|
|
us stock market, stock split
Begin part 3 of 3
THE PLAYS:
New Pre-Announcement plays contained in that section.
Post-Split:
Play Date: 05/22/2008
CMI (Cummins--$69.35; +0.07; optionable): Engines, etc.
http://biz.yahoo.com/p/c/cmi.html
EARNINGS: 7-30-08
STATUS: Test 18 day EMA. Surged higher to end April, rallying on its earnings out of a 15 week base. Rallied to 74 on the breakout run and is now testing near support at the 18 day EMA (67.23), tapping that level on the low and rebounding to close flat. Nice low volume test shows few sellers. Looking for CMI to continue its move higher off of this test with a good shot of volume.
Volume: 1.924M Avg Volume: 2.962M
BUY POINT: $70.57 Volume=3.2M Target=$84.95 Stop=$67.11
POSITION: CDM IN - Sept. $70c (59 delta) &/or Stock
http://www.investmenthouse.com/ci/cmi.html
Leader plays:
Play Date: 05/22/2008
ICO (International Coal Group--$9.72; +0.10; optionable): Coal
http://biz.yahoo.com/p/i/ico.html
EARNINGS: Announced 4-23-08
STATUS: Test 18 day EMA. ICO broke out from an 11 week base in mid-April, gapping higher on strong volume. It surged then tested the move to start May before taking off on another run higher, the second of the breakout. Nice low volume pullback this week, with a tap at the 18 day EMA on the Thursday low (9.25) and then rebounding on stronger, above average volume. It is now set for the next break higher, and with coal running wild, this is a nice one to play that move.
Volume: 2.85M Avg Volume: 2.246M
BUY POINT: $10.11 Volume=3M Target=$12.15 Stop=$9.40
POSITION: ICO IB - Sept. $10c (58 delta) &/or Stock
http://www.investmenthouse.com/cs/ico.html
Play Date: 05/22/2008
SINA (Sina.com--$50.74; +0.30; optionable): Chinese internet
http://biz.yahoo.com/p/s/sina.html
EARNINGS: Announced 5-14-08
STATUS: Test 18 day EMA. SINA exploded higher on us in the second week of May and we missed that breakout from its 6.5 month double bottom with handle base. It rallied close to 60 then turned back the past week for a full test of the breakout move, tapping the 18 day EMA on the Thursday low and rebounding to close flat. Nice test and like that tight doji at the near support. Ready to move in on a strong bounce on continued solid, above average volume.
Volume: 3.222M Avg Volume: 1.535M
BUY POINT: $52.24 Volume=2.3M Target=$59.95 Stop=$49.31
POSITION: NOQ IJ - Sept. $50c (57 delta) &/or Stock
http://www.investmenthouse.com/ci/sina.html
Play Date: 05/22/2008
VRSN (Verisign--$39.64; +0.31; optionable): Internet services
http://biz.yahoo.com/p/v/vrsn.html
EARNINGS: Announced 5-8-08
STATUS: Breakout test. Nice low volume over the 10 day EMA (39.20) as VRSN holds a strong breakout from last week. Nice formed 5.5 month double bottom with handle base, strong breakout on volume, and now a test setting up a great next break higher. Looking for volume to ramp up again as it makes the rebound once more.
Volume: 1.802M Avg Volume: 3.757M
BUY POINT: $40.12 Volume=4M Target=$47.95 Stop=$38.88
POSITION: QVR IH - Sept. $40c (55 delta) &/or Stock
http://www.investmenthouse.com/ci/vrsn.html
New buy point on current positions:
Play Date: 05/22/2008
SOHU (Sohu.com--$77.78; -0.33; optionable): Chinese internet
http://biz.yahoo.com/p/s/sohu.html
EARNINGS: Announced 4-28-08
STATUS: Test 18 day EMA. Gapped higher in late April on a strong earnings report, clearing a 5.5 month double bottom with handle base. Strong surge to 85 on the run, and now in its second test of the breakout, coming back to tap at the 18 day EMA on the Thursday low, rebounding off that level Thursday. Big move but still early in the breakout run, and this pullback looks tailor made for a new move higher. Need to see continued strong volume as it makes the break back upside to continue the run.
