PremierInvestor.net Newsletter Wednesday 08-22-2001 section 1 of 2 Copyright © 2001, All rights reserved. Redistribution in any form is strictly prohibited. The entire newsletter is best viewed in COURIER 10 for alignment ================================================================= To view this email newsletter in HTML format with imbedded charts and graphs, click here: http://www.PremierInvestor.net/htmlemail/4933_1.asp ================================================================= In section one: Market Wrap: Ciena Added to S&P 500 Index Market Sentiment: Roller Coaster Play-of-the-Day: AmeriSource Health - AAS (Bullish) Watch List: Two New Bulls, One New Bear ----------------------------------------------------------------- U.S. Market Numbers ----------------------------------------------------------------- MARKET WRAP (view in courier font for table alignment) ----------------------------------------------------------------- 8-22-2001 High Low Volume Advance/Decline DJIA 10276.90 +102.76 10305.13 10134.50 1.06 bln 1625/1449 NASDAQ 1860.01 + 28.71 1860.02 1817.70 1.44 bln 1541/2128 S&P 100 594.68 + 4.41 596.48 587.49 Totals 3166/3577 S&P 500 1165.31 + 8.05 1168.56 1153.34 RUS 2000 477.18 + 4.94 477.19 470.63 DJ TRANS 2801.92 + 21.41 2806.01 2771.16 VIX 25.09 - 0.90 26.72 24.78 Put/Call Ratio 0.56 ----------------------------------------------------------------- =========== Market Wrap =========== Ciena Added to S&P 500 Index by Jeff Bailey Shares of Ciena Corporation (NASDAQ:CIEN) will be active tomorrow, after today's after market announcement that the company's stock will be added to the S&P 500 Index ($SPX.X). The official date for addition to the S&P 500 has not been announce. Ciena (CIEN) will be replacing American General (AGC), which is being acquired by American International (AIG). AIG is already an S&P 500 component. I pity the S&P 500 fund managers that have to step into the market and buy shares of Ciena (NASDAQ:CIEN) over the next couple of weeks. Can you imagine HAVING no choice but to put this stock in your portfolio? Just four sessions ago, the stock fell nearly 25% on disappointing earnings and the downward trend is that of a MAC Truck barreling down Wolf Creek Pass without breaks. Ciena Corporation - last seven months Shares of Ciena (CIEN) will now become one of the more interesting stocks to monitor in the coming weeks. Many investors called it quits just four sessions ago when the stock lost roughly 25% of its value in the first hour of trading. The stock traded BIG volume of 94.9 million shares. That's what I call climactic volume and a stock getting "flushed." What makes CIEN interesting for the next several weeks is this. We know that "smart money" usually buys at the bottom and sells at the very top (this is the most difficult task to do on a consistently winning percentage). I'm willing to make a guess that there was more than one market maker that "knew" shares of CIEN were going to be added to the S&P 500 in the not too distant future, the day the stock gapped lower to the $20 level. With a public float of 301 million shares, the 94.9 million share volume just four days ago leaves at least two thirds of the public float yet to change hands (at a minimum). This evening we know that there is now new demand for the stock as S&P 500 Index Funds need to accumulate the stock (by what date deadline we do not know). I will warn subscribers now that the simple addition of Ciena to the S&P 500 does not guarantee short- term prosperity for shares of CIEN. Nonetheless, it will be an interesting stock to monitor to perhaps get a feel for the stock in coming weeks. Take a look at a recent addition to the S&P 500 from the technology space. On August 2nd, shares of PMC-Sierra (NASDAQ:PMCS) were added to the S&P 500. Perhaps we can get a feel for how that stock traded after its addition and help us get a feel for how CIEN may trade. PMC-Sierra - last six months I'd argue that the technicals for PMC-Sierra (PMCS) are stronger than those found in shares of Ciena (CIEN). There's at least a resemblance of upward trend and breaking of a downward trend in the stock. Traders will note the action of PMCS and what took place the day that PMCS was added to the SPX. The stock gapped higher, but then really couldn't progress past its August 2nd high of $37.27. Market makers probably knew that every momentum tech trader was watching the stock for a break above $37.27 as a "signal to get long," and were more than willing to give it to them on August 8th. Note how the stock closed that day on its low? Good signal to the bullish trader that they had been "duped" by market makers. Note that the volume bars for August 2nd and August 8th were both red. This is perhaps something we should be looking for in