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Long Play Updates

Steel Dynamics - STLD - cls: 31.47 chg: +1.97 stop: 27.99

No change from yesterday's new play update. We are looking for a dip back toward broken resistance/new support at the $30.00 level. Our suggested entry point is to buy a dip into the $30.50-30.00 range. Our target is the simple 200-dma.

Picked on July xx at $xx.xx <-- see TRIGGER
Change since picked: + 0.00
Earnings Date 07/19/05 (confirmed)
Average Daily Volume: 1.4 million


Vital Images - VTAL - close: 19.50 change: -0.19 stop: 17.49

No surprises here. The NASDAQ's inability to breakout over the 2200 level remains our biggest concern. Today's market weakness was compounded in VTAL which is testing round-number resistance at the $20.00 mark. We would not be surprised to see VTAL dip back toward the $18.50 region.

Picked on July 19 at $18.93
Change since picked: + 0.57
Earnings Date 08/02/05 (confirmed)
Average Daily Volume: 107 thousand

Short Play Updates

ATI Tech. - ATYT - close: 13.02 change: -0.17 stop: 13.41

The SOX semiconductor index finally showed some weakness after its huge run up over the past several days. We suspect that today's profit taking in the group is just the beginning of a multi-day consolidation. ATYT continues to flirt with the $13.00 level and we would only suggest new shorts if the stock trades under $12.85 again. Our target for ATYT is the $11.50-11.20 range.

Picked on July 17 at $12.83
Change since picked: + 0.19
Earnings Date 09/22/05 (unconfirmed)
Average Daily Volume: 5.9 million


Amer. Axl & Mfg - AXL - close: 25.42 chg: -0.59 stop: 27.71*new*

Today's decline in AXL is a nice confirmation to yesterday's reversal. The drop today also pushes AXL under technical support at its simple and exponential 200-dma's and its simple 21-dma. The move also confirmed yesterday's MACD sell signal. More importantly AXL has hit our trigger to short the stock at $25.60 opening the play. Our short-term target is the $23.00 level near its 50-dma. We are lowering the stop to Wednesday's high. One of the biggest risks here is our time frame. AXL is due to report earnings on July 28th and we do not want to hold over the report.

Picked on July 21 at $25.60
Change since picked: - 0.18
Earnings Date 07/28/05 (unconfirmed)
Average Daily Volume: 1.1 million


Par Pharma. - PRX - close: 29.00 chg: -0.57 stop: 31.51

So far so good. PRX continues to weaken and today the stock closed at a new two-year low. Our target is the $27.00-26.50 range but keep in mind we plan to exit before its July 28th earnings report. We are lowering the stop loss to $31.51.

Picked on July 14 at $29.96
Change since picked: - 0.96
Earnings Date 07/28/05 (confirmed)
Average Daily Volume: 661 thousand


Sina.com - SINA - close: 27.77 change: +0.87 stop: 28.51

Hmm... SINA displayed an unusual bout of strength today. The stock popped back above the $28.00 level. Fortunately, the rally stalled under resistance near the $28.50 level. We're surprised by this as yesterday fellow Chinese Internet stock SOHU was downgraded to a "sell" rating. It will be interesting to see how shares of SINA fare tomorrow as the market reacts to GOOG's earnings. We know that GOOG and SINA aren't really competitors but having GOOG trade down about $20 in the after hours market tonight could put a lot of pressure on the entire Internet sector tomorrow.

Picked on June 30 at $27.90
Change since picked: - 0.13
Earnings Date 08/03/05 (unconfirmed)
Average Daily Volume: 1.4 million

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