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Daily Newsletter, Tuesday, 03/26/2002

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PremierInvestor.net Newsletter                 Tuesday 03-26-2002
                                                   section 1 of 2
Copyright  2001, All rights reserved.
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In section one:

Market Wrap:      Frozen In Time
Market Sentiment: On Edge
Play-of-the-Day:  Sharpening Their Claws

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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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      03-26-2002           High     Low     Volume Advance/Decline
DJIA    10353.36 + 71.69 10432.86 10276.76 1.19 bln   1953/1205
NASDAQ   1824.17 + 11.68  1843,96  1807.47 1.46 bln   1999/1566
S&P 100   575,17 +  3.50   580.14   571.67   Totals   3952/2771
S&P 500  1138.49 +  6.62  1147.00  1131.61             
RUS 2000  501.66 +  5.27   501.74   496.39
DJ TRANS 2875.37 + 58.14  2878.05  2814.92
VIX        19.79 -  0.73    20.38    19.38
VXN        37.68 -  1.50    39.57    37.64
TRIN        1.10 
PUT/CALL    0.66

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

Frozen in time

"Frozen in time" is kind of a weird title for a market wrap, but 
that seems to be appropriate today, Tuesday, March 26, 2002.  It 
was 39-year ago today that I was born.  It's a somber time where 
I can perhaps take a moment or two and reflect on what has been 
and what will hopefully be a pleasant life.

In 1963 there was a lot going on.  Things that looked to perhaps 
shape the world to come.  In 1963 some of the world headlines 
were "France Bars Britain from European Common Market," "Soviet 
Missiles Pulled from Cuba," "Russia Puts First Woman in Space," 
"Khomeini Arrested During Iran Rioting," "Churchill Retiring 
After Long Political Caree" and "The Hotline Between the U.S. and 
the U.S.S.R is Established to Help Avert War!"

My mom tells the story of me being awarded the "Biggest baby of 
the month" at a whopping 10-pounds 8-ounces, but I've never read 
anything about it other than the local newspaper of the town I 
was born in.  I guess it was a near-term feat that was rather 
interesting to the community, but not sure that event was 
necessarily going to shape the course of world events.

While "biggest baby of the month" was a feat my mother still 
grimaces over, it was an event that had little impact on many 
except perhaps one.  My mom.  

Today's "largest monthly jump" in consumer confidence in over 25-
years has more of an impact on market participants near-term, but 
it too will eventually have less of an impact on things as we 
move forward. 

While that 10/lb 8/oz kid took up some crib space at the hospital 
nursery and most likely increased formula demand during my brief 
stay, the following month there was a new kid born that tipped 
the scale at 10/lb 10/oz just six days later to ring in the month 
of April.  I'm guessing I was shuttled out the door and the 
hospital nurses were left to gawk at the new kid that just posted 
a new number.

39-years ago to the day, who would have thought that today's 
consumer confidence reading of 110.2 would mark the biggest one-
month gain in consumer confidence in over 25 years?

Today's "largest monthly jump" in consumer confidence in over 25-
years has a near-term impact on market participants, but it too 
will eventually have less of an impact on things as we move 
forward.

Various opinions

Joel Naroff, chief economist at Naroff Economic Advisors thinks, 
"Confidence is building and there is no reason to believe that 
spending will not follow.  Rate hikes are coming.  Only the 
timing is uncertain."  

While consumer confidence numbers were much stronger than 
expected, New York Fed President William McDonough said what 
happens with business investment remains one of the "great 
mysteries."  "Capital spending remains the weakest sector," 
McDonough acknowledged, adding that firms may not do much more 
than restock inventories.  The New York Fed president surmised 
that the corporate sector would begin to see improved 
profitability by around mid-year.

Both of these gentlemen's comments seemed to come into play today 
and gives some insight into what the MARKET is trying to sort out 
at this time.

It all comes down to the "great mysteries" that the future holds.

It is still my view that the deeper cyclicals are the best areas 
for bulls to be placing their bets at this time.  If one of the 
"great mysteries" is capital spending, then the deeper cyclicals 
should be the first to benefit from a recovering economic 
environment.  When they do, then these are the company's that 
will eventually drive capital spending as the bottom line 
(earnings) begins to grow.

Morgan Stanley Cyclical Index (CYC.X) - Daily Interval



Of the sectors/indexes we feel investors/traders should be 
keeping an eye on is the Morgan Stanley Cyclical Index (CYC.X).  
From "basic materials" stocks like Alcoa (NYSE:AA) $37.84 +2.96% 
"aluminum", USX-US Steel (NYSE:X) $17.00 +3.03% "steel" and 
Phelps Dodge (NYSE:PD) $40.94 +2.47% "copper" to heavy machinery 
like Caterpillar (NYSE:CAT) $56.25 +0.55% and Deere (NYSE:DE) 
$44.07 +0.7% and many others, these are the company's the are 
considered the deep cyclicals.  These are also many of the 
company's that have been hit hard by the recent recession that 
have been cutting costs in order to help prop up the bottom line, 
while in the meantime looking for an economic recovery to get the 
top line growing again.  Once the earnings begin flowing to the 
bottom line, then budgets for further capital expenditures will 
come in order to create greater productivity measures.  Right 
now, there's enough capacity in all of their systems that the 
"need to spend" on greater productivity measures may not 
necessarily offset the costs for the productivity gains received.  
In economic terms it has to do with what we learned in high 
school and college regarding marginal cost equaling marginal 
revenue.  In essence, for every dollar spent on equipment, is the 
incremental gain in revenue or efficiency worth the dollar spent?  
If you've got plenty of capacity like many have right now, then 
spending may not be ramping up.  Not yet at least.  

The recent break to a new 52-week high does at least hint that 
the MARKET is making some bets on the deeper cyclicals and money 
has been flowing to many of these stocks.  In recent sessions, 
I'm thinking that bulls took some profits in these stocks.  If 
that is the case, then the $550 level should become support.  If 
that level were broken, then I begin to think the MARKET isn't 
seeing too robust of an economic expansion near-term.

This morning's durable goods orders of 1.5% did beat consensus 
estimates looking for a 1.1% rise, but the bulk of the durable 
goods orders came from the big jump in commercial aircraft orders 
(+47% last month).  In this morning's 09:00 Update we noted that 
durable goods orders would have actually fallen -1.3% if the more 
volatile transportation orders were excluded.

