PremierInvestor.net Newsletter Wednesday 09-26-2001 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/3600_1.asp ================================================================= In section one: Market Wrap: Risk still present in technology Market Sentiment: Snap Play-of-the-Day: Kinder Morgan, Inc - KMI (Bearish) Watch List:.WCOM, GE, FRX, RFMD, TYC, SLR, TMPW ----------------------------------------------------------------- U.S. Market Numbers ----------------------------------------------------------------- MARKET WRAP (view in courier font for table alignment) ----------------------------------------------------------------- 9-26-2001 High Low Volume Advance/Decline DJIA 8567.39 - 92.58 8718.16 8527.05 1.78 bln 1491/1672 NASDAQ 1464.04 - 37.60 1516.12 1458.34 1.76 bln 1447/2419 S&P 100 516.29 - 1.63 522.45 513.29 Totals 2938/4091 S&P 500 1007.04 - 5.23 1020.29 1002.62 RUS 2000 389.79 - 6.39 397.66 389.11 DJ TRANS 2076.79 - 16.01 2118.36 2072.70 VIX 39.26 + 0.39 39.71 37.95 VXN 65.94 - 1.63 68.67 65.65 TRIN 1.59 ----------------------------------------------------------------- =========== Market Wrap =========== Risk still present in technology by Jeff Bailey There's still some downside risk an many technology sectors and today's 7.8% decline in the Semiconductor Index (SOX.X) is proof of that. The September 21st low of 363.52 could be tested soon and a break of that level may leave some wondering where support will be found. Our retracement bracket gives hint that the 323 level could come into play. Semiconductor Index Chart - last nine months The Semiconductor Index (SOX.) has given back the bulk of Monday's rally and yesterday's move to the 412 level looks to have been sold with some conviction. Any further follow through to the downside could have any remaining bulls in the group waiting to see what happens at the 323 level. That 323 level (or close to it) will now become the bearish trader's target and a level where any bulls need to be assessing their risk. NASDAQ 1,455 could be key level near-term With the Semiconductor Index (SOX.X) looking vulnerable to a decline, "tech psychology" could be damaged further and put pressure on the NASDAQ Composite. Fitted retracement in the NASDAQ gives hint that 1,455 could become an action point tomorrow for some sell/hedge programs for many market makers. NASDAQ Composite Index - last nine months The NASDAQ Composite (COMPX) held tough today, but a break of the 1,455 level could test a bulls conviction. While the recent trading near 1,400 last Friday does tie into the October 8, 1998 low of 1,357 it's difficult to say that the NASDAQ has firm support at 1,357. As oversold as many market indicators are, investor psychology is poor. Trader and investors should remain relatively defensive and be willing to hedge some recently added bullish positions until we get some type of breathing room from an upside move. NASDAQ Composite Bullish % Chart - 2% scale While the bullish % reading for the NASDAQ Composite ($BPCOMPQ) is oversold, with just 22.3% of the stocks in this index currently showing a buy signal on their charts, we haven't seen some of the more extreme levels of oversold conditions witnessed back in September of 1998 (18%) or April of 2000 (20%). Until we get some type of reversal higher (currently it would take a reading of 28% bullish) and into a column of X's, bullish investors/traders need to remain cautious. Bearish traders need to be cautious too and not get carried away with things or get too aggressive with their bearish trades. Many of the bearish trades we are profiling on PremierMarkets.com have tight stops associated with them. We don't want subscribers to get caught up in any type of dramatic short-covering rally. Current strategy for shorting stocks is to try and identify stocks that have rallied on rather light volume and where a break below a previous low poses the question, "how low will it go?" It's these kinds of stocks where traders can establish a short position, then move their stops lower (if short/put) as the trade works in their favor. By systematically lowering your stops, you're reducing risk in the trade and getting closer to the point of locking in a gain. ================ Market Sentiment ================ Snap by Jeffrey Canavan Stocks snapped a two-day winning streak under the weight of profit warnings, downgrades and margin call rumors. The Dow avoided a triple digit loss, but still closed down 92 points. On a percentage basis the S&P 500's 0.51% drop was the best amongst the major indices, and the Nasdaq's 2.50% drop was the worst. Micron Weekly Chart Part of the Nasdaq's woes can be attributed to awful