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Daily Newsletter, Sunday, 02/29/2004

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PremierInvestor.net Newsletter          Weekend Edition 02-29-2004
                                                    section 1 of 3
Copyright (c) 2004, 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:       Battle Lines Drawn
Market Sentiment:  Is it over yet?
Watch List:        DST, HOT, UPL, IFLO

=================================================================
MARKET WRAP  (view in courier font for table alignment)
=================================================================
       WE 02-27        WE 02-20        WE 02-13        WE 02-06
DOW    10583.92 - 35.11 10619.0 -  8.82 10627.8 + 34.82 +104.96
Nasdaq  2029.82 -  8.11 2037.93 - 15.63 2053.56 - 10.45 -  2.14
S&P-100  564.54 -  0.33  564.87 -  1.05  565.92 -  0.14 +  5.75
S&P-500 1144.95 +  0.84 1144.11 -  1.70 1145.81 +  3.05 + 11.63
W5000  11172.92 + 29.34 11143.6 - 30.42 11174.0 + 44.60 +100.20
RUT      585.56 +  5.67  579.89 -  5.25  585.14 +  1.07 +  3.31
SOX      502.26 -  7.99  510.25 -  0.80  511.05 -  8.30 +  5.43
TRAN    2902.19 + 10.01 2892.18 - 24.38 2916.56 + 22.20 +  8.40
VIX       14.57 -  1.47   16.04 +  0.46   15.58 -  0.41 -  0.64
VXO       14.76 -  1.49   16.25 +  0.62   15.63 -  0.35 -  1.07
VXN       22.87 -  1.25   24.12 -  0.02   24.14 -  0.49 -  0.43
TRIN       1.26            1.29            1.19            0.62
Put/Call   0.73            0.86            0.76            0.62
WE = week ending
=================================================================

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

Battle Lines Drawn
by Jim Brown

The Dow changed sides from offense to defense several times on
Friday with several strong moves in each direction but the end
result was a +3 point gain and a close at almost exactly the
same level that it started the week. The battle line continues
to be 10600 and the Dow crossed that line six times on Friday.
The Nasdaq rallied to 2045 before failing just below the 50ma
resistance at 2050 and closed near the top of the weekly range.
These indexes are fighting a perfect consolidation battle and
the battle lines did not change all week.

Dow Charts - Daily


Wilshire-5000 Chart - Daily


Nasdaq Chart - Converging Support/Resistance



Friday was a busy day for economic reports and it was a grand
slam for the bulls. The GDP revision led the day off with a
upward revision instead of a reduction in the Q4 estimates.
The Q4 GDP estimate rose to +4.1% and well over the +3.6%
estimates. This was a very positive revision with exports
up +21% and business investment up +9.6%. Inventories rose
for the first time in three quarters with a $14.9B gain. The
inflation pressures appeared to have eased with the PCE Price
Index up only +0.7% while the purchase price index rose at a
+1.1% rate. This was a strong revision for the GDP and it
caught everyone by surprise.

Also beating consensus estimates was the Chicago PMI at 63.6.
This was down slightly from January's 65.9 which was a nine
year high. An easing of the index had been expected from that
high. The component with the biggest surprise was the jobs
numbers with employment rising to 54.8 and the highest level
in five years. This was also the first time over 50 since
August 2003. Inventories rose to 46.5 from 37.4. All the
other components eased only slightly off the January highs.
Again, this was also a very strong report and a confirmation
of the recovery in progress.

The NY-NAPM broke out to a new high at 267.2. This is the
highest level since Sept-2001 and has now posted gains for
six consecutive months. The business conditions index has
jumped +17.6% since November and suggests business is
booming in the New York area. The financial services sector
in NY reported bonuses were +20% higher than the prior year
and the state comptroller said they were going to receive
an extra $57 million in taxes from these bonuses that they
had not expected. A little bull market never hurt anybody.

Rounding out the economic menu for Friday was the revised
Consumer Sentiment, which rose slightly from the advance
level. The sentiment rose to 94.4 and over consensus
estimates of 94.0 but this was down significantly from the
January number at 103.8. Traders were relieved it was
revised up instead of down given the fall in the various
other sentiment/confidence indicators over the last two
weeks. The preliminary February reading was only 93.1 so
the gain was appreciated.

The Dow displayed multiple personalities on Friday with a
sprint out of the gate to 10650 and a +60 point gain. This
lasted about 90 minutes before a serious sell program sent
the index to the lows of the day at 10563. This nearly
-90 point drop from the highs took less than 30 min and
left everyone in a state of uneasiness. After about an
hour at the lows the bargain hunters bought the dip and
took us back to 10633 for a +70 point rebound. Unfortunately
the gains did not hold and an end of day bout of profit
taking knocked it back under 10600 to end the day with only
a +3 point gain. Four major moves and a 90 point range and
we ended with only a +3 point gain. This is typical
consolidation type activity and it is more prevalent toward
the end of the consolidation period. This shows the sellers
are still lurking overhead but the buyers are becoming
stronger to be able to test the upper boundary of the
range.

The 50ma moved up to 10513 and remains the first level of
real support. Initial horizontal support is currently 10575
and 10550. These are very narrow ranges and they are rising
slowly. Nothing here rules out another retest of the lower
support but despite the flat close the overall bullishness
is increasing. If you look at the difference in the Wilshire
chart and the Dow chart at the top of this article you will
see a definite uptick in the Wilshire that is not seen in
the Dow. This is purely the impact of UTX, BA, MMM and GE
for the week that gave the impression of more market
weakness than really existed. Compare the charts, you will
be surprised.

The Nasdaq rallied back to the highs of the week at 2045
on the opening bounce and fought valiantly to hold its
gains. Unfortunately the morning sell program was tech
weighted and the damage was severe. The Nasdaq was knocked
for a -25 point intraday loss and back to 2018 before the
recovery began. The Nasdaq struggled back to close -3
for the day but remained at the high end of the weekly
range. This was the sixth week of losses for the Nasdaq
but I am betting the string ends here. We have seen four
straight days of uptrend on this index and we are starting
to see articles on positive April earnings expectations.
Nasdaq 2000 remains strong support and the 100ma has risen
to 1991. This makes the 1990-2000 level even more formidable
as support. The Nasdaq chart today was very exciting to
annotate. (You can tell I have no life) The converging
support and resistance lines are predicting an explosive
move very soon.