The cyclicals did hold tough in early trading, but like the 
broader market the gains found were more than likely attributed 
to the consumer confidence numbers.  Nonetheless, the Cyclicals 
(CYC.X) were able to hold onto the bulk of their gains, while 
some of the more budget/IT spending sectors faded a bit into the 
close.

Telecom and telecom-related stocks continue to find weakness, or 
at least lack of buyers.  In the end, that's all that really 
matters.  Both telecom indexes, the Combined Telecom Index 
(IXTCX) 171.51 -1.06% and North American Telecom Index (XTC.X) 
traded "heavy" today.  Both look to be suffering from the end-of-
quarter liquidation by some institutions trying to get some 
stocks off the books so they need not explain the holding to 
their shareholders come April.  

Shares of telephone service provider WorldCom (NASDAQ:WCOM) $6.11 
-6.28%, came within 7-cents (isn't that about the going rate for 
a long-distance phone call per minute?) of setting a new 52-week 
low when the stock traded $6.00 earlier in the session.

I think it has been rather safe to say, "If it's telecom-related, 
Jeff doesn't like it."  I won't argue with that.  I like the 
risk/reward setup in shares of QUALCOMM (NASDAQ:QCOM) $39.87 
+1.01% for bearish traders (see play profile).  While this stock 
did find some buyers today, the 50-day moving average at $40.76 
provided some formidable resistance and MACD is rolling.  I'd 
note that MACD just crossed below the signal level today and a 
break of this morning's lows could see the stock trade the $35 
level before weeks end.

QUALCOMM Chart - Daily Interval



Personally, I don't think a trader needs to sit around in shares 
of QUALCOMM (NASDAQ:QCOM) for weeks in order for something to 
happen.  I'd be more inclined to put a "time limit" on this trade 
of several days and not necessarily several weeks.  This one's a 
mover and gyrates as shorts come in and cover, which can really 
provide a short-term painful experience if you like to trade for 
profits.  I think we're right at a major near-term "pivot point" 
at retracement of $39.84.  If the stock breaks today's low of 
$38.58 and the MARKET responds negatively to tomorrow's economic 
data, the stock could easily trade the $35 level before weeks 
end.  In after-hours trading, shares of QCOM slipped below our 
retracement level at $39.75.

Tomorrow's economic data

New home sales for February are due out at 10:00 AM EST and 
consensus estimates are for a number of 880,000.  That's all the 
economic data that is due to be reported tomorrow.

Adelphia Earnings

Shares of Adelphia Communications (NASDAQ:ADLAC) $20.39 -3.18% 
traded "heavy" all session and the company is expected to report 
earnings tomorrow morning before the opening of trading.  As 
described in Friday's play update, we wanted to play it safe and 
lock in gains as of tonight's close and not risk a 15% gain from 
bearish profile to some type of bullish upgrade or earnings 
surprise.

I'm sure there may be a couple of us, uh I mean subscribers that 
held a portion overnight and looking for some negative news.  I 
think that would have been a decent strategy.  I'll look for 
Adelphia's (ADLAC) news before the bell and hopefully I they'll 
report before tomorrow's 09:00 EST Update is due out.

Jeff Bailey


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

On Edge
By Eric Utley

The bulls appear a bit skittish.  Monday's meltdown definitely
snuffed a lot of optimism.  But that good mood was found again
this morning following the release of March's consumer sentiment
number.  The index shot up to 110.2, well above the market's
expectations.  It was the highest reading since last August's
114.

The upside surprise resulted in a sharp, big rally in stocks
early Tuesday, but something gave way later in the day.  Stocks
were unable to continue higher after the early buying spree,
which some suggested was a combination of short covering and
heavy futures buying.  The necessary demand to carry stocks
higher never materialized Tuesday afternoon.  Instead, the bids
disappeared and stocks headed lower.  The Nasdaq-100 (NDX.X)
slipped into negative territory before a last minute effort by
the bulls lifted the tech-heavy index back into positive
territory into the close.

The daily sector winner and loser were about as bifurcated as
sectors get.  The recent run in the Gold and Silver Index
(XAU.X) necessitated a pullback in Tuesday's session, leaving
the XAU 2.78 percent higher.  Meanwhile, the broader transport
sector came roaring back, led by the 3.57 percent pop in the
Airline Index (XAL.X).  The energy, telecom, and drug segments
of the market were especially weak.  While financials, cyclicals,
and technology led to the upside.

The fear gauges of the market continued to tick lower, epitomized
by the new yearly low in the CBOE Market Volatility Index (VIX.X).
In my view, the longer the VIX trades below 20, the greater the
downside risks grow.  The put/call figures confirm the lack of
fear in the marketplace as calls continue to swamp puts.

The short-term ARMS reading is ticking towards an extreme,
which reinforced the short-term oversold way of the market
going into Tuesday's session.  Coupled with the four consecutive
down days in the Dow, Tuesday's consumer number may have been
merely an excuse to cover shorts and blow-off some upside
risk.

Finally, the Nasdaq-100 Bullish Percent ($BPNDX) shed five
more percent Tuesday to a reading of 59 percent.  That move
reinforces our bearish stance on technology shares and won't
be shifted until we see some improvement in the indicator.

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

Market Averages


DJIA ($INDU)

52-week High: 11350
52-week Low :  8062
Current     : 10353

Moving Averages:
(Simple)

 10-dma: 10488
 50-dma: 10090
200-dma:  9988

S&P 500 ($SPX)

52-week High: 1316
52-week Low :  945
Current     : 1138

Moving Averages:
(Simple)

 10-dma: 1153
 50-dma: 1127
200-dma: 1143


Nasdaq-100 ($NDX)

52-week High: 2071
52-week Low : 1089
Current     : 1440

Moving Averages:
(Simple)

 10-dma: 1475
 50-dma: 1485
200-dma: 1541


Airline ($XAL)

The XAL rebounded in Tuesday's session after a big down day
Monday.  The XAL finished 3.57 percent higher for Tuesday.
Fears over pricing strategies were squelched when Delta
Air Lines (NYSE:DAL) announced lowered fares for certain
destinations.