earnings, or lack thereof, from Micron Technology (MU). The chipmaker reported a loss of $575 million compared to a profit of $726 million a year ago. $289 million of the loss was due to inventory write-downs, and an additional $118 went to a write down of its equity investment in Interland Inc. The 96 cents per share loss was well below analysts' expectations of 34 cents, excluding write downs, and the 18% drop in stock price reflected investors' disappointment with a 79% drop in sales. The company declined to give future guidance, but Micron's future stock price could be $10 if support at $17 is broken. Semiconductor Index Daily Chart Micron's bleak outlook had semiconductor stocks reeling, and the Semiconductor Index lost 7.89%. Yesterday it looked like the SOX was trying forming a small base, but today's drop could have the sector being one of the first to test last week's low. Should that fail to hold, support looks like 345. IBM Daily Chart A downgrade from Goldman Sachs helped to spark a $3.15 decline in IBM, making it the biggest loser on the Dow. Analyst Laura Conigliaro noted that the effects of the September 11th attacks appear sizable, and could effect corporate spending on IBM products. She also lowered estimates for Sun and EMC. If that is indeed the case, IBM stock might need to rely on support at $90, or even $80, if sales do continue to decline. Healthcare, drug and gold stocks found some buyers as investors look for something a little more defensive, and bank stocks attracted interest, perhaps due to low interest rates. Tomorrow the markets will have to digest another batch of earnings warnings from Sonus Networks (SONS), Allegiance Telecom (ALGX), Guitar Center (GTRC), and Speedway Motorsports (TRK). Not quite the magnitude of Micron, but could nevertheless be a drag on investor psychology. We also get a full plate of economic data. Durable goods and initial jobless claims are released before the bell tomorrow, and new home sales and the Help-Wanted Index is released at 10:00 a.m. *************************Sector Watch**************************** Support Close Resistance DJIA | 8,062 | | | 8567 | | | 9,110| NASD | 1,385 | | 1464 | | | | 1,670| S&P 500 | 944 | | | 1007 | | | 1,100| Rus 2000 | 373 | | 390 | | | | 420| Semis | 363 | 371 | | | | | 455| Biotech | 405 | | 424 | | | | 475| Internet | 70 | | 81 | | | | 105| Networking | 210 | 214 | | | | | 260| Software | 100 | | 117 | | | | 159| Banking | 550 | | | | 585 | | 595| Retail | 695 | | | | 743 | | 765| Drugs | 353 | | | | | 374 | 377| Support Alerts: Internets Resistance Alerts: ____________________________________________________ | Long | Short | Strength | Relative | | Term | Term | of | Strength | | Trend | Trend | LT Trend | vs S&P 500 | DJIA | Bearish | Bearish | Strong | Negative | NASD | Bearish | Bearish | Strong | Negative | S&P 500 | Bearish | Bearish | Strong | -- | Rus 2000 | Bearish | Bearish | Strong | Negative | Semis | Bearish | Bearish | Strong | Negative | Biotech | Bearish | Bearish | Strong | Negative | Internet | Bearish | Bearish | Strong | Negative | Networking | Bearish | Bearish | Strong | Negative | Software | Bearish | Bearish | Strong | Negative | Banking | Bearish | Bearish | Strong | Positive | Retail | Bearish | Bearish | Strong | Neutral | Drugs | Bearish | Bearish | Strong | Positive | _____________________________________ | Short-Term | | Point and | | Overbought/ | Momentum | Figure | | Oversold | | Signal | DJIA | Oversold | Falling | Sell | NASD | Oversold | Falling | Sell | S&P 500 | Oversold | Falling | Sell | Rus 2000 | Oversold | Falling | Sell | Semis | Oversold | Falling | Sell | Biotech | Oversold | Falling | Buy | Internet | Oversold | Flat | Sell | Networking | Oversold | Falling | Sell | Software | Oversold | Falling | Buy | Banking | AP OB | Falling | Sell | Retail | AP OB |turning up| Buy | Drugs | Oversold |turning up| Sell | AP OB = Approaching Overbought AP OS = Approaching Oversold ***************************************************************** ========================= Play-of-the-Day (Bearish) ========================= Kinder Morgan, Inc - KMI - close: $48.35 change: -1.65 Stop: $51.00 NEW Original Comments When Selected September 25th: Company Description: Kinder Morgan is a big player in natural gas. It was formed in 1999 through a merger of KN Energy and Kinder Morgan. KMI operates more than 30,000 mile of natural gas pipelines throughout the US and also sells gas directly to 225,000 Midwest customers. It is getting into the power generation business by building natural gas power plants along its pipelines. Through a subsidiary Kinder also transports coal and coke through 