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Daily Newsletter, Friday, 01/25/2002

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PremierInvestor.net Newsletter          Weekend Edition 01-25-2002
                                                    section 1 of 3
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In section one:

Market Wrap:      Mixed day, mixed week, mixed bag
Play-of-the-Day:  An Attractive Entry Point
Watch List:       ONE, MEL, PII, BWA, BVEW, CBR, GTK, TRDO & more!
Market Sentiment: Blue chips lead the way.

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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 1-25          WE 1-18          WE 1-11           WE 1-4
DOW     9840.08 + 68.23  9771.85 -215.68  9987.53 -272.21  +122.75
Nasdaq  1937.70 +  7.36  1930.34 - 92.12  2022.46 - 36.92  + 72.12
S&P-100  575.14 -   .10   575.24 -  8.96   584.20 - 14.41  +  6.86
S&P-500 1133.28 +  5.70  1127.58 - 18.02  1145.60 - 26.91  + 11.49
W5000  10576.52 + 67.16 10509.36 -188.86 10698.22 -234.10  +113.75
RUT      479.35 +  4.98   474.37 - 15.57   489.94 -  9.36  +  5.68
TRAN    2779.92 +112.67  2667.25 - 39.52  2706.77 -123.43  +187.15
VIX       21.93 -  2.41    24.34 +   .36    23.98 +  1.96  -   .31
VXN       45.67 -  3.22    48.89 +   .52    48.37 +  1.51  +   .92
TRIN        .82             1.13             1.44              .94 
TICK       +885             +522             +290             +996 
Put/Call    .68              .85              .68              .67 
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WE= week ended

===========
Market Wrap
===========

Mixed day, mixed week, mixed bag

Stocks finished the week mixed as Friday's action had the Dow 
Industrials finishing higher by 44 points to close at 9,840, as 
some of the deeper cyclicals like Caterpillar (NYSE:CAT), Du Pont 
(NYSE:DD), Minnesota Mining and Mfg. (NYSE:MMM) and International 
Paper (NYSE:IP) posted solid gains to keep the Dow in the green.  
The NASDAQ Composite (COMPX) finished fractionally lower, as 
investors struggle with the emotions of hope and fear regarding 
earnings and valuations.

It can be tough sledding and a wild ride to hold some technology 
stocks over earnings.  When software maker PeopleSoft 
(NASDAQ:PSFT) reported earnings of $0.18 a share, which beat 
estimates by 2 cents, investors found the stock down 6.5% at 
$35.91 after the company said that their market segment remains 
challenging.

Then you've got a stock like PMC-Sierra (NASDAQ:PMSC), which 
designs, develops and sells high-performance semiconductor and 
networking solutions posting a loss of $-0.15 a share, which was 
a penny better than estimates, jumping 10% to $24.15 after 
Goldman Sachs and Lehman Bros. both upgraded the stock.  Goldman 
went so far as to add the stock to its "recommended list" with a 
price target of $30 and estimated that PMC-Sierra would lose 
$-0.32 a share in 2002, but turn a profit of $0.25 a share for 
2003.  At today's close, that would have PMCS trading 966 times 
2003 estimates.  PMC-Sierra could eventually beat estimates in 
the future if business condition improve markedly, but it's the 
perceived growth rate from loss to profit that has the growth 
investor hoping for fortunes.

PMC-Sierra Chart - $1 box




The "fundamentalist" in me says short based on an extremely loft 
valuation.  Goldman's target is $30 and that's pretty close to 
where the stock traded back in early December, right when the 
NASDAQ-100 bullish percent was "overbought" and had reached a 
high of 78%.  The bullish % for the NASDAQ-100 ($BPNDX) is now at 
42% and bear confirmed, so I'm wanting to start out with just a 
1/2 position short (or use put options to minimize risk).  The 
stock has overachieved its bullish vertical count that indicated 
$20, so I'm cognizant of the fact that the MARKET does favor the 
stock and has some loftier expectations for PMCS.   However, for 
a new bullish vertical count to be created, the chart of PMCS 
would have to create a sell signal (column of O falling below a 
previous column of O) and right now that would be at $19.50.  A 
trade at $19.50 would create the "bearish triangle pattern."

Considering that the NASDAQ-100 bullish % ($BPNDX) is "bear 
confirmed" at 42% and Dorsey/Wright's Semiconductor Bullish % is 
"bear confirmed" at 43% (had been has high as 78% and quite 
overbought in early December) I think the risk/reward is in favor 
of the bearish trader in PMCS.  Let's take a quick look at the 
bar chart, try and use our retracement technique of "fitting" to 
try and find out what market makers may be doing with their 
inventory.

PMC-Sierra Bar Chart - Daily Interval




I like to use retracement as a market maker might be using it.  
To help put in place some levels whereby they may be controlling 
their inventory.  The only way a market maker makes money is 
through order flow (commission) and having their inventory 
properly weighted (long or short) so they can be there when the 
buyers show up (market maker wants to be long in his/her 
inventory so they can sell to the buyers) or sellers show up 
(market maker wants to be short in his/her inventory when the 
sellers show up so they can "make a market" and not assume a lot 
of risk as they buy from the sellers).  With retracement set as 
that above, I've "fit" the retracement as I think a market maker 
may have his/her retracement.  We've seen some very good 
correlation in recent months and I'd be looking for some sell-
side bias above the $24.44 level (if not right at it) and look 
for any trading near-term at the $18.87 level to have some "buy 
side bias" from market makers.  Look for any rally near the 200-
day at $26.64 to find some substantial selling and resistance.  
Traders/investors can perhaps combine the information from the 
bar chart and the point and figure chart useful in mapping out a 
trading plan for PMCS and use some of these observations in other 
stocks you like to trade or invest in.

This week's sector action

After doing my weekly calculations I do like what I see for 
"economic bulls" on a longer-term basis.  Now, before we all 
scratch the hair off our heads (what's left of it in my case) 
based on the more bearish outlook I have for PMCS near-term like 
that mentioned above, I will qualify the "bullishness" as it 
relates to some of the more economically sensitive sectors that 
performed rather well this week and were able to hold some fairly 
important technical levels.

The broader market averages were little-changed this week.  All 
finished fractionally higher, with the Russell 2000 Index (RUT.X) 
the best performer with a 1.1% gain.  I got some e-mails this 
week from traders that felt they missed out on some type of big 
tech move, but it sure doesn't seem like it when looking at the 
broader averages does it?

Weekly Performance of Major Averages and Indexes





Technology standout was the Disk Drive Index (DDX.X) up 4% on the 
week.  Networking and Telecom were down marginally with the 
Networking Index (NWX.X) -0.3% while the Combined Telecom (IXTCX) 
fell -1.4% and N. American Telecom (XTC.X) fell -0.3%.  I still 
feel networking stocks like Cisco, NT and others need to see some 
type of earnings at the Telco's level so they (the telecom 
providers) can increase their spending budgets and start buying 
some new equipment.  I'm thinking that networking stocks may be a 
bit of a laggard.  Traders can still trade Cisco (CSCO) and some 
of the networkers, but if CSCO moves up 10% and the telecoms only 
move up 5%, then chances are CSCO is going to pull back that 5% 
difference when things get a little too out of line.

Interesting this week is the S&P Banks Index (BIX.X), which 
managed to pound out a 3.3% gain.  I truly think this is a 
BULLISH economic move here.  Why?  Banks usually do a little 
better with a Fed that is cutting rates, but the more bullish 
action during a Fed easing comes from a stagnant economy and not 
a slowing economy like we've been in.  I think this week's 3.3% 
gain is in the face of what many now feel will have the Fed NOT 
cutting rates next week and just standing pat.  I feel the 3.3% 
rise this week is the MARKET saying "things are going to improve 
and defaults on debt aren't going to be as bad as perhaps once 
feared."

Now we get to the good part says the bull in me.  TRANSPORTS 
(TRAN) were up 4.2% this week.  In my book this is big news.  We 
must keep in mind that energy prices remain low, so that helps 
the group.  Transports are what I feel is a key sector that must 
do well if the scenario for an improving economic backdrop is in 
the cards.  This week's action in this group was bullish.  I 
don't like to use the word "favorite," but I still like that 
trucking stocks CNF Inc. (NYSE:CNF) on a longer-term basis.

A deep cyclical group in the Forest/Paper Products (FPP.X) and 8% 
gain there should not go unnoticed!  Economic bulls like to see 
the deeper cyclicals making some progress.  I can't remember the 
last time the FPP.X gapped higher unless the group was 
technically oversold after a major decline.  On Tuesday morning, 
this group actually gapped higher like a technology stock would 
do.

Forest/Paper Products Index - Weekly Interval




A weekly chart of the FPP.X shows the group is once again trying 
to rally to downward trend that has been in place for years.  
Just as I feel the transports are an important sector that should 
do well in an early phase of economic growth, the FPP.X and its 
deep cyclical nature is a good one to monitor to get a feel for 
the MARKET'S perception of the future.  Last weeks decline back 
below the 200-day MA was concerning to me, but the gap higher on 
Tuesday.  On Tuesday, sector component Georgia Pacific (NYSE:GP) 
fell sharply at the open of trading after Willamette Industries 
decided not to buy GP's building products unit and investors sold 
GP as it would have to find another buyer in order to deal with 
the units debt burden and asbestos-related issues.  GP did say it 
had ample cash reserves to cover any asbestos-related issues.  By 
week's end, GP recovered all of Tuesday's losses and posted a 
weekly net gain of 5.7% to close at $24.70.  Also bolstering this 
week's bullishness was the very same Willamet (NYSE:WLL) that 
passed on GP's building products unit, opting instead to acquire 
larger rival Weyerhauser (NYSE:WY).  Despite the acquisition, the 
thinly traded shares of Willamet surged 17% to close the week at 
$55.16, while shares of Weyerhauser (WY) rose 10% from last 
Friday's close to finish the week at $56.80.  Dow Industrials 
component and sector sector bellwether International Paper 
(NYSE:IP) gained 7.5% on the week, despite the company's 
quarterly earnings report that showed losses widening to $572 
million, or $1.19 a share.  IP did say its inventories fell 10% 
in the latest quarter and that it expects a "weak" first quarter, 
but does see improvement for the second quarter.

