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Daily Newsletter, Friday, 09/07/2001

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PremierInvestor.net Newsletter          Weekend Edition 09-07-2001
                                                    section 1 of 3
Copyright  2001, All rights reserved.
Redistribution in any form is strictly prohibited.

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In section one:

Market Wrap: Bottomless Pit
Market Sentiment: Jobless
Play-of-the-Day: PeopleSoft, Inc. - PSFT (Bearish)
Watch List: SLNK, PRGX, QQQ, NXTL, WR, CHKP, BRCD, AIG

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U.S. Market Numbers
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MARKET WRAP  (view in courier font for table alignment)
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        WE 9-7           WE 8-31          WE 8-24          WE 8-17
DOW     9605.85 -343.90  9949.75 -473.42 10423.17 +182.39  -175.47
Nasdaq  1687.70 -117.73  1805.43 -111.37  1916.80 + 49.79  - 89.24
S&P-100  553.89 - 23.51   577.40 - 29.31   606.71 + 12.84  - 17.54
S&P-500 1085.78 - 47.80  1133.58 - 51.35  1184.93 + 22.96  - 28.19
W5000  10066.49 -448.60 10515.09 -433.32 10948.41 +188.32  -234.36
RUT      445.19 - 23.37   468.56 - 12.25   480.81 +  5.16  +   .13
TRAN    2713.14 -100.27  2813.41 - 40.98  2854.39 + 29.74  - 36.12
VIX       34.36 +  6.51    27.85 +  5.56    22.29 -  4.45  +  3.93
VXN       65.45 + 12.59    52.86 +  5.16    47.70 -  4.32  +  3.50
TRIN       1.25              .71              .70             2.67
TICK       -113              -74              351              201
Put/Call    .84              .82              .56
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===========
Market Wrap
===========

Tonight we have a guest market commentator on PremierInvestor.net.
Austin Passamonte is the editor for our sister site www.Indexskybox.
com.  If you'd like more information about trading in index options, 
please visit their website.  Our normal market wrap columnist, Jeff 
Bailey, is on vacation this week.

==================================

Bottomless Pit
Austin Passamonte

People are losing jobs? You're kidding! That seemed to come as a 
shock for many economists today when unemployment rates spiked to 
4.9 last month. Sure surprised the all-knowing "Markets" as GLOBEX 
S&P futures dove from +4 to -13 in minutes after the news broke. 

Now, here's a little quiz for you. Has your local newspaper 
mentioned anything about layoffs and job losses lately? I just 
drove from Denver, Colorado to Corning, New York and back in the 
past two weeks. Every single paper I read along the way was 
plastered with layoffs news. Where in the world do these market 
economists come up with their estimated projections? Same math 
Abbey Cohen derives 1500+ for the SPX by year's end?

My word.

Anyway, trading the past few sessions has not been easy. You'd 
think that simply buying puts and hunkering down is the answer and 
that's exactly right. However, buying gap-down opens and holding 
stops thru turbulent times is not an easy feat to pull off. 
Traders with sizeable accounts who take a small percentage of 
their capital, buy puts and leave stops out of the equation have 
done very well. We tried that simple concept in IS with disastrous 
results. Countless emails from readers who overspent their 
accounts, used no stops and got crushed taught me the limitations 
of website suggestions on this one.

Other than that and possibly spread trading, it's been one 
volatile ride this week. The summer action was slow but we did 
have some deliberate days to trade. Today was the most methodical 
of these past four in September and it was wild enough. Day 
traders can make some money as tonight's articles depict but it 
sure ain't easy.

Beyond that, when will this incessant selling cease? Or will it? 

(Weekly/Daily Charts: NDX)




Of all the indexes I see the NDX looks most solid if we dare use 
that relative term. Make no mistake, this index will not see 3,000 
for a long time and historical highs are several years ahead if 
bulls are lucky. But I'd say most of the bleeding is over with for 
now and it should be, considering from whence price action came.

The weekly descending channel from April remains firmly intact and 
price action closed on the bottom line of support. Not to mention 
right near intrasession lows from late March. These are two points 
of converging support that may give bulls reason to buy.

Stochastic values are both trying to turn bullish and we see 
bullish divergence in the weekly chart as well. Higher stochastic 
lows and lower price lows are incongruous, and any divergence 
within oversold extreme is bullish by nature.

Techs may hold the line for now.

(Weekly/Daily Charts: Dow)





The Dow is a different story. Weekly chart stochastic values 
barely budged as the Dow shed -600 index points from weekly highs 
to the close. Daily chart signals made a bearish cross on Friday 
in oversold zone as one would expect on a day like that as well.

My guess? The Dow won't find a near-term bottom until the 9,400 to 
9,100 area although we are subject to bounce from here at any 
time. Next significant resistance lies back up there at 10,000 
level for now and 9,900+ will be a tough hurdle before that.

As we've said here for months now, the Dow has much more downside 
risk than the NDX and we will likely see that by the end of this 
year and possibly beyond.

(Weekly/Daily Charts: OEX)





The OEX broke below the weekly channel and fights for support, 
where it found a smidgen of help at the April intraday lows. We 
see stochastic values about to turn bullish but 580 area is firm 
resistance above.

(Weekly/Daily Charts: SPX)





Same with the SPX, which sits on 100% retracement of April lows as 
well. We can flip-flop the OEX and SPX with these different 
studies and see the exact-same thing, which is why I mixed up our 
tools. Note how several different measures arrive at similar 
predictions of support and resistance ahead.

If the SPX manages a pop to 1140 next week it will meet firm 
rejection at that level for sure.

Shorts Will Sell
Matter of fact, every rally attempt will meet heavy selling until 
otherwise thwarted. Markets are poised for a blow-off rally and 
we'll soon see one but shorts will cover at low levels, watch 
prices blow up the charts and start shorting again. Momentum 
traders have now switched sides and they swapped horns for claws. 

But that works both ways. Selling the rallies when buyers decide 
to buy will result in staggered short-squeeze moves up the charts. 
Buckle up kids, because it will only become more volatile from 
here going forward. I find it impossible to believe we can see 
sustained upside action heading into another pre-warn season and 
will look at any rally for the first signs of failure myself.

The Fed is dead and any surprise interest rate cut would not hold 
markets up beyond a couple of sessions. Bulls waiting for the 
economy to turn or even signs of that happening will be sitting in 
cash far longer than they plan. That will not be the catalyst for 
our next upside burst. Something unknown right now tonight will 
ignite the short-squeeze tinderbox and give us the next failed 
rally.