30 company operated bulk terminals. Fundamentals: Last year, the company earned $1.28 per share on sales of $2.7 billion. This year, analysts expect the firm to earn $1.88 per share and $2.48 in 2002. The earnings estimate trend has been mixed with one brokerage raising their estimate in the last 30-day and another lowering theirs. The company has a forward 2001 P/E of 26, which is significantly higher than the industry average P/E of 12. Although the company has strong cash flow of $2.57 per share, it is lower than the industry average of $3.66. Why We Like It: Kinder Morgan is a well-managed company with good fundamentals. However, as long as the price of natural gas keeps going lower, KMI shares are going to keep getting hammered. Since the beginning of the year, the December Natural Gas futures have dropped from a high of $6.10 to Tuesday's $2.69 close. KMI shares after banging up against $60 several times in the March, April, May timeframes have weakened considerably. On September 19th the shares plunged through their 50 and 200-day moving averages. They then attempted to consolidate for a few trading sessions before falling off the ledge with a $1.37 one-day loss on Tuesday. Of particular significance, Tuesday's close was the lowest since late March. Traders on Tuesday evidently felt the slide will continue, an intraday chart of the shares shows that after an initial 44-cents gain following the opening bell to $51.81, longs displayed nary a pulse for the remainder of the trading session. Volume is confirming the bearish momentum as 1.3 million shares were traded on Tuesday, well in excess of the 620k daily average. Going forward, the shares will likely test the next levels of downside support at $47.25 and $43.00. We will start this play with a $52.75 stop, which is just above recent session highs. Updated Comments: No change in our original outlook, and OPEC's decision not to cut production targets are bound to have a depressing effect on the prices of all energy commodities. December natural gas futures (NG01z) dropped another 6-cents today to $2.63. Picked on September 25th at $50.00 Gain Since Picked: + 1.65 Earnings Date 10/17 (Not Confirmed) ========== Watch List ========== WorldCom - WCOM - close: 14.77 change: +0.45 WHAT TO WATCH: There was plenty of news on WCOM this Tuesday after the company received approval for their bid to buy certain assets from bankrupt ISP Rhythms NetConnections. In other news, at least one analyst believes WCOM is itself an acquisition target and upgraded the company to a strong buy. Looking at the chart we see that WCOM has been extremely strong the last few sessions and completely ignoring the Nasdaq's weakness yesterday and today. If you're bullish on the stock you should be encouraged by the intraday dip today to 14.05 and the following bounce. It was a classic dip to support and bulls stepped in pushing the stock to a 3.14% gain on Wednesday. Another dip to $14 might make a good entry point or waiting for the stock to close over very tough resistance at $15 might be a good bet. However, if you're bearish on the stock then the $3 plus move from its low of 11.50 just a few days ago probably has you thinking this equity is way over extended. If the stock rolls over at $15 again tomorrow then shorts might put pressure on it and try to capitalize on any move back down to $12 or $13. Play with a tight stop over $15 but beware of what occurred back in late July. WCOM managed a close over $15 to 15.21 and probably drew a lot of excitement from the bulls. However, the next it traded as high as 15.90 before falling and closing at 14.25. Hopefully, this will help you define your stops if you choose to be bearish. --- General Electric - GE - close: 35.48 change: +0.14 WHAT TO WATCH: This behemoth of a company always attracts a lot of attention and a lot of its been positive after the CEO's comments a few days ago reaffirming their earnings guidance. This is certainly not something many companies can do these days (reaffirm guidance that is.. unless it's down). The stock has seen some big moves with the intraday low just four days ago at $28.50. The last two days of trading has set resistance at $36 and potential support at $34.75. As one headline put it, GE is the essential "buy America" stock. They have their hands in so many industries and are so diversified they are probably one of the safest bets out there for a long-term portfolio (5 to 10 years or more). However, on a more short-term time frame we could see a bullish more back up to resistance at $39 (or $40) but first we need to see the stock close over $36. Aggressive traders could try and target shoot into