|
|
us stock market, trade stock
Begin part 3 of 3
THE PLAYS:
New pre-announcement plays are found in that section.
New Post-Split Play:
Play Date: 04/01/2008
ESRX (Express Scripts--$67.73; +3.41; optionable): Mail order prescriptions
http://biz.yahoo.com/p/e/esrx.html
EARNINGS: 5-21-08
STATUS: Double bottom. After a solid run from October to early January, ESRX corrected back, forming the current 12 week base. The second low undercut the early January/February low, taking out the 200 day SMA (60.21) and then rebounding to form the second leg. Tuesday it broke higher with a strong price move, but volume was not there, fading to below average. Looking to move in as ESRX continues higher and clears the February 'hump' but want to see more volume attached.
Volume: 2.946M Avg Volume: 3.621M
BUY POINT: $68.11 Volume=5M Target=$77.95 Stop=$66.21
POSITION: XTQ HM - Aug. $65c (65 delta) &/or Stock
http://www.investmenthouse.com/cs/esrx.html
Play Date: 04/01/2008
JASO (JA Solar Holdings--$18.87; +0.27; optionable): Solar semiconductors
http://biz.yahoo.com/p/j/jaso.html
EARNINGS: Announced 3-12-08
STATUS: Double bottom w/handle. JASO did not participate in the Tuesday blast higher, but it enjoyed a strong March that took it off the lows without much of a test. It is testing now, moving laterally over 18 in a very tight range and on low volume, forming a handle to its 14 week base. Classic double bottom where the right leg undercut the left, and now the handle right below the 'hump' in the pattern. Very quiet trade and want to see volume start to swell and then surge when it makes the breakout move through the 90 day SMA (19).
Volume: 4.181M Avg Volume: 8.671M
BUY POINT: $19.55 Volume=13M Target=$24.35 Stop=$18.18
POSITION: QJP FW - June $17.50c (66 delta) &/or Stock
http://www.investmenthouse.com/ci/jaso.html
New Leader Play:
Play Date: 04/01/2008
ASIA (Asiainfo Hldgs--$11.63; +0.77; optionable): Software security in China. Kind of ironic, huh?
http://biz.yahoo.com/p/a/asia.html
STATUS: reverse head and shoulders. Nice volume Tuesday as ASIA jumped higher off the 18 day EMA and the right shoulder of its 5 month nicely formed base. The pattern formed after ASIA moved up to a five year high and a good albeit choppy 2007. This solid, longer base has set the foundation for a solid gain. Looking to move in as ASIA continues the break higher out of the pattern.
Volume: 814.378K Avg Volume: 422.235K
BUY POINT: $11.84 Volume=500K Target=$14.95 Stop=$11.01
POSITION: BUJ GB - July $10c (73 delta, 49 OI) &/or Stock
http://www.investmenthouse.com/ci/asia.html
Play Date: 04/01/2008
SOHU (Sohu.com--$49.02; +3.89; optionable): Online products and services in China
http://biz.yahoo.com/p/s/sohu.html
EARNINGS: Early May
STATUS: Double bottom w/handle. Nice 16 week base has formed making two lows at the 200 day SMA (42.77). Bounced to form a handle the past week as the market sold, working laterally along the 50 day EMA (45.86). Nice break higher Tuesday with increasing volume, though it was still just below average. Looking for some more volume to show buyers are stepping in again and ready to push SOHU toward that old high and our target.
Volume: 1.278M Avg Volume: 1.288M
BUY POINT: $49.78 Volume=1.8M Target=$59.75 Stop=$46.30
POSITION: UZK FJ - June $50c (54 delta) or UZK IJ - Sept. $50c (49 delta) &/or Stock
http://www.investmenthouse.com/ci/sohu.html
PRE-ANNOUNCEMENT PLAYS
We consider many stocks for pre-announcement plays every week. We get information regarding upcoming announcements and other data that leads us to conclude a split announcement is coming. Even then, however, we have to be discriminating. We have to see a strong technical pattern as well, and thus we reject many potential candidates based on a weak technical position.
The key today is to find stocks in strong patterns or that are ready to rebound off support. A split announcement will amplify the move higher in these cases as we enjoy moves from strong leaders in position to run higher. We won't chase a stock in a poor technical position even if we know it is going to split; it simply won't do us any good, i.e. it typically won't make us any money to the upside. We could list all stocks we think are going to split, but again, that won't make us any money unless we are in an office pool as to what stocks will or won't announce a stock split.
Current Pre-Announcement Plays:
This is a list of stocks we are looking to announce splits. We are not in all of the potential splits plays but are letting them set up for the next move. In each report we look at the candidates that are in the best patterns ahead of their potential announcements. This focus on leaders in good patterns allows us to make good money even if companies do not announce the split. The key with splits is the pattern and of course the strong earnings growth that put it in the pattern in the first place.
AAPL: Forecast in April.
ACV: Researching date
ATW: Researching date
BCR: Late April
CELG: Researching date
CHD: Forecast early May
CHRW: Forecast 4-22-08
EAC: No announcement yet. Quite a recovery from the selling, now testing back to the 10 day EMA but volume really jumped.
ECA: Bounced off the 50 day EMA, trying to hold the move now, still working laterally along the 18 day EMA
ESV: Tentatively looking at 4-24-08
GGB: Researching date. Not bad, breaking higher off the 50 day EMA on stronger volume, but still below average and needs more.