Which leads me to my closing thought. Mega-bull Larry Kudlow of 
CNBC ilk gets airtime every month and pounds his pulpit for the 
Fed to slash rates beyond belief. Given his way he would take 
rates down to zero. Would that really boost the economy? I wonder.

Here's a fact to ponder: much of this nation's wealth lies in the 
hands of our senior citizens. Remember them? They were the last 
generation to date that actually saved some money. The rest piled 
it into NASDAQ bombs and no longer feel the wealth effect. But 
many seniors are invested in CDs and bonds. Instruments that were 
throwing off 7.0% interest now yield half that or less at every 
subsequent FOMC event. What does that do for these senior's future 
buying power?

Think about it. Tech stocks are now dead for years, unemployment 
is rising, housing values are falling and poised to plummet soon. 
One remaining source of untouched liquidity in the hands of 
consumers was CDs & bonds and now Larry K. pleads for slaying them 
to save the mighty bull? And what if zero interest rates work as 
well in the U.S. as they have in Japan for the past ten years? 
Then what?

Expect Aunt Millie to give you some nice knitted slippers this 
Christmas instead of Wal-Mart items so she can ration the savings 
for bingo. Uncle Merle will slap some duct tape and coverall paint 
on the aging Chrysler and roll up a few more miles than he planned 
to. Retail or auto stocks, anyone?

Summation
The long-term trend looks to remain down, but we are poised for a 
blowoff rally in relief quite soon, probably straight ahead. No 
matter how many days, weeks or hours it lasts the next great 
selling opportunity lies beyond that as well. 

Don't fall in love with either direction right now!

Best Trading Wishes,
Austin P


================
Market Sentiment
================

Jobless
Jeffrey Canavan

The unemployment rate jumped to 4.9%, and bears pounced.  Tech 
carcasses were already picked cleaned, so bears wondered over to 
the Dow for a feast.

Dow Jones Industrial Average Daily Chart



The Dow started the day at 9,840, leaving plenty of room for 
bears to feed.  Even though a 234 point chunk was taken out of 
the Dow, mostly cyclical components, the April low is still 500 
points away.  The Relative Strength Index (RSI) has touched 
oversold territory, so perhaps 9,535 will offer the spot for a 
bounce.  

S&P 500 Daily Chart



The S&P 500's RSI touched oversold territory back on February 
22nd, but proceeded to fall 171 points lower over the next month, 
so that alone is not a given.  We now find ourselves back at 
April lows, and once again the RSI is oversold.  

There's no arguing we are in an oversold condition and overdue 
for a bounce, but we just keep getting more reasons to sell. The 
first part of next week is relatively light on economic news, 
with only consumer credit and wholesale trade due out, but 
several technology conferences offer companies the platform to 
spill their guts.

-----------------------------------------------------------------

Market Volatility

VIX   34.36
VXN   65.45

-----------------------------------------------------------------
 
          Put/Call Ratio  Call Volume   Put Volume
Total           .84        823,753       688,842
Equity Only     .70        643,535       448,464
OEX            1.14         31,260        35,487
QQQ             .41         73,984        30,065

-----------------------------------------------------------------

Bullish Percent Data

           Current   Change   Status
NYSE          32       -      Bear Confirmed
NASDAQ-100    12      -2      Bear Confirmed
DOW           28      -2      Bear Confirmed
S&P 500       38      -4      Bear Confirmed
S&P 100       30      -2      Bear Confirmed

Readings above 70 are considered overbought, and readings below 
30 are considered oversold.

Bull Confirmed  - Aggressively long
Bull Alert      - Cautiously long
Bull Correction - pause or pullback in upward trend
Bear Alert      - Take defensive action if long
Bear Confirmed  - High risk if long, good conditions for shorting
Bear Correction - Pause or rebound in downtrend

-----------------------------------------------------------------


 5-Day Arms Index  1.43
10-Day Arms Index  1.47
21-Day Arms Index  1.41
55-Day Arms Index  1.30

Extreme readings above 1.5 are bullish, and readings below .85 
are bearish.  These signals don't occur often and tend be early, 
but when the do, they can signal significant market turning 
points.

-----------------------------------------------------------------

        Advancers     Decliners
NYSE       883           2171
NASDAQ    1172           2383

        New Highs      New Lows
NYSE       61            150
NASDAQ     18            222

        Volume (in millions)
NYSE     1,340
NASDAQ   1,872
-----------------------------------------------------------------

Advisory Sentiment 

Bullish  Bearish  Correction  Net Bullish   Change 
  43.9%    30.6%     25.5%       16.7%       -3.4%

A bearish reading of 25% to 30%, combined with a bullish reading 
greater than 55% is typically considered bearish by contrairians.  
A net percentage greater than 30% is also viewed as bearish. 

-----------------------------------------------------------------

Commitments Of Traders Report: 09/04/01
Weekly COT report discloses positions held by small specs
and commercial traders of index futures contracts at the 
Chicago Mercantile Exchange and Chicago Board of Trade. COT data 
can be found at www.cftc.gov.

Small specs are the general trading public with commercials being 
financial institutions. Commercials are historically on the 
correct side of future trend changes while small specs tend 
to be wrong.  

S&P 500

Commercials increased their net bearish position, but not by any 
significant amount.  

Commercials   Long      Short      Net     % Of OI 
8/21/01      342,332   416,372   (74,040)   ( 9.76%)
8/28/01      342,742   421,868   (79,126)   (10.35%)
9/04/01      350,626   430,613   (79,987)   (10.24%)

Most bearish reading of the year: (111,956) - 3/6/01
Most bullish reading of the year: ( 41,144) - 5/1/01

Small Traders Long      Short      Net     % of OI
8/21/01      134,280     58,785   75,495     39.10%
8/28/01      141,046     58,001   83,045     41.72%
9/04/01      147,080     62,004   85,076     40.69%

Most bearish reading of the year:  36,513 - 5/01/01
Most bullish reading of the year:  91,122 - 3/06/01
 
NASDAQ-100

The net bearish position of commercial traders increased, but 
that is subject to change weekly as institutions are having 
trouble making up their minds. 