Oil Service (OSX.X) +10.5%?  The bulk of the move here was from 
Halliburton (HAL) which gained $4.12 on the week (+40.00%), 
yes... forty percent.  This one has been hammered down on 
asbestos concerns so we need to factor in HAL's move.  The stock 
I've liked in the group is BJ Services (BJS) dating back to early 
December at the $30 level.  Remember this one jumped to the $34 
level not after we mentioned it as bullish, but then fell back to 
retracement support at $26.  This week the stock jumped 17% to 
close at $30.44.  Just as I think some telecom stocks need to 
show better earnings before they start spending again, for Oil 
Service stocks, I think we need to see some higher oil/natural 
gas prices before the producers start increasing some budgets 
that the Oil Service stocks would benefit from.  From an 
investment standpoint, I think it would be OK to have one stock 
in your portfolio like a BJS to plan on holding longer-term, but 
I'm just not in the "overweight" mode for this sector yet.

My favorite.... Treasury Bonds.  Nice round of selling this week 
as the 10-year YIELD finished well above my 5.0% for broader 
market bullishness at 5.071%.  This bond's YIELD closed right at 
that downward trend dating back to the 01/21/00 YIELD high of 
6.823%.  Last week this bonds YIELD came right down to our 50% 
retracement and it sure looks like that was the level that bond 
traders were and are looking to sell this bond.  I really feel 
that the bond MARKET is saying "you've seen the last of Fed rate 
cuts."  I'm thinking the Fed isn't going to stop cutting rates 
because of inflation, it's going to stop cutting rates because it 
feels the economy has bottomed and is now recovering.

Personal commentary.... Congress, are you listening?  If you 
don't come with some type of tax cut package, I will make it a 
point to list every member that stalled this process (Democrat, 
Republican or Independent).  The Fed has squeezed about every 
last ounce of blood out of the "rate-cut-turnip" and what the 
economy needs.... make that, what the consumer needs that still 
has a job, is some type of added boost to get them to increase 
there spending in order to create demand for products that will 
help put people back to work.  I'm not going to point fingers, 
but if one party tries to use the "tax cuts" to swing election 
votes, then Americans had better show up to the polls in force 
and get rid of the entire bunch.

The Fed can cut rates all it wants (to a level of 0%), but what 
has this done at the corporate level?  Sure, its probably helped 
move some companies to borrow and spend on IT and other areas, 
but they aren't spending at a high enough level to get a more 
vibrant economy.  Most are too busy cutting costs in order to 
boost the bottom line so the CEO and upper management can keep 
their jobs.  Do you think the stuff that went on at Enron (ENE) 
was done to scam a bunch of employees out of their retirement 
accounts?  No way.  It was done to make the numbers look good, 
bolster the stock price so that the big wigs got big bonuses.  As 
long as everybody (including the shareholders) were making money, 
there weren't any questions asked.  Anytime a person gets to the 
point that they are willing to take their own life, I get the gut 
feeling that that person did something so bad, they can't live 
with the guilt and can think of no other way out of the mess 
they've gotten into.

How bad was/is this Enron (ENE) mess?  I think today's news of an 
Enron executive killing himself is statement enough on what was 
going on.  They knew what they were doing and hoped they didn't 
get caught.

Upcoming economic data

If you thought the markets have been inundated with earnings 
announcement, wait for next weeks economic calendar.  On Monday 
we will get New Home Sales where estimates are for 924,000.  Then 
on Tuesday, Durable Goods Orders are expected to show a rise of 
1% versus a prior report of -4.8%.  Also due out on Tuesday is 
the important Consumer Confidence where economists are expecting 
a reading of 95, which would be slightly higher than the 
previously reported 93.7.  Then on Wednesday, Gross Domestic 
Product where economists are looking for a decline of -1.1% and 
the closely watched FOMC announcement on interest rates, where 
economists are looking for no change, which would leave the Fed 
Fund rate at 1.75%.  I'd be very surprised if the Fed made any 
moves here.  Then on Thursday we'll get Personal Income and 
Spending.  Incomes are expected to have risen a modest 0.3% (not 
considered inflationary) and for spending to drop -0.2%.  Also 
due out on Thursday is Jobless Claims and the Chicago PMI.

Our play list

We debated long an hard on holding Ikon Office Solutions 
(NYSE:IKN) over earnings, but I think subscribers long that stock 
are glad we did.  On Friday, the office supply dealer reported 
earnings of $0.22 a share, which easily beat estimates in the 
$0.18 a share range.  We came within a "frog's hair" of adding 
Staples (NASDAQ:SPLS) to our bullish play list.  I like that 
stock for bulls ahead of its earnings, which are scheduled for 
release on February 19th (unconfirmed) and analysts are looking 
for a profit of $0.25 a share, 19% above year-ago earnings of 
$0.21.  I like SPLS as bullish at market (currently $18.59), stop 
under the $17 level, and targeting the $21 level into earnings.

Our "Current Play List" is tilted toward bullish and in a rather 
sideways market, I can't find too much at fault with how things 
are shaping up there.  We're avoiding technology for the most 
part and leaving those trades for the "High Risk/Reward" players 
that are more active in their trading and can keep a close eye on 
things.

Jeff Bailey
Senior Market Technician


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

Cognos Inc. - COGN - close: 25.47 change: +0.48 stop: 23.70

Company Description:
Cognos is the leading global provider of business intelligence 
solutions that optimize the performance of the world's largest 
and most successful organizations. Founded in 1969, Cognos does 
business with more than 19,000 customers in 120 countries around 
the world. Cognos business intelligence solutions and services 
are also available from more than 3,000 worldwide partners and 
resellers. (source: company press release)

Why We Like It:
The software sector has been a jumpy group lately and we're not 
seeing a lot of leadership with MSFT trading below its 200-dma.  
However, we have noticed a few players in the "business 
solutions" group doing okay.  One of those is Cognos Inc.  Shares 
of the stock have done very well the last few months and really 
jumped higher in December after their Q3 earnings report.  The 
stock ran into heavy resistance at the $27 level in early January 
but has since consolidated back to the $24 mark with a nice 
intraday dip last Wednesday.  Volume was pretty strong on Friday 
as bulls pushed shares up almost 2% heading into the weekend.  In 
the news, First Albany Corp. recently upgraded COGN to a "buy" 
and gave it a $30 price target.  First Albany cited the recent 
earnings improvement over the last two quarters and a decent 
entry point supporting a decent risk/reward scenario in COGN.  We 
happen to agree with them on the entry point idea and don't mind 
targeting the $30 level either.  There is still a wall at $27 but 
hopefully this time COGN will be able to trade through it.  We 
are going to start the play with a stop at $23.70, which is 
Wednesday's low.  We still recommend keeping an eye on MSFT and
the GSO.X software index to gauge the market atmosphere.  

Picked on January 25th at $25.47
Change since picked:       +0.00
Earnings Date           04/10/02 (unconfirmed)






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WATCH LIST
==================================================================

The PremierInvestor.net watch list is not designed to be read
as full fledged stock picks.  Rather we would prefer to offer
it as an extra tool in today's investor toolbox.  Think of it
as a radar screen with your own radar operator pointing out
interesting developments, technical patterns or potential plays
that you may or may not have seen on your own.  Due to time
constraints we do glance at the news but rarely do we have 
time to fully read pertinent news stories, due background 
research and other necessary screens that investors should do
before making a decision.  A common exercise is to read the
entry, glance at the sector and other stocks in that industry
and then compare what's happening in the stock to what's 
happening in the broader market indices.  We hope you enjoy
the Watch List and that it proves to be a useful tool for your
own trading success.

STOCKS WORTH WATCHING
---------------------------------

Bank One - ONE - close: 39.15 change: +0.48

WHAT TO WATCH: With the banking indices making headway, we 
noticed that this bank stock is close to overhead resistance and 
could be worth watching for a breakout.  Shares have bounced 
three times at the $37.50 level in the last six weeks but the $40 
barrier has been too tough to crack so far.  MACD has bottomed 
out near the zero line and is about to turn bullish.  ONE is not 
a fast moving stock to be patient if you choose to play it.




---

Mellon Financial Corp. - MEL - close: 40.26 change: +1.15

WHAT TO WATCH: This is another banking/financial stock who's 
pattern looks very familiar to the BKX.X index.  We really like 
the recent consolidation at the $38 level above the 50-dma as 
well as the bounce back over the 200-dma and possible resistance 
at $40.  Friday's move came on big volume, which is a plus for 
the bulls.  However, investors should take note that MEL is not a 
screamer and it could take a couple of months before it finally 
reaches the next level of tough resistance near $45.  FYI, MEL 
has recently moved away from retail banking services and now 
focuses on asset management.




---

Polaris Industries - PII - close: 56.05 change: +0.55

WHAT TO WATCH: We strongly considered playing PII as a long this 
weekend but with earnings expected on Jan. 29th, we didn't want 
to take the chance.  What we liked about the stock was its recent 
pull back from the $60 level to find support at $55, which is 
supported by its 50-dma.  We felt this was a chance to buy at 
support with a tight stop and aim for any move back to $60.  
Traders can make their own judgement call on whether they are 
willing to hold over the earnings report.  We don't know what ATV 
sales have been like this year but the recent reports about a 
warm winter have probably not been a boon for snowmobile sales.




---

Borg Warner Inc - BWA - close: 54.10 change: +2.50

WHAT TO WATCH: BWA is another player in the automotive-parts 
group.  We really like the bullish trend and the recent retest of 
support at the $50 level but shares have rallied right to 
resistance of $55.  We would look for a breakout over $55 or a 
pull back to $50 as a short-term trade.  Watch for earnings near 
Feb. 5th, 2002 (unconfirmed).