future short/put trade opportunities. It's what I call DIVERGENCE. Now, perhaps here is where you and I find opportunity for tomorrow. I think the chart of PMC Sierra (PMCS) actually looks much more bullish than that of Ciena (CIEN). I also like the fact that PMCS is associated with the Semiconductor sector compared to CIEN, which is associated with the Networking sector. Traders that like to play the "added to SPX" scenario might want to think about playing shares of PMCS tomorrow instead of CIEN. I'm willing to bet that market makers back off their offers in shares of CIEN as they know there will be demand for the stock by fund managers that need to add the stock to their portfolios. Short-term, this could have the S&P 500 trade higher as we get some perceived strength from a technology stock. This type of action could positively influence PMC Sierra (PMCS) and the resemblence of upward trend for that stock in a group that isn't setting new 52-week lows is a place to at least be looking long. More after the bell earnings After the closing bell, J.D. Edwards (JDEC) announced that they had lost 3 cents a share in the latest quarter. The 3-cent a share loss beat analysts' estimates looking for a loss of 8-cents a share. Revenues for the latest quarter fell 21.8 percent year- over-year to 204.21 million. Consensus revenue estimates were 212 million. The maker of enterprise software said it continues to find slower economic trends difficult to navigate. The company noted that competition remains aggressive as competitors PeopleSoft (PSFT) and SAP (SAP) are pursuing aggressive price discounting, particularly in Europe. The current market environment is tough for swing traders. Bearish traders have had a nice run in recent sessions, but today's reversal was nearly impossible to foretell. With light volume, stocks are easily being whipped around and this makes for tough trading if you're not able to watch things on a minute by minute basis. There's good money to be made on the intra-day swings like we saw today, but being able to see the swings 24- hours in advance is difficult. Today's action is a perfect example of why we've been moving down stops in bearish trades on PremierInvestor.net. There are stocks that look to be hanging on by a thread technically. Breakdowns in some of these stocks could have some of the broader market indices taking a beating in coming sessions, but just when things begin to look like they're about to fall apart, an intra-day swing occurs. One stock I've got my eye on is shares of Minnesota Mining and Manufacturing (MMM). A break below the 106 level on that stock could send the Dow Industrials ($INDU) on a leg lower. This stock might try to put together a rally near the 112 level over the next session or two. I'll be monitoring this stock's progress in the coming sessions to see how it trades, but it might just be a "swing stock" for the Dow. ================ Market Sentiment ================ Roller Coaster by Jeffrey Canavan The day started with some positive news from GM, Intuit, and Triquint. Throw in an improving semiconductor book-to-bill ratio, and it had the makings of a nice day for bullish traders. The first half hour started out that way, but the markets quickly reversed and we once again found ourselves on the brink of losing key support levels. Buyers regrouped around 3:00 PM and were able to push most sectors back to their daily highs. Semiconductor Index Daily Chart The semiconductor book-to-bill ratio came in at .67, which still indicates a weak industry, but the fact that the number improved for the third straight month was enough for traders to push the Semiconductor Index (SOX.X) up 5.16%. At least that's the way it finished. Around 11:00 AM it looked like the SOX was getting ready to plunge through support at 537, but rallied past resistance at 552 in the final two hours. The question now is can we but some kind of streak together? Look at the price action over the past two weeks - up three days, down two, up one, down one, up one, down one, up one. Pass the Dramamine please. Resistance at 583 and the 50-day moving average will be the SOX's first order of business, that is if it can put together two or three positive days. Internet Index/eBay Daily Charts It was America Online (AOL) who announced they were cutting 8% of their workforce, but it was eBay (EBAY) that got pummeled. At one point eBay was down $4.68, but rallied to only close down $1.01. While they get an A for effort, the fact remains that the stock is below recent support at $59. We'll see if this area presents as much resistance as it did support. While eBay was tanking, the Internet Index (INX.X) was dipping below the April low at 120.97. By the end of the day the index closed up 1.70%, but three-month