Weekend Newsletter for August 22, 2004
Brought to you by Online Investment Services, LP.
Visit Our Flagship Websites at http://www.investmenthouse.com” target=”_top”> InvestmentHouse.com and http://www.marketfn.com” target=”_top”> MarketFN.com
http://a.tribalfusion.com/i.click?site=InvestmentHousecom&adSpace=Stocks&size=468×60&requestID=749250698″ target=_blank>
http://a.tribalfusion.com/i.ad?site=InvestmentHousecom&adSpace=Stocks&size=468×60&requestID=749250698″
width=468 height=60 border=0 alt=”Click Here”>
INVESTMENT HOUSE.COMTM
Informing Investors Around The World
Read In All 50 States And Over 100 Countries
http://www.investmenthouse.com/cgibin/banners4/ads.pl?banner=NonSSI;page=388″ target=”_blank”>
http://www.investmenthouse.com/cgibin/banners4/ads.pl?page=388″ border=”0″>
Weekend Newsletter for August 22, 2004
Table Of Contents 1) MARKET SUMMARY 2) PRE-SPLIT PLAY 3) TECHNICAL PLAY 4) COVERED CALL PLAY
http://a.tribalfusion.com/i.click?site=InvestmentHousecom&adSpace=Stocks&size=336×280&requestID=1646110445″ target=_blank>
http://a.tribalfusion.com/i.ad?site=InvestmentHousecom&adSpace=Stocks&size=336×280&requestID=1646110445″
width=336 height=280 border=1 alt=””>
http://ichart.yahoo.com/v?s=^ixic”> http://ichart.yahoo.com/v?s=^dji”> http://www.investmenthouse.com/cgibin/banners2/ads.pl?banner=NonSSI;page=222″ target=”_top”>http://www.investmenthouse.com/cgibin/banners2/ads.pl?page=222″border=”0″ width=125 height=125 ALT=”$7 Trades!”>
http://www.investmenthouse.com/1splitnotification.htm”>Stock Split Notices http://www.investmenthouse.com/1questions.htm”>Investing Q & As http://www.investmenthouse.com/1glossary.htm”>Glossary
1) MARKET SUMMARY
Stocks finish week with a flourish.
– Market shows continued bullish bias, melts higher all session.
– August starts off sluggish for the economy.
– Market not yet forecasting a severe slowdown.
– Testing next key resistance already but volume remains absent.
– Now will stocks take a few days off to set up a further move?
http://www.investmenthouse.com/1weekendmarketsummary.htm”>Read Full Weekend Summaryhttp://www.investmenthouse.com/1daily1.htm”>Learn more about our Daily Newsletter with Stock Picks! – Issued 5 Times Per Week
2) Stock Splits Playing stock splits can be very profitable, but it takes know-how. Our stock split service focuses on three main types of plays: 1) pre-announcement (where we forecast an upcoming split prior to the company making the announcement); 2) pre-split (these plays are made in the days leading up to the actual split day); and 3) post-split plays (plays made after the actual stock split where the stock is showing continued or renewed strength). We play pre-split plays as short-term plays. We get in when the technical indicators show us things look right, grab as much as we can, and get out, always being conscious of resistance and support. These stocks are highly volatile at this time, and can turn on you quickly. Don’t let good profits disappear. Watch for turns, especially when a stock trades in a wide range and finishes off its high. That is a sign these stocks often give you that they are running out of steam. We usually get out and ask questions later. We can always get back in. We like to play in the money calls, preferably two strike prices in the money as this usually gives us a greater delta (the percent an option will mover versus the stock’s movement). We prefer deltas of 75 or better. This means if the stock moves 1 point, the option should move three-fourths of that point. That means up or down. Remember, wait to see the stock start to move up. Don’t just blindly make a play and don’t try to guess tops and bottoms. We can look at indicators to give us a clue as to what will happen, but we need the stock to confirm it for us. Here’s a pre-split play to watch and our current analysis.http://www.investmenthouse.com/1stocksplits1.htm” target=”_top”>http://www.investmenthouse.com/images2/cnbc.gif” width=”39″ height=”31″ border=”0″ alt=”CNBC Interview”>
Listen to Stock Split Report Editor Jon Johnson’s stock split interview on CNBC-TV![ http://www.investmenthouse2.com/cntdir.asp?name=JonJohnson-B” target=”_new”>Broadband | http://www.investmenthouse2.com/cntdir.asp?name=JonJohnson-D” target=”_new”>Dial-up ]
Chart by http://www.stockcharts.com”>StockCharts.com
http://www.investmenthouse.com/cc/ivxsm.gif”>
http://investmenthouse.com/quote/stkquote.php3?smbl=
IVX”>
IVX (Ivax–$24.72; +0.69; optionable): Generic drugs. Splits 5:4 on 8-25-04.