---

Bindview Development Corp. - BVEW - close: 2.94 change: +0.08

WHAT TO WATCH: Security software companies have gotten a lot of 
press over the last few months and this stock has seen a huge 
reversal from its October lows.  We really like the recent 
rebound off its 200-dma near $1.85 and the trend this last week 
was very strong.  We probably would have considered this for a 
high-risk play but earnings are expected on Jan. 30th.  Plus the 
stock is right up against resistance at $3.00.  We would prefer 
to see a pull back to the $2.50 level but a breakout over $3.00 
might be playable if you're an aggressive and nimble trader.  
Stop losses will be a challenge as small dollar moves mean big 
percentage changes.  




---

Ciber Inc - CBR - close: 10.98 change: +0.28

WHAT TO WATCH: Another software player that active traders may 
want to watch is CBR.  The company just announced that their 
earnings will be released on Feb. 7th, 2002.  The last few weeks 
has shown the stock to be building a wide bullish wedge against 
overhead resistance at $11.  Shares might be ready to breakout 
above this level as evidenced by the Thursday/Friday move but we 
wouldn't be surprised to see a few more days of consolidation 
either.




---

Gtech Holdings - GTK - close: 48.76 change: +1.36

WHAT TO WATCH: GTK has cleared the recent trading range but is 
looking right at resistance of $50.  While we think it will be 
able to conquer this level we would prefer to look for an entry 
point on a pull back to the $46 level.  Keep your eyes open.  
GTK's next earnings are not expected until April.




---

Intrado Inc - TRDO - close: 18.30 change: +0.39

WHAT TO WATCH: When you look at this chart you're probably going 
to think it's a short candidate.  And rightly so.  I would 
probably consider shorting it.  Shares are showing a beautiful 
breakdown on high volume.  TRDO did pause on Friday at support 
near $17.50, which saved it back in August but it sure looks like 
it might trade down to $15.  However, besides the obvious 
oversold condition, TRDO has its rising bullish support line on 
its point-and-figure chart at $16.00.  We want to wait and see if 
investors step in to support it.  Earnings are expected on 
January 31st, 2002.





-------------
MORE TO WATCH
-------------
*remember, we have not checked for earnings dates, news headlines
or other due diligence on these stocks below. 


AMWD - a great trend, nice breakout over resistance at $60.
       consider a conservative stop under $60 or wait for a pull
       back.  More aggressive might want to look for a stop near 
       $55.

TTN  - last three sessions have been positive and broken out of 
       its descending channel.  Friday's gain on strong volume.
       MACD has turned bullish.  We wouldn't chase it but look for
       an entry point.

EV   - another great trend.  this one has been in a rising channel
       for three months.  currently near the top of its channel.
       we would look for a pull back to $38 but it may not come.

LM   - not a very fast moving stock but recent bounce off its 
       50-dma looks attractive.  Just closed over long-time 
       resistance level at $52.


FVB  - another bank stock.  appears to be breaking out above its
       recent trading range from $50 to $52.  volume has been strong
       the last two days.  MACD just turned bullish.

UPC  - another financial stock but a very slow mover.  is approaching
       resistance at $46.  MACD just turned bullish.

VLY  - another bank but with an incredible trend.  We like it because
       it doesn't trade with a lot of volatility.  We don't like it
       because it doesn't trade with a lot of volume (less than 100K).
       very overbought but then it has been for months.

WHR  - if the housing market stays strong then people will be 
       buying more appliances.  recently bounced off support at $68
       which was also bolstered by its 50-dma.  

MYG  - same story as WHR.  however, stock just closed over 
       resistance at $32.  We think it can trade another 6% to $34.

FBN  - another nice trend.  closed at a new high but doesn't move 
       very fast.  we would consider a buy at 20-dma with very tight
       stop loss.

BBI  - looks like a short now that it has lost the $20 level.  
       be cautious as the downtrend is flattening out.  p-n-f chart
       bullish support line at $18.00.

LIN  - another retail stock that has out performed the index the
       last two sessions.  also broke out from recent trading range.
       possible resistance at $30 and $33.  

OPMR - we strongly consider this as a short play but putting a trend
       line across the lows from October shows that long-term
       support has not been broken yet (at least not for the last
       four months.  look for drop under $26 or $25.

ELN  - the recent IMCL disaster has investors spooked.  ELN's 
       recent decision to suspend testing after a few patients
       developed problems has traders hitting the sell button.
       we see recent trading as failed rally back over $40.  There
       is no telling where the bottom is.  Earnings are expected 
       this week.  possibly Tuesday.




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

Blue chips lead the way.
by Russ Moore

Cyclical issues carried the day for the DOW while the NASDAQ was 
spinning its’ wheels throughout the session. The DOW tacked on 
+0.4 percent, the NASDAQ slipped -0.3 percent and the NDX dropped 
-0.4 percent. Volume was light with 1.33 billion shares moving on 
the NYSE and only 1.65 billion shares on the NASDAQ. Winners 
edged losers by a margin of 16/15 on the big board while losers 
topped winners by a 19/16 count on the tech index.

Gold, oil service, and paper sectors led the charge on the 
broader markets. Other winners included brokerages, airlines, and 
oil. Tech action was predominantly weak although the chip sector 
managed a solid gain.

Trim Tabs reported outflows of -2.6 billion for the four days 
ending January 23.

Here’s an interesting piece of data; of the companies which have 
reported earnings 59 percent have beaten estimates, 27 percent 
have matched estimates, and 14 percent have missed. These numbers 
are considered to be slightly above average however, we must 
remember that they are based on drastically lowered expectations.

Eric Utley over at Option Investor made note in the Market 
Monitor of the current volatility levels and I think he made some 
excellent points. The VIX is sitting at 21.95, and the VXN at 
45.64. As you know, the volatility indices are a measure of fear 
in the options market. Low readings such as these, indicate a 
lack of fear, and, being a contrarian indicator would be bearish 
for the market. 

It’s worth taking a look at the charts yourself to get a feel for 
these indices and their inverse relationship to the market’s 
performance. You’ll note that prior to December/January, the last 
time we witnessed these levels was in July, and before that, 
September 2000.



VIX
Friday 01/25 close: 21.95


VXN
Friday 01/25 close: 45.64


30-yr Bonds
Friday 01/25 close: 5.48


Total Put/Call Ratio: .68


Equity Option Put/Call Ratio: .61


Index Option Put/Call Ratio: 1.48


===

NASDAQ 100 Index (NDX/QQQ)
52-Week High: 103.51
52-Week Low:   28.19
Current close: 38.83

Volume/Open Interest
Maximum calls: 40/48,246
Maximum puts : 38/67,365

Moving Averages
 10 DMA 39
 20 DMA 39
 50 DMA 40
200 DMA 40

Fibanocci Retracements
Relative High: 51.95 (05/22/01)
Relative Low:  27.00 (09/21/01)
38% 36.60
50% 39.57
62% 42.59

===

S&P 100 Index (OEX)
52-Week High:  834.93
52-Week Low:   491.70
Current close: 575.14

Volume/Open Interest
Maximum calls: 580/4,873
Maximum puts : 520/8,389

Moving Averages
 10 DMA  577
 20 DMA  584
 50 DMA  585
200 DMA  599

Fibanocci Retracements
Relative High: 680.03 (05/22/01)
Relative Low:  480.07 (09/21/01)
38% 556.14
50% 579.65
62% 603.55

===

S&P 500 (SPX)
52-Week High:  1530.01
52-Week Low:    965.80
Current close: 1133.28

Volume / Open Interest
Maximum calls: 1150/28,253
Maximum puts : 1150/24,649
Moving Averages
 10 DMA 1133
 20 DMA 1146
 50 DMA 1144
200 DMA 1166

Fibanocci Retracements
Relative High: 1315.93 (05/22/01)
Relative Low:   944.75 (09/21/01)
38% 1086.75
50% 1130.62
62% 1175.23

==

DJIA (INDU)
52-Week High:  11,518.83
52-Week Low:    8,235.81
Current close:  9,840.08

Volume / Open Interest
Maximum Calls:  98/11,815
Maximum Puts    90/16,962

Moving Averages:
 10 DMA  9,821
 20 DMA  9,976
 50 DMA  9,941
200 DMA 10,107

Fibanocci Retracements
Relative High: 11,350.05 (05/22/01)
Relative Low    8,062.34 (05/21/01)
38%  9,308.92
50%  9,693.99
62% 10,085.60

==

Biotech Index (BTK)
52-Week High:  811.61
52-Week Low:   383.28
Current close: 527.56

Volume / Open Interest
Maximum Calls: 520/301
Maximum Puts:  560/697

Moving Averages
 10 DMA 534
 20 DMA 552
 50 DMA 574
200 DMA 545

Fibanocci Retracements
Relative High: 811.61 (09/25/00)
Relative Low:  383.28 (03/22/01)
38% 546.22
50% 596.57
62% 646.71

==

Semiconductor Index (SOX)
52-Week High: 1280.84
52-Week Low:   362.00
Current close: 535.94

Volume / Open Interest
Maximum Calls: 570/977
Maximum Puts:  540/484

Moving Averages
 10 DMA 536
 20 DMA 550
 50 DMA 542
200 DMA 553

Fibanocci Retracements
Relative High: 710.78 (05/22/01)
Relative Low:  343.93 (09/27/01)
38% 484.50
50% 527.18
62% 570.57

==

Pharmaceutical Index (DRG)
52-Week High:  455.28
52-Week Low:   339.49
Current close: 375.30

Volume / Open Interest
Maximum Calls: 380/  51
Maximum Puts:  380/1325

Moving Averages
 10 DMA 378
 20 DMA 378
 50 DMA 385
200 DMA 390

Fibanocci Retracements
Relative High: 448.43 (12/29/00)
Relative Low:  339.49 (03/22/01)
38% 382.22
50% 395.69
62% 409.03

*****

CBOT Commitment Of Traders Report: Friday, 02/25. 
Weekly COT report discloses positions held by small specs
and commercial traders of index futures contracts on the 
Chicago Board Of Trade. 