downtrend is sitting close by. That line must be broken or it will push the Internet Index to new lows. Sectors to watch tomorrow? Oil stocks had an odd day. After being up over 3% on some bullish inventory data, the Oil Index (OIX.X) closed up a paltry 0.55% and Oil Service (OSX.X) closed down 0.50%. If crude oil futures are lower before the stock market opens, oil stocks may follow suit. The Mortgage Bankers Association's index of mortgage applications rose a minuscule 0.3%, and that was mostly due to refinancing. The new purchase component declined for the second straight week. Applications remain strong, but based on the performance of housing stocks today, investors may be getting wary about the decline over the past two weeks. On the retail front Longs Drug (LDG) and Ross Stores (ROST) beat earnings, Galyan's (GLYN) met, and Big Lots (BLI) and Restoration Hardware (RSTO) missed. With the Retail Index (RLX.X) sitting dangerously close to support at 585, tomorrow could be a crucial day. The Software Index (GSO.X) is within 7 points of breaking support at 158, but perhaps a positive earnings announcement from J.D. Edwards (JDEC) will help to boost the sector. *************************Sector Watch**************************** Support Close Resistance DJIA |10,200 |10277 | | | | | 10,600| NASD | 1,710 | | 1860 | | | | 2,125| S&P 500 | 1,150 | 1165 | | | | | 1,240| Rus 2000 | 465 | | | 477 | | | 495| Semis | 535 | | 565 | | | | 660| Biotech | 473 | | | 510 | | | 550| Internet | 121 | 124 | | | | | 160| Networking | 300 | | 290 | | | | 365| Software | 158 | 165 | | | | | 200| Banking | 650 | | | | | 681 | 685| Retail | 858 | 864 | | | | | 920| Drugs | 380 | | | 398 | | | 410| Support Alerts: Resistance Alerts: ____________________________________________________ | Long | Short | Strength | Relative | | Term | Term | of | Strength | | Trend | Trend | Trend | vs S&P 500 | DJIA | Bearish | Bearish | Weak | Positive | NASD | Bearish | Bearish | Strengthening | Negative | S&P 500 | Bearish | Bearish | Strengthening | -- | Rus 2000 | Bearish | Bearish | Weak | Neutral | Semis | Bearish | Bearish | Weak | Neutral | Biotech | Bearish | Bearish | Strengthening | Neutral | Internet | Bearish | Bearish | Strong | Negative | Networking | Bearish | Bearish | Strengthening | Negative | Software | Bearish | Bearish | Strong | Negative | Banking | Bullish | Bullish | Strong | Positive | Retail | Neutral | Bearish | Weak | Neutral | Drugs | Neutral | Neutral | Weak | Positive | _____________________________________ | Short-Term | | Point and | | Overbought/ | Momentum | Figure | | Oversold | | Signal | DJIA | Oversold | Flat | Sell | NASD | Oversold | Falling | Sell | S&P 500 | Oversold | Flat | Sell | Rus 2000 | Neutral | Flat | Sell | Semis | Oversold | Flat | Sell | Biotech | Oversold | Rising | Sell | Internet | Oversold | Flat | Sell | Networking | Oversold | Falling | Sell | Software | Oversold | Falling | Sell | Banking | Neutral | Rising | Buy | Retail | Oversold | Falling | Sell | Drugs | Neutral | Rising | Buy | AP OB = Approaching Overbought AP OS = Approaching Oversold ***************************************************************** ========================= Play-of-the-Day (Bullish) ========================= AmeriSource Health - AAS Close:$61.40 Change:+1.50 Stop:$59.00 NEW Original Comments When Selected on August 17th: Company Description: The Chesterbrook, Pennsylvania-based firm is the holding company for AmeriSource Corp., the forth-largest distributor of pharmaceuticals and health care products in the US (McKesson HBOC is the largest). AmeriSource supplies hospitals, managed care facilities, drugstores, nursing homes, clinics, supermarkets, and mass merchandisers through nearly 25 distribution facilities. The company also offers a variety of value-added products to enhance its own profitability and bolster customer loyalty. These include the ECHO Suite, which is a software system for ordering and inventory management assistance; the Family Pharmacy program, which provides online shopping through familypharmacy.com and helps connect independent and small chain drug stores to various merchandising and other services; and Pharmacy Healthcare Solutions, which offers hospital consulting aimed at improving operational efficiency. The federal government, which includes the Veterans Administration, accounts for about 20-percent of sales. AmeriSource has announced that it is acquiring Bergen Brunswig, a major drug-distributor rival. The company created by the merger will be called AmeriSource-Bergen. Pending regulatory approval (expected sometime this summer) the combined entity will have revenues in the vicinity of $35 billion. Under the terms of the agreement, which has been unanimously approved by both Boards of