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Daily Newsletter, Wednesday, 09/17/2003

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PremierInvestor.net Newsletter                Wednesday 09-17-2003
                                                    section 1 of 2
Copyright (c) 2003, All rights reserved.
Redistribution in any form is strictly prohibited.

The entire newsletter is best viewed in COURIER 10 for alignment
=================================================================

In section one:
--------------

Market Wrap:      U.S. Markets Stall

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)

=================================================================
MARKET WRAP  (view in courier font for table alignment)
=================================================================
     09-17-2003            High     Low     Volume Advance/Decline
DJIA     9545.65 - 21.69  9594.43  9536.81 1.63 bln   1299/1507
NASDAQ   1883.10 -  4.15  1894.74  1876.24 1.88 bln   1498/1555
S&P 100   515.43 -  1.93   518.56   514.96   Totals   2797/3062
S&P 500  1025.97 -  3.35  1031.34  1024.53
RUS 2000  515.10 -  0.56   516.71   513.29
DJ TRANS 2761.20 - 12.18  2773.38  2757.84
VIX        19.62 +  0.31    20.14    19.47
VXN        31.75 +  0.09    32.51    31.17
Total Volume 3,867M
Total UpVol  1,798M
Total DnVol  1,962M
52wk Highs     648
52wk Lows       20
TRIN          1.02
PUT/CALL      0.74
=================================================================

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


U.S. Markets Stall
by James Brown

It was somewhat of a quiet day on Wall Street as U.S. stocks
generally slipped lower amid fresh earnings warnings and a frenzy
of news coverage over the beleaguered NYSE Chairman Richard
Grasso.  Investors could be merely pausing to catch their breath
after Tuesday's afternoon rally but the general mood was
cautious, especially considering profit warnings from Du Pont and
the New York Times.

The big story this evening is NYSE Chairman Dick Grasso's
resignation.  Grasso, 57, ends a 36-year career with the NYSE
after disclosure of his $140 million deferred compensation lit a
firestorm he and the NYSE board were unable to quench.  Jim
predicted that his days were numbered yesterday after pension
fund managers from California, N. Carolina and New York all
stepped forward yesterday calling for his head.

Looking at the market action today the biggest event was the lack
of follow through on yesterday's post-FOMC rally.  The DJIA
traded in a tight 80-point range and lost 21 points after a
midday decline towards the 9450 level.  The NASDAQ Composite also
traded sideways in a 20-point range, failing twice at 1895
overhead before losing 4 points to close at 1883.  Overall U.S.
equity market losses were mild with Disk Drives, Hardware, Gold
and Biotechs managing to close in the green.  Meanwhile Asian
exchanges added onto yesterday's big gains with another triple-
digit rally for the NIKKEI to 10990 and a 68-point move to 11140
for the Hang Seng.  European bourses were marginally lower.

Market internals underscored the mellow profit taking with
declining stocks outnumbering advancers 1507 to 1299 on the NYSE
and 1555 to 1498 on the NASDAQ.  Volume numbers were mixed with
up volume edging past down volume 991M to 865M on the NASDAQ but
losing 775M to 832M on the NYSE.

Chart of the DJIA:


Chart of the NASDAQ:


Profit Warnings

Putting the brakes on the rally were profit warnings from Du
Pont, New York Times and Microchip.  Last night, Microchip (MCHP)
narrowed its Q2 revenue numbers to 2%-5% growth and said earnings
would likely come in around 17 cents compared to estimates of 16-
18 cents.  While not truly a warning, investors have been selling
stocks that don't deliver on the improving outlook their share
prices are based on.  Shares of MCHP lost 3.3 percent, the second
worst performer in the NASDAQ-100 behind Cintas (CTAS), -3.6
percent, who happens to be announcing earnings tomorrow morning
before the bell.  The New York Times (NYT) lost 3.7 percent and
closed below support at $43 after warning Q3 earnings would be
less than estimates blaming a weak advertising market.  Those not
familiar with the NYT may remember the disgrace over its reporter
Jayson Blair, who was ousted for his plagiarism and fictional
sources.  Probably the most notable warning today was Du Pont's
(DD).  This Dow component lost 3.4 percent after stating that
2003 earnings would be at the low end of previous forecasts.  The
chemical conglomerate said business had not picked up yet but was
hopeful about current signals pointing to a recovery in the
fourth quarter.