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 are not. 
Extreme divergence between each signals a possible market turn in 
favor of the commercial trader’s direction.   

S&P 500
Commercials   Long      Short      Net     %Change 
01/08/02     333,742   398,283   (64,541)   (6.1%)
01/15/02     340,005   397,024   (57,019)  (11.7%)
01/22/02     342,841   394,041   (51,700)   (9.3%)

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      %Change
01/08/02       130,335    60,780    69,555    (3.1%)
01/15/02       129,987    64,311    65,676    (5.5%)
01/22/02       125,451    65,423    60,028    (8.6%)

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

NASDAQ-100
Commercials   Long      Short      Net     %Change 
01/08/02      30,786    37,457    (6,671)    (13.3%)
01/15/02      32,068    34,859    (2,791)    (58.1%)
01/22/02      30,671    34,103    (3,432)     23.0%

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      %Change
01/08/02       10,073     6,404    3,669    (22.5%)
01/15/02       10,230     9,782      448    (87.8%)
01/22/02       11,885     8,787    3,098  

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
Commercials   Long      Short      Net     %Change 
01/08/02      15,921     7,981    7,940     (3.9%)
01/15/02      15,866     9,175    6,691    (15.7%)
01/22/02      18,152    11,013    7,139      6.6%

Most bearish reading of the year: (8,322) - 1/16/01
Most bullish reading of the year:  8,925  - 5/22/01

Small Traders  Long      Short      Net      %Change
01/08/02       4,380     9,188    (4,808)     (9.3%)
01/15/02       4,979     8,747    (3,768)    (21.6%)
01/22/02       5,424     8,969    (3,545)     (5.9%)

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


                    Small Specs               Commercials
S&P 500         (Current)  (Previous)     (Current) (Previous)
Open Interest
Net Value        +60,028     +65,676        -51,700    -57,019

Total Open
Interest %       (+31.45%)  (+33.80%)      (-6.95%)   (-7.74%)
                 net-long   net-long       net-short  net-short


                     Small Specs             Commercials
DJIA futures     (Current) (Previous)    (Current) (Previous)
Open Interest
Net Value          -3,545     -3,768          +7,139    +6,691
Total Open
interest %       (-24.63%)    (-27.45%)      (+24.48%)  (+26.72)
                 net-short   net-short     net-long    net-long


                     Small Spec              Commercials
NASDAQ 100      (Current) (Previous)    (Current) (Previous)
Open Interest
Net Value         +3,098      +448         -3,432    -2,791

Total Open
Interest %        (+14.99%)   (+2.24%)     (-5.30%) (-4.17%)
                 net-long   net-long      net-short  net-short


What COT Data Tells Us
----------------------
Indices:.Commercials continued their gradual reduction in net-
short positions this week. Over the last couple of months we have 
seen the big players move as low as 4 percent net-short and then 
gradually increase their positions. So far, we’ve yet to see any 
evidence of an accumulation phase (bullish) beginning.

Gold: Anyone following the behavior of gold or the XAU.X (gold 
and silver index), better have a whiplash collar on. The XAU hit 
a low of 56.85 during the week however, Friday saw the index take 
off and close at 59.10. Commercial activity does not seem to 
coincide with this type of a move but keep in mind that these 
figures are as of Tuesday. I’ll be interested to see what next 
week’s numbers show.

12/25 11,976 contracts net-short
01/01 14,555 contracts net-short
01/08 24,042 contracts net-short
01/15 53,938 contracts net-short
01/22 50,959 contracts net-short

Data compiled as of Tuesday 01/22 by the CFTC.




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PremierInvestor.net Newsletter          Weekend Edition 01-25-2002
                                                    section 2 of 3
Copyright © 2001, All rights reserved.
Redistribution in any form is strictly prohibited.

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In section two:

Net Bulls
  New Bullish Plays:     COGN

Stock Bottom / Active Trader
  New Bullish Plays:     CHS, QMDC, WCS
  Bullish Play Updates:  FDX, IKN, LTR, PBY, PNC, TGH, UNH
  Bearish Play Updates:  SIVB, SPY
  Closed Bullish Plays:  

High Risk/Reward
  New Bearish Plays:     MMS, SEAC
  Bullish Play Updates:  EXPE

Split Trader
  - none -


==================================================================
Net Bulls (NB) Tech Stock section
==================================================================

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

  -----------------
  New Bullish Plays
  -----------------

Cognos Inc. - COGN - close: 25.47 change: +0.48 stop: 23.70

Company Description:
Cognos is the leading global provider of business intelligence 
solutions that optimize the performance of the world's largest 
and most successful organizations. Founded in 1969, Cognos does 
business with more than 19,000 customers in 120 countries around 
the world. Cognos business intelligence solutions and services 
are also available from more than 3,000 worldwide partners and 
resellers. (source: company press release)

Why We Like It:
The software sector has been a jumpy group lately and we're not 
seeing a lot of leadership with MSFT trading below its 200-dma.  
However, we have noticed a few players in the "business 
solutions" group doing okay.  One of those is Cognos Inc.  Shares 
of the stock have done very well the last few months and really 
jumped higher in December after their Q3 earnings report.  The 
stock ran into heavy resistance at the $27 level in early January 
but has since consolidated back to the $24 mark with a nice 
intraday dip last Wednesday.  Volume was pretty strong on Friday 
as bulls pushed shares up almost 2% heading into the weekend.  In 
the news, First Albany Corp. recently upgraded COGN to a "buy" 
and gave it a $30 price target.  First Albany cited the recent 
earnings improvement over the last two quarters and a decent 
entry point supporting a decent risk/reward scenario in COGN.  We 
happen to agree with them on the entry point idea and don't mind 
targeting the $30 level either.  There is still a wall at $27 but 
hopefully this time COGN will be able to trade through it.  We 
are going to start the play with a stop at $23.70, which is 
Wednesday's low.  We still recommend keeping an eye on MSFT and
the GSO.X software index to gauge the market atmosphere.  

Picked on January 25th at $25.47
Change since picked:       +0.00
Earnings Date           04/10/02 (unconfirmed)






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

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

  -----------------
  New Bullish Plays
  -----------------

Chico's F A S Inc - CHS - close: 29.55 change: +0.98 stop: 26.49

Company Description:
Chico's sells exclusively designed, private-label women's casual 
clothing and related accessories. The Company operates a chain of 
305 stores in 40 states and the District of Columbia. The Company 
owns 294 stores, franchisees own 11. (source: company press 
release)

Why We Like It:
We know that the RLX.X retail index hasn't been that strong the 
last couple of sessions, but when the largest component, WMT, 
sees profit taking we would expect the index to slip.  The RLX 
(916) does have overhead resistance at 940 but the rising 50-dma 
should offer support for the sector near 900.  In contrast, 
shares of CHS have been very strong this last week after the 
stock split 3:2 on Tuesday, Jan. 22nd.  CHS has just broken out 
above resistance at $28 and the MACD has produced a bullish 
crossover.  It might see some round-number resistance at $30 but 
the strength of the trend should be able to overcome it.  If your 
trading style is to buy on the dips, look for any bounce between 
$28 and $28.50.  One reason that CHS might be out performing its 
peers is the company's strong sales growth.  A couple of weeks 
ago, CHS reported that its December sales for the five weeks 
ending Jan. 5th, 2002 had increased almost 38% to $39.8 million.  
Comparable store sales had increased 14.2% for the same time 
frame.  CHS will be hosting its 2nd Annual Analyst Briefing on 
Feb. 5th, 2002 which could offer more positive comments about 
their future plans and strategies.  We are starting the play with 
a stop about 10% from current levels or $26.49.  However, we 
would look for the $28 level to act as support.

Picked on January 25th at $29.55 
Change since picked:       +0.00
Earnings Date           03/05/02 (unconfirmed)




---

QuadraMed Corp. - QMDC - close: 10.33 change: +0.12 stop: 9.98

Company Description:
QuadraMed is dedicated to developing information technology and 
providing consulting services that help healthcare professionals 
deliver outstanding patient care with optimum efficiency. 
Offering real-world solutions for every aspect of acute care 
information management, QuadraMed has four main product lines: 
Affinity® Healthcare Information System, Quantim® Health 
Information Management Software and Services, Complysource® 
Compliance Solutions, and Chancellor(TM) Financial Products and 
Services. (source: company press release)

Why We Like It:
We initially found this stock while researching the software 
sector.  As the company provides IT solutions for hospitals we 
felt it may be more prudent to play it as a healthcare stock.  
Whatever you want to call it, it is hard not to notice the 
bullish trend in the stock price.  Shares have really been doing 
well these last few months but the recent gains have been 
sponsored by a bullish analyst call back in December.  A W.R. 
Hambrecht analyst labeled the stock with a "strong buy" and 
claimed the new management had turned the company around and 
alleviated most of the problems the company was facing in 1999.  
The same analyst is looking for over 20% growth through 2003 for 
QMDC.  We look at the recent trading in the stock price and see 
the big intraday sell-off and bounce on Friday as an entry point.  
We're not looking for some long-term play in our portfolio.  
Instead, what we want to capture is a quick rebound back to the 
$12 level of resistance.  Actually, we're going to start the play 
with an exit price of $11.85.  If QMDC trades there then we're 
out.  When we considered the volatility we almost moved this to 
the high risk/high reward section but we feel that our tight stop 
at $9.98 should help limit our risk.  Thus, if the stock doesn't 
trade up from here then we're not interested and will take our 
35-cent loss and go home.  Unfortunately, we could not uncover 
any sort of earnings date for the company over the weekend.