Commercials   Long      Short      Net     % of OI 
8/21/01       30,348     38,964   ( 8,616)  (12.43%)
8/28/01       29,255     36,551   ( 7,296)  (11.09%)
9/04/01       28,757     38,119   ( 9,362)  (14.00%)

Most bearish reading of the year: (15,521) - 3/13/01
Most bullish reading of the year:  (1,825) - 1/02/01

Small Traders  Long     Short      Net     % of OI
8/21/01       10,499     7,576    2,923      16.17%
8/28/01       11,131     9,694    1,437       6.90%
9/04/01       12,341     9,806    2,535      11.45%

Most bearish reading of the year:  (1,028) - 1/02/01
Most bullish reading of the year:   8,460  - 3/13/01

DOW JONES INDUSTRIAL

Institutions are the most bullish they have been all year.

Commercials   Long      Short      Net     % of OI
8/21/01       22,710    14,625    8,085     21.7%
8/28/01       22,141    14,959    7,182     19.4%
9/04/01       23,459    14,099    9,360     24.9%

Most bearish reading of the year: (8,322) - 1/16/01
Most bullish reading of the year:  8,925  - 9/04/01

Small Traders  Long      Short     Net     % of OI
8/21/01        5,059    10,410    (5,351)   (34.59%)
8/28/01        5,240     9,835    (4,595)   (30.48%)
9/04/01        6,952    12,744    (5,792)   (29.41%)

Most bearish reading of the year:  (7,572) - 5/08/01
Most bullish reading of the year:   1,909  - 1/16/01

COT Commercial Net Position Charts



----------------------------------------------------------------- 


=========================
Play-of-the-Day (Bearish)
=========================

PeopleSoft, Inc. - PSFT close: 28.60 change: +0.90 stop: 30.25 

Comments When Originally Selected On August 31st:

Company Description:
PeopleSoft is the third largest developers of enterprise resource 
planning (ERP) software after SAP and Oracle.  ERP software helps 
clients manage human resources, financial, manufacturing, 
purchasing, sales and inventory planning.  The Pleasanton, 
California-based company's vertical applications target the health 
care, financial services, public-sector, and communications 
industries.  PeopleSoft generates 65-percent of sales from related 
software maintenance, training, and consulting services. 

After six consecutive years of doubled sales, the company saw 
demand for its flagship ERP products diminish due to increased 
competition and a saturated market; it slipped into the red in 1999 
for the first time in the decade.  In response, the company 
launched an aggressive array of new products and services, 
particularly in the customer relationship management (CRM) 
industry. The company is counting on its Internet-based PeopleSoft 
8 CRM offering to make further inroads into competitor Siebel 
Systems' dominant market share. 

Fundamentals: 
Analysts forecast the company will earn 60-cents on sales of $2.1 
billion in the current fiscal year and 83-cents on $2.4 billion in 
2002.  Last year, the company earned 31-cents on sales of $1.74 
billion.  This gives the company a 2001 earnings growth rate of 93-
percent (industry average is 2.5-percent), a current P/E of 111 and 
a forward 2001 one of 59 (industry average is 38) and a PEG of 2.38 
(industry average is 1.93). For the fourth quarter, the company has 
said it was comfortable with analysts' current estimates of 19 
cents per share.

Why We Like It: 
PeopleSoft's emphasis on web-based applications have scored big 
with customers and enabled it to rebound after a tough 1999.  
However, the shares are richly valued making them vulnerable to 
dips during market pullbacks.  Although the company is predicting a 
solid year with license-revenue growth "slightly ahead" of the top 
of the 30-percent to 35-percent annual growth the company had 
projected, and that full year EPS would be at the "high end" of the 
company's 55 to 60-cent range, investors are still concerned.  They 
question whether the firm can maintain this robust growth when even 
the company admits the selling environment has become more 
difficult.  

We have been in and out of this play in the past and we see it as 
time to jump back in.  Software remains one of the weakest market 
sectors and despite the momentary pre-holiday respite from selling 
pressures, we believe Kodi the Bear is still at the helm.  And lest 
we forget, we are entering earnings warning season.  Although it is 
possible Friday's bullish action may carry over into Tuesday's 

trading session, we believe traders that like to work the short 
side should take advantage of this opportunity to establish their 
positions.  This is where PeopleSoft shares fit in.       

After bouncing off a session low of $29.80 on July 20th, they put 
together an impressive run to a session high of $44.78 on August 
1st.  Unfortunately for longs, this high represented the second 
failed attempt to top $45.  The shares then dropped steadily until 
they closed at $31.95 last Thursday.  Although Friday's $2.53 gain 
was on solid volume, further gains will need to maintain its close 
above the 50-percent retracement ($34.32) off its June high 
($51.01), push through resistance at $37.00 and the $37.56 200-day 
moving average.  Given the sad state of the markets we don't 
believe PSFT shares can pull this off.  A failure here would set up 
a test of the support at $30 and a possible run to the March low of 
$17.50.  

As an entry, traders should wait for either a move to between $36 
and $37, or at the first sign of weakness if the bulls fail to 
show.  Place your stop according to your entry point and tolerance 
for risk.  We are going to start with a loose stop just above the 
200-dma at $38.00.

Updated Comments:
Shares of PSFT saw an early bounce this morning but not before
the stock opened lower trading to 26.74.  The downtrend is still
in place and shorting the stock here with a stop at 30.25 appears
to be a good risk/reward scenario.  Our concern about losing the
1.65 difference (today's close vs. our stop) is there seem to
be whispers of an oversold bounce expected for the NASDAQ next
week.  The GSO or software index didn't do much and could be
trying to find support at the 140 level.  If we don't get bounced
out on Monday morning then pick an entry point that suits your
tolerance for risk.  Another failed rally just below $30 would
be a good fit.  Everyone keeps talking about hitting the April 
lows.  PSFT's April low was 20.88 but its March low was 17.50.  

Picked on August 31st at $ 34.48
Gain since picked:       +  5.88
Earnings Date:              N/A  





==========
Watch List
==========

SpectraLink Corp. - SLNK - close: 19.50 change: +0.80

WHAT TO WATCH:  Anything up over 4% on Friday is worth watching.
According to Jon Farnlof, here at PremierInvestor.net, SLNK should
be on everyone's watch list for more of a long-term bullish trade.
As a matter of fact SLNK is this weekend's long-term pick.  I'll
leave the fundamentals to Jon, but the chart certainly has a 
bullish trend to it.  $19.50 was resistance way back on June 15th,
2000 and the stock closed at it today.  Some chart readers may 
believe that this is too long ago to be real resistance and $20 is 
probably the real hurdle here.  This time I am inclined to believe 
them.  I believe that your best bet to play SLNK would be on a dip 
back to $18.  I'd probably put a stop right below it at $17.50 or 
maybe $16.50 if you're feeling generous.  