The strongest index for the day actually started off as
the weaker index. The Russell lagged the big cap indexes
until after the morning sell off then led the charge back
from the depths. The Russell closed up +1.70 at 585 and
at the high for the week. This is a very strong showing
especially when the SOX lost -7.58 (-1.48%). This is major
divergence and the Russell close at 585 is only a little
more than -10 points from the February highs. The Russell
is well over its 50ma and now over the 10ma which had been
near term resistance. Were it not for the SOX I would
advocate buying the Russell at the open on Monday.

Russell-2000 Chart - Daily



The SOX was the weakest index on Friday and contrary to
the other indexes it closed near its lows. This is very
disconcerting to me and I could not really find any
specific reason. Considering the SOX was up nearly +5%
from its Monday's lows it could have been simply profit
taking. Next Thursday Intel will provide its mid quarter
update and expectations are for some improved guidance
based on comments from Intel execs over the last couple
weeks. This makes it even more puzzling why the chip
stocks should sell off on Friday. Intel is expected to
affirm its higher capex spending and that should help
the chip equipment makers. Also, considering Monday and
Tuesday are normally bullish from month end cash inflows
there could be even more reason to buy Friday's dip. I
am still unconvinced and will want to see upward motion
before taking the positions.

SOX Index Chart - Daily



Helping techs on Friday was news from IDC that SUNW was
seeing gains in its sector and had seen +21% server
growth from the previous year. According to IDC SUNW
gained +15.5% in units and +3.1% in market share.
Marvel announced a profit in the 4Q compared to a prior
loss and announced a 2:1 split. The stock gained +7%
for the day. Oracle continued to fall as comments about
suing the Justice Dept on the PSFT acquisition continued
to surface. They also extended the tender offer period
in light of the Justice delay. Come on Larry, rein in
that ego and go sailing or something. The lawyers don't
need your money. Rounding out the stock news Autodesk
jumped +11% on much stronger than expected earnings and
raised guidance. ADSK jumped nearly +3 to $29.

UTX finally posted a winning day with a +2.23 gain after
a week of heavy losses. UTX used the 100ma at 89.25 as
a springboard to launch the rebound. Bargain hunters
were waiting with money in hand for that level to be
hit. Dow component CAT offset the gains in UTX with
a -2.20 drop (-16 Dow points) after announcing an
acquisition.

Mutual funds are continuing to see massive inflows of
cash according to ICI. In January stock funds had $43.7B
in cash inflows despite the continuing fund scandals.
This was the third highest monthly inflow since records
have been kept. The highest was $55B in Feb-2000 and
right at the top in the market. In the last week alone
nearly $3B flowed into stock funds. There is currently
over $4 trillion invested in stock funds.

The calendar next week starts out with a killer on Monday
morning. The ISM for February is expected to drop slightly
to 62.0 from the 63.6 two year high in January. This is
the key report for the beginning of the week and is the
key indicator of the current economy. This will help
confirm the recovery is still on track and help quiet
some of the concerns from several weak reports recently.
The middle of the week has several reports that will be
watched but are not really critical including the ISM
Services, Beige Book, Productivity and Factory Orders.
The Beige Book would be my pick for the most critical
of that bunch and it comes out on Wednesday.

The next biggest report for the week is the Employment
Report for February that comes out on Friday. Currently
the estimates are for a gain of +128,000 jobs but nobody
knows where those jobs are coming from. The Employment
report is done by survey in the week which contains
the 12th of the month. (Wonder who figured that out?)
The Jobless Claims for that week in February were -344K
and the prior week was -368K. This suggests we were not
seeing a booming job market when the survey was taken.
We will get a lot more in the way of analysis as the
report draws near but I would suspect we could see some
caution in the market as the week winds down.

I am still in buy the dip mode and when the markets
exploded out of the gate on Friday I thought maybe I
had been too patient trying to wait for some stocks to
come to me. This is where I have really mixed emotions.
I want to see the market ease back to its highs but I
would really like to see the Dow hit the 50ma first.
The longer we go without a cursory touch the more
likely the gains will be muted. We are still in a
consolidation mode but the increased volatility
suggests we could see another breakout attempt soon.
That attempt could still be in either direction.

For Monday I expect the ISM to be positive. From the
lack of a material rally into the month end I may be
the only one on the planet that feels that way. This
is good in a way as it means the expectations are not
already baked into the cake. A good ISM on Monday along
with some decent month end cash flows into funds could
help provide a boost to the first three days of the
week. The Intel update on Thursday should provide a
little advance worry and weakness but a positive
update Thursday night and a neutral to positive Jobs
report on Friday could produce a relief rally to close
the week. Obviously, there is a lot of speculation in
this paragraph but that is the way I see it today.
Check back with me on Tuesday night and see if the
picture changed.

Enter Very Passively, Exit Very Aggressively!

Jim Brown


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

Is it over yet?
- J. Brown

The month of February finally comes to a close as the broader
indices struggle with another week of consolidation above
support.  That's a good thing right?  Well we hope so.  The fact
that the DJIA and the S&P 500 have been consolidating gains in a
sideways manner might be interpreted as a lack of sellers.  No
one wants to sell because they believe stocks will go up again
and the consolidation this month has really been caused by buyers
taking a breather.  Sounds reasonable, right?

The NASDAQ has had a tougher time with its own consolidation but
then it out performed both the DJIA and the SPX so there is a lot
more profit taking to occur.  In reality the NASDAQ is holding up
pretty well.  We still haven't seen a 10% pull back from its
highs and given the bounce from its low under 2000 this past week
it may be a while yet before we do see such a correction.

Fundamentally this was a pretty bullish week for stocks.
Greenspan offered some very positive comments about the economy
and Q4 GDP estimates came in at +4.1% on Friday, above estimates.
The Gartner group raised their sales estimates for semiconductors
to +23% this year and investors are probably starting to look
towards April earnings even though the Q4 earnings season just
ended.