Leaders included Southwest (NYSE:LUV), Delta, Continental
(NYSE:CAL), Alaska Air (NYSE:ALK), and United (NYSE:UAL).

52-week High: 153
52-week Low :  59
Current     : 104 

Moving Averages:
(Simple)

 10-dma: 106
 50-dma:  97
200-dma: 103


Gold and Silver ($XAU)

The XAU pulled back in Tuesday's session after hitting a
new 52-week high Monday.  The XAU finished 2.78 percent
lower in Tuesday's session.

Leading to the downside included Gold Fields (NASDAQ:GOLD),
Harmony Gold (NASDAQ:HGMCY), Placer Dome (NYSE:PDG), and
Anglogold (NYSE:AU).

52-week High: 70
52-week Low : 46
Current     : 68

Moving Averages:
(Simple)

 10-dma: 65
 50-dma: 64
200-dma: 57

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

Market Volatility

The VIX traced yet another new yearly low in Tuesday's session
at the 19.38 mark.  Tuesday's close was the third below 20 in the
last four days.

The VXN spiked higher in Monday's session following the steep
drop in the Nasdaq-100 (NDX.X).  It rolled over at the 10-dma in
Tuesday's session.

CBOE Market Volatility Index (VIX) - 19.75 -0.73
Nasdaq-100 Volatility Index  (VXN) - 37.68 -1.50

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

          Put/Call Ratio  Call Volume   Put Volume
Total          0.66        398,033       268,367
Equity Only    0.59        345,232       205,205
OEX            0.79         11,245         8,840
QQQ            0.26         34,435         9,066
 
-----------------------------------------------------------------

Bullish Percent Data

           Current   Change   Status
NYSE          64      + 0     Bull Confirmed
NASDAQ-100    59      - 5     Bull Correction
DOW           77      + 0     Bull Confirmed
S&P 500       74      - 1     Bull Confirmed
S&P 100       76      + 0     Bull Confirmed

Bullish percent measures the number of stocks in an index 
currently trading on a buy signal on their point and figure 
chart.  Readings above 70 are considered overbought, and readings 
below 30 are considered oversold.

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

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

 5-Day Arms Index  1.25
10-Day Arms Index  1.20
21-Day Arms Index  1.06
55-Day Arms Index  1.23

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

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

Market Internals

        Advancers     Decliners
NYSE      1953           1205
NASDAQ    1999           1566

        New Highs      New Lows
NYSE      163             44
NASDAQ    152             24

        Volume (in millions)
NYSE     1,199
NASDAQ   1,470

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

Commitments Of Traders Report: 03/19/02

Weekly COT report discloses positions held by small specs
and commercial traders of index futures contracts at the 
Chicago Mercantile Exchange and Chicago Board of Trade. COT data 
can be found at www.cftc.gov.

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

S&P 500

S&P Commercials maintained their relatively higher net bearish
position in the prior week by dropping a significant number of
longs and a small number of shorts.  The group's % of OI,
however, increased by a larger amount.  Small traders maintained
their yearly high net bullish position.

Commercials   Long      Short      Net     % Of OI 
03/05/02      361,254   445,989   (84,735)  (10.5%)
03/12/02      396,050   483,606   (87,556)   (9.9%)
03/19/02      322,938   410,494   (87,556)  (11.9%)

Most bearish reading of the year: (111,956) -   3/6/01
Most bullish reading of the year: ( 36,481) - 10/16/01

Small Traders Long      Short      Net     % of OI
03/05/02      161,711     60,941  100,770     45.3%
03/12/02      179,825     75,025  104,800     42.6%
03/19/02      145,262     43,066  102,196     54.3%

Most bearish reading of the year:  36,513 - 5/01/01
Most bullish reading of the year: 104,800 - 3/05/02
 
NASDAQ-100

NDX commercials dropped a big chunk of their long position,
resulting in a drastic climb in the group's net bearish
stance.  Small traders went the opposite direction by shedding
a larger number of short contracts, establishing a firm net
bullish position.

Commercials   Long      Short      Net     % of OI 
03/05/02       33,549     35,419    (1,870)   (2.7%)
03/12/02       37,415     42,942    (5,527)   (6.9%)
03/19/02       24,792     33,699    (8,907)  (15.2%)

Most bearish reading of the year: (15,521) -  3/13/01
Most bullish reading of the year:   7,774  - 12/21/01

Small Traders  Long     Short      Net     % of OI
03/05/02       11,961    11,214       747      3.2% 
03/12/02       14,571    13,045     1,526      5.5%
03/19/02       11,637     5,527     6,110     35.6%

Most bearish reading of the year:  (9,877) - 12/21/01
Most bullish reading of the year:   8,460  -  3/13/01

DOW JONES INDUSTRIAL

Dow commercials shed a significant number of both long and
short positions.  The result of their actions was a drastic
drop in the group's net bullish position.  Small traders
reduced their total position, too, resulting in a modest
drop in the group's net bearish position.

Commercials   Long      Short      Net     % of OI
03/05/02       37,036    25,554   11,482     18.3% 
03/12/02       35,080    23,204   11,876     20.4%
03/19/02       20,858    13,283    7,575     22.2%

Most bearish reading of the year: (8,322) -  1/16/01
Most bullish reading of the year: 15,135  - 10/16/01

Small Traders  Long      Short     Net     % of OI
03/05/02        6,589    13,057    (6,468)   (32.9%) 
03/12/02        6,400    13,070    (6,670)   (34.3%)
03/19/02        4,651    10,367    (5,716)   (38.1%)

Most bearish reading of the year:  (8,777) - 10/12/01
Most bullish reading of the year:   1,909  -  1/16/01

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



===============
PLAY-of-the-Day
===============

Check Point Software - CHKP - cls: 31.06 chg: -0.32 stop: 34.15

Company Description:
Check Point Software Technologies is the worldwide leader in 
securing the Internet. It is the confirmed market leader of both 
the worldwide VPN and firewall markets. The company's Secure 
Virtual Network (SVN) architecture provides the VPN and security 
infrastructure that uniquely enables secure and reliable Internet 
communications. SVN solutions, as delivered in the company's Next 
Generation product family, secure business communications and 
resources for corporate networks, remote employees, branch 
offices and partner extranets. (source: company press release)