---

The Profit Recovery Group - PRGX - close: 14.18 change: -0.22

WHAT TO WATCH:  PRGX has been on the watch list before.  The
stock saw a huge move up from $11 to $16 in August.  Since then
traders have done some profit taking but the retracement has
been reasonable.  One might believe that if there was going to
be some serious selling in the stock it would have happened 
this week.  Today's dip might be a buying opportunity.  The
low was just above the stock's 20-dma and shares spent most
of the day basing along $14.  As long as the stock stays above
$14 we have a chance it might run to $15 or $16 on any relief
rally for the broader markets.  That's not a bad return for
what will probably be a short-term trade.




---

Nasdaq-100 Tracking Stock - QQQ - close: 33.70 change: -0.20

WHAT TO WATCH:  One stock that has become one of the volume leaders 
on the NASDAQ/AMEX exchanges is the Q's.  You've probably heard 
everyone talking about the April lows.  Well, the Q's are at them.  
Last April 4th, the low for the Q's was 33.60 and they closed at 
34.05.  This Friday the low was 33.35 and they closed at 33.70.  
The recent downtrend has culminated in some pretty high volume days
this week yet Friday the stock really didn't move much.  Volume
was 95 million versus the normal 60.9 million.  This is pure 
speculation but based on the NASDAQ's performance Friday we might
be at a bottom - at least a temporary one.  We're listing the Q's
on the watch list as a potential long play only if and when they
finally turnaround.  Look for them to close over 35.00 before
considering an entry.  




---

Nextel Comm. - NXTL - close: 10.60 change: +0.56

WHAT TO WATCH:  Here's another stock that posted some nice green
on the board while everyone else was seeing red.  If you admit 
that you have a bullish bias then the chart for NXTL could look
like a potential bottom.  We got the nice big spike down on 
Wednesday, the basing at $10 on Thursday, and now a 5% rebound
from what bulls hope is new support at $10.  The stock has plenty
of overhead resistance but if a reversal is under way then we
might get another 10% out of the share price before hitting any
congestion.  So what fueled the big move on Friday?  Nextel,
the country's fifth-largest wireless telephone carrier told 
the press that the third quarter is on track and they just signed
their 8 millionth local subscriber.  Sounds like good news for
investors desperately looking for good news (especially this 
sector).  Hey, did I mention the move was on rising volume?




---

Western Resources - WR - close: 18.75 change: +0.31

WHAT TO WATCH:  Does somebody know something the rest of us don't?
We agree that WR has been building a very bullish pattern over the
last few weeks but volume was off the charts today.  Normal volume
is only 709K but today was almost 15 million.  Is this a misprint?
The company is focused on providing electricity in Kansas and 
monitored security services throughout the rest of the country and
parts of Europe.  We couldn't find any significant news on Friday
so the big volume remains a mystery.  Technically we have an upside
breakout as $18.65 had been strict resistance since August 10th.
I would probably wait for shares to close over $19 to confirm the
move but this would cut into your potential profit of 5% before 
the stock hit stronger resistance at $20.




---

Check Point Software - CHKP - close: 30.51 change: +0.43

WHAT TO WATCH:  The software index (GSO) and that $30 level
on CHKP.  The stock has been toasted since it traded above
$45 near the 1st of August.  I feel the stock could go either
way.  The GSO is resting at 140 but the sector is at lows it
hasn't seen in years and CHKP hasn't been at $30 since January
2000.  If you think a tradable rebound is coming then look for
$30 to be the support the bulls are hoping for.  A potential
trigger to go long would be a close above 31.50 or 32.00. 
If you're bearish, look for that close under $30.




---

Brocade Comm - BRCD - close: 20.04 change: -1.01

WHAT TO WATCH:  This is another tech stock we're probably too
early on but the last three days show the stock price desperately
holding on to $20.  While BRCD is in the networking sector
the strategy would be similar to the one outlined above in CHKP.
If you're bullish look for a close above $21.50 but I would 
recommend a tight stop.  If you're bearish look for that close
below $20.  Bears will be aiming for those April lows near $16.75.




---

American Intl Group - AIG - close: 73.15 change: -2.40

WHAT TO WATCH:  It is not very often that we highlight a stock
in the insurance sector.  AIG has been falling since the first
week of July and the Insurance sector hasn't done any better.
The trigger for AIG here is simple.  Back in March the stock 
bounced at a low of 72.65.  Wednesday the intraday low was
72.65.  Friday the low was 72.65.  The bears are slowly closing
in on this support level and if it breaks we could get a move
down to 67.50.  Don't forget to trade with a stop if you go
short.




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Do not duplicate or redistribute in any form.

PremierInvestor.net Newsletter          Weekend Edition 09-07-2001
                                                    section 2 of 3
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/7920_2.asp
=================================================================

In section two:

Split Trader
  New Plays: none
  Play Updates: Amerada Hess - AHC,  Toro Co. - TTC
  Closed Plays: St. Jude - STJ

Net Bulls
  New Play: RF Micro Devices - RFMD (Bullish)
  Long-Term Tech Play:  SpectraLink - SLNK (Bullish)
  Bullish Play Updates: Amgen Inc - AMGN 
  Bearish Play Updates: MEDI, MMM, PSFT 
  Closed Bullish Plays: Atrix Laboratories - ATRX
  Closed Bearish Plays: QUALCOMM - QCOM,  VeriSign Inc. - VRSN 

Stock Bottom / Active Trader
  New Plays: AmeriCredit Corp - ACF (Bearish)
  Bullish Play Updates: CLX, MO, PEP
  Bearish Play Updates:.FITB, TCB
  Closed Bullish Plays: none
  Closed Bearish Play: none


=================================================================
Split Trader (ST) section
==================================================================

===============
ST Play Updates
===============

  -----------------------
  SPLIT CANDIDATE Updates
  -----------------------

Amerada Hess - AHC - close: 78.00 change: +0.02 stop: 75.80 

Oil was one of the few sectors that even came close to closing
the day in positive territory.  It failed with both the OIX
and the OSX ending negative but it was a close race.  Shares of
AHC dipped below the recent support at $78 early this morning
but quickly rebounded by lunch time.  However, about midday,
we noticed there was some strong selling at $78.25.  The stock
closed right at $78 - its recent support level for this holiday
shortened week.  There is stronger support at $76 and $76.50.
We continue to repeat our trading strategy to only go long
when the stock closes above resistance at $79.  Until that
happens traders should be sitting on the sidelines.