Market internals were also bullish on Friday with advancing
stocks outpacing decliners 18 to 9 on the NYSE and almost 17 to
14 on the NASDAQ.  Volume numbers were mixed with up volume doing
better than down on the NYSE and vice versa on the NASDAQ.

Looking across the various sector-specific indices we witnessed a
number of them putting in short-term bottoms this past week.
More encouraging were the number of new highs.  Oil stocks, oil
services, utilities, homebuilders and healthcare all saw their
indices hit new highs.  Also strong were banks, biotech and
retail stocks.

Now that February is over investors will be looking at March's
historical trends.  According to the Stock Trader's Almanac March
appears to be somewhat volatile with the first half of the month
more bullish than the second half.  However, the Dow has managed
to close higher in March five out of the last six years.



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

Market Averages

DJIA ($INDU)

52-week High: 10753
52-week Low :  7416
Current     : 10583

Moving Averages:
(Simple)

 10-dma: 10624
 50-dma: 10513
200-dma:  9659



S&P 500 ($SPX)

52-week High: 1158
52-week Low :  788
Current     : 1144

Moving Averages:
(Simple)

 10-dma: 1145
 50-dma: 1128
200-dma: 1040



Nasdaq-100 ($NDX)

52-week High: 1559
52-week Low :  946
Current     : 1470

Moving Averages:
(Simple)

 10-dma: 1480
 50-dma: 1489
200-dma: 1357


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

The VXO and VIX managed an intraday reversal both all three are
still pointing lower.  These low readings suggest very little
fear in the markets or in other words investors are very bullish.

CBOE Market Volatility Index (VIX) = 14.55 -0.25
CBOE Mkt Volatility old VIX  (VXO) = 14.76 +0.11
Nasdaq Volatility Index (VXN)      = 22.84 -0.26

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

          Put/Call Ratio  Call Volume   Put Volume

Total          0.72        624,138       448,697
Equity Only    0.59        528,027       313,869
OEX            1.38         19,559        26,998
QQQ            3.74          6,810        25,436


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

Bullish Percent Data

           Current   Change   Status
NYSE          76.0    + 0     Bull Confirmed
NASDAQ-100    61.0    + 0     Bear Confirmed
Dow Indust.   86.7    + 0     Bull Confirmed
S&P 500       85.6    + 0     Bull Confirmed
S&P 100       87.0    + 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-dma: 1.12
10-dma: 1.12
21-dma: 1.03
55-dma: 1.00


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 they do, they can signal significant market turning
points.


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

Market Internals

            -NYSE-   -NASDAQ-
Advancers    1849      1677
Decliners     969      1391

New Highs     206       116
New Lows        5         4

Up Volume   1052M      846M
Down Vol.    728M      969M

Total Vol.  1807M     1840M
M = millions


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

Commitments Of Traders Report: 02/24/04

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

No change for commercial traders.  They remain hedged either
direction.  Small traders haven't made many changes either
and remain bullish.


Commercials   Long      Short      Net     % Of OI
02/03/04      411,920   414,596    (2,676)   (0.3%)
02/10/04      412,217   414,044    (1,827)   (0.2%)
02/17/04      416,148   415,278       870     0.0%
02/24/04      417,490   416,502       988     0.0%

Most bearish reading of the year: (111,956) -  3/06/02
Most bullish reading of the year:   23,977  - 12/09/03

Small Traders Long      Short      Net     % of OI
02/03/04      141,465    81,926    59,539    26.7%
02/10/04      143,496    80,362    63,134    28.2%
02/17/04      141,533    84,227    57,306    25.3%
02/24/04      141,559    85,171    56,388    24.9%

Most bearish reading of the year:  (1,657)- 5/27/03
Most bullish reading of the year: 114,510 - 3/26/02


E-MINI S&P 500

We're seeing a lot more action in the e-minis than the large
contracts above.  Commercial traders are bearish but have
become slightly less so over the last week.  As is typical
the small traders moved the opposite direction and while bullish
became less so.


Commercials   Long      Short      Net     % Of OI
02/03/04      280,519   346,042    (65,523)  (10.5%)
02/10/04      297,601   356,630    (59,029)  ( 9.0%)
02/17/04      296,313   371,703    (75,390)  (11.3%)
02/24/04      320,425   387,255    (66,830)  ( 9.4%)

Most bearish reading of the year: (354,835)  - 06/17/03
Most bullish reading of the year:  133,299   - 09/02/03

Small Traders Long      Short      Net     % of OI
02/03/04     133,293     55,476    77,817    41.2%
02/10/04     110,480     58,428    52,052    30.8%
02/17/04     144,014     64,391    79,623    38.2%
02/24/04     129,894     63,524    66,370    34.3%

Most bearish reading of the year: (77,385)  - 09/02/03
Most bullish reading of the year: 449,310   - 06/10/03


NASDAQ-100

Not much change for the commercial traders in the NDX futures
this week but we are seeing a change in the small traders'
positions.  There appears to be a bullish reversal with a large
shift from shorts to longs.  Of course a contrarian will note
that the small trader is normally wrong so this could be a
bearish development for the markets.


Commercials   Long      Short      Net     % of OI
02/03/04       43,600     41,441     2,159    2.5%
02/10/04       44,406     40,439     3,967    4.7%
02/17/04       46,104     40,385     5,719    6.6%
02/24/04       47,266     40,452     6,814    7.8%

Most bearish reading of the year: (21,858)  - 08/26/03
Most bullish reading of the year:   9,068   - 06/11/02

Small Traders  Long     Short      Net     % of OI
02/03/04        8,907    13,729    (4,822)  (21.3%)
02/10/04        9,906    13,018    (3,112)  (13.6%)
02/17/04        9,630    12,338    (2,708)  (12.3%)
02/24/04       12,388     7,310     5,078    25.8%

Most bearish reading of the year: (10,769) - 06/11/02
Most bullish reading of the year:  19,088  - 01/21/02

DOW JONES INDUSTRIAL

Hmm... commercial traders have become more bullish on the
Dow in the last week.  Not much change from the little guys.


