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Daily Newsletter, Thursday, 07/08/2004

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PremierInvestor.net Newsletter                 Thursday 07-08-2004
                                                    section 1 of 2
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:      Day in Court
Market Sentiment: Investors On the Defensive
Watch List:       Tech to Homes to Insurance


=================================================================
MARKET WRAP  (view in courier font for table alignment)
=================================================================
      07-08-2004           High     Low     Volume   Adv/Dcl
DJIA    10171.56 - 68.70 10263.73 10166.25 1.66 bln 1067/2077
NASDAQ   1935.32 - 30.80  1964.48  1934.57 1.79 bln  700/2366
S&P 100   540.21 -  4.04   545.31   539.92   Totals 1767/4443
S&P 500  1109.10 -  9.23  1119.12  1108.72
W5000   10808.15 -105.80 10913.93 10804.31
SOX       442.95 -  1.10   450.34   441.73
RUS 2000  560.71 - 11.32   572.03   560.54
DJ TRANS 3071.29 - 78.80  3149.37  3069.78
VIX        16.20 +  0.39    16.36    15.50
VXO (VIX-O)16.05 +  0.30    16.29    15.37
VXN        22.68 +  0.42    22.91    22.10
Total Volume 3,748M
Total UpVol    736M
Total DnVol  2,983M
Total Adv  2035
Total Dcl  4957
52wk Highs  130
52wk Lows   168
TRIN       1.96
NAZTRIN    1.27
PUT/CALL   0.91
=================================================================

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

Day in Court
by Jim Brown

Today was taken over by court TV with Ken Lay's indictment
and press conference taking center stage. Another sideshow
came from the Adelphia trial where the Rigas family head
was found guilty on almost all counts. Stocks? That was
almost an after thought and after traders thought about
the continued earnings warnings they sent the indexes to
new lows across the board.

Dow Chart - Daily


Nasdaq Chart - Daily



The morning economic reports helped pull the markets back
from a very bad Yahoo induced overnight drop. The Jobless
Claims really did correct after the multiple weeks of
high numbers in the 350K range. The drop last week to
310,000 was the lowest level since October 2000. However,
analysts were quick to caution that the sudden drop was
more than likely the result of seasonal adjustments.
Seems we just can't win. At least the Labor Department
came right out with the caution saying there may have
been an inappropriate seasonal adjustment. Since they
made that announcement with the number it seems like
they should have just corrected it and been done. You
don't really think they just realized it at 8:29 this
morning do you? Still we live in a headline world and
the headline 310K number was successful in lifting the
futures well off their lows. Expect next week's numbers
to be higher.

Reversing the warm feelings from the Jobless Claims was
the drop in Retail Sales for June to +2.9% from +5.7%
in May. This was the smallest gain since June-2003 and
well off the +6.0-7.0% range from the first quarter.
Department stores, furniture stores and shoe stores
posted the weakest results. Even the discount stores
barely posted a gain at +1.5%. Drugs and Wholesale Clubs
were the only bright spots that kept the headline number
in positive territory. Personally I am not encouraged
that Drug stores saw the largest gain at +8% since those
are normally forced sales of some sort and not pure
voluntary spending. The same store sales were generally
less than expected across the board with the majors
blaming the slow sales on everything but a plague of
locusts. Weather was the primary excuse but the slowdown
was nationwide and that suggests there was a stronger
factor such as continued high gas prices. July numbers
are not expected to show any increase with back to
school shopping expected to be put off until the last
minute due to lack of money.

Consumer Debt levels are near record highs and they are
limiting the amount of credit available for spending.
Consumer Credit increased by +$8.2 billion in May and
the April numbers were revised from +$3.9B to +$5.3B.
The May jump was the largest increase since January.

The Manufacturers Alliance Survey (MAPI), the index of
future business activity jumping to 80, set a record
for the third consecutive quarter. Shipments and New
Orders surged to 93 from 90 and Back Orders soared to
93 from 85. All components rose and this suggests that
manufacturing activity over the next six months will
continue to increase. This was a very bullish report
and was a new record for the headline number. However,
this report compares activity to the same period last
year and Q2-2003 was not a hotbed of activity. The
comparisons going forward are going to get much more
difficult to show gains. This report is not normally
a market mover as it looks back over the last quarter
and many analysts are now suggesting we hit a peak in
late April early May. This makes other more current
numbers like the ISM a better read on the economy.