a long play near $35. However, if you're bearish and believe the Dow will continue to slip (and it easily could) then GE may be forced down to stronger support back around $31. A close under $34.50 or $34.00 may be the signal for a bearish play. We probably would not set our stop more than a dollar or two away from our entry. --- Forest Labs - FRX - close: 71.31 change: +2.42 WHAT TO WATCH: Both bullish and bearish traders should keep their eyes on FRX. The drug sector is typically seen as a defensive play in times of uncertainty and we have seen the DRG index rise strongly over the last three sessions. So strongly in fact that the index has retraced over 38.2% of its recent downtrend (8/24/01 to 9/21/01 on a closing basis). It looks like the DRG.X, currently at 374.30, has overhead resistance at 380 to 385 and we would expect longs to do some profit taking while bears turn on the shorting pressure. In similar fashion, FRX is quickly approaching overhead resistance at 72.50 and again (stronger) at 75.00-76.00. Nimble traders can try and scalp any move up from here but we would be more likely to consider a short if and when the stock rolled over. On the bearish side, we would look for support at $70, at its 200-dma (near 67.50) and stronger at 65.00. --- RF Micro Devices, Inc. - RFMD - close: 16.29 change: -3.52 WHAT TO WATCH: Who or what do you believe? Once again investors are faced with strong dueling opinions from the brokerages on their recommendations. Some believe chip stocks are getting pretty cheap and valuations could prove tempting. On the other hand, we get bad news from the likes of MU and AMD and it sends the SOX skidding. RFMD dropped over 17% just today and after people were defending it a few days ago. Now one brokerage is hammering on Nokia whom RFMD is a big supplier. RFMD had seen strong support and $20 and should have seen more support at $19. As you can see shares didn't even pause on the way down today. However, we would expect some support at $15. Here is where the play begins. Wait for the stock to get to $15. If you are bullish, look for a bounce, put a stop below $15 and wait for shares to climb back to $19 or $20. If you're bearish, wait for shares to close under $15, put a stop above and see if the bears can push RFMD back to its March support of $11 to $10. --- Tyco Intl - TYC - close: 44.18 change: -0.04 WHAT TO WATCH: We're listing another big conglomerate that both bullish and bearish traders should keep on their radar screens. First, we've copied a business description from a company press release for those not familiar with Tyco. Tyco is the world's largest manufacturer and servicer of electrical and electronic components; the world's largest designer, manufacturer, installer and servicer of undersea telecommunications systems; the world's largest manufacturer, installer and provider of fire protection systems and electronic security services and the world's largest manufacturer of specialty valves. Tyco also holds strong leadership positions in medical device products, financing and leasing capital, plastics and adhesives. Tyco operates in more than 100 countries and had fiscal 2000 sales of $28.9 billion. Looking at the chart we can see that the stock suffered a huge drop in late August from the low 50's to last Friday's intraday low of $39.24. The last three days has shown strong gains with higher lows but we see clear resistance at $45. Bullish traders can look for the stock to close above $45 with an ultimate target of $50 again (given enough time). Bearish traders should look for the stock to rollover at another attempt to breach $45 before considering a short play. However, be aware the company recently reaffirmed earnings guidance for 2001 and 2002. At $44, shares of TYC are trading at less than 9 times 2002 earnings. There is bound to be more buyers if the stock dips back to the $40-$41 area. --- Solectron - SLR - close: 11.48 change: -0.02 WHAT TO WATCH: Another electronics manufacturer is Solectron. Shares have been hammered over the past several months as analyst continued to see recessionary influences and lower demand. Fortunately, for the bulls, it looks like the stock put in a hard bottom at the $10 level last week. Shares have since rallied to almost $12 before longs did some profit taking. We normally don't recommend shorting stocks under $20 and we're not going to do so here. However, if the Dow makes another big push down, SLR could trade back to $10 again. This would be an excellent entry to go long with a tight stop below. On the other hand, if SLR can close above $12 we would consider it a potential long play for a short-term move. Overhead