Tobacco on Fire

Shares of tobacco stocks were hot today with both RJR and MO up
double-digit percentage moves.  Shares of Altria Group,
previously known as Phillip Morris (MO), closed up 10.3% and
helped prevent the DJIA's losses from being a lot worse than they
could have been.  MO gapped higher after the Illinois Surpreme
Court decreased a bond set by a lower court from $12 billion to
$6 billion.  It's a tangled story but MO lost a fight over its
"light" cigarettes marketing and a Madison County court levied a
$10.1 billion judgment.  The judge first told MO that it would
have to post a $12 billion bond before it could appeal the
judgment, a feat that would likely force MO into bankruptcy.
Then after much negotiation the judge lowered the bond to just $6
billion.  A higher court said this judge overstepped his bounds
by lowered the bond amount and reset it to $12 billion.  Thus,
the Illinois Supreme Court decision was crucial for Altria Group
and essentially gave it a new lease on life sans bankruptcy
protection.  Meanwhile rival tobacco company R.J.Reynolds (RJR)
made big news after announcing it would cut 40 percent of its
workforce, some 2600 jobs, to reduce $1 billion in expenses by
the end of 2005.  RJR also said it would refocus its marketing
efforts on two of its four major brands, Camel and Salem, while
taking a $340 million charge for the reduction efforts.  The
stock gapped up at the open and close higher by 13.6% above its
simple 200-dma and its best close in over six months.

Tomorrow

Investors will have another round of economic reports to digest
on Thursday with the weekly unemployment claims and the leading
economic indicators.  Economists are hoping for a decline in
jobless claims from 422,000 to just 410,000.  These reports tend
to take on more and more meaning as Wall Street and Washington
become painfully aware of the weakening labor market.  Traders
will also have to deal with potential volatility ahead of
Friday's triple-witching option expiration.  Also worth noting
are a few earnings reports.  Reporting tomorrow is 3Com, Bear
Stearns, Nike, and Jabil Circuit.  You may also want to keep an
eye on your AOL stock.  The AOL Time Warner board meets tomorrow
and many on the street expect them to vote off its "AOL" prefix
and revert its stock symbol back TWX.

Watch those stop losses.


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

COF     Capital One Financial Cp   60.85     +0.85
STX     Seagate Tech Hldgs         25.51     +0.56
CFC     Countrywide Financial      75.19     +2.82
LTR     Loews Corp                 42.48     +1.36
OHP     Oxford Health Plans Inc    38.60     +0.82


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

WDC     Western Digital Corp       12.50     +1.02
AGIX    Artherogenics Inc          18.20     +2.35
SERO    Serologicals Corp          14.49     +1.12
ROXI    Roxio Inc                  10.46     +2.09


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

MO      Alteria Group Inc          44.65     +4.19
CG     Carolina Group              23.76     +1.27
FAST    Fasternal Company          43.45     +1.22
RJR     Reynolds Tobbaco Co        38.86     +4.67
ANF     Abercrombie & Fitch Co     30.49     +1.10


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

DD      Duponte E I Nemours & Co   42.47     -1.50
CEO     Cnooc Ltd (ADR)            33.71     -1.60
NYT     New York Times             42.87     -1.65
SNN     Smith & Nephew Plc (ADS)   64.70     -1.18
FDS     Factset Research Systems   46.98     -3.22
KROL    Kroll Inc                  21.80     -3.21


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

PCZ     Petro-Canada               39.84     -0.33
DTE     DTE Energy Co              36.08     -0.82
TMK     Torchmark Corp             41.41     -0.48
KMR     Kinder Morgan Mgmt Llc     37.60     -0.49



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Do not duplicate or redistribute in any form
PremierInvestor.net Newsletter                Wednesday 09-17-2003
                                                    section 2 of 2
Copyright ) 2003, All rights reserved.
Redistribution in any form is strictly prohibited.