The key focus for the day was on the Ken Lay circus
in Houston. He was indicted for his alleged role in
the Enron disaster. He took the unprecedented step of
holding a press conference once he was released from
custody in order to proclaim his innocence. This
highly unusual tactic garnered the television spotlight
for most of the day and stock news took a back seat to
the spectacle. This may have been a very good thing for
the markets as the earnings news has been moving from
bad to worse as the current confession cycle draws to
a close.

Yahoo disappointed Wednesday night and knocked the wind
out of the Internet sector and that rippled through
techs in general. One good thing Yahoo accomplished
was to take the focus off the semiconductor sector
and those stocks actually saw some gains early on but
those gains faded as we neared the close. I am not
going into detail but over the last two days we have
seen over 20 companies warn and I can only remember
one company that guided higher. That was Yellow Roadway
after the close today. According to First Call 1015
companies have issued guidance for Q2 and 51% of those
were positive, 15% inline and 34% were negative. Those
who follow these things claim the warning ratio for
Q2 is only 1.5 and well below the 2.2 average for Q2.
This may well be a statistical anomaly that keeps their
stress level intact but the pace of warnings does not
appear that tame to investors. Maybe it is the rush to
confess over the last week that has changed the landscape.

That landscape changed drastically over the last week
with the Dow breaking below the 10200 support level
today and trading at a six week low. That closing low
at 10171 is under the 200dma at 10175. Close enough to
hang on by its fingernails but still dangerous. The Dow
will be at risk again on Friday as GE reports earnings
before the bell. GE has done a good job in managing
expectations or should I say lowering expectations so
there should not be any earnings surprise. However GE
is the proxy for the economy and as such their guidance
will be viewed as the gospel for the future. Their
revelations will be seen as the roadmap for the rest
of the year. A positive spin could go a long way
towards curing the economic flu and earnings fever
now afflicting traders. Strangely traders have ignored
recent warnings by GE so downside risk may be limited.

The Nasdaq continued its plunge to close at 1935 and
and for once was not led down by the semis. The Internet
Index ($IIX) lost -2.5% on the losses in YHOO -2.52,
EBAY -3.22, AMZN -1.50 among others. The Software Index
($GSO) lost -3.13% on continued warnings in that sector.
With losses like these the Nasdaq never had a chance.
The Nasdaq closed under all its averages 50/100/200
and appears destined to retest 1900 unless a tech
miracle appears very quickly.

Another factor in the Nasdaq decline was a massive
drop in the Russell-2000. The Russell lost -11.32,
-2% and closed at 560, right on critical last ditch
support. The Russell was under pressure all afternoon
with major sell programs late in the day. The close at
560 is critical and a break below this support level
could easily see a sharp drop to 540 and the May lows.
The Russell has fallen -5.2% since July 1st and the
decline does not appear to be slowing. Today's close
is exactly on the 200dma and technical buyers should
appear on Friday but I am not counting on it. There
is simply too much negativity in the market and unless
GE praises the economy and its earnings outlook in
glowing terms tomorrow there may be a concentrated
run to the exits before the day is over.

Russell-2000 Chart



Next week we have over 300 companies reporting earnings
and unless the trend changes quickly each report will
only be another appetizer for the bears before the
summer rampage begins. The parade of bullish analysts
continues on CNBC with each proclaiming the merits of
the undervalued market. Obviously somebody is very
wrong. The bulls have a definite wall of worry ahead
of them and right now they appear to have no interest
in putting on their climbing shoes.

TrimTabs claimed the first three days of July saw
+$2.5 billion inflows to equity funds. According to
TrimTabs this was the largest three-day inflow since
$5B hit the tape in March. Considering June was the
end of the quarter and a trigger for strong retirement
contributions I would have thought the first week
in July would have seen much stronger inflows.
Regardless of the actual cash being put to work the
markets have been in free fall since July 1st.

Helping that free fall was a press conference by Tom
Ridge of Homeland Security warning that a large scale
attack is still being planned for this summer inside
the United States in an effort to disrupt the elections.
Since the democratic convention will begin in slightly
over two weeks on July-26th the countdown clock is
ticking ever louder. Homeland Security claims to have
no specific details of an impending attack but they
do have increasing confirmation that one is imminent.
This should send chills up the back of any investor
with a large portfolio who remembers the 9/11 drop.

With GE not expected to be a market mover tomorrow
we are going to be faced with weekend event risk and
nothing especially cheerful to send the markets higher.
There are no material economic reports and odds are
good we will see some more earnings warnings from
companies hoping to escape investor wrath by warning
on a summer Friday when attention to the market is
minimal.