http://biz.yahoo.com/p/i/ivx.html”>Company Profile
After Hours: $24.75
STATUS: Flat. Volume has jumped to end the week as IVX heads toward a breakout over 25, starting to move as its split approaches. The base formed over the 50 day EMA (23.42) with the 200 day SMA (23.33) rising up to meet it this month. Accumulation is a positive 6 to 5, showing net buyers during the base. Money flow is off the chart, surging ahead of price. Relative strength is showing a positive divergence as well. Volume is jumping to end the week. Ready to surge.
Volume: 2.108M Avg Volume: 1.287M
BUY POINT: $25.08 Volume=1.9M Target=$30 Stop=$24.62
POSITION: IVX LE – Dec. $25c (51 delta) &/or Stock .
http://www.investmenthouse.com/1stocksplits1.htm”>Learn more about our Stock Split Report – Issued 5 Times Per Week
http://www.investmenthouse.com/cgibin/banners6/ads.pl?banner=NonSSI;page=388″ target=”_blank”>
http://www.investmenthouse.com/cgibin/banners6/ads.pl?page=388″ border=”0″>
Chart by http://www.stockcharts.com”>StockCharts.com
http://www.investmenthouse.com/cc/drssm.gif”>
3) Technical Playhttp://investmenthouse.com/quote/stkquote.php3?smbl=
DRS”>
DRS (DRS Technologies–$37.52; +1.57; optionable): Aerospace/defense.
http://biz.yahoo.com/p/d/drs.html”>Company Profile
STATUS: Flying plateau. DRS exploded out of a 4.5 month double base to start July. It has moved laterally since, roughly holding the 18 day EMA (35.70) as it consolidates that explosive breakout. Accumulation in the current 7 week pattern is a solid 3 to 1, showing buying continues in the stock even as it bases. Excellent money flow to boot. Friday DRS started higher on rising though still below average volume. Relative strength broke out on the move on a day when the market was up. Looks strong.
Volume: 333.4K Avg Volume: 371.565K
BUY POINT: $37.85 Volume=557K Target=$42 Stop=$36.98
POSITION: DRS LG – Dec. $35c (82 delta).
http://www.investmenthouse.com/1tech1.htm”>Learn more about our Technical Traders Report – Issued 5 Times Per Week Chart by http://www.stockcharts.com”>StockCharts.com
http://www.investmenthouse.com/cc/ditcsm.gif”>
4) Covered Call Playhttp://investmenthouse.com/quote/stkquote.php3?smbl=
DITC”>
DITC – Ditech Communications Corp. is currently trading at $17.97 The September $17.5 Calls (QZDIW) are trading at $1.65. That provides a return of about 7% if DITC is above $17.5 on expiration Friday in September.
http://biz.yahoo.com/p/d/ditc.html”>Company Profile
http://www.investmenthouse.com/1coveredcalls1.htm”>Learn more about our Covered Call Tables – 8 Tables Updated 5 Times Per Week
* * * SCOTTRADE * * *
http://www.investmenthouse.com/cgibin/banners3/ads.pl?banner=NonSSI;page=388″ target=”_blank”>
http://www.investmenthouse.com/cgibin/banners3/ads.pl?page=388″ border=”0″>
http://www.invest-store.com/images/small/10593.jpg”> http://www.invest-store.com/images/small/6131.jpg”>
SPECIAL OFFERS! We are now offering “Special Offers” each week in our Book Store! You will
not find these specials on our web site . . . they are only available by using this link: SPECIAL OFFER LINK >> http://www.investmenthouse2.com/cntdir.asp?name=BookStoreSpecials”>Go To Book Store Specials!
