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Sohu.com - SOHU - close: 21.25 change: +0.85 stop: 19.99

Company Description:
SOHU.COM Inc. is China's premier online brand and indispensable to the daily life of millions of Chinese who use the portal network for their news, search, e-mail, wireless messaging, instant messaging, browsing, games and shopping. SOHU has built one of the most comprehensive matrices of Chinese language web properties and proprietary search engines, consisting of the mass portal and leading online media destination www.sohu.com; interactive search engine www.sogou.com; the #1 online alumni club www.chinaren.com ; #1 games information portal www.17173.com ; top real estate website www.focus.cn ; and wireless value-added services provider www.goodfeel.com.cn . This network of web properties offers the vast SOHU user community very broad choices regarding information, entertainment, communication and commerce. SOHU corporate services consist of online advertising on its matrix of websites as well as paid listing and bidding listing on its in-house developed search directory and engine. SOHU also offers three types of consumer services. SOHU offers wireless value-added services such as news, information, ringtone and picture content sent over mobile phones. The company also operates two massively multi-player online role-playing games and manages a business-to-consumer e-commerce platform.SOHU.COM, established by Dr. Charles Zhang, one of China's Internet pioneers, is in its ninth year of operation. (source: company press release)

Why We Like It:
The sideways consolidation in the Dow Industrials and S&P 500 over the last couple of weeks could easily be labeled as boring. With the major averages stuck in a trading range it can be challenging to find a stock that's moving. We've decided to spice things up a bit with an aggressive (a.k.a. higher risk), momentum play on a Chinese Internet stock like SOHU. The stock broke out of its own trading range in late May that produced a new P&F chart buy signal that now points to a $29.00 target. The month of June has seen SOHU consolidate its gains above broken resistance at the $20.00 level. It's common for broken resistance to act as new support and today's bounce from support (and its simple 10-dma) could be the beginning of a new leg higher. We're willing to consider longs at current levels and target a move into the $24.00-25.00 range. 

Picked on June 13 at $21.25
Change since picked: + 0.00
Earnings Date 07/28/05 (unconfirmed)
Average Daily Volume: 924 thousand

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