Picked on January 25th at $10.33 
Change since picked:       +0.00
Earnings Date           00/00/00 (unconfirmed)




---

Wallace Computer Svcs. - WCS - cls: 20.35 chg: -0.20 stop: 19.49

Company Description:
Wallace is recognized as the leading provider of print management 
services to Fortune 1000 companies through its Total Print 
Management (TPM) program. The TPM program streamlines the 
processes associated with traditional, digital and electronic 
print items and typically generates significant cost savings. 
With nationwide resources across a wide range of traditional and 
digital capabilities, Wallace can be a large organization's 
single print management source. The company's print management 
services include e-commerce, distribution logistics, digital 
asset management, inventory management, and print optimization. 
Wallace is headquartered in Lisle, Illinois with manufacturing, 
distribution and sales facilities throughout the United States. 
(source: company press release)

Why We Like It:
Our new bullish play on Wallace is just an easily identifiable 
breakout play in a sector that has seen a lot of strength lately.  
While not a direct competitor for the likes of IKN, ODP, and OMX; 
WCS is seen as more of an office supplies player despite their 
focus on print management.  Shares had been building a bullish 
wedge under resistance at the $20 level and Wednesday saw shares 
breakout above it with Thursday's move as confirmation.  Volume 
had been rising all week and the 20-cent pull back on Friday was 
on light volume.  The $20 level should now act as support and may 
be a good place to look for entry points if shares pull back.  
Please note that WCS is not a very fast moving stock but given 
enough time we think it may trade to $24 or even $25.  In the 
news, readers will find that WCS was named to the Forbes Platinum 
400 list.  This list recognizes large organizations for strong 
profitability and growth.  We are going to start the play with a 
stop at $19.49.  

Picked on January 25th at $20.35 
Change since picked:       +0.00
Earnings Date           12/11/01 (confirmed)






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

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

Fedex Corp - FDX - close: 53.14 change: +0.64 stop: 49.99 

Our Fedex play actually turned in a decent week.  Shares have 
been mostly higher as the Dow Jones Transports have also been 
making headway.  On a side note, we also find it interesting that 
the oil and oil service sectors have been climbing too.  Not only 
that, but the price of oil per barrel has risen four days in a 
row but remains just south of the $20 mark.  Normally, we would 
expect a rise in oil to contradict a rise in the fuel sensitive 
stocks like FDX or other air carriers but even the XAL.X, the 
airline index, has been inching higher.  We still anticipate 
probable resistance at the $53.50 level but plan to exit the play 
when shares reach $55.00.  Given the strong bounce in FDX from 
the mid-week lows near the 17th of January, a pull back may be in 
order for the stock price.  If FDX does slip, we would look for a 
bounce near $52.00 or $51.50.  Before we move it on it only seems 
fair to discuss another observation for shares of FDX.  Some 
technical traders may see the recent bounce as nothing more than 
the stock's attempt to fill the gap from mid-January.  Now that 
it has done so, shares might see more selling pressure.  It is 
true, the top of the "window" is normally perceived as tough 
resistance.  The top of the gap is $53.00 and shares are 
currently at $53.14.  That is not an overwhelming victory for the 
bulls if you're focused on the gap theory, which is one technique 
we do like to use.  However, given the current market environment 
with the transport sector showing a lot of strength we still 
believe that FDX could trade to our target of $55.

Picked on January 18th at $50.82 
Gain since picked:         +2.32
Earnings Date           03/20/02 (unconfirmed)




---

Ikon Office Solutions - IKN - cls: 12.85 chg: +0.33 stop: 11.99*new*

Ikon blew away its earnings numbers with a strong report on 
Friday when they announced 22 cents a share versus the estimate 
of just 17 cents a share.  Net income grew to $32.6 million 
compared with $17.4M the same quarter last year.  Despite the 
positive news there was a blemish for the quarter as revenues 
dropped from $1.32B to $1.21B versus the same period a year 
earlier.  Fortunately, investors chose to focus on the next bit 
of good news, which was IKON's guidance for the next quarter.  
Management has raised their earnings estimates for Q2 to land 
between 20 and 23 cents a share versus current analysts estimates 
of just 19 cents.  The strong report and guidance helped fuel a 
2.6% move in the stock price and allowed the stock to break out 
above its recent trading range.  All we need now is to see if the 
bulls can keep the trend alive.  We're still gunning for an exit 
price of $13.75 but we wouldn't be surprised if IKN dipped back 
to bounce at the $12.50 level.  We've moved our stop up to 
$11.99, which is three cents below Wednesday's low.  More 
conservative traders might want to consider moving theirs to 
breakeven at $12.31.  

Picked on January 11th at $12.31 
Gain since picked:         +0.54
Earnings Date           01/25/02 (confirmed)




---

Loews Corp - LTR - close: 61.52 change: +0.82 stop: 58.99 *new*

Maybe we've been staring at our monitors too long, but LTR's 
majority owned CNA Finanicial, the insurance company (NYSE:CNA), 
just released a very negative preliminary report for its 4Q 
earnings and the stock is in rally mode.  The numbers were 
terrible with a net loss between $20M to $35M versus a net income 
of $193M the Q4 a year earlier.  Excluding investment gains, the 
company said operating losses would be near the $300M mark which 
included a previously announced restructuring charge of $125M and 
more than $50M in Enron-related losses (Reuters).  The news 
continued to discuss the depth of this quarter's numbing numbers 
but Wall Street seemed relieved and the stock (CNA) added almost 
4% on the day.  In response, shares of LTR also traded higher 
after finally conquering the $60 level.  Our response will be to 
bump up our stop another buck to $58.99.  Longer-term bulls may 
want to leave theirs a bit wider as $58 should be stronger 
support but now that LTR is moving our direction we want to 
reduce our exposure.  Don't forget that LTR is expected to 
announce earnings on Thursday this coming week.

Picked on January 18th at $60.15 
Gain since picked:         +1.37
Earnings Date           01/31/02 (unconfirmed)




---

Pep Boys Man Moe - PBY - close: 16.00 change: +0.07 stop: 14.99

Our confidence in Manny, Moe & Jack, the three Pep Boys, was 
starting to waver.  After a week of waiting for the stock to do 
something we're right back where we started from at $16.00.  
Granted, the stock may have needed a little more time to 
consolidate but we had expected the drop from $18 to $15 to solve 
that problem.  The good news is it would appear the stock is 
building a bullish pattern if you look at an intraday chart.  
We're seeing higher lows as the bulls build up enough steam to 
breakthrough this barrier at $16.  The MACD is confirming this 
hypothesis but none of it matters if we don't get the share price 
to move!  By the looks of the coiling intraday ranges on PBY we 
would expect a breakout, one way or the other, very soon (like 
Monday).  The bias is bullish but as you know it's never a 
guarantee.  Just for kicks we glanced at ORLY and the trend is 
the same but on ORLY's point-and-figure chart it has pulled back 
to its bullish support line.  A strong bounce in ORLY might 
really influence our play in PBY.  It's worth keeping an eye on 
it.

Picked on January 18th at $16.00 
Gain since picked:         +0.00
Earnings Date           02/14/02 (unconfirmed)




---

P N C Financial Services - PNC - cls: 62.00 chg: -0.63 stop: 59.99

This is it.  Thursday night we said that a pull back to the 200-
dma at $62.00 might be a good place to look for a bullish entry 
and shares of PNC have complied.  Given the strength of the 
breakout on Thursday we might write off Friday's session as just 
short-term profit taking ahead of a weekend.  If PNC continues to 
pull back we would look for a bounce at the $61.00 level, which 
is supported by its 10-dma.  Below this area and we would be 
cautious.  The company put out a press release on Friday stating 
that its chairman, president and CEO, James Rohr, would be 
speaking at the Salomon Smith Barney Financial Services Investor 
Conference in New York this Wednesday, Jan. 30th at 3:45 p.m. 
EST.  Occasionally these sorts of events can spark a move in the 
stock price if strong enough comments reach the ears of analysts 
and investors.   

Picked on January 24th at $62.63 
Change since picked:       -0.63
Earnings Date           01/17/02 (confirmed)




---

Trigon Healthcare - TGH - cls: 73.50 chg: +1.51 stop: 69.99 *new*

Yeah!  We finally got some confirmation from our play in TGH.  
The stock had been range bound between $72 and $70 for days.  The 
move over $72 is definitely bullish for Trigon and the stock 
might make it to $75 before pausing to consolidate these gains.  
volume has been strong the last two sessions with 278K on Friday 
versus the average of just 180K.  This could be the beginning of 
a longer-term move now that the stock has solidified its breakout 
above long-time resistance at $70.  Obviously, we're biased but 
the strong volume helps our theory.  Considering that we are 
looking for more than a short-term pop we're going to adjust our 
stop to $69.99, which is just below the Wednesday low.  Short-
term traders who bought on either dip to $70 in the last several 
sessions may want to be looking for an exit point.  Longer-term 
bulls or new readers might want to consider a bounce at $72 as a 
potential bullish entry.  Earnings for TGH are in two weeks.

Picked on January 11th at $71.42 
Gain since picked:         +2.08
Earnings Date           02/08/02 (confirmed)




---

UnitedHealth Group - UNH - cls: 74.20 chg: -0.13 stop: 70.99

Friday's session was not the strongest follow through after the 
positive earnings announcement from UNH but it could have been 
short-term traders booking profits before heading off into the 
weekend.  The $72 level should continue to offer support for the 
stock price and given the bullish sentiment for the sector it 
might be a good place to look for entry points.  However, below 
$72 we would be very cautious.  Now that earnings are over, we 
need to see investors keep the momentum alive.  As somewhat of a 
defensive stock any market weakness should drive more attention 
towards UNH and other stocks like it.  If the Dow can make it 
back over 10K then healthcare might lose its luster.