Directors, each share of Bergen Brunswig common stock will be converted into 0.37 share of AmeriSource-Bergen common stock while each share of AmeriSource common stock will be converted into one share of AmeriSource-Bergen common stock. The new Company will have approximately 103 million shares outstanding, with current AmeriSource shareholders owning approximately 51-percent of the combined company and current Bergen Brunswig shareholders owning about 49-percent. Fundamentals: Earnings projections have not been made for the combined entity. However, AAS Chairman David Yost said, " This combination of two strong, service-oriented companies boosts our confidence that we can achieve a long-term earnings per share growth objective of about 20 percent." As a separate entity AAS is expected to earn $2.27 per share on sales of $13.8 billion in the fiscal year ending in September 2001. Last year, the company earned $1.89 on sales of $11.6 billion. Bergan Brunswig (BBC) is expected to earn 80-cents per share on sales of $20.2 billion. Last year, BBC earned 60-cents per share on sales of $22.8 billion. Why We Like It: A +1.85 gain on an ugly day for the overall market compels us to revisit this recent play. The bullish catalyst was a pair of upgrades by brokers W.R. Hambrecht and Bear Sterns. Hambrecht initialed coverage with a "Buy" rating and a $75 target price saying, "...we believe the pending merger with Bergen Brunswig will cast the company as one of the largest healthcare distributors, offering ample opportunities to significantly improve operational efficiencies." Bear Sterns raised their rating from "Attractive" to "Buy." As one of the most efficient players in its industry AmeriSource's merger with Bergan Brunswig (combined $34 billion in sales) should make it an aggressive competitor for industry leader McKesson HBOC (MCK $35.3 billion in sales). Friday's move up put it through resistance at $58.60 on a spike in trading volume to 1.9 million (average daily volume is 771k). It also was an upside break to a bullish triangle pattern. The combination should result in a short-term test of the $62.50 52-week high. For longer-term investors, our point and figure analysis concurs with Hambrecht's $75 12-month target. However, we don't believe it's going to take a year to reach it. Given the present strength of the shares and analysts favorable opinions of the merger, the at hand regulatory approval of the merger should be sufficient to drive the shares up. Short-term traders should consider our $56 stop, while long-term investors could think about a stop at the $54 or $50 support levels. Updated Comments: A strong move through resistance at $60 on almost twice the average trading volume underscores the strength of these shares. The acquisition of Bergan Brunswig ought to be concluded next week giving bulls the catalyst they need to keep buying shares. Now that the shares are through $60 we are tightening up our stop to $59.00. Picked on August 17th at $59.00 Gain Since Picked +2.40 Earnings Date N/A (Not Confirmed) ========== Watch List ========== ----------------------------- -- BULLISH STOCKS TO WATCH -- ----------------------------- Tenet Healthcare - THC close:$57.29 change:+1.40 WHAT TO WATCH: Shares of this hospital operator produced a nice break today out of consolidation. A buy on any dip or close above $48. --- Vector Group - VGR close: 41.01 change:+2.49 Noted financier Carl Icahn just upped his stake in this tobacco company to 21.5-percent of outstanding shares by picking up an additional 1.5 million shares. Icahn is some of the smartest money around and the Street closely watches his moves. The news pushed the shares above big-time resistance at $38.50. This one's a buy on any weakness. --- ------------------------- -- Continuing to Watch -- ------------------------- Some stocks on the Watch List will be carried over from one day to the next if they continue to show potential but have not yet breached the trigger point. Some stocks have met our conditions for a trigger point but other factors hold us back from making it a full-time stock pick. Popular Inc - BPOP close: 35.75 change: -0.51 UPDATE: No change in outlook Friday, August 20th write-up: WHAT TO WATCH: Shares of this foreign bank holding company have been in a stair-stepping pattern for months and now it is looking as if it is getting ready to take another step up. After consolidating for the past few weeks in a bullish wedge pattern (higher lows while highs hug $35.00), the shares broke $35 with a high volume move to $35.94. A dip back to the $35 - $35.50 range should present a good entry point. --- Xilinx Inc. - XLNX close: 39.00 change: 2.52 UPDATE: No change in outlook. Wednesday's move brings it to within 50-cents of our trigger. Look for confirmation