Commercials   Long      Short      Net     % of OI
02/03/04       17,765     9,619    8,146      29.7%
02/10/04       21,764    11,974    9,790      29.0%
02/17/04       24,451    12,907   11,544      30.9%
02/24/04       27,176    13,918   13,258      32.3%

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
02/03/04        6,352    13,113   (6,761)   (34.7%)
02/10/04        6,267    14,220   (7,953)   (38.8%)
02/17/04        6,768    15,623   (8,855)   (39.5%)
02/24/04        6,509    14,919   (8,410)   (39.2%)

Most bearish reading of the year: (10,136) - 12/16/03
Most bullish reading of the year:   8,523  -  8/26/03

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


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

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

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

DST Systems - DST - close: 44.76 change: +0.98

WHAT TO WATCH: We are very bullish on DST.  The stock's breakout
over resistance at $44.00 is a new year and a half high.  There
is virtually no resistance between here and the $50 mark and all
of its technicals are bullish.  After the closing bell on Friday
DST announced a 6 million share buyback program to replace its
old one expiring February 29th, 2004.  DST's P&F chart is also
bullish and points to a $71 price target.




---

Starwood Hotels - HOT - close: 39.01 change: +0.35

WHAT TO WATCH: Shares of HOT have been consolidating sideways in
a tight range between $38-39 for two weeks.  HOT surged higher on
Friday and broke out through the top of this range on decent
volume.  However, while the Friday rally looks tempting HOT has
longer-term resistance at the $40.00 level.  Look for a breakout
there.




---

Ultra Petroleum Corp - UPL - close: 29.16 change: +1.13

WHAT TO WATCH: Oil and oil services stocks have been real leaders
in the markets recently and UPL just took off three days ago with
a strong bounce from its 50-dma and support at the $25.00 level.
We would watch for a potential pull back into the 27.00-27.50
range as an entry point.




---

I-Flow Corp - IFLO - close: 17.67 change: +1.42

WHAT TO WATCH: IFLO's 8.7% gain on Friday was fueled by stronger
than average volume.  While we'd be tempted to chase the breakout
traders may do better to look for a dip to the $17.00 level.
Currently its P&F chart is sporting a spread triple-top buy
signal and suggests a long-term $27 price target.





-----------------------------------
RADAR SCREEN - more stocks to watch
-----------------------------------

SANM $12.69 +0.06 - SANM is trying to find a bottom at support of
$12.00 but is struggling with the rebound.  The stock has
overhead resistance at its 50-dma and the $14.00 level.

FCX $42.65 +1.01 - We like the bounce from $40.00 and its 50-dma
on Friday.  FCX appears to be building a bull flag consolidation
pattern and a move over $43.00 may be an entry point.

GTW $5.43 +0.22 - GTW has broken out over $5.00, pulled back to
test support again at $5.00 and bounced again.  There is
resistance at $5.50 but a breakout should lead a rally to $6.00.
Patient traders can look for another test of the 10-dma to buy
the dip.


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Do not duplicate or redistribute in any form.
PremierInvestor.net Newsletter          Weekend Edition 02-29-2004
                                                    section 2 of 3
Copyright (c) 2004, All rights reserved.
Redistribution in any form is strictly prohibited.

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

In section two:

Tech Stocks
  New Bearish Plays:     VRTS
  Bearish Play Updates:  CSCO, TSS, UTEK


Active Trader (Non-tech)
  New Bullish Plays:     TYC, SPF
  Bullish Play Updates:  ANN, ARA, LIN, XMSR


High Risk/Reward
  Bullish Play Updates:  MXO
  Bearish Play Updates:  NETE


Stock Splits
  Announcements:         GBTS, PHX


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

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


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

Veritas Software -VRTS - close: 30.55 change: -0.89 stop: 32.50

Company Description:
As an independent supplier of storage management software, VRTS
develops and sells products that protect against data loss and
file corruption, allowing rapid recovery after disk or computer
system failure.  The company's products provide continuous data
availability in clustered computer systems with shared resources.
This enables IT managers to work efficiently with large file
systems, making it possible to manage data distributed on large
computer network systems without harming productivity or
interrupting users.  VRTS provides products for most popular
operating systems, including UNIX and Windows NT, as well as a
full range of services to assist its customers in planning and
implementing their storage management solutions.

Why we like it:
After persistently drilling its way higher throughout most of
2003, VRTS topped out in the middle of January and following its
disappointing earnings forecast for Q1, the stock plunged
sharply.  Slicing through both the 100-dma and the 200-dma on a
large gap-down move, the stock finally found buying support near
$30.50.  That was enough to push price back above the 200-dma
(currently $33.10), and the stock crawled along that average
until February 19th, when the sellers returned.  VRTS rolled over
just below its sharply declining 20-dma ($32.57) and fell back to
test that $30.50 support level.  A much weaker bounce ensued,
rolling over just under the 10-dma $31.87) this time and Friday's
price action has the stock resting right back on that $30.50
support.  It seems clear that a breakdown is imminent and when it
occurs, jumping into momentum shorts appears to have good odds of
success.

The PnF chart is downright ugly at this point, with the Sell
signal created in late January producing a bearish price target
of $21.  Of course, there's going to be bumps along the way and
the $30 level looks like a big one, as it has been solid support
for a month and looking at the PnF chart, we can see why.  the
bullish support line is right there at $30.  Printing $30 will
also generate a follow-on Sell signal, so setting our entry
trigger at $30 is an obvious choice.  Momentum traders will want
to enter on the initial break below that level, while more
cautious traders can look for a subsequent failed rebound below
the 10-dma to provide entry.  The $32 level should be strong
resistance, with the 20-dma ($32.57) coming down to reinforce it.
We'll initially target a drop to support near $27 and then look
for follow through down to the $24-25 area.  Should VRTS fail to
break down, we'll have confirmation that the downtrend is over
with a move through our $32.50 stop, which should be above the
20-dma by Monday.