With the Dow and the Russell both closing on their
200 day averages there is support for buyers wanting
to buy the dip. How well that support will hold is
still the $64 question. Personally I would not enter
a long position on Friday regardless of the market
behavior. I would only day trade any bounce but
always keeping my eye on the exit. My bias for Friday
is flat to down but I would not rule out an oversold
bounce. We have not seen any market-supporting buy
programs recently and the Dow/Russell 200 day averages
would be a good place to launch one of those rockets.

Fortunately we will get to see some real earnings
from the largest blue chips next week, both techs
and non techs. These earnings will blot out the red
marks left by the dozens of small cap warnings over
the last few days. This will be our chance to reverse
the drop and return to our trading range but the black
cloud on the horizon will remain until the democratic
convention is over. Keep those stops in place because
they could protect you from serious harm.

Enter Passively, Exit Aggressively.

Jim Brown
Editor


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

Investors On the Defensive
- J. Brown

It looks like investor confidence has finally cracked.  With a
constant parade of earnings warnings and YHOO's failure to hit
investors expectations combined with TV scenes of Tom Ridge, the
Secretary of Homeland Defense, telling us that terrorists are
planning to hit us this summer and/or on or during the election
the flight to safety in the markets was bound to happen.  Right?
It seems so easy to see in hindsight.

The terror threat is nothing new.  We've been talking about the
Democratic and Republican conventions as targets for weeks if not
months.  So why a reaction now is a good question.  The financial
media is blaming the terror warning today for the rally in crude
oil, which happened to close back over the $40.00 a barrel mark.

What is interesting is the market's reaction.  Traders are
rotating money out of tech stocks and into traditional safe
havens like drug stocks, gold stocks, and bonds.  Gold itself
rose $5.50 to close at $408 an ounce while the XAU gold & silver
index witnessed some follow through on yesterday's 4% rally.  The
next test for gold stocks will be to see if the XAU can break
through its simple 100-dma.

Meanwhile it may be all downhill for software stocks.  The SEBL
and BMC warnings today follow recent warnings from VRTS and the
GSO software index dropped another 3% today.  Granted nothing
moves in a straight line and most of the major software stocks
are probably due for an oversold bounce but the new trend seems
to be that corporate America is not spending any money and are
pushing out any big purchases.  That could make next quarter's
numbers pretty depressing.  Plus, I heard some disappointing
conjecture about how MSFT is likely to disappoint investors with
its plans (or lack of) to distribute its $55 billion cash hoard.

Overall today's internals were very bearish.  Decliners
outnumbered advancing issues 19 to 8 on the NYSE and 23 to 7 on
the NASDAQ.  Down volume was about four times up volume on both
exchanges.  Bulls will be disturbed to see the Industrials close
under its simple 200-dma today while the NASDAQ composite has
completely fallen through the bottom of its trading range and
potential support at 1950.  Look for the S&P 500 index to test
support at 1100 and its simple 200-dma soon.  Maybe then we can
see an oversold bounce.

Looking ahead to tomorrow Wall Street will be focused on General
Electric's (GE) pre-morning earnings report and guidance for the
third quarter.  Estimates are set at 37 cents a share.


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

Market Averages

DJIA ($INDU)

52-week High: 10753
52-week Low :  8996
Current     : 10171

Moving Averages:
(Simple)

 10-dma: 10311
 50-dma: 10235
200-dma: 10178


S&P 500 ($SPX)

52-week High: 1163
52-week Low :  960
Current     : 1109

Moving Averages:
(Simple)

 10-dma: 1128
 50-dma: 1118
200-dma: 1100


Nasdaq-100 ($NDX)

52-week High: 1559
52-week Low : 1204
Current     : 1431

Moving Averages:
(Simple)

 10-dma: 1480
 50-dma: 1449
200-dma: 1443


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

CBOE Market Volatility Index (VIX) = 16.20 +0.39
CBOE Mkt Volatility old VIX  (VXO) = 16.11 +0.36
Nasdaq Volatility Index (VXN)      = 22.68 +0.42

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

          Put/Call Ratio  Call Volume   Put Volume

Total          0.91        731,641       667,630
Equity Only    0.82        580,709       477,272
OEX            0.77         39,779        30,676
QQQ            1.56         45,227        70,513


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

Bullish Percent Data

           Current   Change   Status
NYSE          66.2    - 1     Bear Confirmed
NASDAQ-100    49.0    - 1     BULL ALERT
Dow Indust.   70.0    + 0     Bear Confirmed
S&P 500       63.2    - 1     Bear CORRECTION
S&P 100       65.0    - 1     Bear CORRECTION



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: 2.19
10-dma: 1.62
21-dma: 1.27
55-dma: 1.14


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     859       690
Decliners    1937      2350

New Highs      65        27
New Lows       51        99

Up Volume    344M      318M
Down Vol.   1327M     1428M

Total Vol.  1679M     1763M
M = millions


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

Commitments Of Traders Report: 06/29/04

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

It would appear that no one wanted to make any big bets this
week with the Iraq handover, the FOMC meeting and the Jobs report.
Commercial traders remain slightly bearish and small traders remain
bullish.