- ORIGINAL WRITE UP: March 14th, 2002 -

Why We Like It:
It is no secret that the software sector has been one of the 
leaders to the downside during the last three sessions. Sector 
leaders like MSFT have also been trading lower and this trend 
continued today. A closer look of the last several sessions of 
the GSO.X software index shows how the sector rallied up to its 
50 & 200-dma's and promptly rolled over. Today's trading ended 
with the index breaking under the 170 support level and is likely 
headed for a test of the 160 support level. More negative news 
from the likes of ORCL is not going to inspire buyers in the 
group either. We've had our eye on CHKP for a few days and put it 
in the watch list on Wednesday (yesterday). CHKP had also rallied 
to its 200-dma before rolling over and closing back under its own 
50-dma. We have been using some fitted retracement levels from 
CHKP's September lows to its January highs and our trigger point 
was a move under $33.80. A glance at the point-and-figure chart 
also shows how CHKP had rallied near its descending bearish trend 
line before profit taking hit the share price. MACD on the stock 
is starting to roll over just under the zero line, which helps 
confirm our bearish perspective. We would expect some support 
near the $30 level but our goal is a retest of the February lows 
near $27.50. We're going to start the play with a stop just above 
Wednesday's high at $35.51. If you considering entry points you 
may want to look for any failed rally at $35.00 or a move under 
$33.00. We're willing to enter the play here. FYI, we don't think 
it has any affect on the stock price but we believe CHKP is based 
out of Israel and any increase in violence in the Mid East could 
be just one more sentiment factor hanging over CHKP's head. 

Editor's note: some traders may find it interesting or confusing 
that we have a short play on CHKP and a long play on MERQ, 
another software stock. We like MERQ and it has been showing a 
decent amount of relative strength against the sector and the 
Nasdaq while CHKP has not and continues to violate levels to the 
downside. We actually like the strategy of hedging our 
investments so if the market goes up we can benefit with 
leadership in MERQ and if the market goes down we can benefit 
from a lack of leadership in CHKP. Be sure to maintain good stop 
losses!

- Most Recent Update: March 26th, 2002 -

The software sector continues to slide lower.  However, its 
largest component, MSFT, is approaching support at the $58 level.  
Optimistically, bulls will look for this to support the stock.  
Bears, of course, will be looking for a breakdown below it.  If 
this occurs then the GSO.X will probably have no hope of 
maintaining its current perch on the 160 level.  Fortunately for 
the bears reading the Premier Investor Newsletter, we're playing 
the security software stocks, which seem exceptionally vulnerable 
lately.  One of CHKP's rivals, ISSX, was hammered for an 8.45% 
loss today on concerns over its current quarter.  CSFB raised 
concerns that budgets by corporate CIOs for intrusion software, 
the kind that ISSX provides, have been slipping.  This rationally 
translates into concerns that ISSX may not make their estimates 
this quarter.  Another broker, Robertson Stephens also raised 
similar concerns and believes that ISSX may need to lower its 
June quarter guidance of 7% sequential growth.  Negative news 
like this can directly translate to CHKP unless one has strong 
evidence that CHKP is taking marketshare away from ISSX.  While 
we don't have any word on this speculation at the moment, slower 
sales for ISSX probably means slower sales for CHKP.  We knew 
before hand that the $30 level would probably be support for CHKP 
but the growing concerns over IT spending should be able to give 
the bears enough of an edge to breakthrough this support.  We are 
not adjusting our stop at this time but more conservative traders 
might be able to sneak by with something close to the $33.50 
level.  Currently, Premier is "up" more than 6% in CHKP.


- Play-of-the-Day Comments: March 26th, 2002 -

The GSO.X software index looks weak and security software stocks 
are leading the sector lower.  CHKP rival ISSX took an 8.45% 
whipping today on concerns about Q2 guidance and revenue, while 
CHKP underperformed the NASDAQ and dropped 1%.  If the GSO moves 
under 160, CHKP could break below support at $30 and quickly 
retest the February lows near $27. 

Picked on March 14th at $33.28
Gain since picked:       +2.22
Earnings Date         01/15/02 (confirmed)
 





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Do not duplicate or redistribute in any form.



PremierInvestor.net Newsletter                 Tuesday 03-26-2002
                                                   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
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In section two:

Net Bulls
  Bullish Play Updates: BBH
  Bearish Play Updates: BCE, BRCM, CLS, CHKP, CSCO, ISSX, NVDA, STK

Stock Bottom / Active Trader
  Bullish Play Updates: CAH, DOL, HRB, KSS, OHP, PSS

High Risk / High Reward
  Bullish Play Updates: HIG
  Bearish Play Updates: CMOS, QCOM
  Closed Bullish Play:  ADLAC

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 Play Updates
===============

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

Biotech HOLDRs - BBH - close: 122.58 change: -0.30 stop: 119.45 

Just when the BBH looked like it might make a run at $130, it 
quickly reversed course and returned to the bottom of its 
ascending channel.  We'd been looking for the BTK.X biotech index 
to break over its 200-dma at 537 and push the HOLDRS higher, but 
both the index and holding stock sold off sharply yesterday.  
Although we were a bit surprised at the speed with which the BBH 
returned to the bottom of its channel, it certainly makes it 
easier to target entries.  Whereas buying near $127 or $128 was 
wrought with the danger of overhead resistance, shares now have 
room to move.  Strong support also lies just under current 
levels.  The 50-dma at $121.45 coincides with the bottom of the 
ascending channel.  Bulls will likely vigorously defend this 
level, as evidenced by today's low at $121.65.  Furthermore, the 
BTK should have support at 500.  Traders can consider bullish 
positions after confirming positive sector sentiment.  Traders 
will want to be careful, as a move under the $122 level, while 
above the $120 support, would make us apprehensive.  The 
indicators are not offering us any help as the MACD could roll 
over soon and the stochastics are already in retreat.  The future 
trend of the BBH may very well depend on the Nasdaq and its 
ability to hold the 1800 level or not.  In the absence of any 
major market movement or sector news most HOLDR components turned 
in a mixed performance today: AMGN +0.41%, BGEN -0.06%, CHIR +
0.67%, DNA -1.74%, and SEPR -1.62% just to name a few.