Annotated Chart of VRTS:



Picked on February 29th at  $30.55
Change since picked          +0.00
Earnings Date              1/28/04 (confirmed)
Average Daily Volume =    5.79 mln




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


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

Cisco Systems - CSCO - close: 23.16 change: -0.19 stop: 24.50

Our bearish play on CSCO got off to a good start last week, with
price sliding down near the $22 level before any sort of bounce
began.  To be fair, the bounce was a little stronger than we
wanted to see, but price action adhered to its recent pattern of
rolling over near the 10-dma (now $23.57) and the stock rolled
over on Thursday just below $24 resistance (former support).
With the 10-dma now crossing down through the 100-dma ($23.59)
and the 20-dma ($24.19) in hot pursuit, that resistance in the
$23.50-24.00 area appears to be getting stronger.  Of course, it
doesn't hurt that the NASDAQ has been unable to sustain any kind
of a rebound over the past week, and Friday's rejection from
below the 50-dma has bearish implications for CSCO.  Rollovers
near resistance still look like the better entry point, rather
than a breakdown entry under $22, especially with our target at
the 200-dma now rising to $21.02.  Maintain stops at $24.50.

Picked on February 22nd at  $23.19
Change since picked          -0.03
Earnings Date              5/11/04 (confirmed)
Average Daily Volume =    53.1 mln




---

Total System Services - TSS - cls: 21.23 chg: -0.06 stop: 22.00

We almost achieved our first target of $20.00 with Thursday's
intraday low at $20.26 but the ensuing rebound was very
discouraging.  The reason for the drop and the sudden reversal is
a mystery but TSS did announce a cash dividend of 2 cents per
share on Thursday.  The dividend is payable on April 1st, 2004.
The rebound in the NASDAQ has made progress in these tech shorts
tough to come by and traders should be careful in initiating new
positions.  We're feeling very cautious especially considering
the bullish reversal "hammer" candlestick pattern on TSS' weekly
chart.  More conservative traders may want to adjust their stops
to breakeven.

Annotated Chart:




Picked on February 20 at $21.75
Gain since picked:       - 0.52
Earnings Date          01/13/04 (confirmed)
Average Daily Volume:       323 thousand



---

Ultratech - UTEK - close: 24.81 change: -0.36 stop: 26.01*new*

The consolidation in shares of UTEK has begun to narrow but the
stock remains under resistance at its 200-dma.  We're starting to
have mixed feelings here since the breakdown under the 200-dma
and more specifically under the $25 level really hasn't seen much
follow through.  UTEK's MACD indicator is suggesting a bullish
turnaround may be in its short-term future.  We're going to leave
the play open but we're also going to reduce our risk by lowering
the stop to $26.01.  New entry points are probably best
considered under $24.00.  Our first target remains $22.00.

Annotated Chart:



Picked on February 22 at $25.09
Gain since picked:       - 0.28
Earnings Date          02/04/04 (confirmed)
Average Daily Volume:       416 thousand




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

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

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

Tyco International - TYC - close: 28.57 change: +0.17 stop: 26.00

Company Description:
Tyco International Ltd. is a diversified manufacturing and
service company that organizes its businesses into five segments.
The Fire and Security segment designs, manufactures, installs,
monitors and services electronic security and fire protection
systems.  The Electronics segment designs, manufactures and
distributes electrical and electronic components, and designs,
manufactures, installs, operates and maintains undersea fiber-
optic cable communications systems.  The Healthcare segment
designs, manufactures and distributes medical devices and
supplies, imaging agents, pharmaceuticals and adult incontinence
and infant care products.  The Engineered Products and Services
segment designs, manufactures, distributes and services
engineered products and provides environmental and other
industrial consulting services.  The Plastics and Adhesives
segment designs, manufactures and distributes plastic products,
adhesives and films.

Why we like it:
Long gone are the days where TYC plunged like a lead balloon
every time the news featured another sordid detail about its
then-CEO or other business practices.  The stock spent its time
in the penalty box, building a fresh base down in the $10-12 area
and was poised for recovery when the rest of the market took off
last March.  Since then, TYC has been trading higher in a
steadily rising channel, more than doubling in the past year.
The stock doesn't move quickly, but the price trend is certainly
deliberate, making it a perfect candidate for a longer-term play.
Over the past month, the stock has been trading in the upper half
of its channel (a bullish indication) while the 50-dma ($27.44)
has been rising to reinforce support at the channel midline.
Note that Friday's large-range bar on the chart below is in error
due to a bad tick.  Looking at the PnF chart shows the stock on a
very strong Buy signal, with the most recent Sell signal (last
August) being a bear trap.

TYC began its most recent rebound from support on Tuesday, just
kissing the channel mid-line and bouncing just above the 50-dma.
If the trading pattern of the past few months repeats, we can
look for the stock to make a run at the top of its channel, which
is currently at $30 and rising about $0.50 per week.  A brief
pullback to confirm support in the $27.50-28.00 area would
provide a slightly better entry point, but entries near current
levels look viable as well.  We'll place our stop initially at
$26, which is just under the low from late January/early
February.  We expect TYC to be a slow moving stock - it has been
for the past year - so we're going to look forward in time and
anticipate a continued rally to the $31-32 area over the next few
weeks.  Note that there is some historical resistance near $30,
so more conservative traders may want to consider harvesting some
gains near that level and then look for re-entry on another
pullback near the middle of the channel.

Annotated Chart of TYC:



Picked on February 29th at  $28.57
Change since picked          +0.00
Earnings Date              2/03/04 (confirmed)
Average Daily Volume =    9.61 mln



---

Standard Pacific - SPF - cls: 52.31 chg: +1.28 stop: 47.50

Company Description:
Standard Pacific, one of the nation's largest homebuilders, has
built homes for more than 61,000 families during its 38-year
history. The Company constructs homes within a wide range of
price and size targeting a broad range of homebuyers. Standard
Pacific operates in some of the strongest housing markets in the
country with operations in major metropolitan areas in
California, Texas, Arizona, Colorado, Florida and the Carolinas.
The Company provides mortgage financing and title services to its
homebuyers through its subsidiaries and joint ventures, Family
Lending Services, SPH Mortgage, WRT Financial, Westfield Home
Mortgage, Universal Land Title of South Florida and SPH Title.
(source: company press release)

Why We Like It:
Homebuilders are on the run again!  Last year the home
construction sector was one of the market's best performers.
Historically low interest rates naturally produced some of the
best mortgages rates in decades.  Consumers have been taking
advantage of the low rates and buying homes at a record pace.
Many of the larger builders have reported record-breaking
backlogs over the next two years.  Given the recent trend in
mortgage rates (they're slipping again) and the Fed's promise to
be "patient" before raising interest rates the coming spring-
summer home buying season is poised to be a blockbuster.