with trading volume in excess of 6.7 million. Friday, August 20th write-up: The shares have formed a triangle pattern. This means a series of lower higher and higher lows. This also means that this is either short or long play depending on which way the shares break out of the triangle. A close above $39.50 on a spike in volume means go long, a move below $37 on a similar volume pop would suggest a short strategy. --- Nokia - NOK - close: 17.98 change: +0.97 UPDATE: No change in outlook, getting closer to a bullish signal. Friday, August 17th's write-up: WHAT TO WATCH: We put this one at the bottom of the bullish list because shares could really go either way. However, we are hoping they reverse course in the near future. The stock is obviously oversold but shares have managed to close just over strong support near $17 (see mid-July). This appears to be a good place to make a bet that shares may be at a bottom. The bad news is picking bottoms can be unhealthy for your portfolio - especially a stock like NOK because as an ADR shares tend to gap up or down every day. This tends to make stops rather hard to place. Thus, we chose to put NOK on the watch list again. Look for another consolidation at $17 and then a positive close over $18 as a potential bullish reversal. ----------------------------- -- BEARISH STOCKS TO WATCH -- ----------------------------- Bj's Wholesale Club - BJ close:$50.12 change:-2.62 Tuesday's news of higher second-quarter earnings for this warehouse chain could not stop the bears from mauling this stock. Wednesday's $2.62 drop may produce a bargain-hunters bounce on Thursday. As long as volume is a significant drop from yesterday's 1.75 million shares traded then consider this a temporary respite from selling and not a sustainable move by the bulls. Aggressive traders should consider shorting the pop, while less aggressive ones wait for a further drop. The next area of support is roughly at $46.50. --- American Intl Group - AIG - close: 78.55 change: -0.65 UPDATE: Still looking good. Friday, August 17th's write-up: WHAT TO WATCH: The Insurance sector has been loosing ground since July 19th, 2001. AIG has felt the selling pressure but it wasn't until Friday that shares broke down beneath strong support at $80. Bears are likely to target the next level of support at $75. If this stock fits your trading profile consider the close under $80 as a potential trigger to go short. ================================================================= To stop receiving this PremierInvestor.net Newsletter, send email to Contact Support ================================================================= DISCLAIMER ================================================================= This newsletter is a publication dedicated to the education of stock traders. The newsletter is an information service only. The information provided herein is not to be construed as an offer to buy or sell securities of any kind. The newsletter picks are not to be considered a recommendation of any stock but an information resource to aid the investor in making an informed decision regarding trading in stocks. It is possible at this or some subsequent date, the editors and staff of PremierInvestor.net may own, buy or sell securities presented. All investors should consult a qualified professional before trading in any security. The information provided has been obtained from sources deemed reliable but is not guaranteed as to accuracy or completeness. PremierInvestor.net staff makes every effort to provide timely information to its subscribers but cannot guarantee specific delivery times due to factors beyond our control. Please read our disclaimer at: http://www.optioninvestor.com/page/oin/aboutus/disclaimer.html ***************************************************************** ADVERTISING INFORMATION For more information on advertising in PremierInvestor.net Newsletter, or any Premier Investor Network newsletter please contact Contact Support. ***************************************************************** Copyright © 2001 PremierInvestor.net. and The Premier Investor Network. Do not duplicate or redistribute in any form.