Picked on January 11th at $71.75 
Gain since picked:         +2.45
Earnings Date           01/24/02 (confirmed)





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

Silicon Valley - SIVB - cls: 23.24 chg: +0.03 stop: 24.00 

Volume has been very light for SIVB as the stock flirts with its 
200-dma still hanging overhead near the $23.70 level.  Friday's 
session came within three cents of stopping us out.  We suspect 
the stock has found undeserved support due to the recent strength 
in the banking sector.  Both the BIX.X and the BKX.X have been 
making headway most of this week.  Yet we don't believe it will 
be enough to save SIVB from more profit taking.  If you recall, 
the point-and-figure chart really doesn't show much support until 
shares reach the bullish support line near $19.00.  Although, one 
could probably argue that the $21 level might offer some strength 
for SIVB.  The other side of the coin would be to argue that SIVB 
has created two higher lows but we think that's a stretch for 
those on the bullish camp.  If you believe in more weakness for 
SIVB you might actually consider using a wider stop as the share 
price could trade to its 10-dma near $24.20 before rolling over 
again.  We will stick with our current strategy (and stop at 
$24.00) and look for the down trend to continue.  Our exit price 
of $20.05 still stands.

Picked on January 18th at $22.93
Gain since picked:         -0.31
Earnings Date           01/16/02 (confirmed)


 

---

SPDRS S&P 500 - SPY - cls: 113.55 chg: -0.03 stop: 115.57 

Friday's lack of follow through on the Wednesday/Thursday rebound 
for the S&P 500 may be the most telling sign for traders.  As 
Wall Street looks forward to this coming week, odds of another 
rate cut have dwindled to zero.  This is probably bullish in the 
long run as it means the FOMC believes the economy has made the 
turnaround (as slow as it might be) but in the short-term it 
could mean more weakness for the stock market.  We're still 
aiming for the $110 level as our exit point.  Keep an eye on the 
mega-big-caps that could show further weakness (like MSFT under 
its 200-dma) to lead the way.  Since we're naturally optimistic 
we would expect 110 to hold as support at this time.

Picked on January 9th at $115.57
Gain since picked:         +2.02
Earnings Date                n/a 






==================================================================
HIGH RISK/HIGH REWARD (HR) section
==================================================================

===============
HR New Plays
===============

  -----------------
  New Bearish Plays
  -----------------

Maximus Inc - MMS - close: 33.10 change: -2.15 stop: 36.01

Company Description:
MAXIMUS is one of America's largest government services companies 
devoted to providing state and local governments with program 
management, consulting and information technology services. The 
Company has more than 4,700 employees located in more than 170 
offices across the United States. (source: company press release)

Why We Like It:
Looking at the chart of MMS shows how the stock has fallen 
through one level of support after another.  The selling pressure 
has been intensified and volume has been growing with each 
significant sell-off.  The move on Friday put shares below price 
support of $35 as well as its September lows and its June lows.  
The same move produced a triple bottom breakdown on MMS' point-
and-figure chart.  We feel that the stock might fall to 
psychological support of $30 or worse, the 52-week lows near $27.  
The Thursday afternoon/Friday morning bounce looks like a failed 
rally at the $36 level.  Therefore we will start the play with 
our stop just above it.  Unfortunately, we were unable to 
discover what has investors selling in such earnest.  This 
unknown variable is what places MMS in the high risk/high reward 
section in addition to the recent volatility.  We would confirm 
stock direction before initiating any positions.

Picked on January 25th at $33.10
Change since picked:       +0.00
Earnings Date           02/05/02 (confirmed)




---

SeaChange Intl. Inc. - SEAC - cls: 28.00 chg: +1.18 stop: 29.35

Company Description:
SeaChange International, Inc. is a leading supplier of digital 
video systems, with thousands of video servers installed 
worldwide, spanning the broadcast and broadband markets. The 
Company creates server and software systems that manage, store 
and distribute professional quality digital video. SeaChange's 
products are based on a scalable, distributed software 
architecture and standard technology components to continually 
deliver dramatic improvements in digital video cost-performance. 
As a result, SeaChange enables broadband, broadcast, satellite 
and new media companies to streamline operations and reduce 
costs, allowing for expanded services, new applications and 
increased revenues. SeaChange is headquartered in Maynard, 
Massachusetts. (source: company press release)

Why We Like It:
Tech bulls have been unable or unwilling to support shares of 
SEAC after they peaked in mid-December near $38.00.  Since then 
shares have slowly fallen through multiple layers of support at 
$32, $30 and now it is trying to fall through $28.  The recent 
down trend has been in an identifiable channel with the 10-dma 
putting pressure on the stock.  Most of the losses this week came 
on strong volume with Thursday's drop hitting 2.2 million shares.  
SEAC bounced higher on Friday but ran right towards its 10-dma 
before rolling over again.  This looks like an entry point for a 
short-term bearish trade.  The daily chart would argue that SEAC 
should find support at $25 and this will be our first target.  
However, the point-and-figure chart shows that SEAC really has no 
support until it reaches the ascending bullish support line.  
This support just happens to coincide with the 200-dma near 
$23.00.  We considered starting the play with a stop at $29.01 
but decided to bump it just above the 10-dma to $29.35.  We would 
confirm the stock's direction on Monday.

Picked on January 25th at $28.00
Change since picked:       +0.00
Earnings Date           02/26/02 (unconfirmed)





===============
HR Play Updates
===============

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

Expedia, Inc. - EXPE - close: 47.00 change: +0.95 stop: 45.99 *new*

Friday's gain marked the third positive session in a row for 
shares of EXPE.  The stock appears to be making a run into its 
earnings report that is due out after the bell on Monday.  Those 
traders who are not willing to hold over the announcement, and we 
normally do not recommend it due to the unknown risk, should 
consider closing their positions before the ending bell on 
Monday.  We are also going to move into a more conservative 
stance ahead of the earnings report.  First of all, we're going 
to set an actual exit price of $49.50.  If shares of EXPE trade 
that high we'll close the play.  However, on the downside we're 
going to raise our stop to $45.99.  This only gives EXPE $1.00 
worth of room to maneuver on Monday but should protect a gain of 
$1.50 in the position. 

Picked on January 18th at $44.49 
Change since picked:       +2.51
Earnings Date           01/28/02 (confirmed)








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PremierInvestor.net Newsletter         Weekend Edition 01-25-2002
                                                   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:

Market Watch for Week of January 28th
   - 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)      

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


==================================================
Market Watch for the week of January 28th
==================================================

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

Symbol  Company               Date           Comment      EPS Est

------------------------- MONDAY -------------------------------

LNT    Alliant Energy         Mon, Jan 28  -----N/A-----     0.65
AXP    American Express       Mon, Jan 28  -----N/A-----     0.22
ARMHY  ARM Holdings plc (ADR) Mon, Jan 28  Before the Bell   0.04
ASCL   Ascential Sftwr Corp   Mon, Jan 28  After the Bell   -0.06
BEC    Beckman Coulter        Mon, Jan 28  Before the Bell   0.75
CX     Cemex, S.A. de C.V.    Mon, Jan 28  -----N/A-----     0.77
CHRT   Chartered Semi Manu    Mon, Jan 28  After the Bell   -0.95
CNF    CNF Transportation     Mon, Jan 28  After the Bell   -0.10
CGNX   Cognex                 Mon, Jan 28  After the Bell   -0.03
CSGS   CSG Systems Inter      Mon, Jan 28  -----N/A-----     0.51
EXPE   Expedia                Mon, Jan 28  After the Bell    0.10
FCNCA  First Citizens BancSh  Mon, Jan 28  -----N/A-----      N/A
HIG    Hartford Finan Serv    Mon, Jan 28  After the Bell    1.03
ROOM   Hotel Reserv Network   Mon, Jan 28  Before the Bell   0.17
IFF    Int Flavor & Fragrance Mon, Jan 28  Before the Bell   0.30
MCRL   Micrel Semiconductor   Mon, Jan 28  After the Bell   -0.02
NNDS   NDS Group plc          Mon, Jan 28  Before the Bell    N/A
NXTL   Nextel Communications  Mon, Jan 28  -----N/A-----    -0.45
NXTP   Nextel Partners        Mon, Jan 28  Before the Bell  -0.31
BOH    Pacific Century Finan  Mon, Jan 28  Before the Bell   0.35
PNW    Pinnacle West          Mon, Jan 28  Before the Bell   0.60
DGX    Quest Diagnostics      Mon, Jan 28  After the Bell    0.48
SAFC   SAFECO                 Mon, Jan 28  -----N/A-----     0.10
SPP    Sappi Ltd ADS          Mon, Jan 28  -----N/A-----     0.12
SYK    Stryker                Mon, Jan 28  After the Bell    0.40
TXN    Texas Instruments      Mon, Jan 28  After the Bell   -0.09
TMCS   TcktMstr Online-CitySe Mon, Jan 28  After the Bell    0.04
TUP    Tupperware             Mon, Jan 28  After the Bell    0.65
TSN    Tyson Foods            Mon, Jan 28  Before the Bell   0.35
UTSI   UTStarcom              Mon, Jan 28  After the Bell    0.22
XRX    Xerox                  Mon, Jan 28  Before the Bell  -0.01