The entire newsletter is best viewed in COURIER 10 for alignment
=================================================================

Tech Stocks
  New Bullish Plays:     ADBE
  Bullish Play Updates:  FDC, RSAS
  Closed Bearish Plays:  SNPS

Active Trader (Non-tech)
  New Bullish Plays:     ZMH
  Bullish Play Updates:  PNRA, GOLD, WPI, TARO

High Risk/Reward
  New Bullish Plays:     GLW
  Bullish Play Updates:  ORB, QCOM, TER
  Closed Bullish Plays:  INSP
  Closed Bearish Plays:  EASI, NIHD

Stock Splits/Announcements
  Stock Splits:          PCBK, MPR, MNRO


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

=========
NEW PLAYS
=========

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


Adobe Systems - ADBE - close: 40.47 change: +0.65 stop: 37.75

Company Description:
A long-time leader in desktop publishing software, ADBE provides
graphic design, publishing, and imaging software for Web and
print production.  Offering a line of application software
products for creating, distributing, and managing information of
all types, the company generates nearly 75% of sales through
publishing software products such as Photoshop, Illustrator, and
PageMaker.  Its Acrobat Reader, which uses portable document
format (PDF) is popping up all over the Internet, as businesses
shift from print to digital communications.  In addition, ADBE
licenses its industry standard technologies to major hardware
manufacturers, software developers, and service providers, as
well as offering integrated software solutions to businesses of
all sizes.

Why we like it:
After rebounding back to critical resistance near $40 ahead of
its most recent earnings report, shares of ADBE sold off pretty
hard on September 10th, as investors were clearly concerned about
being caught long in the face of bad news.  The price plunged all
the way back near the $36 level as profit taking took on a fever
pitch heading into the close.  All that panic was for naught
though, as the company beat estimates by 3 cents and raised
guidance for Q4 above consensus.  The next morning, ADBE gapped
up to $39 and traded over $40 before settling in near $39.50.
Over the past several sessions, the stock has been working its
way higher in a steady pattern of higher highs and higher lows.
Today the stock broke out above $40 again and held its gains into
the close, ending at a fresh 15-month high on volume about 30%
over the ADV.  This looks like a solid breakout with room to run,
an opinion that is borne out by the PnF chart, which is on a
Fresh Buy signal that gives a tentative bullish price target of
$57.

We aren't likely to see such a lofty target in the near-term, but
ADBE definitely looks like it could move into the high $40s.
There's some mild resistance near $42-43, at the site of the May
2002 highs, but once above $43.40, the stock ought to seek out
next resistance in the $47-48 area.  Price is currently pressing
against the upper Bollinger band, so a mild pullback is certainly
possible.  Look to enter the play either on a dip and rebound
from the $39.50-40.00 area or on a breakout over $40.70, just
over today's intraday high.  ADBE should have strong support in
the $38.50-39.00 area, as $39 is the top of the post-earnings
gap, which is backed up by both the 10-dma ($38.83) and the 20-
dma ($38.57).  We'll initially place our stop at $37.75, as a
break below $38 would be a clearly ominous sign for the bulls.

Annotated Chart of ADBE:


Picked on September 17th at  $40.47
Change since picked           +0.00
Earnings Date              12/10/03 (unconfirmed)
Average Daily Volume =     3.48 mln


============
PLAY UPDATES
============

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


First Data Corp. - FDC - close: 41.08 change: -0.25 stop: 39.50

While it has certainly been frustrating to watch shares of FDC
chop along between $40-42 for the past 2 weeks, it has been
encouraging to see the stock avoid most of the weakness of the
rest of the market.  For 4 days, the bears beat on support just
above $40, but it wouldn't crack.  And now it looks like the
bulls are taking another run at resistance just below $42.
Traders looking for a pullback entry certainly got ample
opportunity over the past week and now with the upper Bollinger
band expanding upwards, it looks like there is room to the upside
for those interested in a breakout entry.  If that's your style,
then look for a break above $41.80 as the trigger and target a
move to the $44-45 area.  We'll maintain our stop at $39.50 until
FDC manages to close over $42.