Picked on February 20th at $120.00
Gain since picked:           +2.58
Earnings Date                  N/A





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

B C E Inc. - BCE - close: 17.74 change: -0.96 stop: 19.41 *new*

We suspected that the move late last week in BCE was only the 
beginning.  There were probably a lot of stops both real and 
mental on the stock and if it ever traded under $20 investors 
were going to get out.  With this in mind, the close under $20 on 
Friday was nothing but a dinner bell for the well fed bears 
prowling around the telecom sector.  There was so much supply 
with everyone willing to sell and/or short the stock that BCE 
gapped down on Monday to open at $19.40.  Thus, we have to take 
the open as our entry point.  Volume was huge with nearly 2 
million shares trading compared to the average of just 275K a 
day.  The carnage continued on Tuesday as BCE gapped down again 
to open at $17.73.  However, the stock quickly rebounded to run 
straight into new resistance at $19.00 before selling off again.  
Is this new support at $17.50?  Or are bears merely pausing to 
catch the breath after such a thrilling chase?  With the IXTCX 
combined telecom index dropping to the 170 level and producing a 
bearish crossover in the MACD we do not suspect a lot of buyers 
in the group right now.  Still, shares of BCE are now short-term 
oversold and could bounce.  The question is whether the intraday 
bounce to $19 today will suffice or will shares vacillate between 
$17.50 and $18.50 for another day or two.  Currently, the point-
and-figure chart is showing that the most current bearish price 
objective is pointing to a $14.00 price target.  We are going add 
an exit price of $15.25.  If shares of BCE trade at or below our 
exit price we'll close the play.  In the mean time, we are going 
to lower our stop to one cent above our adjusted entry or $19.41.

Picked on March 22nd at $19.40
Gain since picked:       +1.66
Earnings Date         04/23/02 (unconfirmed)
 



---

Broadcom Corp - BRCM - close: 35.11 change: +0.00 stop: 38.45

Wow!  On a day like today, it is surprising to see BRCM with an 
unchanged share price.  The up and down market action today had 
the indices all over the board.  Strangely, while most of the 
tech sectors turned red intraday the chip sector was the one 
group showing strength.  The late day bounce across the markets, 
including the chips, helped BRCM close unchanged and the SOX 
closed up about 12 points.  Traders active in the chip sector 
will also find it interesting to note that AMAT was downgraded 
today from a "buy" to a "neutral" and received a 12-month price 
target of $55, which is only about 5% above current levels.  
Shares of AMAT managed to climb higher in face of this news, 
which may have attributed to some of the strength in the group.  
A closer look at BRCM reveals that shares did produce a lower 
high on the daily chart (like many tech stocks today) and we may 
have witnessed a failed rally at the $36.50 level today.  We 
still like the stock here but traders looking for new positions 
may want to consider waiting for shares to trade back under the 
$34.50 level again.

Picked on March 25th at $35.75
Gain since picked:       +0.64
Earnings Date         04/23/02 (unconfirmed)
 



---

Celestica - CLS - close: 34.48 change: +0.48 stop: 36.08 *new*

The market sell off on Monday helped produced a nice 6.25% 
decline for shares of Celestica, which was good news for the 
bears as the stock had been trying to build on support near $36.  
With tech investors still in retreat and more and more concerns 
rising about business spending the market probably sees less and 
less reason to invest in CLS at the moment.  Now all of this 
could change once we start to get some pre-earnings announcements 
and or the Q1 earnings reports that are due to start in a couple 
of weeks but hopefully we'll be out of this play by then.  
Speaking of hitting the exits, we are going to solidify our exit 
point for CLS.  The recent late February and early March lows 
were $31.76 and $31.50.  The recent lows these last two days have 
been near $34.75.  Do you notice a trend?  Traders tend to 
undercut support by about a quarter.  Therefore we are going to 
set our exit price at $32.00.  This way if everyone is aiming for 
the February lows we don't have to worry about missing the exits 
if they pull up short.  We are also going to adjust our stop.  
We'll slide our stop down to $36.08, which should protect a 5% 
move in the play so far.  If we had to speculate, today's move 
looked like a failed rally at $35.00 (give or take a quarter) and 
very short-term traders may want to consider plays below today's 
low.  Be sure to watch the overall mood of the tech market if 
you're looking for new positions.  Stochastics say CLS is already 
oversold while MACD just rolled over a few days ago.  Premier is 
currently showing a move of $3.50 or +9% in CLS.

Picked on March 13th at $37.98
Gain since picked:       +3.50
Earnings Date         04/17/02 (unconfirmed)
 



---

Check Point Software - CHKP - cls: $31.06 chg: -0.32 stop: 34.15

The software sector continues to slide lower.  However, its 
largest component, MSFT, is approaching support at the $58 level.  
Optimistically, bulls will look for this to support the stock.  
Bears, of course, will be looking for a breakdown below it.  If 
this occurs then the GSO.X will probably have no hope of 
maintaining its current perch on the 160 level.  Fortunately for 
the bears reading the Premier Investor Newsletter, we're playing 
the security software stocks, which seem exceptionally vulnerable 
lately.  One of CHKP's rivals, ISSX, was hammered for an 8.45% 
loss today on concerns over its current quarter.  CSFB raised 
concerns that budgets by corporate CIOs for intrusion software, 
the kind that ISSX provides, have been slipping.  This rationally 
translates into concerns that ISSX may not make their estimates 
this quarter.  Another broker, Robertson Stephens also raised 
similar concerns and believes that ISSX may need to lower its 
June quarter guidance of 7% sequential growth.  Negative news 
like this can directly translate to CHKP unless one has strong 
evidence that CHKP is taking marketshare away from ISSX.  While 
we don't have any word on this speculation at the moment, slower 
sales for ISSX probably means slower sales for CHKP.  We knew 
before hand that the $30 level would probably be support for CHKP 
but the growing concerns over IT spending should be able to give 
the bears enough of an edge to breakthrough this support.  We are 
not adjusting our stop at this time but more conservative traders 
might be able to sneak by with something close to the $33.50 
level.  Currently, Premier is "up" more than 6% in CHKP.