------------------------- TUESDAY ------------------------------

ABGX   Abgenix                Tue, Jan 29  After the Bell   -0.21
AFCI   Advanced Fibre Comm    Tue, Jan 29  After the Bell    0.06
ADVP   AdvancePCS             Tue, Jan 29  After the Bell    0.31
AXE    Anixter International  Tue, Jan 29  -----N/A-----     0.19
AGY    Argosy Gaming          Tue, Jan 29  -----N/A-----     0.67
AWE    AT&T Wireless Services Tue, Jan 29  Before the Bell  -0.06
SAN    Banco Santiago         Tue, Jan 29  -----N/A-----     0.43
BRL    Barr Laboratories      Tue, Jan 29  Before the Bell   1.32
BDK    Black & Decker         Tue, Jan 29  Before the Bell   0.72
BOW    Bowater                Tue, Jan 29  Before the Bell  -0.72
BC     Brunswick              Tue, Jan 29  -----N/A-----    -0.03
BOBJ   Bus Obj SA Sp (ADR)    Tue, Jan 29  After the Bell    0.19
BCR    C.R. Bard              Tue, Jan 29  After the Bell    0.74
CPT    Camden Property Trust  Tue, Jan 29  After the Bell    0.95
CVX    ChevronTexaco Corp.    Tue, Jan 29  Before the Bell   0.90
CNET   CNET Networks          Tue, Jan 29  After the Bell   -0.12
CGI    Commerce Group         Tue, Jan 29  After the Bell    0.74
CEG    Constellation Enrg Grp Tue, Jan 29  After the Bell    0.45
EXC    Exelon Corporation     Tue, Jan 29  Before the Bell   0.88
FIC    Fair Isaac &Co         Tue, Jan 29  After the Bell    0.52
G      Gillette               Tue, Jan 29  During the Market 0.32
GR     Goodrich Corporation   Tue, Jan 29  Before the Bell   0.68
GDT    Guidant                Tue, Jan 29  After the Bell    0.47
HLT    Hilton Hotels Corp     Tue, Jan 29  Before the Bell   0.00
HON    Honeywell              Tue, Jan 29  -----N/A-----     0.55
ICOS   ICOS                   Tue, Jan 29  After the Bell   -0.56
IDPH   Idec Pharmaceuticals   Tue, Jan 29  After the Bell    0.16
ITW    Illinois Tool Works    Tue, Jan 29  Before the Bell   0.64
ISIL   Intersil               Tue, Jan 29  After the Bell    0.11
K      Kellogg                Tue, Jan 29  Before the Bell   0.30
KFT    Kraft Foods Inc.       Tue, Jan 29  -----N/A-----     0.32
LGTO   Legato Systems         Tue, Jan 29  Before the Bell  -0.05
LVLT   Level 3 Communications Tue, Jan 29  Before the Bell  -1.68
MXO    Maxtor                 Tue, Jan 29  After the Bell   -0.21
MHP    McGraw-Hill            Tue, Jan 29  Before the Bell   0.54
MDP    Meredith               Tue, Jan 29  Before the Bell   0.15
NEU    Neuberger Berman       Tue, Jan 29  Before the Bell   0.43
NBL    Noble Affiliates       Tue, Jan 29  -----N/A-----    -0.15
NBP    Northern Border Part   Tue, Jan 29  After the Bell    0.56
OGE    OGE Energy             Tue, Jan 29  Before the Bell   0.07
ORI    Old Republic Inter     Tue, Jan 29  Before the Bell   0.71
OMG    OM Group Incorporated  Tue, Jan 29  -----N/A-----     0.81
OI     Owens Illinois         Tue, Jan 29  After the Bell    0.18
PPE    Park Place Enter       Tue, Jan 29  Before the Bell  -0.05
PTNR   Partner Communications Tue, Jan 29  Before the Bell  -0.07
PBI    Pitney Bowes           Tue, Jan 29  Before the Bell   0.57
PCL    Plum Creek Timber      Tue, Jan 29  After the Bell    0.23
PII    Polaris Industries     Tue, Jan 29  Before the Bell   1.31
PHM    Pulte Homes Inc.       Tue, Jan 29  Before the Bell   1.88
QSFT   Quest Software         Tue, Jan 29  After the Bell    0.03
Q      Qwest Communications   Tue, Jan 29  Before the Bell  -0.06
RNWK   RealNetworks           Tue, Jan 29  After the Bell    0.01
RHA    Rhodia ADS             Tue, Jan 29  Before the Bell    N/A
RCL    Royal Caribbean        Tue, Jan 29  During the Market-0.22
SVM    ServiceMaster          Tue, Jan 29  -----N/A-----     0.10
SKFR   SKF AB ADR             Tue, Jan 29  Before the Bell    N/A
SSCC   Smurfit-Stone Contanr  Tue, Jan 29  Before the Bell   0.07
SNA    Snap-On                Tue, Jan 29  Before the Bell   0.51
STTS   ST Assembly Test Serv  Tue, Jan 29  After the Bell   -0.32
TKLC   Tekelec                Tue, Jan 29  After the Bell    0.07
TDS    Telephone Data         Tue, Jan 29  Before the Bell   0.51
KO     The Coca-Cola Company  Tue, Jan 29  Before the Bell   0.37
THOR   Thoratec Lab           Tue, Jan 29  Before the Bell   0.09
TRP    TransCan Pipelns Ltd.  Tue, Jan 29  -----N/A-----     0.22
USM    U.S. Cellular          Tue, Jan 29  Before the Bell   0.41
UPS    United Parcel Service  Tue, Jan 29  Before the Bell   0.50
UCL    Unocal                 Tue, Jan 29  Before the Bell   0.24
USAI   USA Networks           Tue, Jan 29  Before the Bell  -0.19
VLO    Valero Energy          Tue, Jan 29  Before the Bell   0.59
VRTS   Veritas Software       Tue, Jan 29  After the Bell    0.13
WDR    Waddell&Reed Financial Tue, Jan 29  Before the Bell   0.30
WMB    Williams Companies     Tue, Jan 29  Before the Bell   0.39
WPS    WPS Resources          Tue, Jan 29  -----N/A-----     0.41

-----------------------  WEDNESDAY -----------------------------

ABY    Abitibi-Consolidated   Wed, Jan 30  Before the Bell    N/A
AFFX   Affymetrix             Wed, Jan 30  After the Bell   -0.05
ADS    Alliance Data Sys Corp Wed, Jan 30  After the Bell    0.12
AMKR   Amkor Technology       Wed, Jan 30  After the Bell   -0.59
AOL    AOL Time Warner        Wed, Jan 30  Before the Bell   0.33
T      AT&T                   Wed, Jan 30  Before the Bell   0.04
ACAI   Atlantic Cst Air Hldgs Wed, Jan 30  -----N/A-----     0.19
BBV    Bc Blb Vzcya Ar, (BBVA)Wed, Jan 30  -----N/A-----      N/A
CELG   Celgene                Wed, Jan 30  Before the Bell   0.12
CHIR   Chiron                 Wed, Jan 30  After the Bell    0.26
CAM    Cooper Cameron         Wed, Jan 30  Before the Bell   0.52
DRE    Duke Realty Corp       Wed, Jan 30  -----N/A-----     0.65
ERTS   Electronic Arts        Wed, Jan 30  After the Bell    0.89
ENB    Enbridge               Wed, Jan 30  -----N/A-----      N/A
EPD    Enterprise Products    Wed, Jan 30  Before the Bell   0.60
EOG    EOG Resources          Wed, Jan 30  Before the Bell  -0.01
EL     Estee Lauder           Wed, Jan 30  Before the Bell   0.35
FE     FirstEnergy            Wed, Jan 30  -----N/A-----     0.67
GBL    Gabelli Asset Manag    Wed, Jan 30  -----N/A-----     0.50
GLK    Great Lakes Chemical   Wed, Jan 30  After the Bell   -0.18
HAR    Harman Inter Ind       Wed, Jan 30  -----N/A-----     0.51
HHS    Harte-Hanks            Wed, Jan 30  -----N/A-----     0.31
KMT    Kennametal             Wed, Jan 30  Before the Bell   0.33
LEG    Leggett & Platt        Wed, Jan 30  After the Bell    0.18
LIN    Linens `n Things       Wed, Jan 30  Before the Bell   0.75
MAN    Manpower               Wed, Jan 30  Before the Bell   0.33
MIR    Mirant Corporation     Wed, Jan 30  After the Bell    0.27
NOC    Northrop Grumman       Wed, Jan 30  Before the Bell   1.13
NCX    Nova Chemical          Wed, Jan 30  Before the Bell  -1.06
NRG    NRG Energy             Wed, Jan 30  Before the Bell   0.24
BTU    Peabody Energy Corp.   Wed, Jan 30  -----N/A-----     0.06
PPDI   Pharma Product Develop Wed, Jan 30  -----N/A-----     0.24
PD     Phelps Dodge           Wed, Jan 30  Before the Bell  -1.30
MO     Philip Morris          Wed, Jan 30  -----N/A-----     0.99
PPL    PPL Corporation        Wed, Jan 30  -----N/A-----     0.82
RBK    Reebok International   Wed, Jan 30  Before the Bell   0.05
DNY    RR Donnelley & Sons    Wed, Jan 30  -----N/A-----     0.46
SON    Sonoco Products        Wed, Jan 30  Before the Bell   0.40
STJ    St. Jude Medical       Wed, Jan 30  Before the Bell   0.59
SV     Stilwell Financial     Wed, Jan 30  -----N/A-----     0.35
SEO    STORA ENSO CORP        Wed, Jan 30  Before the Bell    N/A
SUS    Storage USA            Wed, Jan 30  After the Bell    0.93
MNI    The McClatchy Company  Wed, Jan 30  Before the Bell   0.46
NYT    The NY Times Company   Wed, Jan 30  Before the Bell   0.50
PZB    The Pittston Company   Wed, Jan 30  -----N/A-----     0.18
TDW    Tidewater              Wed, Jan 30  Before the Bell   0.52
TOM    Tommy Hilfiger         Wed, Jan 30  Before the Bell   0.39
VAR    Varian Medical         Wed, Jan 30  After the Bell    0.17
WGL    WGL Holdings Inc       Wed, Jan 30  After the Bell    0.73
XEL    Xcel Energy            Wed, Jan 30  Before the Bell   0.44