Picked on September 3rd at  $41.01
Change since picked          +0.07
Earnings Date             10/14/03 (unconfirmed)
Average Daily Volume =    4.65 mln



---

RSA Security - RSAS - close: 14.81 change: -0.30 stop: 13.50

Wasting no time, the bulls charged forward on Monday, propelling
RSAS through the $14 barrier on a gap open move.  There wasn't
enough enthusiasm to hold the early highs (right at the top of
the ascending channel) and the stock pulled back to close right
at that $14 level.  That action provided for the momentum entries
on the initial breakout and Tuesday's open gave the dip buyers
their shot, as the bought the dip near $14 and quickly propelled
RSAS through Monday's highs.  In fact, the charge didn't slow
until price had topped the $15 level and RSAS closed above the
top of its channel for the first time since last November.  After
yesterday's strong ramp, a bit of profit taking was due, and
that's what we saw today, with the stock drifting down and coming
to rest right at the top of the channel.  A rebound from here
could provide for aggressive entries enroute to the $16-17 area.
Of course we can't rule out one more retracement to confirm
support above $14, so we'll maintain our stop at $13.50, which is
below both the bottom of Monday's gap ($13.65) and the 10-dma
($13.72).

Picked on September 10th at  $13.65
Change since picked           +1.16
Earnings Date              10/16/03 (unconfirmed)
Average Daily Volume =        607 K




============
CLOSED PLAYS
============

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

Synopsis, Inc. - SNPS - close: 67.29 change: +0.39 stop: 68.05

Last Friday's rebound from the early selloff turned out to be a
warning of what was to come, although it didn't materialize
immediately.  Monday's attempted rebound was knocked right back
below the 50-dma, but yesterday the bulls gained some serious
traction, propelling shares of SNPS right into the $66-67 area,
where we thought an entry point might be found.  But the close at
the high yesterday certainly didn't look encouraging.  Our play's
fate was sealed this morning, as the stock soared over $68 at the
open, triggering our stop.  Despite the close back near $67, we
still feel better about closing out this play here, rather than
hoping for a drop back under $64.  If holding open positions, use
any weakness on Thursday to navigate a more favorable exit from
the play.

Picked on September 10th at  $64.13
Change since picked           +3.16
Earnings Date              11/19/03 (unconfirmed)
Average Daily Volume =     1.27 mln





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

=========
NEW PLAYS
=========

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

Zimmer Holdings - ZMH - close: 53.87 change: +1.20 - stop: 51.49

Company Description:
Zimmer, based in Warsaw, Indiana, is a worldwide leader in the
design, development, manufacture and marketing of reconstructive
orthopaedic implants and trauma products. Orthopaedic
reconstruction implants restore joint function lost due to
disease or trauma in joints such as knees, hips, shoulders and
elbows. Trauma products are devices used primarily to reattach or
stabilize damaged bone and tissue to support the body's natural
healing process. Zimmer manufactures and markets other products
related to orthopaedic surgery. For the year 2002, the Company
recorded worldwide revenues of $1.37 billion. Zimmer was founded
in 1927 and has more than 3,600 employees worldwide. (Source:
Company Press Release.)

Why We Like It:
Zimmer Holdings has been battling Smith & Nephew for Swiss
orthopedics company Centerpulse, but it looks as if ZMH won out,
with the deal likely to close October 2.  Since ZMH announced its
intentions, several analysts have upgraded the firm to a buy.
Investors seem to have liked the deal, too, with ZMH climbing
higher within its ascending channel during negotiations.

ZMH currently trades near the $54.00 all-time high achieved
earlier this month.  It found support Wednesday from the midline
of its rising channel and sprang back above the 10-dma.  Volume
was only average, so look for an expansion of volume as the
$54.00 trigger is hit.  We're going to keep tight reins on this
play, as many of those analysts had $58-60 targets for ZMH.
That's what we're targeting, too, but some firms might downgrade
on valuation as ZMH approaches those levels.

Currently, the play looks sound.  Not only did ZMH gain, but SYK
and PDCO, other medical device makers, also gained.

Annotated Chart for ZMH:


Picked on Sep 17 at   53.87
Change since picked:  +0.00
Earnings Date:    07/23/03 (confirmed)
Average Daily Volume:  2.2 million




============
PLAY UPDATES
============

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

Panera Bread - PNRA - close: 46.21 change: -1.47 - stop: 44.65

Wednesday, Raymond James sliced PNRA's rating, downgrading it to
an outperform rating from a strong buy.  The firm cited PNRA's
price, near the firm's $50.00 target.  PNRA also presented at the
Banc of America San Francisco Investment Conference on Wednesday,
and the stock's decline perhaps had a bit of a sell-the-event
flavor.  Although the decline took PNRA below its 10-dma, the
candle was a spinning top that indicated indecision, with the
price holding up well after the downgrade.  Since that candle was
produced as PNRA declined, market participants appeared undecided
about driving it lower.  That's comforting for our bullish play.

