Stop=$65.32
POSITION: QHX AM - Jan. $65c (62 delta) &/or Stock
http://www.investmenthouse.com/ct/holx.html
CONTINUING PLAYS:
Play Date: 10/27/2007
AMZN (Amazon.com--$90.10; +0.10; optionable): Internet sales
http://biz.yahoo.com/p/a/amzn.html
EARNINGS: Announced 10-23-07
STATUS: Test 50 day EMA. Tapped at the 18 day EMA (91.07) on the high and then faded back to the close on lower, below average volume. Still working on making the break higher and just have to be patient and let it finish and then makes its break higher. To recap: AMZN was a great money maker for us in its prior run that started, as a matter of fact. As AMZN came off a 50 day EMA (87.53) test. AMZN had the misfortune of running up $10 on the day of its earnings announcement, and with that kind of lead in it was hammered on the news, gapping lower Wednesday. It undercut the 50 day EMA on the low but it recovered that session to hold that important support level. It held there Thursday and Friday to conclude the week, moving laterally on lower, average volume. Earnings were stellar, and the fact that AMZN held the 50 day after a great August and September run is fairly typical action, gap lower or not on Wednesday. Thus we are looking for AMZN, which is growing its business at a stellar pace, to start back up off this support and run again, and when it does we want to be ready to buy in when it does.
Volume: 7.059M Avg Volume: 8.703M
BUY POINT: $91.45 Volume=10M Target=$109.75 Stop=$87.31
POSITION: ZQN AR - Jan. $90c (56 delta) &/or Stock
http://www.investmenthouse.com/ct/amzn.html
Play Date: 10/24/2007
CRNT (Ceragon Networks--$19.13; +0.93; optionable): Point to point wireless backhaul solutions
http://biz.yahoo.com/p/c/crnt.html
EARNINGS: Announced 10-22-07
STATUS: Cup w/handle. Volume bounced up toward average as CRNT jumped off the 10 day EMA test. Very solid pattern and very much ready for the break from the looks of it. Just needs to show us the move out of this very nice little base. To recap: Forming a short handle to its short 4 week base formed using the 50 day EMA as support on the lows. Came to life in May after a long, long dormancy. Great run and it needed a breather to set back up for a new run. Strong volume Monday as it announced some excellent earnings. Spent Tuesday and Wednesday testing; may take another session or two to complete the handle. We just need to be ready to move in as it shows us the breakout move.
Volume: 1.408M Avg Volume: 1.57M
BUY POINT: $19.55 Volume=2.4M Target=$23.48 Stop=$18.18
POSITION: QMC CW - Mar. $17.50c (66 delta) &/or Stock
http://www.investmenthouse.com/ct/crnt.html
Play Date: 10/27/2007
SNP (China Petroleum & Chemical--$151.43; +0.92; optionable): Chinese oil and gas
http://biz.yahoo.com/p/s/snp.html
EARNINGS: 10-30-07
STATUS: Test 18 day EMA. Bumped higher Monday, clearing the 10 day EMA (151.66) intraday but then slipping back to close just below that level on rising though still below average volume. Still looks very good and ready to move in as SNP shows us the break higher. To recap: SNP broke out from a 12 week base in late September, rallied nicely, tested, and then exploded higher the second week of October, reaching 178.91 on the high. It spent the past 7 sessions testing the move, coming back to hold just over the 18 day EMA (146.13) as it tests on lower, below average volume. This is just the second test of the breakout, and though the second leg higher was a monster, that still leaves SNP with plenty of upside. Heck, it can hit our initial target without having to move past that October high; have to like that. Three nice dojis to end the week, and looks as if SNP is just about ripe to resume the move higher.
Volume: 574.7K Avg Volume: 760.103K
BUY POINT: $151.88 Volume=900K Target=$174.95 Stop=$147.68
POSITION: SNP AJ - Jan. $150c (55 delta)
http://www.investmenthouse.com/ct/snp.html
Good Investing!
Jon L. Johnson and your Technical Traders Report 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.
|
stock recommendation
stock investment information
|