Picked on March 14th at $33.28
Gain since picked:       +2.22
Earnings Date         01/15/02 (confirmed)
 



---

Cisco Systems - CSCO - close: 16.65 change: +0.47 stop: see text

We don't know what they have been smoking but the folks over at 
Lehman came out with a positive call on CSCO this Monday.  They 
felt that CSCO should benefit from a "steadily improving" 
spending environment in the IT segment.  We agree that CSCO will 
likely be a lead beneficiary when IT spending resumes but almost 
everywhere else we turn are cautious comments and warnings that 
there has been no turnaround yet for IT budgets.  Just look at 
MROI as your example-du-jour.  Obviously, Wall Street wasn't 
fooled and CSCO remains range bound between $16.00 and $17.00.  
Sometimes it makes you wonder if broker calls like this are just 
trying to beat the trend and be bold or are they just looking for 
an up tick to reposition their short positions.  Of course if you 
do believe that the economy is rebounding then buying CSCO for a 
long-term position may not be a bad idea but why buy it here if 
you think you might get a better price at $14.00?  Frankly, we're 
somewhat neutral on CSCO but the stock remains in its descending 
channel and until it breaks out to the upside we'd be pretty 
cautious on those longs.  The 50-dma just produced a bearish 
crossover of the 200-dma a few days ago and both are sliding 
lower.  We suspect that if CSCO can't stage a rally soon the 50-
dma may be the descending elevator on the stock price and push it 
through support of $16.00.  If and when CSCO trades through our 
bearish trigger at $15.90 we'll be happy to sit on our hands and 
wait.  Optimistic bulls may want to look for a close over $17.25 
or look for more confirmation with a move above overhead 
resistance at $18, which would also put the stock above its 50 & 
200-dma's.  FYI: in the news CIEN announced they would slash 
their staff in an effort to reach profitability while analyst 
grow more concerned over CIEN's sales expectations.  Also in the 
news on Monday, rival-networking player JNPR received a downgrade 
from an "add" to a "hold".    

Picked on March xth at $xx.xx <- See text
Gain since picked:      +0.00
Earnings Date        05/07/02 (unconfirmed)
 



---

Internet Security - ISSX - cls: 23.07 chg: -2.13 stop: 25.51 *new*

Argh!  We hate it when that happens.  The stock analysts in the 
office debated over the weekend whether or not to add ISSX as a 
new play or not.  We thought it looked good but lets see if it 
can trade under $25 again.  Monday came and we got the dip under 
$25 but shares managed a weak rebound.  We felt that looked good 
enough to add it but we'll use a trigger point to get a little 
confirmation first.  The good news for the bears is that more 
than one broker came out today and raised their concerns over 
ISSX's upcoming quarter and sales expectations.  The bad news is 
shares gapped down to $22.58, which is our new entry price.  Due 
to the gap down we are going to lower our stop immediately to 
$25.51.  Previously, we had it set at $27.51.  The two brokers 
that voice their opinions on ISSX today were CSFB and Robertson 
Stephens.  Together they served up an 8.45% drop in the stock 
price with concerns the current quarter was lagging behind 
expectations for ISSX.  As mentioned in the CHKP write up, there 
appears to be no turnaround yet for IT budgets and no increase or 
up tick in spending for security software solutions.  These 
analysts are concerned that ISSX may miss their estimates and 
further more Stephens felt ISSX may need to lower their June 
quarter guidance.  In our original write up we had already 
mentioned that the $22 area was likely support and shares 
actually bounced intraday at a retracement level we had set near 
$21.70.  If you're interested, our retracement was from the May 
2001 highs to the late September lows, 100% to 0%, with the 61.8% 
level placed near the late January highs.  This put the 23.6 
Fibonacci level at $21.70.  We would not be surprised to see ISSX 
fill the gap created today by trading back up into the $24.50 to 
$25.00 range.  A failed rally here may be a good place to look 
for short entries.  Likewise a move below today's low at $21.75 
would also be attractive.  We are expecting potential support at 
$20 merely due to its round number psychological support.  This 
may be a good place to consider covering and taking profits.

Picked on March 26th at $22.58 
Gain since picked:       -0.49
Earnings Date         04/16/02 (unconfirmed)
 



---

NVIDIA Corp - NVDA - close: 47.00 change: +0.94 stop: 50.01

The selling continues for shares of NVDA and Monday's drop 
prompted us to lower our stop to $50.01 in the Monday night 
newsletter.  As outlined in our original write up, we suspected 
that the $46 level might offer support even before shares reached 
the more traditional $45 level of psychological 
support/resistance.  The good news for the bears my lie in the 
lower high and potential failed rally at the $48 level on 
Tuesday.  Surprisingly, the chip sector was one of the stronger 
groups in the tech market today with positive performances by 
INTC and AMAT even though the latter faced a downgrade and less 
than inspiring price target.  Shares of NVDA may continue to 
consolidate between $45 and $48 but as long as the highs continue 
to slip lower the bears are likely to crack support and we'll 
have a better chance of reaching our profit target near $41 to 
$40.  Manage your stop well and keep an eye on the chip leaders 
to determine sector sentiment.  Also keep an eye out for any news 
on the NVDA and the SEC investigation, which could move the stock 
big in either direction based on the spin.

Picked on March 22nd at $48.57 
Gain since picked:       +1.57
Earnings Date         05/15/02 (unconfirmed)
 



---

StorageTek - STK - close: 20.95 change: +0.07 stop: 22.05

The daily chart for STK probably doesn't paint the whole picture 
during the last couple of sessions as it may be hard to read.  
However, for the doubtful out there, the stock is still hitting 
new relative lows compared to the previous day.  It's not much 
but the short-term trend still appears to be a negative one.  
Stochastics are in retreat and the MACD is about to produce a 
bearish crossover under the zero line.  Unfortunately, for those 
of us that get impatient shares seem stuck trading sideways.  We 
would probably wait for STK to close under $20.50 or maybe even 
$20.00 if you'd like more confirmation of the bearish move.  
There is no need to rush into a position with so many other 
attractive plays out there.  Enter STK on your own terms and wait 
for it to move before committing capital.  As a newsletter, we're 
hypothetically "in" the play already and more aggressive traders 
can join us but use wise stop placement to protect yourself.  The 
overall lack of strength in the market should be comforting if 
you have a bearish outlook.  Our original observation that shares 
appear to be rolling over now that they have retraced a majority 
of their losses from late February still seems to apply.