GME: Forecast in June
ISRG: Tentatively set for late April
JAKK: Tentatively set for mid-May
JOYG: Researching date.
MA: Forecast late April
RIG: Forecast mid-May
WFT: Tentatively forecast late April
NEW PRE-ANNOUNCEMENT PLAYS:
Play Date: 04/01/2008
SCHN (Schnitzer Steel--$73.18; +2.16; optionable): Steel and iron
http://biz.yahoo.com/p/s/schn.html
STATUS: Reverse head and shoulders. Nice break higher just over a week back as SCHN jumped on strong volume, clearing a 5 month base. After that breakout the market started its test of the rally off the March lows while SCHN just moved laterally on light trade. Tuesday volume jumped sharply and so did SCHN, gapping higher. Filled the gap intraday and then rebounded. Nice action and ready to move in as SCHN continues higher.
Volume: 843.123K Avg Volume: 670.514K
BUY POINT: $73.88 Volume=1M Target=$87.95 Stop=$70.55
POSITION: SQQ HN - Aug. $70c (64 delta) &/or Stock
http://www.investmenthouse.com/ci/schn.html
CONTINUING PRE-ANNOUNCEMENT PLAYS:
Play Date: 03/29/2008
ATW (Atwood Oceanics--$92.72; +1.00; optionable): Offshore oil and gas drilling
http://biz.yahoo.com/p/a/atw.html
STATUS: Double bottom. Tapping at the 50 day EMA (89.51) on the intraday lows and rebounding. Still low volume, but setting up nicely to break higher. To recap: ATW is forming a double bottom over the 200 day SMA (81) as support for the two legs. It started higher last week and moved through the 50 day EMA (89.29) where it paused. May move laterally for a session or two before breaking higher, but we want to be ready when it makes the high volume break higher.
Volume: 540.414K Avg Volume: 660.902K
BUY POINT: $92.65 Volume=950K Target=$104.95 Stop=$89.11
POSITION: ATW FR - June $90c (60 delta) &/or Stock
http://www.investmenthouse.com/cs/atw.html
Play Date: 03/31/2008
CHD (Church & Dwight--$55.44; +1.20; optionable): Cleaning products
http://biz.yahoo.com/p/c/chd.html
EARNINGS: Early May
STATUS: Cup. Strong volume again and a gap higher. Rallied to 56.85 on the high but closed off the highs. Didn't like that action and wanted to see how it pans out and holds up. If it can hold and continue back up it is a buy. To recap: Strongest volume spike in 5 months as CHD comes off of a higher low made while testing the 50 day EMA (53.28) following last week's break higher. A nice 16 week consolidation of a strong move in November. Like the higher low, the second one since it touched down early in the base at 50, tapping the 200 day SMA and rebounding. Love those higher lows building for the breakout to a new high.
Volume: 897.804K Avg Volume: 489.113K
BUY POINT: $54.48 Volume=700K Target=$62.65 Stop=$52.58
POSITION: CHD GK - July $55c (51 delta, 45 OI) &/or Stock
http://www.investmenthouse.com/cs/chd.html
Play Date: 03/27/2008
JAKK (Jakks Pacific--$28.75; +1.18; optionable): Toys, pet toys, electronics
http://biz.yahoo.com/p/j/jakk.html
EARNINGS: Announced 2-20-08
STATUS: double bottom with handle. Still in the handle, still working laterally over the 18 day EMA (27.64) and setting up for the breakout. Just has to show it. To recap: A jack of all trades in the toy arena, and it has set up a solid 8 month base preparing the stock for a break to a new all-time high. Excellent volume in late February as JAKK surged higher and formed the second leg of its double bottom. It has spent the past 4 weeks moving laterally and lower on very low, declining volume, forming the handle, the point where the impatient ones are weeded out. Volume has started to swell over the past week as JAKK starts to stir to the upside. Looks very good for the breakout soon.
Volume: 559.243K Avg Volume: 675.081K
BUY POINT: $28.95 Volume=981K Target=$34.95 Stop=$26.92
POSITION: UFF FE - June $25c (74 delta) &/or Stock
http://www.investmenthouse.com/ci/jakk.html
CONTINUING POST-SPLIT PLAYS:
Play Date: 03/29/2008
KO (Coca-Cola--$61.44; +0.57; optionable)
http://biz.yahoo.com/p/k/ko.html
STATUS: Double bottom w/handle. Volume surged well above average as KO crouches for the breakout. Looking very good. To recap: Strong run through 2007 needed a breather to set up the next move, and KO fell into the current 11 week base that formed using the 200 day SMA at 58 on the lows as support. Strong move higher off that level two weeks back, clearing the 90 day SMA (60.90) on the move. It spent last week moving laterally along the 90 day on low volume, forming a handle, consolidating the break higher. Going to let it finish the handle formation and then move in as KO makes the break higher.
Volume: 12.937M Avg Volume: 10.803M
BUY POINT: $62.05 Volume=15M Target=$69.95 Stop=$60.78
POSITION: KO HL - Aug. $60c (66 delta) &/or Stock
http://www.investmenthouse.com/cs/ko.html
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.
|
us stock market
trade stock
|