Volume: 2.375M Avg Volume: 1.792M
BUY POINT: $79.44 Volume=2.2M Target=$94.95 Stop=$76.86
POSITION: UZK IP - Sept. $80c (47 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: Still moving higher after a pause, still anticipating the second G iPhone
ATK: Testing the strong breakout move
ATW: No split announcement but making its next move higher to end the week
BHI: Tentatively set for late July
BHP: Mid-May
CELG: Researching date
CLB: A wildcard with no splits. Tentatively set for July
GD: Forecast July
GGB: Researching date. Flying higher.
GILD: Researching date
IBM: Great week for the Beemer
JEC: Mid-July
JOYG: Researching date.
LSTR: Tentatively set mid-July
MICC: Forecast third week of July
MTRX: Forecast early July
OTEX: No announcement with earnings
RIG: Forecast mid-May. Moving higher, split or not
RS: Mid-July
SCHN: Researching date, enjoying the run
TMO: Tentatively set for July
VMI: Mid-July
CONTINUING PRE-ANNOUNCEMENT PLAYS:
Play Date: 05/21/2008
TMO (Thermo Fisher Scientific--$57.99; -1.05; optionable): Analytical instruments, equipment, reagents, software, etc. for R&D, manufacturing, diagnostics, etc.
http://biz.yahoo.com/p/t/tmo.html
EARNINGS: Announced 4-24-08
STATUS: Ascending triangle. Modest test Thursday on lower, below average volume, holding at the 10 day EMA on the close. Nice easy test as it continues setting up for the breakout. To recap: Volume swelling above average the past two sessions as TMO knocks at the door of a 5 month ascending base, making higher and higher lows below a constant top at 59ish. Tried the breakout territory intraday on Wednesday then came back as the market sold off. That is about all it did; it is ignoring the market as it sets up for the breakout. Strong money flow is leading the way.
Volume: 2.567M Avg Volume: 2.734M
BUY POINT: $59.75 Volume=4M Target=$67.95 Stop=$57.45
POSITION: TMO IL - Sept. $60c (49 delta) &/or Stock
http://www.investmenthouse.com/ct/tmo.html
CONTINUING POST-SPLIT PLAYS:
Play Date: 05/17/2008
ASML (ASML Holdings--$29.74; +0.23; optionable): Chip equipment
http://biz.yahoo.com/p/a/asml.html
EARNINGS: 7-16-08
STATUS: Cup w/handle. Nice doji that tapped the 200 day SMA on the low and recovered to flat. Good shakeout action continues, and just waiting for the breakout move. To recap: Nice run from mid-2006 through October 2007 needed a consolidation. ASML has set up a nice 5.5 month base to digest the run and lay the foundation for a new breakout and run. Has moved laterally the past three weeks, forming the handle to the base right at the 200 day SMA (29.31). Bounced to end last week, bumping at the breakout but not quite the volume it needs. Good volume, just not a blast of buying. Money flow has turned up ahead of price as it works laterally and looking for ASML to follow it this week. Very nice pattern, great set up.
Volume: 2.616M Avg Volume: 3.178M
BUY POINT: $30.49 Volume=4.5M Target=$36.78 Stop=$29.22
POSITION: MFQ GF - July $30c (58 delta) &/or Stock
http://www.investmenthouse.com/ci/asml.html
Play Date: 05/20/2008
FWLT (Foster Wheeler--$74.82; -0.99; optionable): Heavy construction
http://biz.yahoo.com/p/f/fwlt.html
EARNINGS: Announced 5-7-08
STATUS: Double bottom w/handle. Still in the nice test, fading to the 10 day EMA on the close, pretty much as anticipated. Low volume shows just a consolidation, and now FWLT is ready to move higher once more. To recap: Nice strong volume surge last week finished the right side of its 5 month base, rallying to 80, the February peak, the 'hump' in the pattern. It matched that level and has faded toward the 10 day EMA (74.31), tapping toward that on the Tuesday low and then rebounding for a modest gain. Very low volume shakeout setting up the next breakout and run for FWLT.