Picked on March 22nd at $20.91 
Gain since picked:       -0.04
Earnings Date         04/23/02 (unconfirmed)
 




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

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

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

Cardinal Health - CAH - close: 69.27 change: +0.56 stop: 67.49

Last Friday we went long on CAH after the stock closed above 
resistance at $70.  Unfortunately, shares weren't able to 
maintain that level.  CAH followed the HMO.X health provider 
index lower Monday and closed at $68.71, below the 200-dma.  
Fortunately, the HMO.X resumed its strength today and pulled the 
stock back above the 200-dma.  Entries can be considered if the 
HMO remains above 500 and CAH trades above recent highs at 
$70.35.  Conservative traders may want to also wait for the HMO 
to break over its recent high at 510.  Buying dips could be 
tricky due to the possible resistance at $70, but another bounce 
from the 200-dma at $69 might work for the more adventurous.

Picked on March 22nd at $70.05
Gain since picked:       -0.78
Earnings Date         04/23/02 (unconfirmed)




---

Dole Food CO. - DOL - close: 30.83 change: +0.19 stop: 28.99

DOL followed the Dow Jones higher today after a small pullback on 
Monday.  Thus far we're encouraged with the way shares have 
behaved after moving back over the $30 level last week.  
Yesterday's 146-point decline on the Dow was only good for a 
$0.11 retreat in DOL.  Did we mention how we like the way the 
stock continues to move higher from support at $30?  The MACD is 
showing a nascent bullish crossover, which suggests that DOL may 
attempt to break over near-term highs at $31.46.  Shares will 
first have to move over $31, which has acted as resistance over 
the past two sessions.  Aggressive traders looking for a head-
start may want to consider an entry if the stock closes above 
$31.00, while others may want to just wait for a close above 
$31.46.  If you were looking for a low volatility play, we think 
DOL should be near the top of your list. 

Picked on March 1st at $30.94
Gain since picked:      -0.11
Earnings Date        01/31/02 (confirmed)




---

H&R Block Inc - HRB - close: 43.99 change: -0.02 stop: 42.75
 
Yesterday's triple-point decline on the Dow Jones weighed heavily 
on HRB, which pulled back to near-term support at $44.  
Fortunately the 100-dma at $43.26 has been acting as support.  
Traders who want to buy this dip can do so with relatively little 
risk by placing their stop just under the 100-dma, while we're 
giving it another 50 cents of room below that level.  The bad 
news for the bulls is that shares have failed at the 10-dma three 
times in as many days.  If attempting to buy strength, wait for a 
move over $45.05 to confirm that this trend has been broken.  
Also watch for potential overhead resistance at $46.60, where the 
50-dma is located.  There is no need to rush into a position.  
Let HRB confirm it is actually recovering before committing any 
capital.  You may want to try using a trigger point to leg you 
into a position.  

Picked on March 22nd at $45.23
Gain since picked:       -1.24
Earnings Date         05/29/02 (unconfirmed)




---

Kohls - KSS - close: 69.25 change: +0.79 stop: 66.75

Is KSS breaking down or merely consolidating?  At this point it's 
hard to tell, but Monday's failure to maintain support at $70 has 
us a bit concerned.  Shares have been weak since failing to move 
over resistance at $72 and traded to a low of $68.40 yesterday 
before finding buyers.  In all fairness to KSS, the RLX.X retail 
index has also been weak in recent sessions.  We like how KSS 
outperformed the RLX today, but would be reluctant to go long 
until KSS puts in another close over $70.  To be perfectly honest 
we expected retailers to benefit a lot more from the blowout 
consumer confidence data (110 versus the expected 97) this 
morning.  We would've been really worried if the index had 
actually traded down on the news, but fortunately it found 
support at 950.  Looking closer at the RLX, the group may need to 
pull back to its 50-dma again near 940 before it can mount 
another rally.  Hopefully, if that occurs KSS can maintain 
support near $68.  Regular readers know that we like to follow 
the point-and-figure charts and KSS was an optimistic play as the 
stock showed a bullish triangle breakout on the PnF chart a 
couple of weeks ago.  Traditionally, these types of breakouts on 
the PnF chart have a very high percentage of success.  What we 
may be witnessing is one of those uncommon occurrences where the 
pattern is thwarted by broader market weakness.  If considering 
an entry in KSS, you may want to look for the RLX to confirm 
bullishness by trading over 965 and or a bounce at 940.

Picked on March 15th at $70.50
Gain since picked:       -1.25
Earnings Date         03/05/02 (confirmed)




--- 

Oxford Health - OHP - close: 41.22 change: +0.48 stop: 39.90

As much as we'd like to see OHP hit all-time highs on a daily 
basis, nothing goes up in a straight line.  We speculated in the 
most recent update that OHP could pull back to previous $40.50-
$41.00 and that's what happened yesterday as shares declined with 
the Dow Jones to consolidate some of last week's gains.  Today 
the HMO.X health provider index traded moved back over resistance 
at 500 and OHP regained 1.17%.  The close over 500 in the index 
is a promising development for this play and traders still 
looking to go long may want to consider positions if the index 
remains strong.  Look for a move over the recent highs between 
$42.00 and $42.75, but when calculating potential risk/reward 
scenarios be aware of our initial profit target at $44.75.  Yours 
may be higher.

Picked on March 8th at $38.55
Gain since picked       +2.67
Earnings Date        02/05/02 (confirmed)




--- 

Payless Shoesource - PSS - close: 60.25 change: +0.62 stop: 58.75

Just when we were getting ready to throw in the towel on PSS, the 
stock halted its four-day skid today and tacked on 1.03%.  The 
gain isn't anything to write home about but nonetheless it was 
nice to see a close back over the $60 level.  The RLX.X retail 
index has been trending down in recent sessions but managed a 
bounce from 950 today.  Consumer confidence came in stronger than 
expected this morning and retailers traded flat on the news.  Is 
this a sign that all the good economic news is already priced 
into retail stocks?  It's hard to say, but let the RLX be your 
guide when determining sector strength.  It's very possible that 
traders may let the RLX fall to its 50-dma again near 940 before 
mounting another retail rally.  If PSS trades higher, very 
conservative traders could consider entries at current levels 
with a stop at $59.49, just under today's low (hey, only 76 cents 
or risk).  Hoewever, oscillators are still bearish.  The MACD is 
showing a bearish crossover, while the daily stochastics are just 
now beginning to hit the oversold range.  