PNRA also remained above its 21-dma and above recent support near
our stop.  Although the stochastics and MACD threaten to roll
over, neither has done so yet.  RSI does hint at bearish
divergence, and also has produced a RSI H&S.  Watch the neckline
of that RSI H&S for signs that PNRA may be headed toward steeper
declines, perhaps down to the 21-dma.  MACD also shows possible
bearish divergence.

New entries could still be sought on a bounce anywhere above
$45.00, but first check that RSI H&S neckline.  If RSI has
punched through it and has not yet turned back up, it might be
best to pass up the entry.

Annotated Chart for PNRA:


Picked on Sep 14 at  46.80
Change since picked: -0.59
Earnings Date:    08/07/03 (confirmed)
Average Daily Volume:  497 thousand



----

Randgold - GOLD - close: 25.11 change: +0.67 - stop: 22.99

Monday, overall weakness in the market proved catching, with
gold, the gold bugs index HUI, and GOLD all closing lower.  By
Wednesday, all three closed higher.  GOLD climbed back above its
long-term resistance line and may be breaking through shorter-
term resistance, too.

Volume proved heavier on Wednesday's climb than it had been
during recent consolidation.  RSI and stochastics turned back up,
although MACD has yet to do so.  Those seeking new entries could
enter on a push above the August 29 high of $25.59.

Annotated Chart for GOLD:


Picked on Aug 24 at $23.40
Change since picked: +1.71
Earnings Date:    08/12/03 (confirmed)
Average Daily Volume:  360 thousand



----

Watson Pharma. - WPI - cls: 45.00 chng: +0.53 - stop: 43.50*new*

The WPI news department and executives have been as busy this
week as they were last week.  The company announced final FDA
approval for the generic equivalent of Bristol-Myers Squibb's
Serzone (R) in 100 mg, 150 mg, 200 mg, and 250 mg strengths.  WPI
will launch its equivalent in 2003.  In addition, WPI execs will
present at the Banc of America Securities Conference on Thursday
at 3:00 PDT.

WPI ramped up into that conference on Wednesday, but there's
sometimes a tendency to sell the event, and play participants
should be on guard for that possibility.  We're raising our stop
to $43.50, just below the 10-dma at $43.61.

So far, however, there's no hint of weakness or a sell-the-event
reaction.  Indicators remain bullish.  We wish volume had been
stronger on the climb, however.  With possible volatility
surrounding that conference presentation, we would not suggest
new entries at this time.

Annotated Chart for WPI:


Picked on Aug 27 at  40.74
Change since picked: +4.26
Earnings Date:    08/05/03 (confirmed)
Average Daily Volume:  1.1 million



---

Taro Pharm. - TARO - close: 57.66 change: +0.38 stop: 55.60*new*

Continuing to march higher, it is hard to find anything about our
TARO play that we don't like, except for the fact that volume
continues to be on the light side.  The pattern of higher lows
got another installment on Wednesday, before TARO crept up to
post another 2-month closing high over the $57.50 level.
Considering that our target on the play was for a move into the
$59-60 area, it is hard to justify new entries at this point, and
it seems more prudent to be thinking about exit strategy.  With
only $2.35 to the top of our target range, we need to tighten our
stop to keep the risk-reward ratio roughly 1:1 from here.  That
means a stop no more than $2.35 below the current price.  Seeing
as the intraday lows from Monday and Tuesday fell at $55.62 and
$55.64, placing our stop just below that level makes technical
sense.  Raise stops to $55.60.  On a rally into the $59-60 area,
conservative traders should simply harvest profits into strength.

Picked on September 10th at  $54.65
Change since picked           +3.01
Earnings Date              10/23/03 (unconfirmed)
Average Daily Volume =        397 K






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

=========
NEW PLAYS
=========

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


Corning, Inc. - GLW - cls: 9.35  chng: +0.11 - stop: 8.49

Company Description:
Corning Incorporated is a global, diverse technology company that
has been changing the world through research and technological
innovation for more than 150 years. By integrating scientific
discovery with market need, the company has developed leading
positions in the telecommunications, information display, and
advanced materials industries. The company is an industry leading
manufacturer and supplier of optical fiber, cable systems and
photonic components, for the telecommunications industry; and
high-performance flat glass for television, information display
and other communications industries. The company also develops
advanced materials for scientific, semiconductor, environmental
and ophthalmic markets. With more than 70 manufacturing
locations, Corning employs approximately 22,000 employees
worldwide. Its diverse portfolio of businesses is aligned under
two major business sectors: Corning Optical Communications and
Corning Technologies. Revenues for 2002 were $3.2 billion.
(Source:  Company Website.)