PremierInvestor.net Newsletter Wednesday 08-22-2001 section 2 of 2 Copyright © 2001, All rights reserved. Redistribution in any form is strictly prohibited. The entire newsletter is best viewed in COURIER 10 for alignment ================================================================= To view this email newsletter in HTML format with imbedded charts and graphs, click here: http://www.PremierInvestor.net/htmlemail/4933_2.asp ================================================================= In section two: Split Trader New Plays: Nvidia Corp. - NVDA (Bullish) Play Updates: Stops Updated, AAS is Play of the Day Closed Plays: none Net Bulls New Plays: Techne Corp. - TECH (Bullish) Bullish Play Updates: none Bearish Play Updates: none Closed Plays: none Stock Bottom / Active Trader New Plays: none Bullish Play Updates: none Bearish Play Updates: none Closed Plays: none Trading Ideas Value Plays With Bullish Signals Breakout to Upside (Stocks $5 to $20) Breakout to Upside (Stocks over $20) Breakout to Downside (Stocks over $20) Recently Overbought With Bearish Signals (Stocks over $20) ================================================================= Split Trader (ST) section ================================================================== ============ ST New Plays ============ ------------------- New Split Run Play ------------------- Nvidia Corp. - NVDA Close:$84.79 change:+3.35 Stop:$79.00 Company Description: Nvidia Corporation designs and manufactures high-performance 3-D graphics processors that are used in PC's and workstations. Thecompany's products are sold to PC original equipment manufacturers (OEM's), as well as to makers of graphics cards. NVDA continues to be a standout performer in an otherwise bleak tech sector. You may recognize the company among all the press for Microsoft's upcoming XBox console game system. NVDA makes the graphics chip for the XBox as well as PCs and workstations. The Board of Directors has approved 2-for-1 stock split. The shareholder record date is Aug. 28th and the payable date will be on or near Sept. 11th, 2001. Fundamentals: At their second quarter earnings announcement the company reported revenues were up 53% and earnings were 39 cents a diluted share or $33.6M versus 28 cents or $22.5M for 2Q last year. For the current fiscal year ending in January 2002, analysts forecast the firm will earn $1.80 per share and $2.37 in 2003. Last year, the company earned $1.25 per share. Why We Like It: NVDA has been somewhat shielded by the slowdown in PC sales due to their expanded product lines and this allowed them to raise their earnings guidance for the next two years based on expected sales. As one of the few strong performing tech companies, NVDA shares have been solid buys on dips. Recent market weakness dropped the shares back to support near $80. On Wednesday, the shares took off in the afternoon to add $3.35 on well above average volume. With the stock split providing a catalyst the shares should tackle resistance at $90 and possibility the $100 52-week high. We will start this play with a stop at $79, which is just below $80 support. Picked on August 22nd at $84.79 Earnings Date 8/14 (Confirmed) =============== ST Play Updates =============== ----------------------- Split Candidate Updates ----------------------- Stop changed: Amerada Hess (AHC) to $75.80. AmeriSource (AAS) to $59.00 For updated outlook on Amerisource (ASS) see Play of the Day in section 1 ================================================================== Net Bulls (NB) section ================================================================== ============ NB New Plays ============ -------------- New Long Play -------------- Techne Corp. - TECH Close:$35.05 Change:+2.24 Stop:$32.00 Company Description: Subsidiaries of this holding company make and distribute specialty products for the biotechnology industry. Its Research and Diagnostic Systems, Inc. (R&D Systems) subsidiary makes hematology controls that are used in hospital and clinical laboratories to check the accuracy of blood analysis instruments, biotechnology products including purified proteins and antibodies that are sold to the research market, and assay kits that are marketed to the research and clinical diagnostic markets. The company's R&D Europe subsidiary markets the R&D Systems products in Europe. Fundamentals: Analysts forecast the company will earn 95-cents per share on sales of $131 million in the current fiscal year ending June 2002 and $1.07 per share in 2003. In the 2001 fiscal year, the company earned 80- cents per share on sales of $115 million. This gives the shares a current P/E of 44 and a forward 2002 one of 37. The industry average P/E is a negative 71. The company has a PEG of 1.71 compared to the industry average of 571.97. Why We Like It: There are two good reasons we like Techne shares. The company is one of the rarest birds in the biotechnology industry - solidly profitable. Also, the technical picture of the shares has a decidedly bullish hue. After consolidating in a fairly narrow range bounded roughly by $33 and $28 for the past month and a half, the shares broke out of that range on Wednesday. They gained $2.24 on above average volume. The move propelled the shares off of their $32.53 200-day moving average. There does not appear to be company specific news acting as a catalyst, rather the entire industry put in a strong