Picked on August 15th @ $ 78.90
Gain since picked:      -  0.90
Earnings Date:             N/A  (not confirmed)




---

Toro Co. - TTC - close: 45.33 change: -1.15 stop: 45.00 

Traders started selling shares of Toro a few minutes after the 
market opened and with quick efficiency they trimmed all of this 
week's gains in one cut.  Support held at 45.25 again but shares 
were only able to bounce a nickel higher by the Friday's close.  
Watch for market and stock direction on Monday morning.  If it
looks like both might be bouncing then this might be a good
entry point.  A stop at 45.00 would limit any potential losses
to a minimum.  If the selling continues on Monday morning we'll
likely be stopped out quickly.

Picked on September 6th @ $46.48
Gain since picked:        - 1.15
Earnings Date:               N/A  (not confirmed)





  -----------------------
  ST Closed Play
  -----------------------

St. Jude - STJ - close: 67.84 change: -1.55 stop: 67.88 

The unemployment report this morning came across the market like 
a big flashing sell signal.  Shares of STJ, which had been 
holding up so well for most of this week, collapsed and fell 
straight to $68 by lunchtime.  The bulls made a valiant effort 
to hold it there but after a couple of hours their strength 
ran out and our play in STJ was stopped out at 67.88.  With 
the stock now trading under $68 we could see a retest of the 
$65 level soon.  Monday/Tuesday's trading will be key to STJ's 
short-term trajectory.  

Picked on August 30th @ $ 69.85
Gain since picked:       - 1.97
Earnings Date:              N/A  (not confirmed)





==================================================================
Net Bulls (NB) section
==================================================================

============
NB New Plays
============

  ----------------
  New Bullish Play
  ----------------

RF Micro Devices - RFMD Close:$22.31 change:+1.22 Stop:$19.50

Company Description:
RF Micro Devices designs, develops, manufactures and markets 
proprietary radio frequency integrated circuits for wireless 
communications applications, including cellular and PCS.  The 
shares have been bolstered by bullish comments from Merrill Lynch 
citing RF Micro shares as a good way to play a recovery in the 
wireless sector.  They cited the company's growing market share as 
a supplier to wireless equipment giants Siemens, Samsung and 
Qualcomm.

Fundamentals: 
For the fiscal year ended in March 2001, net income decreased 
30-percent to $35 million on a 16-percent jump in sales to 
$335.4 million.  The company earned 20-cents per share.  
Revenues reflect increased demand for handset and broadband 
products.  Earnings were offset by increases in research & 
development, and marketing expenses. 

For the 2002 fiscal year, the company is expected lose 4-
cents per share on sales of $347 million and to earn 25-cents 
per share on $530 million in 2003.

Why We Like It: 
It's tough to select a bullish tech play in a plunging market.  
Still, active investors looking for something to keep in their hip 
pocket to play in a snap back rally should consider RFMD shares.  
The semiconductor sector has been performing well of late when 
compared to the general market and even managed to squeak out a 
slight .46-percent gain in Friday's market plunge.  RFMD shares did 
better with a 6-percent one-day increase.  This is consistent with 
the shares behavior since last April.  During down and up days the 
shares have performed well relative to the general market and 
semiconductor peers.  With the markets approaching the April lows, 
RFMD shares should outperform in a rally.  Another attractive 
feature of the shares is that a point and figure chart has them 
hovering just above their bullish trend line at $21.00.  With 
support so nearby, traders playing a bounce can limit risk by 
placing a stop at near $20.  We are placing our initial stop a hair 
lower at $19.50.   Should the market turn, even a short-lived 
traders rally could push the shares up to resistance at $26 and 
possibly $28 resulting in a nice gain.

Picked on September 7th at $22.31
Earnings Date               10/16 (Not Confirmed)





=================
NB Long Term Play
=================

SpectraLink - SLNK September 7th close:$19.50 change:+0.80 

Company Description:
This Boulder, Colorado-based company makes, installs, and services 
wireless workplace telephone systems.  Its flagship Link system 
consists of master control units, base stations, and wireless 
phones and provides mobile communications within hospitals, 
offices, manufacturing facilities, and other workplaces.  Their 
NetLink system provides wireless voice and data communications over 
computer networks using Internet protocol.  The company sells 
directly and through distributors and dealers to retail outlets 
like Barnes & Noble and Wal-Mart, health care providers like Kaiser 
Permanente, and manufacturers like GM and National Semiconductor.

Fundamentals: 
The fundamentals on this company are so solid it's easy to forget 
they are part of the battered wireless industry or that the economy 
is slumping.  Earnings are expected to increase from 32-cents per 
share last year to 46-cents this year and 64-cents in 2002.  
Revenue is forecast to jump from $54 million in 2000 to $69 million 
in 2001.  Profitability ratios are well above industry averages: 
their gross profit margin is 68-percent (industry 36-percent), pre-
tax margin is +21-percent (industry -7.84-percent), net profit 
margin is 14-percent (industry -8.21-percent).  The company has no 
long-term debt (industry average is $1.63 per share). Cash flow is 
48-cents per share (industry 9-cents).

Why We Like It: 
Whereas a parade of wireless companies have issued dire financial 
results this year, Spectralink has produced two consecutive 
quarters where revenues have increased 80-percent or more from the 
same periods last year.  The company's products are so well 
received by customers that according to InfoTech they have a 61-
percent market share of the enterprise wireless telephone market.  
If the company can generate sales so well in an ugly business 
environment, one has to wonder what they would produce in an 
economic recovery.  

Longs have benefited from a sharp rise in SLNK shares from $7.60 on 
May 21st to Friday's $19.99 52-week high.  This means they are 
possibly over extended at the present time.  It also means they are 
worth putting watching as a buy on any dip.  A good entry point 
would be occur if the shares move to between a range of $19 to $18.  
These both represent significant levels of support.  

SpectraLink's dominate market share, strategic partners, strong 
fundamentals and solid growth rates make them a good pick for both 
short and longer-term investors.

