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Long Play Updates

Brookfield Asset Mgt. - BAM - cls: 44.78 chg: +0.14 stop: 41.95

Traders bought the dip again. BAM dipped near the $44.30 and $44.40 levels this morning and buyers stepped in both times. The stock managed to hit a new weekly high before paring its gains this afternoon. We remain optimistic but if you're looking for a new entry point to go long consider waiting for another dip toward the $44.00 region. Our target is the $49.00-50.00 range. Our time frame is four to six weeks.

Picked on August 22 at $44.82
Change since picked: - 0.04
Earnings Date 08/03/06 (confirmed)
Average Daily Volume: 393 thousand

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eBay Inc. - EBAY - close: 27.82 chg: -0.63 stop: 25.45

Thursday proved to be a volatile session for EBAY. The stock spiked lower at the open and fell to $27.00 before buyers stepped in. The move lower was a reaction to an analyst report on how EBAY's sellers were reacting to the new pricing structure. The less profitable store listings were down significantly while EBAY saw a modest up tick in its more profitable auction style listing. The move in the share price could be another entry point to go long the stock but make sure you're comfortable with your stop loss placement. Our target is the $29.50-30.00 range.

Picked on August 24 at $26.25
Change since picked: + 1.57
Earnings Date 10/18/06 (unconfirmed)
Average Daily Volume: 19.6 million

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Elk Corp. - ELK - close: 28.17 change: +0.21 stop: 25.80

Score another win for the bulls. ELK continued higher following yesterday's bullish breakout over the 100-dma. We're also encouraged by the rise in volume during ELK's rally this past week. However, we want to warn readers that the next short-term move looks like it might be a dip. Watch for the $27.00-27.25 region to act as short-term support. Our target is the $29.75-30.00 range.

Picked on August 22 at $27.10
Change since picked: + 1.07
Earnings Date 08/17/06 (confirmed)
Average Daily Volume: 245 thousand

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Lucent Tech. - LU - close: 2.33 change: -0.05 stop: 2.19

Both LU and ALA saw their shares slip lower today in profit taking following yesterday's spike higher. We are not suggesting new positions in either at this time. Don't forget that Alcatel (ALA) members are set to vote on the LU-ALA merger on September 7th. Traders should definitely keep an eye on shares of ALA since weakness in ALA will affect LU. Our target for LU is the $2.50-2.60 range.

Picked on August 20 at $ 2.31
Change since picked: + 0.02
Earnings Date 10/25/06 (unconfirmed)
Average Daily Volume: 42 million

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Maxim Integrated - MXIM - close: 29.11 chg: -0.57 stop: 27.95

The SOX semiconductor index pulled back to consolidate its three-day winning streak. Shares of MXIM followed suit with a 1.9% decline of its own. We are still on the sidelines. Our strategy is to only go long the stock if shares trade at or above our trigger at $30.15. If triggered our target is the $33.00-34.00 range.

Picked on August xx at $xx.xx <-- see TRIGGER
Change since picked: + 0.00
Earnings Date 11/03/06 (unconfirmed)
Average Daily Volume: 6.0 million

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Knight Cap. Grp - NITE - cls: 17.46 chg: +0.24 stop: 15.95

NITE managed to hit a new multi-year high today but shares were unable to close at new highs. Don't be surprised to see a pull back toward $17.00 or the $16.75 region. We are not suggesting new plays at this time. Our target is the $19.85-20.00 range.

Picked on August 22 at $17.36
Change since picked: + 0.10
Earnings Date 07/18/06 (confirmed)
Average Daily Volume: 1.5 million

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Novellus - NVLS - close: 27.92 change: +0.17 stop: 25.95

NVLS displayed relative strength and out performed most of its peers in the semiconductor sector by posting another gain on Thursday. Shares are challenging resistance at the $28.00 level. We are not suggesting new positions at this time although nimble traders might try buying dips near the rising 10-dma. Our target is the $29.50-30.00 range. Our time frame is four to six weeks.

Picked on August 16 at $26.65
Change since picked: + 1.27
Earnings Date 10/18/06 (unconfirmed)
Average Daily Volume: 2.8 million

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Stereotaxis - STXS - cls: 11.13 change: -0.05 stop: 9.99

The bounce in STXS may have been derailed by news that the company has filed with the SEC to sell up to $75 million in debt, stock or warrants and would use the proceeds for "working capital, commercialization of its products, research and development, and for general corporate purposes" (source: Reuters). So far STXS is holding on to short-term support at its rising 10-dma but we expect the next move to be lower towards the 200-dma near $10.50. More conservative traders might want to lock in some profits right now! We are not suggesting new positions at this time. Our target in the $11.85-12.00 range. FYI: The short interest is around 14% of the float but that reading was taken before the big squeeze in August.

Picked on August 21 at $10.31
Change since picked: + 0.82
Earnings Date 08/09/06 (unconfirmed)
Average Daily Volume: 272 thousand

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Teradyne - TER - close: 14.04 change: -0.16 stop: 13.24

Semiconductor stocks felt some profit taking today ending a three-day winning streak. TER was no exception. We don't see any changes from our previous updates. Our only concern is potential resistance at its 100-dma and exponential 200-dma near $14.50. More conservative traders might want to lock in profits as TER nears $14.50. Currently our target is the $14.75-15.00 range.

Picked on August 16 at $13.53
Change since picked: + 0.51
Earnings Date 10/18/06 (unconfirmed)
Average Daily Volume: 2.4 million
 

Short Play Updates

Black Box - BBOX - close: 38.54 change: -0.63 stop: 40.26

Good news! Shares of BBOX failed to produce any sort of follow through higher on yesterday's bullish engulfing candlestick pattern. The stock was weak right from the opening bell and closed with a 1.6% loss, under performing its peers and the NASDAQ. The move might be used as a new entry point for shorts but we'd prefer to wait for a new decline under $38.00 or 37.85. More conservative traders may want to tighten their stops (maybe near $39.50) to reduce their risk.

Picked on August 27 at $38.25
Change since picked: + 0.29
Earnings Date 10/31/06 (unconfirmed)
Average Daily Volume: 243 thousand

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Brookefield Homes- BHS - close: 23.60 chg: +0.29 stop: 24.55

Housing stocks and shares of BHS are still consolidating sideways in spite of the beneficial inflation data that was released this morning. We are not suggesting new plays at this time. Wait for a new decline under $23.00. Our target is the $20.10-20.00 range. Please note that the latest (July) data puts short interest at 20% of BHS' 26.2 million-share float. That is a high degree of short interest and increases the risk of a short-squeeze!

Picked on August 25 at $22.99
Change since picked: + 0.61
Earnings Date 07/20/06 (confirmed)
Average Daily Volume: 497 thousand

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Portfol.Recov.Assoc. - PRAA - cls: 39.72 chg: -0.76 stop: 41.65

Entry point alert! PRAA produced both a failed rally under $41.00 and a new bearish engulfing candlestick pattern. This is a new entry point to short the stock. More conservative traders might want to put their stop closer to $41.00. Our target is the $36.00-35.00 range.

Picked on August 24 at $39.49
Change since picked: + 0.23
Earnings Date 08/02/06 (confirmed)
Average Daily Volume: 166 thousand
 

Closed Long Plays

None
 

Closed Short Plays

None
 

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