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CAO None

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Csk Auto - CAO - close: 15.58 change: +0.39 stop: 14.24

Company Description:
CSK Auto Corp. is the parent company of CSK Auto Inc., a specialty retailer in the automotive aftermarket. As of July 31, 2005, the company operated 1,142 stores in 19 states under the brand names Checker Auto Parts, Schuck's Auto Supply and Kragen Auto Parts. (source: company press release or website)

Why We Like It:
We like CAO as a bullish candidate but it looks like the stock has built a new bottom or base between the $14.25 and $15.25 range. It is not a coincidence that CAO found support in this area since it touches the long-term rising trendline of support on its weekly chart (see below). Today's breakout through the top of its trading range was also a breakout above technical resistance at its simple 50-dma. Our target is the $17.50 mark over the next four to five weeks. If CAO confirms this breakout with another gain tomorrow we'll ratchet up our stop loss. FYI: rival Advance Auto Parts (AAP) is due to report earnings on Thursday morning (tomorrow). Reaction to AAP's earnings could easily affect shares of CAO. Be prepared.

Picked on November 02 at $15.58
Change since picked: + 0.00
Earnings Date 12/02/05 (unconfirmed)
Average Daily Volume: 388 thousand
 

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