Why We Like It:
We've been watching GLW for a while, noting the way it's been
trading up within an ascending regression channel.  Wednesday,
GLW found support at the midline of that regression channel and
moved up, achieving a new 52-week high as it did so.  We think
GLW might be headed up toward the top of that channel again, and
maybe up toward previous $11.60 resistance.  The higher volume
over the last two days supports that view.

The indicators have turned back up in a bullish fashion, too.  We
expect some hesitation as GLW approaches round-number resistance
near $10.00, but a study of the weekly chart revealed that GLW
has already bypassed the strongest resistance.  We're setting the
$8.49 stop just under the rising 21-dma and setting a target of
$11.50.

What's been happening to drive GLW higher?  The XTC, the North
American Telecoms Index, has also been performing well, although
it has not yet moved above its July high, but many developments
appear specific to GLW.  After its July earnings, several firms
upgraded GLW to a buy or initiated coverage with a buy rating.
More recently, GLW announced on Monday that it had sold a large
percentage of its venture capital arm to Scrimitar Capital
Partners, a Saudi Arabia-based company.

We suggest entries at the current level or on a pullback and
bounce anywhere above $8.60.  We're not sure GLW investors are in
the mood to give anyone those pullback entries, however.

Annotated Chart for GLW:


Picked on Sep 17 at   $9.35
Change since picked:  +0.00
Earnings Date:    07/21/03 (confirmed)
Average Daily Volume:  6.8 million





============
PLAY UPDATES
============

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

Orbital Sciences - ORB - cls: 9.41  chng: +0.00 - stop: 8.84*new*

The DFI, the Amex Defense Index, lost 0.49 percent Wednesday,
dragging down many defense-related issues.  While ORB closed
flat, its pattern was different.  It produced a small-bodied
white candle that rose from the day's opening.  We noticed, too,
that volume was strong as ORB climbed off its lows, with a high-
volume spike at the end of the day.

ORB appears to be consolidating as it usually does before
climbing inside its ascending channel.  Near the end of its
consolidation, ORB often dips for a couple of days, and that may
happen this time, too.  ORB usually finds support on those dips
at either its 21-dma, shown in blue on the chart, or its 30-dma,
not shown.  We've placed our new stop at $8.84, just below the
30-dma.  Those seeking a new entry could enter on a bounce from
anywhere above $9.00.

Annotated Chart for ORB:


Picked on Sep 3 at   $9.18
Change since picked: +0.23
Earnings Date:    07/22/03 (confirmed)
Average Daily Volume:  347 thousand



----

Qualcomm - QCOM - close: 44.24 change: -0.65 - stop: 41.95

Monday, Morgan Stanley analyst Mark Edelstone issued a statement
on the chip sectors, and also continued his recommendation of
QCOM as one of his "global best ideas."  The stock gained 1.47
percent.  Tuesday, QCOM muddied the outlook with a statement
deemed "mixed" by commentators.  Q4 and FY04 results should be at
the high end of the range the company set in July, but some
analysts were already expecting QCOM to report at the high end of
the range.  Sales of 23 million new subscriber units in the CDMA
product will be slightly below the previously estimated 25
million units, but the average reported price increased.  The
company expects shipments of MSM phone chips to come in at the
middle of the previously forecast number, but expects an increase
in the shipments in the coming quarter.

Commentators might have called the outlook mixed, but investors
didn't react that way, sending the stock above $44.00 on strong
volume.  Wednesday, the stock paused, drifting down but holding
above the 50 percent retracement of Tuesday's big gains.  Volume
proved lighter on Wednesday's pullback than on earlier gains.
Perhaps the profit-taking mood was eased by a William Blair
upgrade of QCOM to an outperform rating from a previous market
perform rating.

New entries can be found on a bounce from anywhere above $43.00.
Perhaps confirm strength in the XTC, the North American Telecoms
Index.