Commercials   Long      Short      Net     % Of OI
06/08/04      397,294   452,904   (55,610)   (6.5%)
06/15/04      428,905   444,197   (15,292)   (1.8%)
06/22/04      407,842   415,462   ( 7,620)   (0.9%)
06/29/04      405,273   413,351   ( 8,078)   (0.9%)


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
06/08/04      158,373    92,794    65,579    26.1%
06/15/04      169,595   115,336    54,259    19.0%
06/22/04      124,985    89,934    35,051    16.3%
06/29/04      129,978    94,535    35,443    15.7%

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

Commercial traders have tempered their bearishness a bit but they
remain very bearish on the e-minis.  Likewise small traders are
still very bullish.  One group is going to be terribly wrong here
and odds are in favor of the big traders.


Commercials   Long      Short      Net     % Of OI
06/08/04      367,191   409,246    (42,055)   (5.4%)
06/15/04      440,867   522,546    (81,679)   (8.5%)
06/22/04      229,290   446,974   (217,684)  (32.2%)
06/29/04      258,443   447,505   (189,062)  (26.7%)


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
06/08/04      140,191     84,649    55,542    24.7%
06/15/04      216,759    147,247    69,512    19.1%
06/22/04      243,444     58,389   185,055    61.3%
06/29/04      236,492     47,780   188,712    66.3%


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


NASDAQ-100

Commercial traders are relatively neutral on the NASDAQ-100
with a small bullish bias.  Meanwhile small traders have turned
a bit more bearish on the group.


Commercials   Long      Short      Net     % of OI
06/08/04       64,747     41,178    23,569   22.3%
06/15/04       78,542     54,341    24,201   18.2%
06/22/04       40,397     37,413     2,984    3.8%
06/29/04       41,078     37,194     3,884    4.9%


Most bearish reading of the year: (21,858)  - 08/26/03
Most bullish reading of the year:  25,160   - 06/01/04

Small Traders  Long     Short      Net     % of OI
06/08/04        9,716    29,594   (19,878)  (50.6%)
06/15/04       15,794    35,880   (20,086)  (38.9%)
06/22/04        9,311     9,950      (639)  ( 3.3%)
06/29/04        7,437    11,904    (4,467)  (23.1%)


Most bearish reading of the year: (20,270) - 06/01/04
Most bullish reading of the year:  19,088  - 01/21/02

DOW JONES INDUSTRIAL

Not much change for the commercial traders.  They remain bullish
on the Dow Industrials.  Small traders have turned a little more
bearish on the index.


Commercials   Long      Short      Net     % of OI
06/08/04       24,636    25,821   (1,185)     (2.3%)
06/15/04       30,438    24,766    5,672      10.3%
06/22/04       26,808    19,752    7,056      15.2%
06/29/04       27,278    20,512    6,766      14.1%


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
06/08/04        8,325     6,431    1,894     12.8%
06/15/04       13,942    20,953   (7,011)   (20.1%)
06/22/04        5,626     7,798   (2,172)   (16.2%)
06/29/04        4,930     7,682   (2,752)   (21.8%)


Most bearish reading of the year: (12,106) -  3/09/04
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
---------------------------------

Tech to Homes to Insurance

Flamel Technologies - FLML - close: 20.60 change: -2.93

WHAT TO WATCH: Whoa!  FLML dropped 12.45% on ten times its
average volume to break through the bottom of support that has
held since November 2003.  The move produced a massive P&F chart
sell signal with a bearish $12.00 target.  Bears might want to do
some digging here.  An oversold bounce and failed rally under
$22.50 could be a potential entry point or a momentum player can
look for a drop through today's low at $19.58.




---

Diagnostic Products - DP - close: 39.78 change: -1.82

WHAT TO WATCH: It has not been a good month for DP.  The stock
peaked above the $44 level and its 200-dma at the end of June.
Since then it's been a steady decline and DP has broken various
levels of support.  Today's 4.3% drop on big volume broke through
the round-number psychological support at $40.00.  Bears might
want to short it with a target near $36-35.  Earnings are
believed to be on or around July 23rd.