Earnings Date               N/A (Not Confirmed)





===============
NB Play Updates
===============

  -----------------------
  NB Bullish Play Updates
  -----------------------

Amgen Inc - AMGN - close: 63.90 change: -1.76 stop: 62.00

With the Biotech sector (BTK.X) down yet again and this time
for a 2.5% haircut, we are not surprised that AMGN felt the 
pressure today.  As the biggest biotech out there AMGN should
weather any prolonged recession better than its peers.  This
may be why the stock has slowly been climbing since its mid-
July lows.  Today's trading saw the stock bounce near its
200-dma (63.69).  If AMGN slips below the 200-dma again we 
would see it as sort of an early warning system that we are
close to being stopped out.  Hopefully if the market bounces
on Monday we might see shares of AMGN back over $65.  Confirm
market and stock direction before initiating any new plays.
See the original write up for more details.

Picked on September 6th @ $65.66
Gain since picked:        - 1.76
Earnings Date:             10/25 (not confirmed)





  -----------------------
  NB Bearish Play Updates
  -----------------------

MedImmune - MEDI - close: 38.21 change: -1.00 stop: 40.46 *new*

Right on target!  The widespread selling pressure that swept
across the markets on Friday hit the Biotech sector for another
2.5% loss.  Shares of MEDI gapped lower but ended up where
we expected they might near $38.  Volume was less than Thursday
and looking at a candlestick chart one might interpret today's
action as a doji.  Doji's tend to mean indecision between who
has control - the bulls or the bears.  Thursday was obviously
a breakdown through support so we wouldn't read too much into
Friday's candlestick but Monday might help confirm the new 
downtrend or caution us against a reversal.  Whatever the case
we are going to lower our stop down to 40.46 or the newsletter's
entry price.  Traders should keep an eye on the Biotech sector
or the BTK.X.  With the BTK currently near 500 a bounce might
inspire the bulls to make a multi-day trading rally.  A close
below 500 for the BTK would obviously be negative and the bears
might make a new push for the August lows near 480.

Picked on August 28th @ $40.46
Gain since picked:      + 2.25
Earnings Date:           10/24 (not confirmed)




---

3M - MMM - close: 100.78 change: -3.12 stop: 105.25 *new*

Now that's more like it!  MMM gapped down this morning as the
Dow saw immediate selling pressure from the negative unemployment
report.  MMM made a late day rally attempt after slipping
under $101 but the selling resumed and the stock closed right
at its low for the day.  Whomever was buying at $103 yesterday
probably wished they had waited.  Readers should know that
normally the $100 level offers support at a psychological 
level for investors.  This may well be the case for MMM but
looking at the chart it appears that $97.50 to $98 is the
real area to be watching.  Considering this has been such 
a tough and volatile market readers should be evaluating whether
a +5% gain, like the one we have here in MMM, is worth cashing
in or not.  We decided to lower our stop to 105.25 which was
just above the high in Thursday's mid-afternoon rally (right
before the last hour of selling took it down again).  As 
usual we need to watch the Dow for direction on Monday before
deciding on the next move for MMM.  We would not recommend
any new shorts at this time.

Picked on August 29th @ $106.75
Gain since picked:      +  5.97
Earnings Date:              N/A  




---

PeopleSoft - PSFT - close: 28.60 change: +0.90 stop: 30.25 

Shares of PSFT saw an early bounce this morning but not before
the stock opened lower trading to 26.74.  The downtrend is still
in place and shorting the stock here with a stop at 30.25 appears
to be a good risk/reward scenario.  Our concern about losing the
1.65 difference (today's close vs. our stop) is there seem to
be whispers of an oversold bounce expected for the NASDAQ next
week.  The GSO or software index didn't do much and could be
trying to find support at the 140 level.  If we don't get bounced
out on Monday morning then pick an entry point that suits your
tolerance for risk.  Another failed rally just below $30 would
be a good fit.  Everyone keeps talking about hitting the April 
lows.  PSFT's April low was 20.88 but its March low was 17.50.  

Picked on August 31st @ $ 34.48
Gain since picked:      +  5.88
Earnings Date:              N/A  





===============
NB Closed Plays
===============

  -----------------
  Closed Bullish Plays
  -----------------

Atrix Laboratories - ATRX - close: 24.90 change: -1.09 stop: 24.25

In a painful session, shares of ATRX fell almost 9% before
bouncing back in the last 30 minutes of the day.  We had 
set our stop at 24.25 believing that the month long support
levels at 25.50 and potentially again at 24.50 would hold.
Today's session helped wipeout all of the stock's gains made
in the last few weeks.  Surprisingly, the stock closed above 
its 50-dma before the day was over.  Our previous two updates
discussed waiting for the bounce at 25.50 which obviously
did not appear.  

Picked on August 31st @ $26.97
Gain since picked:      - 2.72
Earnings Date:             N/A  





  ------------------
  Closed Bearish Plays
  ------------------

QUALCOMM - QCOM - close: 49.18 change: +0.67 stop: 49.50 

After eight down days in a row the bulls had had enough and
some of the bears thought maybe they should cover.  It was
still a tough day as QCOM vacillated between $48 and $50 
throughout the trading session.  In Thursday's update we
mentioned that the stock was right at support and was due
for a bounce considering its oversold condition.  Fortunately,
we had lowered our stop to 49.50 which allowed us to close
the play with a $10 gain (+16.9%).  Checking the news we were
not surprised to see that JP Morgan told investors that this
looked like a good entry point to go long.  JP Morgan believes
that QCOM could recover to the $65 level which incidentally 
is just below major overhead resistance (amazing how that works).
If traders decided that the market can sustain a tradable
rally then QCOM might be worth watching for a potential bullish
trade.

Picked on August 30th @ $ 59.59
Gain since picked:      + 10.09
Earnings Date:              N/A  

 


---

VeriSign Inc. - VRSN - close: 38.55 change: +4.39 stop: 37.25 

If only we had listened to ourselves yesterday.  Sometimes as
a trader you can begin to second guess your decisions which 
for some of us can lead to sleepless nights.  This is why we
play with stop losses.  We had considered closing the play 
yesterday when it was up about 11%.  Little did we know that
VRSN would put on one of the more "upbeat" presentations at
the SG Cowen Fall Tech Conference.  The broker reiterated their
strong buy rating on the stock saying the recent sell-off offered
a good entry.  According to the news, VRSN only needs another
2 or 3% to hit its $260 million target for the quarter.  The
company also said that domain name registration could top 
35 million versus the estimate of 33 million.  All of the positive
comments helped fuel a 12.85% run in VRSN's shares on Friday.
We were stopped out at 37.25.