PREMIUM SERVICES
http://www.investmenthouse.com/a/IHAlertswknd.htm” target=”_top”>IH Alerts: InvestmentHouse.com’s Best of The Best Plays!
http://www.investmenthouse.com/1stocksplits1.htm” target=”_top”>Stock Split Report: “…seek out The Stock Split Report…” Forbes.com Best of the Web http://www.investmenthouse.com/1coveredcalls1.htm”>Covered Calls: Our covered call service provides nightly updates – energize your portfolio! http://www.investmenthouse.com/1tech1.htm”>Tech Traders: Breakouts, wedges, pennants etc…focusing on stocks ready to move now! http://www.investmenthouse.com/1daily1.htm”>The Daily: “The Daily” is a must read for all investors — learn what is really going on in the market!
MARKETPLACE http://www.investmenthouse.com/1ibd.htm”>Investor’s Business Daily: 2 week complimentary subscription delivered to your doorstep! http://www.investmenthouse.com/bookstoretapes.htm”>Taped Seminars: Investing seminars on audio and video to help you profit. http://www.invest-store.com/investhouse/firesale.html”>Book Store: Check-out the prices in our firesale section!
http://www.adtrader.com/ads/adlink.asp?SN=1227>http://www.adtrader.com/ads/adserve.asp?SN=1227&PN=10018&Desc=btmpg”>
http://www.investmenthouse.com/cgibin/banners2/ads.pl?banner=NonSSI;page=22″ target=”_top”>http://www.investmenthouse.com/cgibin/banners2/ads.pl?page=22″border=”4″ width=125 height=125 ALT=”$7 Trades!”>
SPONSOR
http://www.burstnet.com/ads/sk5109a-map.cgi/ns/v=1.0J/sz=120x600A|160x600A/” target=”_top”>
http://www.burstnet.com/cgi-bin/ads/sk5109a.cgi/ns/v=1.0J/sz=120x600A|160x600A/” border=”0″ alt=””>
http://www.coveredcall.net/quote/stkquote.php3″>
QUOTESRESEARCH
Enter Stock SymbolGet Quotes, News, Analysis, Stock Splits, Message Boards!
NASDAQ
http://www.investmenthouse.com/brief.html#nasdaqvol”>Most Active
http://www.investmenthouse.com/brief.html#nasdaqgain”>Most Advanced
http://www.investmenthouse.com/brief.html#nasdaqlose”>Most Declined
NYSE
http://www.investmenthouse.com/brief.html#nysevol”>Most Active Issues
http://www.investmenthouse.com/brief.html#nysegain”>Top Gainers
http://www.investmenthouse.com/brief.html#nyselose”>Top Losers
BOOKSTORE
http://www.investmenthouse.com/bookleaps.htm” target=”_blank”>http://www.invest-store.com/images/large/2497.jpg” width=100 height=120>
TAPESAudio/Video Seminars!
http://www.coveredcall.com/tapes/tapes.htm”>http://www.investmenthouse.com/images2/tapes1.gif” width=125 height=105>
SCOTTRADE$7 Trades!
http://www.investmenthouse.com/cgibin/banners2/ads.pl?banner=NonSSI;page=21″ target=”_top”>http://www.investmenthouse.com/cgibin/banners2/ads.pl?page=21″border=”0″ ALT=”$7 Trades!”>
http://www.investmenthouse.com/cgibin/banners7/ads.pl?banner=NonSSI;page=77″ target=”_top”>http://www.investmenthouse.com/cgibin/banners7/ads.pl?page=77″border=”0″>
The foregoing is commentary for informational purposes only. All statements and expressions are the opinions of Online Investment Services, LP., or Split Ventures, Ltd. This information is 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 the related web site has been obtained from sources believed to be reliable, but its accuracy is not guaranteed. The security portfolios of writers for this issue may, in some instances, include securities mentioned herein and on the related 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. No one asscociated herewith receives compensation in any manner from any of the companies that are discussed in this newsletter or on the related websites.
http://www.adtrader.com/ads/adlink.asp?SN=4032>http://www.adtrader.com/ads/adserve.asp?SN=4032&PN=2&Desc=fwknd”>
http://www.investmenthouse.com/images/copyright2.gif”>