We like SPF because while other big name builders like RYL, HOV,
CTX and others are still recovering from heavy profit taking in
early January shares of SPF have already recovered and are
trading at new all-time highs.  The recent breakout over
resistance at $51.00-51.50 was powered by very strong volume for
SPF.  It also produced a new triple-top buy signal on its P&F
chart.  We're going to target a move to $60.00 and initiate the
play with a stop loss at $47.50.  The stop may seem a little wide
but we expect SPF to pull back a bit and offer traders another
entry point between $50-51.25.  However, the stock looks bullish
enough we're not afraid to go long here.  Keep your ears open for
any news from SPF on Monday as they present at the Raymond James
institutional investors conference.

Annotated Chart:



Picked on February 29 at $52.31
Gain since picked:       + 0.00
Earnings Date          02/04/04 (confirmed)
Average Daily Volume:       468 thousand




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

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

AnnTaylor Stores - ANN - cls: 45.80 chg: +0.10 stop: 42.99*new*

Retails stocks have continued to out perform the markets this
past week and ANN certainly didn't let us down.  The recent
consolidation above the $44 level appears to be ending with
another new high above $46 on Friday and a strong bounce from the
$45 level.  We don't have a lot of new headlines to report but
ANN did confirm its earnings date as March 9th.  That gives the
stock another week to produce any sort of earnings run.  We're
going to raise our stop loss to $42.99.  More conservative
traders might be able to get away with a stop under $44.00.

Annotated chart:



Picked on February 08 at $42.68
Gain since picked:       + 3.12
Earnings Date          03/09/04 (confirmed)
Average Daily Volume:       790 thousand



---

Aracruz Celulose Sa - ARA - close: 36.15 chg: +1.05 stop: 33.50*new*

Right on target!  Shares of ARA continue to march higher with
Friday's session turning out a strong 3% gain and a new relative
high.  We're quickly approaching our target of $38.00.  However,
there may still be opportunities to buy a dip to $35.00 should
one present itself.  We're going to raise our stop loss to
$33.50.

Annotated Chart:



Picked on February 15 at $34.11
Gain since picked:       + 2.04
Earnings Date          01/13/04 (confirmed)
Average Daily Volume:       323 thousand



---

Linen N Things - LIN - close: 33.90 chg: +0.00 stop: 32.00*new*

LIN was another decent performer in the retail sector with a big
bounce from its Tuesday low of $32.28.  The stock is once again
challenging its one-year highs with stronger than average volume
on the recent rally.  Traders looking for new entries can wait
for a dip toward the $33.00 level.  We're going to try and reduce
our exposure by raising the stop to $32.00.

Annotated chart:



Picked on February 08 at $31.64
Gain since picked:       + 2.26
Earnings Date          02/04/04 (confirmed)
Average Daily Volume:       557 thousand



---

XM Sat. Radio - XMSR - cls: 24.52 chng: -0.11 stop: 22.00*new*

Without wasting any time after we initiated coverage on
Wednesday, XMSR broke out over that $24 resistance level,
triggering the play in the process.  The stock continued its
rally on Friday morning, almost reaching the $25 level before
being dragged lower with the rest of the Technology sector.
Despite the disappointing performance on Friday, the silver
lining is that price held above the 50-dma (former resistance) at
the close.  With a clear breakout from the recent consolidation,
we can now look for a potential pullback entry on a rebound from
the $23.50-24.00 area, which should be strong support, reinforced
by the rising 10-dma (now at $23.53).  There's nothing wrong with
breakout entries over the $25 level, but volume really needs to
expand again to validate a continued breakout.  Note that we've
raised our stop to $22 this weekend, which is just below
Tuesday's intraday low.

Picked on February 25th at  $23.95
Change since picked          +0.57
Earnings Date              2/12/04 (confirmed)
Average Daily Volume =    6.73 mln





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


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

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

Maxtor Corp. - MXO - close: 10.25 change: -0.22 stop: 9.40*new*

Getting off to an encouraging start, our new MXO play, surged
higher on Thursday, closing above both the 50-dma ($10.38) and
the 200-dma ($10.35) and closing at the high of the day on strong
volume.  Unfortunately, follow-through on Friday was lacking and
the stock fell back under both averages, suggesting a bit more
consolidation may be in order before the breakout will be
sustainable.  Despite the lack of follow-through heading into the
weekend, the fact that price held well above the $10 level on
Friday suggests that the breakout above that level was strong and
we can now look for pullbacks to find strong support near that
level.  That means a dip near $10 can be used for new entries,
now that our trigger for the play has been satisfied.  More
cautious traders that want to see evidence of continued strength
before playing will want to enter on a renewed breakout over
$10.50, preferably on a resumption of the strong volume seen on
Wednesday and Thursday.  Note that we've raised our stop to
$9.40, as that is below both Wednesday's intraday low and the 20-
dma ($9.55).

Picked on February 25th at   $9.98
Change since picked          +0.27
Earnings Date              1/21/04 (confirmed)
Average Daily Volume =    4.39 mln



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

Netegrity, Inc. - NETE - cls: 9.15 chng: +0.18 stop: 9.75*new*

There's certainly been no lack of back and forth action in NETE
during the period of time it has been on the play list.  The
initial move above $10 found resistance just below our stop and
the stock proceeded into a solid decline into its fresh low just
above $8.25 on Monday.  Bulls decided it was a dip worth buying
and the stock spent the remainder of the week clawing its way
back towards resistance in the $9.40-9.50 area.  So far, the
pattern of lower highs and lower lows is very much intact and if
we can get another rollover below the 20-dma ($9.38) next week,
new recent lows should be in store.  That rollover near
resistance looks like a good setup for new entries too.  We may
have erred by tightening the stop to $9.60 last week.  At the
time, it was above the 200-dma, but with that average still
slowly rising, it is now above our stop.  Trader that wish to use
the 200-dma as protection for their stops should probably raise
stops to $9.75 this weekend.  That's what we're going to do with
our official stop.