Picked on September 4th, 2001 @ $38.44
Change since picked:            + 1.19
Earnings Date:                10/25/01 (not confirmed)

 



==================================================================
Stock Bottom / Active Trader (AT) section
==================================================================

============
AT New Plays
============

  --------------
  New Bearish Play
  --------------

AmeriCredit Corp - ACF Close:$40.00 change:-3.33 Stop:$44.00

Company Description:
AmeriCredit is one of the largest provides of automobile loans in 
the country.  AmeriCredit purchases loans made by franchised and 
independent dealers to sub-prime consumers primarily buying late-
model used cars.  

Fundamentals: 
For the 2001 fiscal year ended in June net income rose 95-percent 
to $222.9 million on a 61-percent pop in revenue to $818.2 million. 
For the 2002 fiscal year analysts project the company will earn 
$3.81 per share on revenue of $983 million.
 
Why We Like It: 
Healthy consumer spending has kept the automotive industry from 
wilting due to the slowing economy.  News of a spike in the 
unemployment rate from 4.5-percent to a four year high at 4.9-
percent suggests the holiday may be ending.  Replacing the family 
car is likely to lose its priority in household budgets for 
unemployed and nervous workers.  If consumers are buying fewer cars 
then companies such as AmeriCredit are unlikely to maintain its 
rapid growth rate.

After a sharp rise from $23.25 last November to a 52-week high of 
$64.90 in late July, the shares have been on a steep plunge.  Last 
Wednesday, we put these shares on our Watch List as we saw them 
approaching critical support from their $43 long-term bullish trend 
line.  We identified a move to $42 would confirm a bearish 
reversal.  On Friday, the shares not only blasted through $42, they 
provided further bearish confirmation in spades by taking out their 
$41.30 200-day moving average.  The next areas of downside support 
are at $37, $30 and our bearish price target of $28.  We will start 
this play with a stop at $44.00, which is just above the former $43 
bullish trend line.  As an entry point watch for either further 
declines or more aggressive traders can wait for any rally up to 
the 200-dma.  
 
Picked on September 7th at $40.00
Earnings Date                N/A (Not Confirmed)





===============
AT Play Updates
===============

  -----------------
  Bullish Play Updates
  -----------------

Clorox - CLX Close:$38.68 Gain:+0.28 Stop:$27.00

Clorox avoided getting bleached, and closed up 28 cents.  That was just 
enough to push the stock past resistance at $38.46.

Picked on September 5th at $38.42
Gain since picked:          +0.26
Earnings Date                 N/A




---

Phillip Morris - MO Close:$47.08 Gain:-0.78 Stop:$45.00

Phil had tough day, but not as bad as some of the other Dow components.  
The stock managed to close above relative lows, and still has the 
support of the 200-day moving average.  

Picked on August 30th at $47.94
Gain since picked:        -0.86
Earnings Date            10/17/01 (unconfirmed)




---

Pepsi - PEP Close:$47.10 Gain:-0.70 Stop:$46.50

Pepsi gained 30 cents on a tough day, but still remains mired in a 
trading range.  At least the bottom didn't fall out.  That's about the 
best we can ask for on a day like today.   

Picked on August 10th at $45.66
Gain since picked:        +1.44
Earnings Date               N/A





  -----------------
  Bearish Play Updates
  -----------------

Fifth Third Bancorp FITB Close:$54.80 Gain:-1.12 Stop:$55.80 NEW

FITB lost another $1.12 today, but could have lost more.  FITB 
rallied towards the close, so we are going to ratchet down our 
stop once again to ensure we don't give back too much.

Picked on August 28th at $59.30
Gain since picked:        +4.50
Earnings Date              N/A




---

TCF Financial TCB Close:$42.76 Gain:-0.34 Stop:$43.25 NEW

TCF Financial lost 34 cents today, but bounced off the 200-day 
moving average and moved higher into the close.  We were afraid 
of this happening, so we are lowering our stop to $43.25 in case 
of a rally.  

Picked on August 24th at $47.60
Gain since picked:        +4.84
Earnings Date              N/A





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PremierInvestor.net Newsletter         Weekend Edition 09-07-2001
                                                   Section 3 of 3
Copyright ) 2001, All rights reserved.
Redistribution in any form is strictly prohibited.

The entire newsletter is best viewed in COURIER 10 for alignment
=================================================================
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In section three:

Expected/Likely Split Announcements For The Coming Week
New Split Candidates: ASW, ROST
Market Watch for Week of September 10th
   - Major Earnings
   - Stock Splits
   - Economic Reports

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

=================================================================

=================================================
Expected/Likely Announcements For The Coming Week
=================================================

                                    Date Expected 
Symbol         Company              To Announce
=================================================
PDCO           Patterson Dental Co        9/10
=================================================

EXPLAINATION:

PDCO - Patterson Dental Company  

Patterson is in the medical supply industry, providing dental 
and medical products to healthcare professionals. The Company 
has performed well since trading publicly in 1992, increasing
in share price by almost 47 percent in the last year. The split
history includes a 2:1 split in July 2000, and 3:2 splits in 
February 1998 and June 1994.  Price ranges ran between $30 and 
$50 for the prior announcements, which lands current levels in 
the ballpark. On September 10 there is a shareholder meeting 
planned at which time shareholders will vote to increase the 
number of outstanding common stock from 130 million to 630 
million. This would give the Company plenty of room to execute 
its fourth stock split as there are currently 68 million shares 
outstanding. 

chart = 


=======================================
New Split Candidates to add to the List
=======================================

New Split Candidates


ASW (formerly ACLNF) - A.C.L.N. Ltd.

Logistics provider and wholesale automobile dealer A.C.L.N. is 
once again at historical split levels. We are anticipating 
another 5:4 split with the next major company event or board 
meeting, keeping in line with the last two split announcements of 
last year; both splits brought prices down to the $20-$30 range. 
Shares have appreciated by over 50 percent this year and continue 
to make new highs on increasing volume. Illustrating further 
strength, ASW reported record second quarter earnings last month, 
boasting a 63 percent increase in EPS and 98 percent increase in 
revenue when compared to Q2 of 2000.

chart = 

===

ROST - Ross Stores, Inc.