Picked on March 15th at $61.74
Gain since picked:       -1.49
Earnings Date         02/22/02 (confirmed)






==================================================================
High Risk / High Reward (HR) section
==================================================================

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

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


Hartford Financial Svc - HIG - cls: 66.45 chg: +0.30 stop: 64.45

The dreadfully slow consolidation in shares of HIG continues this 
week, as the stock remains apparently unaffected by the market 
volatility both Monday and Tuesday.  As long as HIG remains above 
the $66 level we're probably okay.  The 50-dma is rising up to 
meet it.  In the past this has been an entry point for bulls to 
attempt new rallies for the stock.  Traders interested in scoping 
out new entry points might want to consider dips to $66.00 or 
$65.75 and conservative traders could use a tighter stop than 
ours just under the 50-dma near $65.50.  Personally, I'd like to 
see some strength in shares of HIG first and a move over the $68 
level looks like a good start.  


Picked on March 13th at $65.74
Change since picked:     +0.71
Earnings Date         01/28/02 (confirmed)
 





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

CMOS - Credence Systems - close: 20.66 change: +0.47 stop: 21.01

Things were looking good for our semi short this morning when 
CMOS spiked sharply below our trigger at $19.94.  Just as dollar 
signs and visions of easy first day gains started flashing in our 
eyes, reality reared its ugly head and shares rebounded from 
$19.64.  The stock shot back up as quickly as it had dropped, 
traded in tandem with the SOX.X for the remainder of the day, and 
finished with a 2.32% gain.  Speaking of the SOX, todays bounce 
confirmed support at 570.  A break below this level could lead to 
heavy selling in the sector.  As for CMOS, low-risk entries can 
be evaluated on failed rallies at the $21 level.  Our stop is 
just a cent above this level, but a more aggressive approach 
could yield a stop at $22, location of substantial resistance on 
the p-n-f chart.  If the stock reverses course and heads lower, 
traders could consider shorting a move below today's low at 
$19.64 if you prefer to hop on the train once it is already 
moving.

Picked on March 26th at $19.94 
Gain since picked:       -0.72
Earnings Date         02/20/02 (confirmed)




--- 

QUALCOMM - QCOM - close: 39.87 change: +0.40 stop: 42.05

The NASDAQ rebound from support at 1800 gave QCOM a boost today, 
but it wasn't enough for a close over $40.  Although the stock 
actually rallied as high as $40.95 today, it was unable to stay 
over the 50-dma.  The broader telecom sector continued its weak 
ways today with a 1% loss.  The sector weakness and inability of 
shares to stay over $40 bodes well for our play, as does the 
double-bottom sell signal on the p-n-f chart and bearish MACD.  
We think short entries can be considered from current levels, 
while more conservative traders may want to wait for a move under 
today's low of $38.58 (we said the same thing yesterday for a 
move under $39).  A NASDAQ breakdown below 1800 could also be 
used as an entry point.  Things could get very ugly for tech 
bulls if this level is abandoned by the COMPX.  Sector watches 
can keep tabs on the IXTCX, which barely bounced off support of 
170.  The MACD for the IXTCX produced a bearish crossover today.

Picked on March 25th at $39.47
Change since picked:     -0.40
Earnings Date         04/24/02 (unconfirmed)






===============
HR Closed Plays
===============

  -----------
  Closed Long
  -----------

Adelphia Comm. - ADLAC - close: 20.39 change: -0.67 stop: 22.85 

We outlined our exit strategy in the most recent update but were 
hoping to squeeze some more gains out of ADLAC before moving on.  
Shares faded the broader tech strength today and finished with a 
3.18% loss.  Not a bad way to close out this play!  The weakness 
may be attributed to nervous investors bailing out before 
tomorrow's earnings.  On the same token, we didn't want to risk 
an upside surprise and thus locked in gains at today's close of 
$20.39.  The stock didn't quite reach our profit target at $19, 
but we're certainly not going to complain about a +15% move.

Picked on March 12th at $23.99
Gain since picked:       +3.60
Earnings Date         03/27/02 (unconfirmed)






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

DB      Deutsche Bank              64.90     +0.95
OI      Owens Illinois Inc         16.25     +0.73
MDU     MDU Resources Group        30.41     +0.53
FDP     Fresh Del Monte Produce    19.10     +0.90
GLYT    Genlyte Group Inc          37.00     +1.62

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

DRRA    Dura Automotive Systems    18.50     +3.57
XICO    Xicor Inc                  10.53     +1.27
USLB    US Laboratories Inc        13.41     +1.02

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

APOL    Apollo Group Inc           51.62     +3.92
ZION    Zions Bancorp              57.44     +1.78
VVI     Viad Corp                  27.88     +1.05
MCY     Mercury General Corp       45.79     +1.14
NVR     NVR Inc                   322.25    +22.00
FMC     FMC Corp                   41.10     +2.35

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

EDS     Electronic Data Systems    57.96     -4.04
STJ     Saint Jude Medical         76.55     -1.95
NET     Network Associates         22.23     -2.77

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

ROOM    Hotel Reservations Ntwrk   60.00     -8.59
DLX     Deluxe Corp                45.25     -2.13
SWY     Safeway Inc                44.19     -0.79
DRE     Duke Realty Corp           25.89     -0.09
COX     Cox Radio Inc              28.50     -0.69


=================================================================
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Option Investor Inc is neither a registered Investment Advisor nor a Broker/Dealer. Readers are advised that all information is issued solely for informational purposes and is not to be construed as an offer to sell or the solicitation of an offer to buy, nor is it to be construed as a recommendation to buy, hold or sell (short or otherwise) any security. All opinions, analyses and information included herein are based on sources believed to be reliable and written in good faith, but no representation or warranty of any kind, expressed or implied, is made including but not limited to any representation or warranty concerning accuracy, completeness, correctness, timeliness or appropriateness. In addition, we do not necessarily update such opinions, analysis or information. Owners, employees and writers may have long or short positions in the securities that are discussed.

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