------------------------- THURSDAY -----------------------------

SE     7-Eleven               Thu, Jan 31  Before the Bell   0.13
AFL    AFLAC                  Thu, Jan 31  After the Bell    0.34
AKS    AK Steel Holding       Thu, Jan 31  Before the Bell  -0.22
ALA    Alcatel                Thu, Jan 31  Before the Bell  -0.35
AYE    Allegheny Energy       Thu, Jan 31  After the Bell    0.40
AC     Alliance Capital Man   Thu, Jan 31  -----N/A-----     0.64
APCC   American Power Conver  Thu, Jan 31  After the Bell    0.18
APC    Anadarko Petroleum     Thu, Jan 31  Before the Bell   0.25
APA    Apache                 Thu, Jan 31  Before the Bell   0.53
BSB    Banco Santander-Chile  Thu, Jan 31  After the Bell    0.32
BRW    Broadwing Comm         Thu, Jan 31  -----N/A-----    -0.29
CPN    Calpine                Thu, Jan 31  Before the Bell   0.35
CAJ    Canon                  Thu, Jan 31  -----N/A-----      N/A
CECO   Career Education       Thu, Jan 31  After the Bell    0.39
CLS    Celestica              Thu, Jan 31  After the Bell    0.29
COLM   Columbia Sportswear    Thu, Jan 31  After the Bell    0.48
CTC    Comp Telecom Chle S.A. Thu, Jan 31  -----N/A-----      N/A
CSC    Computer Sciences Corp Thu, Jan 31  After the Bell    0.50
CIV    Conectiv Incorporated  Thu, Jan 31  -----N/A-----     0.09
DAL    Delta Air Lines        Thu, Jan 31  Before the Bell  -3.89
DLX    Deluxe                 Thu, Jan 31  Before the Bell   0.70
DOL    Dole Food              Thu, Jan 31  Before the Bell   0.04
DTC    Domtar                 Thu, Jan 31  -----N/A-----      N/A
DOW    Dow Chemical           Thu, Jan 31  Before the Bell   0.05
DQE    DQE                    Thu, Jan 31  After the Bell    0.33
EMN    Eastman Chemical       Thu, Jan 31  After the Bell   -0.16
EP     El Paso Corp.          Thu, Jan 31  Before the Bell    N/A
ETR    Entergy                Thu, Jan 31  -----N/A-----     0.15
EPC    Epcos                  Thu, Jan 31  Before the Bell    N/A
FMC    FMC                    Thu, Jan 31  After the Bell    0.71
GILD   Gilead Sciences        Thu, Jan 31  After the Bell   -0.29
HSC    Harsco Corporation     Thu, Jan 31  Before the Bell   0.61
IGL    IMC Global             Thu, Jan 31  Before the Bell  -0.12
NSIT   Insight Enterprises    Thu, Jan 31  After the Bell    0.20
KCIN   KPMG Consulting        Thu, Jan 31  After the Bell    0.12
LYO    Lyondell Chemical      Thu, Jan 31  Before the Bell  -0.52
MAT    Mattel                 Thu, Jan 31  Before the Bell   0.34
MEG    Media General          Thu, Jan 31  -----N/A-----     0.25
MGG    MGM Mirage             Thu, Jan 31  Before the Bell   0.08
NIPNY  NEC (ADR)              Thu, Jan 31  -----N/A-----      N/A
NWL    Newell Rubbermaid      Thu, Jan 31  Before the Bell   0.38
NE     Noble Drilling         Thu, Jan 31  -----N/A-----     0.47
NUE    Nucor                  Thu, Jan 31  Before the Bell   0.17
PTEN   Patterson-UTI Enrg Inc Thu, Jan 31  Before the Bell   0.20
PY     Pechiney               Thu, Jan 31  Before the Bell   0.17
PIO    Pioneer Corporation    Thu, Jan 31  -----N/A-----      N/A
PG     Procter & Gamble Comp  Thu, Jan 31  Before the Bell   1.02
RSG    Republic Services      Thu, Jan 31  Before the Bell   0.29
RTP    Rio Tinto PLC          Thu, Jan 31  Before the Bell   2.33
SPI    Scottish Power         Thu, Jan 31  -----N/A-----      N/A
SEIC   SEI Investments        Thu, Jan 31  -----N/A-----     0.29
SII    Smith International    Thu, Jan 31  Before the Bell   0.76
SUG    Southern Union         Thu, Jan 31  Before the Bell   0.40
SFG    StanCorp Financial GrP Thu, Jan 31  Before the Bell   0.90
HOT    Starwood Hotel&Resorts Thu, Jan 31  Before the Bell  -0.03
TXU    TXU Corp.              Thu, Jan 31  Before the Bell   0.66
USTR   United Stationers      Thu, Jan 31  After the Bell    0.60
VZ     Verizon Communications Thu, Jan 31  Before the Bell   0.77
WPL    W.P. Stwrt & Co., Ltd. Thu, Jan 31  -----N/A-----     0.37
WFT    Weatherford            Thu, Jan 31  Before the Bell   0.43

------------------------- FRIDAY -------------------------------

HCR    HCR Manor Care         Fri, Feb 01  Before the Bell   0.31
IDA    Idacorp Holding        Fri, Feb 01  -----N/A-----     0.54
LANC   Lancaster              Fri, Feb 01  -----N/A-----     0.79
LEA    Lear                   Fri, Feb 01  Before the Bell   1.02
VRC    Varco                  Fri, Feb 01  Before the Bell   0.24


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

Upcoming Stock Splits in the Next TWO Weeks...

Symbol  Company Name           Splits  Payable    Executable
  
XRAY    Dentsply Intl.            3:2      01/31       02/01
SYMC    Symantec                  1:2      01/31       02/01
FRED    Freds Inc                 3:2      02/01       02/04
HOTT    Hot Topic, Inc.           3:2      02/05       02/06
SONC    Sonic Corp                3:2      02/08       02/11


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

Investors face the last week of January with another wave of 
earnings reports.  We have listed some of the larger companies
that will be announcing this week.  In addition to earnings,
Wall Street will also be listening to the FOMC during its 2-da
meeting on Tues/Wednesday and analysts will be looking hard at
the ECI report on Thursday morning.


Monday, 01/28/02
----------------
New Home Sales (DM)      Dec  Forecast:   923K  Previous:    934K


Tuesday, 01/29/02
-----------------
Durable Orders (BB)      Dec  Forecast:   1.0%  Previous:   -4.8%
Consumer Confidence (DM) Jan  Forecast:   95.0  Previous:    93.7
FOMC Meeting (2-Day) (DM)


Wednesday, 01/30/02
-------------------
GDP-Adv. (BB)             Q4  Forecast:  -1.1%  Previous:   -1.3%
Chain Deflator-Adv. (BB)  Q4  Forecast:   1.9%  Previous:    2.3%
FOMC Meeting (2-Day) (DM)


Thursday, 01/31/02
------------------
Initial Claims (BB)    01/26  Forecast:    N/A  Previous:    376K
Employment Cost Index (BB)Q4  Forecast:   1.0%  Previous:    1.0%
Personal Income (BB)     Dec  Forecast:   0.2%  Previous:   -0.1%
Personal Spending (BB)   Dec  Forecast:  -0.2%  Previous:   -0.7%
Chicago PMI (DM)         Jan  Forecast:   45.0  Previous:    41.5
Help Wanted Index (DM)   Dec  Forecast:    N/A  Previous:      45
FOMC Minutes (AB)    12/11


Friday, 02/01/02
----------------
Nonfarm Payrolls (BB)    Jan  Forecast:   -60K  Previous:   -124K
Unemployment Rate (BB)   Jan  Forecast:   5.9%  Previous:    5.8%
Hourly Earnings (BB)     Jan  Forecast:   0.2%  Previous:    0.5%
Average Workweek (BB)    Jan  Forecast:   34.2  Previous:    34.2
Mich Sent-Prel (DM)      Jan  Forecast:   94.2  Previous:    94.2
Construction Spending(DM)Dec  Forecast:   0.2%  Previous:    0.8%
ISM Index (DM)           Jan  Forecast:   49.5  Previous:    48.2

Definitions:
DM=  During the Market
BB=  Before the Bell
AB=  After the Bell



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

STI     Suntrust Banks Inc         63.17     +2.07
NBR     Nabors Industries Inc      31.40     +1.43
MUR     Murphy Oil Corp            81.77     +0.88
RCL     Royal Caribbean Cruises    18.02     +0.58
ORI     Old Republic Intl.         29.89     +1.36
ALE     Allete Inc                 25.82     +0.63

--------------------------------------- 
Breakout to Upside (Stocks $5 to $20) 
--------------------------------------- 
Ticker  Company Name               Close     Change 

SY      Sybase Inc                 18.00     +1.19
ELON    Echelon Corp               19.50     +1.55
PLXT    PLX Technology Inc         16.66     +1.50
USG     USG Corp                    8.50     +1.45
SHFL    Shuffle Master Inc         17.93     +1.47
TREE    Lendingtree Inc             8.99     +1.12

--------------------------------------- 
Breakout to Upside (Stocks over $20) 
--------------------------------------- 
Ticker  Company Name               Close     Change 

TM      Toyota Motor Corp          54.51     +2.14
MEL     Mellon Financial Corp      40.26     +1.15
RTN     Raytheon Co                35.27     +1.03
SPC     Saint Paul Companies       43.90     +1.42
PX      Praxair Inc                55.88     +1.64
NOC     Northrop Grumman Corp     104.81     +2.74
NSC     Norfolk Southern Corp      22.14     +1.16

----------------------------------------- 
Breakout to Downside (Stocks over $20) 
------------------------------------------- 
Ticker  Company Name               Close     Change 

DB      Deutsche Bank              65.00     -2.45
BTY     British Telecom            32.09     -1.21
CEFT    Concord EFS Inc            29.35     -1.76
CCMP    Cabot Microelectronics     63.40     -3.45
GMT     G A T X Corp               30.59     -1.49
AGY     Argosy Gaming Co           34.05     -1.94

----------------------------------------- 
Recently Overbought With Bearish Signals (Stocks over $20)
------------------------------------------- 
Ticker  Company Name               Close     Change 

SFG     Stancorp Financial         48.02     -1.02
GTIV    Gentiva Health Svcs        23.93     -0.10
MEDC    Med-Design Corp            22.95     -1.58




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