---

DR Horton Inc - DHI - close: 26.00 change: -1.37

WHAT TO WATCH: DHI dropped 5% today despite reporting a 23$ jump
in Q3 sales.  Investors chose to ignore the good news and focus
on a negative report from smaller homebuilder MHO.  Bulls will be
looking to see if investors defend DHI at the $24.50-25.00
support level.  Obviously bears will be looking for the
breakdown.  A drop under $24.00 would produce a new triple-bottom
breakdown sell signal on its P&F chart.




---

Zenith National - ZNT - close: 51.05 change: +1.25

WHAT TO WATCH: The markets have been pretty weak lately so we
wanted to find a relative strength candidate for bullish traders.
ZNT qualifies and managed to close at a new all-time high today.
Volume was pretty strong and we like the close over $50.00 but
there is a trendline of resistance across its peaks that could
cause trouble.  It would be better to look for a bounce from its
40-dma.





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

INSP $32.24 -2.96 - Ouch!  INSP dropped 8.4% on big volume today.
We might consider bearish plays if it breaks the 200-dma near
round-number support at $30.00.

MMS $33.32 -1.60 - Another short candidate.  MMS is quickly
approaching crucial support at the $33.00-32.50 level.  A
breakdown here and traders could target the $30.00 region.

TOL $39.30 -1.84 - TOL is another homebuilder and today's drop
broke support at the $40.00 mark and its 40, 50 and 200-dma's.


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Do not duplicate or redistribute in any form.





PremierInvestor.net Newsletter                 Thursday 07-08-2004
                                                    section 2 of 2
Copyright (c) 2004, All rights reserved.
Redistribution in any form is strictly prohibited.

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

Stop Adjustments:  BORL, ASKJ, SHW, SOHU, VISG
Closed Plays:      TWTC


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)


=================================================================
Stop Loss Adjustments
=================================================================

BORL - tech stock short -
 Lower stop from $8.01 to $7.83

---

ASJK - tech stock short -
 ! Alert - important change in entry point.
 ASKJ did NOT meet our requirements to open the play
 by its gap lower to $31.67 this morning.  However, the
 intraday failed rally and failure to close back above the
 $32.50 level looks encouraging.  We're going to suggest
 entries at current levels: $31.59.  This is a HIGH RISK
 play so we will try and reduce our risk by using a tight
 stop just above today's high: $32.88.  Our target is
 the $27.50 range.

 Action= new entry: $31.59  new stop: $32.88

---

SHW - non-tech long -
 No change in stop.  SHW is about to be stopped out
 if shares break support at $40.00.

---

SOHU - high risk short -
 No change in stop.  Be prepared to EXIT at $15.25

---

VISG - high risk short -
 Lower stop from $8.51 to $8.25


=================================================================
Closed Plays
=================================================================

Time Warner Telecom - TWTC - close: 4.20 change: -0.43 stop: 4.29

Ouch!  It was not a good day to be long technology stocks.
Another round of earnings warnings undermined the tech sector and
the NASDAQ sank below the 1950 level.  Telecom stocks didn't fare
well either and TWTC's relative strength from yesterday faded
before our eyes.  Our effort to keep our risk to a minimum had us
quickly stopped out at the $4.29 mark.

Picked on July 07 at $ 4.63
Gain since picked:   - 0.43
Earnings Date      07/27/04 (confirmed)
Average Daily Volume:   985 thousand




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

TOT     Total Sa (ADS)             98.90     +0.90
CD      Cendant Corp               24.97     +0.81
GD      General Dynamics          100.11     +1.36
TGN     Texas Genco                46.83     +0.63
BKS     Barnes & Noble             35.72     +0.55
PPC     Pilgrim's Pride Corp       31.03     +0.73

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

MDCC    Molecular Devices          19.13     +1.02

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

KSS     Kohl's Corp                43.48     +2.02
JCP     J.C.Penney                 38.18     +1.97
SNN     Smith & Nephew             58.00     +2.13
ISCA    Intl Speedway              51.71     +1.76
TUES    Tuesday Morning            32.48     +3.38
AH      Armor Holdings             36.44     +1.43

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

EBAY    eBay Inc                   83.65     -3.22
DNA     Genentech                  52.12     -1.78
YHOO    Yahoo! Inc                 30.08     -2.52
SAP     SAP Ag (ADS)               37.96     -1.84
CA      Computer Associates        24.48     -1.52
TJX     TJX Companies              22.16     -1.95
PGN     Progress Energy            41.95     -1.20
TROW    T.Rowe Price               46.73     -1.55
MGG     MGM Mirage                 42.71     -2.18

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

BYD     Boyd Gaming                25.76     -1.16
GYI     Getty Images               57.78     -1.58


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