Picked on February 4th at    $9.16
Change since picked          -0.01
Earnings Date              1/26/04 (confirmed)
Average Daily Volume =       726 K





==================================================================
Stock Splits
==================================================================

Announcements
-------------

GBTS declares a 5% stock dividend

 Early afternoon on Friday Gateway Financial Holdings, Inc.
(NASDAQ:GBTS), the holding company for Gateway Bank, announced
that its Board of Directors had approved a 21-for-20 stock split.

The split will take effect as a 5% stock dividend.  The dividend
is payable on April 8th, 2004 for shareholders on record as of
March 15th.


About the company:
Gateway Financial Holdings, Inc. is the holding company for
Gateway Bank, a full service community bank with offices in
Elizabeth City, Edenton, Kitty Hawk, Plymouth and Roper, North
Carolina and Chesapeake and Virginia Beach, Virginia. The Bank
also provides insurance through Gateway Insurance Services, Inc.
and brokerage services through Gateway Investment Services, Inc.
(Source: Company Press Release)

---

PHX announces a 2-for-1 split

After the closing bell on Friday Panhandle Royalty Company
(AMEX:PHX) announced that their shareholders had approved an
increase in the number of outstanding shares from 6 million to 12
million and a 2-for-1 stock split.

According to their press release the "effective" date is April
1st, 2004 and the distribution date is April 15th.


About the company:
Panhandle Royalty Company is a publicly held diversified mineral
holding company engaged in the acquisition, ownership, management
and development of its fee minerals. It actively participates in
the exploration, drilling, production and acquisition of
hydrocarbons on internally and externally generated prospects. Its
stock is traded on the American Stock Exchange under the symbol
PHX. The Company's office is located in Oklahoma City while its
mineral holdings and production are situated in Oklahoma, New
Mexico, Texas and 19 other states.
(Source: Company Press Release)


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PremierInvestor.net Newsletter          Weekend Edition 02-29-2004
                                                    section 3 of 3
Copyright (c) 2004, All rights reserved.
Redistribution in any form is strictly prohibited.

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

In section three:

Market Watch for Week of March 1, 2004
   - Major Earnings
   - Stock Splits
   - Economic Reports

Trading Ideas
  Value Plays With Bullish Signals
  Breakout to Upside (Stocks $5 to $20)
  Breakout to Upside (Stocks over $20)
  Breakout to Downside (Stocks over $20)
  Recently Overbought With Bearish Signals (Stocks over $20)


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

==========================================
Market Watch for the week of March 1st
==========================================

-----------------
Earnings Calendar
-----------------

Symbol  Co               Date           Comment      EPS Est

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

FRO    Frontline Ltd.        Mon, Mar 1  -----N/A-----        1.05
HOV    Hovnanian Enterprises Mon, Mar 1  After the Bell       1.74
HBC    HSBC Holdings plc     Mon, Mar 1  Before the Bell       N/A
KGC    Kinross Gold          Mon, Mar 1  -----N/A-----        0.03
PSO    Pearson plc           Mon, Mar 1  Before the Bell       N/A
STHLY  Stet Hellas Telecomm  Mon, Mar 1  -----N/A-----         N/A
TLD    TDC A/S               Mon, Mar 1  -----N/A-----         N/A


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

ALO    Alpharma              Tue, Mar 2  After the Bell       0.29
BNS    Bank of Nova Scotia   Tue, Mar 2  Before the Bell       N/A
BIIB   Biogen Idec Inc.      Tue, Mar 2  After the Bell       0.32
BJ     BJ's Wholesale Club   Tue, Mar 2  Before the Bell      0.65
CVC    Cablevision Sys Corp. Tue, Mar 2  Before the Bell     -0.45
CRHCY  CRH plc               Tue, Mar 2  Before the Bell       N/A
FL     Foot Locker, Inc.     Tue, Mar 2  -----N/A-----        0.45
GMST   Gemstar-TV Guide Intl Tue, Mar 2  After the Bell      -0.02
HSIC   Henry Schein          Tue, Mar 2  Before the Bell      0.78
MVL    Marvel Enterprises    Tue, Mar 2  Before the Bell      0.17
PSUN   Pac Sunwear CaliforniaTue, Mar 2  After the Bell       0.42
PLL    Pall Corp.            Tue, Mar 2  After the Bell       0.30
PETM   PetsMart              Tue, Mar 2  -----N/A-----        0.37
COO    The Cooper Companies  Tue, Mar 2  -----N/A-----        0.53


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

ABV    AmBev                 Wed, Mar 3  -----N/A-----        0.58
AZO    AutoZone Inc.         Wed, Mar 3  Before the Bell      1.00
BVF    Biovail Corporation   Wed, Mar 3  Before the Bell      0.29
CHS    Chico's FAS           Wed, Mar 3  After the Bell       0.28
COST   Costco Wholesale Corp Wed, Mar 3  -----N/A-----        0.47
EDP    Elec de Portugal, S.A Wed, Mar 3  During the Market     N/A
GLH    Gallaher Group PLC    Wed, Mar 3  Before the Bell      1.89
HOTT   Hot Topic             Wed, Mar 3  After the Bell       0.44
LFL    LAN Chile             Wed, Mar 3  -----N/A-----        0.34
MIK    Michaels Stores       Wed, Mar 3  After the Bell       1.32
KWK    Quicksilver Resources Wed, Mar 3  After the Bell       0.26
SKS    Saks Incorporated     Wed, Mar 3  Before the Bell      0.68
TLM    Talisman Energy       Wed, Mar 3  -----N/A-----        0.64
TS     TENARIS S A           Wed, Mar 3  -----N/A-----        0.41
TOY    Toys R Us             Wed, Mar 3  Before the Bell      1.05