Annotated Chart for QCOM:


Picked on Aug 27 at  41.00
Change since picked: +3.24
Earnings Date:    07/23/03 (confirmed)
Average Daily Volume: 	10 million



---

Teradyne Inc. - TER - close: 21.36 change: +0.13 stop: 19.95*new*

TER has been performing quite nicely over the past week,
culminating with yesterday's breakout to a new 52-week closing
high at $21.23.  Wednesday's session certainly started out on a
positive note, with the stock surging as high as $21.85 as the
SOX once again probed above the $460 level.  But the bulls
couldn't maintain momentum and both the SOX and TER fell back at
the end of the day.  TER still managed to close in the green,
with a 0.6% gain and is looking strong.  That said, we want to
protect against the possibility of a sharp round of selling, so
we're raising our stop to $19.95 tonight, which is below both the
10-dma ($20.43) and the intraday lows from earlier in the week.
Aggressive traders can consider new entries on a successful
rebound from the 10-dma on an intraday pullback, looking for next
resistance in the $22.50-23.00 area.  We're still looking for an
ultimate upside target of $25, which could be achieved rather
quickly if the SOX actually manages to finally break free of
resistance in the $460-470 area..

Picked on September 3rd at  $20.11
Change since picked          +1.25
Earnings Date             10/14/03 (unconfirmed)
Average Daily Volume =    2.81 mln




============
CLOSED PLAYS
============

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

InfoSpace.com - INSP - cls: 20.20 chng: -0.02 - stop: 18.50

Are we crazy?  Why are we closing a play that's performing so
well, just after the stock has moved above the critical $20.00
level?  The answer lies in the shape of INSP's daily candle, with
its long upper shadow and small body identifying it as a possible
reversal signal.  INSP has been charging up the chart rather
quickly, without pausing to pull back.  We think it's time for
that pullback.  Wednesday's daily candle may be signaling that
it's time for that pullback.

Of course, INSP has signaled potential pullbacks several times
during the course of its rally from August lows, so it's possible
that it will continue to charge up the chart.  We notice that
while the YIH, the Internet Infrastructure HOLDRS Index, and the
XIS, the Industry Standard 100 Internet Index, also produced
candles that can signal a reversal, they did so from within a
consolidation zone, which negates some of the bearishness of
their signals.  INSP's chart also sports a still-bullish MACD.
However, we've met our original first target, and think that
Wednesday's candle may be signaling that it's time for us to
collect the 17.5 percent profit collected since this play was
initiated.

For those who elect to stay in the play or even add new positions
on a breakout, confirm that volume continues to expand with the
breakouts.  Consider raising your stop just below the 10-dma at
$18.94.

Picked on Sep 7 at  $17.19
Change since picked: +3.01
Earnings Date:    07/30/03 (confirmed)
Average Daily Volume:  347 thousand




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

Engineered Sup. Sys. - EASI - cls: 60.96 chng: +0.78 - stp: 63.59

After TAMSCO, a wholly owned EASI subsidiary, announced on
Tuesday that it had received a $.16 million six-month task order
to sustain the technical documentation needed by the Air Force's
C-130 aircraft fleet, EASI began gaining.  Wednesday, it popped
above the 10-dma and above a 50 percent retracement of the recent
decline.  Although the volume was less than half the average
daily volume, as would be typical of a bear-flag climb, RSI and
stochastics both attempt to turn up again.  This isn't acting
like the typical bear flag climb, and we think it's best to close
the play.

There's still a chance that EASI will roll beneath the previous
high, creating a lower high and confirming the bearishness that
the previous decline had hinted was possible.  There's still
little support beneath EASI and a drop beneath the 9/11 low could
get things started to the downside again.  In the rampant
bullishness that's taken over the markets lately, however, it
seems judicious to close underperforming bearish plays early.

Picked on Sep 10 at  $58.82
Change since picked:  +2.35
Earnings Date:    08/26/03 (confirmed)
Average Daily Volume:  228 thousand



----

NII Holdings - NIHD - cls: 60.05 change: +0.44 - stop: 64.25

While it's possible that this bearish play will go on to perform
admirably, we've elected to close it after noticing some
tentative bullish signs.  After dropping steeply, NIHD
consolidates, but we've been watching the indicators as it does
so, and they're showing disturbing early bullish tendencies.  RSI
has turned up and the stochastics and MACD both show a tendency
to flatten after their own steep falls.  In the current bullish
climate, it seems prudent to pay attention to those potential
bullish signs, early and tentative as they are.