Volume: 1.762M Avg Volume: 3.83M
BUY POINT: $78.22 Volume=5M Target=$93.95 Stop=$74.89
POSITION: UFG HW - Aug. $77.50c (56 delta) &/or Stock
http://www.investmenthouse.com/ci/fwlt.html
Play Date: 05/20/2008
WGOV (Woodward Governor--$38.48; -0.15; optionable): Energy control and optimization solutions for engines
http://biz.yahoo.com/p/w/wgov.html
EARNINGS: Announced 4-21-08
STATUS: Breakout test. Still in the pullback, showing a nice tight doji over the 10 day EMA (37.53). Good test and in position to make the next leg higher. Just has to show itself. To recap: Gapped higher last week, breaking out from a 5 month base on very strong volume, moving to a new all-time high. Nice lower volume test (though still high), and looking to move in after the test is over.
Volume: 712.34K Avg Volume: 594.628K
BUY POINT: $38.89 Volume=1M Target=$44.85 Stop=$36.89
POSITION: GUP GG - July $35c (74 delta, 66 delta) &/or Stock
http://www.investmenthouse.com/ci/wgov.html
CONTINUING LEADER PLAYS:
Play Date: 05/21/2008
BG (Bunge Ltd.--$117.95; -0.49; optionable): Soy Beans
http://biz.yahoo.com/p/b/bg.html
EARNINGS: Announced 4-24-08
STATUS: Reverse head and shoulders. Still in the pattern, hodlign the 18 day EMA with a nice tight doji on low volume. Good pattern, just waiting for the breakout move. To recap: Has quietly set up a 20 week accumulation base, working laterally the past 5 weeks, forming the right shoulder to its base. Needed a nice accumulation pattern after the breakout and run from last summer through January. Making a low volume test the past two sessions, holding at the 18 day EMA Wednesday after a strong Monday break higher. Money flow is strong and ready to play BG as it makes the break higher out of this pattern.
Volume: 1.114M Avg Volume: 2.924M
BUY POINT: $121.31 Volume=4M Target=$139.95 Stop=$117.65
POSITION: BG GD - July $120c (51 delta) &/or Stock
http://www.investmenthouse.com/ci/bg.html
Play Date: 05/20/2008
EXM (Excel Maritime Carriers--$50.50; -2.60; optionable): Shipping
http://biz.yahoo.com/p/e/exm.html
EARNINGS: Announced 5-19-08
STATUS: Breakout test. Tested further, tapping the 18 day EMA on the low and rebounding nicely to cut the losses. Good place to hold the line on the breakout test and then resume the run. To recap: Another shipper that surged then rolled over Monday after an upside gap. It tapped the 10 day EMA on the low and rallied right back. Looking for a continued move higher to give us the buy point as EXM rallies higher toward the October peak at 82.
Volume: 2.704M Avg Volume: 1.448M
BUY POINT: $52.88 Volume=3.5M Target=$72.42 Stop=$48.55
POSITION: EXM IK - Sept. $55c (60 delta) &/or Stock
http://www.investmenthouse.com/ci/exm.html
Play Date: 05/19/2008
ISIL (Intersil Holdings--$28.21; +0.01; optionable): Semiconductors
http://biz.yahoo.com/p/i/isil.html
EARNINGS: Announced 4-16-08
STATUS: Cup w/handle. Nice orderly test of the Monday break higher, tapping the 18 day EMA on the low and rebounding to flat, holding the 10 day EMA and showing a doji on the candlestick chart. Nice easy test and just looking for the next break higher. To recap: Surging higher Monday, gapping up on the strongest volume in a month. Very nicely formed 8 month base with a great handle where the volume dried up to end April and early May. Excellent action and the chips are really moving well. ISIL is the next one to move well.
Volume: 1.882M Avg Volume: 2.716M
BUY POINT: $29.55 Volume=2.8M Target=$33.95 Stop=$27.84
POSITION: UFH GE - July $25c (86 delta) or UFH JF - Oct. $30c (54 delta) &/or Stock
http://www.investmenthouse.com/ci/isil.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
stock split
|