resistance at $13.50 should still allow for a 10% gain or more depending on your entry. --- TMP Worldwide - TMPW - close: 29.36 change: -2.48 WHAT TO WATCH: Most famous for its Monster.com website, TMPW has seen a very steady decline turn into a full fledged rout. The intraday low back on April 4th, 2001 was 27.50 and the stock quickly rebounded last spring. Today's intraday low was also $27.50 but the stock looks weaker than it did back in March/April and we could be looking at new lows soon. If you're bullish, and I don't know why you would be but then we haven't done a lot of in-depth research for the watch list, then buying at the absolute bottom sounds very tempting. One can easily place a stop below the 52 week low and wait it out. Now if you are bearish then we can enjoy trading the trend. With the stock under $30 one could short TMPW here with a stop above $30 or $32.50 based on your risk tolerance. Or one could wait for a close under $27.50 before considering a short play. ================================================================= 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 09-26-2001 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/3600_2.asp ================================================================= In section two: Split Trader Split Announcements: none New Plays: none Play Updates: none Closed Plays: none Net Bulls New Plays: Molex, Inc. - MOLX (Bearish) Bullish Play Updates: none Bearish Play Updates: none Closed Plays: none Stock Bottom / Active Trader New Plays: Eli Lilly and Company - LLY (Bearish) Bullish Play Updates: Stop Updated Bearish Play Updates: See Kinder Morgan - KMI in Play-of-the-Day 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) ================================================================== Net Bulls (NB) section ================================================================== ============ NB New Plays ============ ------------------------ New Bearish (Short) Play ------------------------ Molex, Inc. - MOLX - close: $28.08 change: -0.99 stop: $30.50 Company Description: Molex is the world's second largest maker of electronic connection products including: electrical and fiber optic interconnection products and systems, switches, value-added assemblies and application tooling. Molex serves original equipment manufacturers in industries that include automotive, computer, wireless, home appliance and home entertainment. The company offers more than 100,000 products. These electrical and electronic devices include terminals, connectors, planer cables, cable assemblies, interconnection systems, fiber optic interconnection systems, backplanes, mechanical and electronic switches. Fundamentals: In the fiscal year ended June 2002, net income dropped 8-percent to $204 million, or $1.19 per share, on a 7-percent increase in sales to $2.37 billion. In 2002 the company is projected to earn 92- cents per share and $1.37 in 2003. This gives the shares a forward 2002 P/E of 27, which is inline with the industry average P/E of 26. Analysts earnings estimates have been stable with no revisions in the last 90-days from eight brokers providing coverage. Why We Like It: Telecom and other tech equipment manufacturers enjoyed a brief respite from the bear market on Monday and Tuesday, but it appears the bears are back, refreshed and ready to maul. We were looking for tech stocks that were in a well-entrenched down trend prior to Monday's rally (that was a long list), benefited from Monday's rally (i.e. has some room to drop) and had begun to fade (but not too much). MOLX fit the bill perfectly. Prior to Monday, the shares had been a loser in 11 of the previous 15 trading sessions dropping from the 8/27 close of $33.76 to $26.55 last Friday. Monday saw the shares gain $2.93, but the next two trading sessions saw losses of 38-cents on Tuesday and 99-cents. A rising volume trend confirms the greater selling pressure with 624k shares traded during Monday's rally, jumping to 682k on Tuesday and 804k on Wednesday. For comparison, a normal day is 493k shares traded. With a strong bear case in place, we anticipate the shares will soon test the $25.76 52-week low set on September 21st. Our point and figure analysis produced a bearish price target of $23. We will initiate this bearish selection with a $30.50 stop, which is just above Tuesday's $30.24 session high. Picked on September 26th at $28.08 Earnings Date 10/18 (Not Confirmed) ================================================================== Stock Bottom / Active Trader (AT) section ================================================================== ============ AT New Plays ============ ------------------------- New Bearish (Short) Plays ------------------------- Eli Lilly and Company - LLY - close: $78.55 change: +1.35 stop: $80.00 Company Description: The Indianapolis-based pharmaceutical giant is best known for its antidepressant Prozac and pre-menstrual dysphoric disorder treatment Sarafem. Together, they account for almost 25-percent of total company sales. Other drugs include Gemzar for pancreatic cancer, Humalog (insulin) and Zyprexa, a schizophrenia treatment also approved to treat bipolar disorder. In addition to neurological, oncological, and diabetes drugs, Eli Lilly also makes antibiotics, cardiovascular treatments, and animal health products. The company has a strong pipeline of over 40 candidates, including treatments for sepsis, cancer and diabetes. This is important, as the company has lost its patent protection for Prozac. Some estimates expect Prozac sales to drop 24-percent to $1.9 billion. The firm hopes the soon to be released impotence drug Cialis and osteoporosis treatment Forteo, combined with the growth of Zyprexa (up 36-percent this year), Gemzar (up 37-percent), and diabetes drug Actos (up 24-percent), can replace the income it will lose. Fundamentals: Last year, the company earned $2.65 per share on sales of $10.8 billion. This year, the firm is expected to earn $2.81 per share and $2.95 in 2002. Within the last 90-days, 6 of the 27 brokers providing coverage have reduce 2001 estimates for earnings, none have raised estimates. The company has a forward 2001 P/E of 28, consistent with the average industry P/E of 29. Why We Like It: When investors are optimistic about Lilly's pipeline the stock goes up, when they are depressed about the loss of Prozac patent protection the stock goes down. Although it is unusual to make a stock that gained $1.35 on Wednesday a bearish selection; there are strong indications the shares are topping out and ready to correct. After a prolonged drop from the $83.67 close on August 24th, the shares moved up sharply since opening at $72.01 last Friday. This suggested the shares were over extended. With them knocking against strong resistance in the $78-$80 range, we were looking for the first signs of weakness in bullish momentum. That weakness may have become evident on the short-term 1-minute chart on Wednesday. After a gap opening and sharp climb from Tuesday's close of $77.20 to Wednesday's $79.60 session high, the bulls faltered badly through to the $78.55 close. The last time the shares failed to break through came on September 17th and 18th and was followed by the drop to $71.81 just a few days later. Our short-term bearish target price is $74.00, with an outside shot at $68. We are initiating this play with a tight $80.00 stop, which is just above Wednesday's session high. Picked on September 26th at $78.55 Earnings Date 10/18 (Not Confirmed) =============== AT Play Updates =============== --------------------------- Bullish (Long) Play Updates --------------------------- Updated stop on Suiza Foods (SZA) to $61.50 ---------------------------- Bearish (Short) Play Updates ---------------------------- See Kinder Morgan - KMI in section 1 Play-of-the-Day ================== 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 UBS Ubs Ag Ord Shares 44.12 +0.75 RCL Royal Carribbean Cruises 10.18 +0.58 BDN Brandywine Realty Trust 20.50 +0.89 PHLY Philadelphia Cons Hld Co 30.47 +0.52 GISX Global Imaging Services 17.04 +1.64 --------------------------------------- Breakout to Upside (Stocks $5 to $20) --------------------------------------- Ticker Company Name Close Change TSN Tyson Foods 9.99 +1.15 FCH Felcor Lodging Trust 13.94 +1.04 ASA Asa Ltd 18.60 +1.50 --------------------------------------- Breakout to Upside (Stocks over $20) --------------------------------------- Ticker Company Name Close Change PFE Pfizer 38.55 +1.57 MMC Marsh & McLennan 92.85 +4.19 V Vivendi Ads 45.85 +1.50 UNH Unitedhealth Group 65.60 +2.61 CCL Carnaval Corp 21.91 +1.18 ----------------------------------------- Breakout to Downside (Stocks over $20) ------------------------------------------- Ticker Company Name Close Change TMB Telemig Celular Particip 21.30 -1.81 EPG El Paso Corp 38.90 -2.40 ENE Enron Corp 25.15 -1.85 DUK Duke Energy 36.57 -1.03 SWY Safeway 39.04 -1.95 ------------------------------------------------------------ Recently Overbought With Bearish Signals (Stocks over $20) ------------------------------------------------------------- Ticker Company Name Close Change none ================================================================= 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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