We also balance these observations with the notation that both
the 10-dma and 21-dma's now cluster just overhead, and that
NIHD's tentative rise on Wednesday did not even test these
averages, now crossing between $61.11 and $61.62.  Traders who
elect to stay in the play might set a stop just above those
clustered MA's.

Picked on Sep 10 at  $60.69
Change since picked:  -0.65
Earnings Date:    07/30/03 (confirmed)
Average Daily Volume:  183 thousand





==================================================================
STOCK SPLITS/ANNOUNCEMENTS
==================================================================


PCBK banks on a 4-for-3 stock split

During today's session, Pacific Continental Corporation's
(NASDAQ:PCBK) Board of Directors declared a 4-for-3 stock split of
its common shares.

The payable date on the stock split is October 15th, 2003 to
shareholders on record September 30th.  Partial shares will be
paid in cash based on the September 30th closing price.  After the
split the company will have approximately 6.7 million shares.

This is PCBK's first stock split since 2001 and has declared five stock splits since 1992.

About the company:
Pacific Continental Bank is the operating subsidiary of Pacific
Continental Corporation. The bank delivers its highly personalized
services through eleven banking offices in western Oregon
including Eugene and Portland, the state's two largest markets.
Pacific Continental targets the deposit and lending needs of
community-based businesses, professional service groups and not-
for-profit organizations. The Better Business Bureau of Oregon and
Southwest Washington named Pacific Continental its "Business of
the Year" during 2002. Pacific Continental Bank continues to
receive recognition for its corporate culture and work
environment. Oregon Business magazine's annual survey ranked
Pacific Continental as the top rated bank to work for and Families
in Good Company awarded the bank with its Quality Seal Award for
employee flexibility in the workplace. More information on Pacific
Continental and its services including online and electronic
banking can be found at www.therightbank.com.
(Source: Company Press Release)

---

MPR declares a 4-for-3 stock split and dividend increase

Before today's opening bell, Met-Pro Corporation's (NYSE:MPR)
Board of Directors declared a 4-for-3 stock split of its common
shares.

In addition to the stock split MPR's Board of Directors has
announced a 7.4% cash dividend increase.

The payable date on the stock split is October 15th, 2003 to
shareholders on record October 1st.  The quarterly dividend
increase is payable December 10th, 2003, to shareholders on record
November 28th.

This is MPR's first stock split since 1996.

About the company:
Met-Pro Corporation, Harleysville, Pennsylvania, manufactures and
sells product recovery and pollution control equipment for
purification of air and liquids and fluid handling equipment for
corrosive, abrasive and high temperature liquids. With ten
divisions and five subsidiaries, the company, established in 1966,
provides products to residential, commercial, industrial and
municipal markets that include, but are not limited to,
pharmaceuticals, chemicals, petrochemicals, water and aquariums.
For more information, please visit www.met-pro.com.
(Source: Company Press Release)

---

MNRO services shareholders with a 3-for-2 stock split

Before today's opening bell, Monro Muffler Brake Inc's
(NASDAQ:MNRO) Board of Directors declared a 3-for-2 stock split of
its common shares.

The payable date on the stock split is October 31st, 2003 to
shareholders on record October 21st.

This is MNRO's first stock split since their 21-for-20 split in
98.

About the company:
Monro Muffler Brake operates a chain of stores providing
automotive undercar repair and tire services in the United States,
operating under the brand names of Monro Muffler Brake and
Service, Speedy Auto Service by Monro, Kimmel Tires - Auto Service
and Tread Quarters Discount Tires. The Company currently operates
562 stores and has 18 dealer locations in New York, Pennsylvania,
Ohio, Connecticut, Massachusetts, West Virginia, Virginia,
Maryland, Vermont, New Hampshire, New Jersey, North Carolina,
South Carolina, Indiana, Rhode Island, Delaware and Michigan.
Monro's stores provide a full range of services for exhaust
systems, brake systems, steering and suspension systems, tires and
many vehicle maintenance services. (Source:
Company Press Release)




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