Ross may be off of previous announcement levels but at the 
present rate, prices could reach $40 before you can say, 
"bargain-hunting fuels discount retailers". The current lack of 
consumer confidence has boosted stores like Ross while the more 
pricey competitors scramble for profits. At any rate, we'll keep 
our eye on ROST as shares continue to hit new highs during an 
already strong year. With 170 million shares currently 
authorized and 80 million outstanding, one can expect a 
shareholder meeting to increase the authorized shares if a 2:1 
split is to be executed.

chart = 


===================================================
Market Watch for the week of Sept. 10th – Sept. 14th
===================================================

  ------------------------
  Major Earnings This Week
  ------------------------

Major Earnings This Week

Symbol  Company              Date         Comment         EPS Est

CGA     Corus Group plc      Mon, Sep 10  ----- n/a -----     N/A
IDR     Intrawest            Mon, Sep 10    4:00 pm ET       0.13

NMGa    Neiman Marcus Grp    Tue, Sep 11  Before the Bell     N/A
STEI    Stewart Enterprises  Tue, Sep 11  Before the Bell    0.10
HNZ     Heinz                Tue, Sep 11  ----- n/a -----    0.61

BRC     Brady                Wed, Sep 12  Before the Bell    0.12
GIS     General Mills        Wed, Sep 12  Before the Bell    0.59
WCS     Wallace Computer     Wed, Sep 12  After the Close    0.28
ABM     ABM Industries       Wed, Sep 12  After the Close    0.56
AXA     AXA                  Wed, Sep 12  ----- n/a -----     N/A
BNG     Benetton Group       Wed, Sep 12  ----- n/a -----     N/A
CLL     Celltech             Wed, Sep 12  ----- n/a -----     N/A
WATFZ   Waterford Wedgewood  Wed, Sep 12  ----- n/a -----     N/A

CBRL    CBRL Group           Thu, Sep 13  Before the Bell    0.48
TEK     Tektronix            Thu, Sep 13  After the Close    0.11
ORCL    Oracle               Thu, Sep 13  After the Close    0.08
ADBE    Adobe Systems        Thu, Sep 13  After the Close    0.28
EN      Enel                 Thu, Sep 13  ----- n/a -----     N/A
PT      Portugal Telecom     Thu, Sep 13  ----- n/a -----     N/A


  -------------------------------
  Upcoming Stock Splits This Week
  -------------------------------

Symbol  Company Name          Splits  Payable    Executable

POOL    SCP Pool Corp         3:2     09/07       09/10       
ATK     Alliant Techsystems   3:2     09/07       09/10       
CNMD    CONMED Corp           3:2     09/07       09/10       
MNC     Monaco Coach          3:2     09/07       09/10       
CTWS    Connecticut Water     3:2     09/07       09/10       
NFG     National Fuel Gas     2:1     09/07       09/10       
NICK    Nicholas Financial    2:1     09/10       09/11
HRLY    Herley Industries     3:2     09/10       09/11
NVDA    NVidia Corp           2:1     09/11       09/12
SFD     Smithfield Foods      2:1     09/14       09/17
CHZ     Chittenden Corp       5:4     09/14       09/17


  --------------------------
  Economic Reports This Week
  --------------------------

For the week of September 10, 2001

A bleak employment report capped off last week's attempt at 
yearly lows for the major indices.  Could upcoming events
finally offer relief to the market? You won't bet the farm 
if you look at what economists are expecting. 


Monday
======
Consumer Credit        Jul  Forecast:  $3.0B   Previous: -$1.5B


Tuesday
=======
Richmond Fed Manu Surv Aug  Forecast:   N/A    Previous:    -14


Wednesday
=========
Current Account        Q2   Forecast:-$106.0B  Previous:-$109.6B
Oil/Gas Inventories  9/07   Forecast:    N/A   Previous: 302.5MB


Thursday
========
Initial Claims      9/08    Forecast:    N/A   Previous:    402K
Export Prices ex-ag  Aug    Forecast:    N/A   Previous:   -0.5%
Import Prices ex-oil Aug    Forecast:    N/A   Previous:   -1.0%


Friday
======
PPI                  Aug   Forecast:    0.2%   Previous:   -0.9%
Core PPI             Aug   Forecast:    0.1%   Previous:    0.2%
Retail Sales         Aug   Forecast:    0.3%   Previous:    0.0%
Retail Sales ex-auto Aug   Forecast:    0.3%   Previous:    0.2%
Industrial Prod      Aug   Forecast:   -0.2%   Previous:   -0.1%
Capacity Util        Aug   Forecast:   76.8%   Previous:   77.0%
Mich Sentiment-Prel  Sep   Forecast:   92.9%   Previous:    91.5


==================
  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
CHV       Chevron                   92.36  +0.61
TX        Texaco Inc                70.68  +0.58
FPL       Fpl Group Inc             56.12  +0.72
FDP       Fresh Del Monte Produce   15.18  +0.81

  ---------------------------------------
   Breakout to Upside (Stocks $5 to $20)
  ---------------------------------------

Ticker    Company Name              Close  Change
MOGN      Mgi Pharma Inc            15.75  +1.48
LCBM      Lifecore Biomedical        9.04  +3.14

  ---------------------------------------
   Breakout to Upside (Stocks over $20)
  ---------------------------------------

Ticker    Company Name              Close  Change
IMCL      Imclone Systems           53.30  +2.57

  -----------------------------------------
   Breakout to Downside (Stocks over $20)
 -------------------------------------------

Ticker    Company Name              Close  Change
PFE       Pfizer Inc                36.96  -1.49
BAC       Bank of America           58.59  -1.19
TYC       Tyco International        46.58  -1.80
HD        Home Depot                41.00  -2.55
AOL       AOL Time Warner           32.22  -2.87

  ------------------------------------------------------------
   Recently Overbought With Bearish Signals (Stocks over $20)
  -------------------------------------------------------------

Ticker    Company Name              Close  Change
RTP       Rio Tinto Plc Adr         69.44  -3.20
ASD       American Standard Cos     66.28  -3.46
STJ       Saint Jude Medical        67.84  -1.55
LEN       Lennar Corp               39.94  -2.49
LAF       Lafarge North America     35.80  -0.86

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