day with the Biotechnology Index ($BTK) gaining +23 points. With the bulls returning to the industry, it stands to reason many traders are attracted to the shares of the profitable Techne. In the short-term TECH shares should put in a test of upside resistance at $38.72. The shares already have enough momentum to handle additional resistance at $36.15. Longer-term we have a price target of $45. We will start this bullish selection with a stop at $32, which is just below the 200-dma. Given the strong one-day move, some level of profit taking on Thursday may occur and present an attractive entry point. Picked on August 22nd at $35.05 Earnings Date N/A (Not Confirmed) ================================================================== Stock Bottom / Active Trader (AT) section ================================================================== No updates today ================== Trading Ideas ================== This section contains stocks that meet criteria which may make them of interest to long and short side traders. These are not recommendations, nor have they been reviewed by PremierInvestor editors for investment potential. However, each of them has technical and fundamental characteristics that make them worthy of further review by traders and investors looking for fresh ideas. New stocks will appear daily following the market close. --------------------------------- Value Plays With Bullish Signals --------------------------------- Ticker Company Name Close Change SLE Sara Lee Corp. 22.29 +0.91 ED Consolidated Edison Inc 41.41 +0.54 VLO Valero Energy 38.00 +1.81 VGR Vector Group 40.91 +2.39 MERX Merix Corp 23.24 +0.64 --------------------------------------- Breakout to Upside (Stocks $5 to $20) --------------------------------------- Ticker Company Name Close Change SERO Serologicals Corp 18.90 +1.07 ISIP Isis Pharmaceuticals Inc 14.89 +4.81 FTO Frontier Oil Corp 15.53 +1.32 GERN Geron Corp 18.58 +2.16 SLNK Spectralink Corp 16.75 +1.93 --------------------------------------- Breakout to Upside (Stocks over $20) --------------------------------------- Ticker Company Name Close Change THC Tenet Healthcare Corp 57.20 +1.31 GDT Guidant Corp 37.10 +2.10 INTU Intuit Inc 36.05 +6.60 WEN Wendy's International 29.25 +1.10 AAS AmeriSource Health 61.54 +1.64 ----------------------------------------- Breakout to Downside (Stocks over $20) ------------------------------------------- Ticker Company Name Close Change Q Qwest Communications 21.70 -1.52 EBAY eBay Inc 56.91 -1.01 GDW Golden West Financial 62.56 -2.84 BJ Bj's Wholesale Club 50.14 -2.60 EXPE Expedia Inc. 33.80 -5.28 ------------------------------------------------------------ Recently Overbought With Bearish Signals (Stocks over $20) ------------------------------------------------------------- Ticker Company Name Close Change GDW Golden West Financial 62.56 -2.84 LD Louis Dreyfus Natural Gas 32.85 -0.45 TMBR Tom Brown Inc 25.80 -0.40 FBA First Banks America 29.45 -0.75 RWT Redwood Trust 24.15 -0.70 ================================================================= To stop receiving this PremierInvestor.net Newsletter, send email to Contact Support ================================================================= DISCLAIMER ================================================================= This newsletter is a publication dedicated to the education of stock traders. The newsletter is an information service only. The information provided herein is not to be construed as an offer to buy or sell securities of any kind. The newsletter picks are not to be considered a recommendation of any stock but an information resource to aid the investor in making an informed decision regarding trading in stocks. It is possible at this or some subsequent date, the editors and staff of PremierInvestor.net may own, buy or sell securities presented. All investors should consult a qualified professional before trading in any security. The information provided has been obtained from sources deemed reliable but is not guaranteed as to accuracy or completeness. PremierInvestor.net staff makes every effort to provide timely information to its subscribers but cannot guarantee specific delivery times due to factors beyond our control. Please read our disclaimer at: http://www.optioninvestor.com/page/oin/aboutus/disclaimer.html ***************************************************************** ADVERTISING INFORMATION For more information on advertising in PremierInvestor.net Newsletter, or any Premier Investor Network newsletter please contact Contact Support. ***************************************************************** Copyright © 2001 PremierInvestor.net. and The Premier Investor Network. Do not duplicate or redistribute in any form.
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