------------------------- THUSDAY -----------------------------

AMI    ALARIS Medical, Inc.  Thu, Mar 4  Before the Bell      0.18
CZN    Citizens Comm Co.     Thu, Mar 4  Before the Bell      0.09
DLM    Del Monte Foods       Thu, Mar 4  -----N/A-----        0.26
HAVS   Havas Advertising     Thu, Mar 4  Before the Bell       N/A
KWD    Kellwood Company      Thu, Mar 4  After the Bell       0.46
MBG    Mandalay Resort Group Thu, Mar 4  After the Bell       0.31
MDZ    MDS Inc.              Thu, Mar 4  Before the Bell       N/A
NTLI   NTL INC               Thu, Mar 4  Before the Bell     -2.55
PBY    Pep Boys              Thu, Mar 4  Before the Bell      0.04
PKZ    PETROKAZAKHSTAN INC   Thu, Mar 4  During the Market    1.28
PT     Portugal Telecom SGPS Thu, Mar 4  Before the Bell       N/A
REXMY  REXAM PLC             Thu, Mar 4  Before the Bell      1.46
SPLS   Staples, Inc.         Thu, Mar 4  Before the Bell      0.41
SZE    Suez SA               Thu, Mar 4  -----N/A-----         N/A
SBL    Symbol Technologies   Thu, Mar 4  After the Bell       0.09
UPL    Ultra Petroleum Corp  Thu, Mar 4  Before the Bell      0.16
VRX    Valeant Pharm Intl    Thu, Mar 4  Before the Bell      0.20
HLTH   WebMD                 Thu, Mar 4  After the Bell       0.09


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

BFR    BBVA Banco Frances    Fri, Mar 5  -----N/A-----         N/A
SHR    Schering AG           Fri, Mar 5  -----N/A-----         N/A


----------------------------------------------
Upcoming Stock Splits In The Next Two Weeks...
----------------------------------------------

Symbol  Co Name              Ratio    Payable     Executable


AME     AMETEK Inc                2:1      Feb  27th   Mar   1st
HCP     Hlth Care Prop Investors  2:1      Mar   1st   Mar   2nd
SJW     SJW Corp                  3:1      Mar   1st   Mar   2nd
FWFC    Washington FinancialCorp  5:4      Mar   1st   Mar   2nd
AVP     Avon Products Inc         2:1      Mar   1st   Mar   2nd
HCSG    Healthcare Services       3:2      Mar   1st   Mar   2nd
BFCF    BFC Financial Corp        5:4      Mar   1st   Mar   2nd
POG     Patina Oil & Gas Corp     2:1      Mar   3rd   Mar   4th
TRMB    Trimble                   3:2      Mar   4th   Mar   5th
CLFC    Center Financial Corp     2:1      Mar   5th   Mar   8th
WGO     Winnebago                 2:1      Mar   5th   Mar   8th
SSNC    SS&C Technologies, Inc    3:2      Mar   5th   Mar   8th
VAPH    Vaso Active Pharma, Inc   3:1      Mar   5th   Mar   8th
PII     Polaris Industries Inc    2:1      Mar   8th   Mar   9th
LWAY    Lifeway Foods, Inc        2:1      Mar   8th   Mar   9th
MPX     Marine Products Corp      3:2      Mar  10th   Mar  11th
FIC     Fair Isaac Corp           3:2      Mar  10th   Mar  11th
EXC     Exelon Corp               2:1      Mar  10th   Mar  11th
HWFG    Harrington West Finl Grp  6:5      Mar  11th   Mar  12th
CTX     Centex Corporation        2:1      Mar  12th   Mar  13th


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

Q4 Earnings are finally slowing to a crawl but investors are
more focused on economic news.  This week we have a boatload of
reports throughout the week.


==============================================================
                       -For-

----------------
Monday, 03/01/04
----------------
Personal Income (BB)       Jan  Forecast:    0.5%  Previous:     0.2%
Personal Spending (BB)     Jan  Forecast:    0.4%  Previous:     0.4%
Construction Spending (DM) Jan  Forecast:    0.3%  Previous:     0.4%
ISM Index (DM)             Feb  Forecast:    62.0  Previous:     63.6


-----------------
Tuesday, 03/02/04
-----------------
Auto Sales (NA)            Feb  Forecast:    5.6M  Previous:     5.2M
Truck Sales (NA)           Feb  Forecast:    8.0M  Previous:     7.8M


-------------------
Wednesday, 03/03/04
-------------------
ISM Services (DM)          Feb  Forecast:    64.0  Previous:     65.7
Fed's Being Book (DM)


------------------
Thursday, 03/04/04
------------------
Initial Claims (BB)      02/28  Forecast:     N/A  Previous:     350K
Productivity-Rev. (BB)      Q4  Forecast:    2.6%  Previous:     2.7%
Factory Orders (DM)        Jan  Forecast:    1.1%  Previous:     1.1%


----------------
Friday, 03/05/04
----------------
Nonfarm Payrolls (BB)      Feb  Forecast:    135K  Previous:     112K
Unemployment Rate (BB)     Feb  Forecast:    5.6%  Previous:     5.6%
Hourly Earnings (BB)       Feb  Forecast:    0.2%  Previous:     0.1%
Average Workweek (BB)      Feb  Forecast:    33.8  Previous:     33.7
Consumer Credit (DM)       Jan  Forecast:   $5.5B  Previous:    $6.6B


Definitions:
DM=  During the Market
BB=  Before the Bell
AB=  After the Bell
NA=  Not Available


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

ONE     Bank One Corp              53.98    +0.96
MO      Altria Group Inc           57.55    +0.53
KFT     Kraft Foods Inc            33.79    +0.53
DEO     Diageo Plc (ADS)           56.65    +0.87
CAJ     Canon Inc (ADR)            49.15    +0.82


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

HLR     Hollinger Internat Inc     18.60    +1.30

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

DNA     Genetech Inc              107.89    +4.79
IACI    Interactivecorp            32.57    +1.45
GDW     Golden West Financial     115.42    +3.24
OMC     Omnicom Group Inc          81.80    +2.50
IGT     Internat Game Technology   39.24    +1.84


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

WYE     Wyeth                      39.50    -1.10
RY      Royal Bank of Canada       47.55    -1.25
DHR     Danaher Corp               89.63    -1.40
GENZ    Genzyme Corp               50.45    -2.83
ETN     Eaton Corp                 58.54    -1.25


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

BXP     Boston Properties Inc      51.23    -1.29
AVB     Avalonbay Communities      50.38    -0.52
SIGY    Signet Gr Plc (ADR)        56.21    -1.81


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