Long Play Updates
Adobe - ADBE - close: 45.58 change: +0.61 stop: 42.26
The NASDAQ out performed the DJIA and the S&P 500 thanks to strength in its big cap tech stocks. Shares of ADBE continued to rally and hit new all-time highs. The move over $45.35 was another bullish entry point. Our target is the $49.50-50.00 range. The P&F chart is already bullish with a $51 target. Our time frame is about eight weeks.
Picked on October 09 at $45.05
Cisco Systems - CSCO - cls: 33.27 change: +0.19 stop: 31.45
CSCO, another big cap tech stock, displayed relative strength by hitting a new multi-year high this morning. Overall we don't see any changes from our weekend comments on the stock. Our target on CSCO is the $34.75-35.00 range.
Picked on September 26 at $32.65
Juniper Networks - JNPR - cls: 37.63 change: -0.02 stop: 34.69
Shares of JNPR closed relatively unchanged on the session. We do note that traders bought the midday dip and readers could use the intraday rebound as a new bullish entry point. Our target is the $39.85-40.00 range. The Point & Figure chart is very bullish with a $67 target.
Picked on October 07 at $37.04
Lexmark - LXK - close: 43.80 change: +2.74 stop: 39.95 *new*
Shares of LXK surged more than 6.6% on Wednesday. The stock gapped open higher at $41.16, dipped back toward $41.01, and then suddenly skyrocketed higher. Market pundits are claiming that today's rally in LXK was fueled by renewed speculation that LXK was a takeover target and more specifically that DELL might be the buyer. The big volume behind today's move and the close over its 100-dma is certainly bullish. We are adjusting our stop loss to $39.95. Our short-term target is the $44.85-45.00 range.
Picked on October 09 at $41.06
NET Services - NETC - cls: 16.71 change: -0.28 stop: 15.60
We do not see any changes from our Tuesday comments on NETC. More conservative traders may want to take some profits now. Our target is the $17.75-18.00 range but readers might want to try and exit near $17.50, which has been acting like new overhead resistance. The P&F chart is bullish with a $21 target. FYI: We can't find a third quarter earnings date yet but the company has a history of reporting in late October or early November. We don't want to hold over the earnings report.
Picked on September 24 at $15.60
Knight Capital - NITE - cls: 12.98 change: -0.03 stop: 12.45
Warning! We may have been triggered on a bearish reversal failed rally pattern. NITE rallied to $13.32, just above its 50-dma, and then reversed course. Our suggested trigger was at $13.25. Today's candlestick is not bullish. However, we're not giving up. The overall trend suggests that NITE has reversed upward from its September lows. We would suggest waiting and watching for a dip and bounce in the $12.70-12.80 region as a new bullish entry point or wait for a new rally past $13.25 before considering long positions again. Our target is the $14.65-15.00 range. We would expect some resistance near $14.00. This is a short-term play and we plan to exit ahead of the mid October earnings.
Picked on October 10 at $13.25
NVIDIA - NVDA - close: 36.91 change: +0.04 stop: 33.75
Semiconductor stocks under performed the rest of the NASDAQ. Yet it's worth noting that traders bought the dip in the SOX near its rising 200-dma. A rebound from here in the semiconductor group could be a tempting entry point. NVDA actually out performed its peers and closed in the green following a bounce from support near $36.00. This looks like a new entry point to buy NVDA but we'd be cautious until the SOX starts to bounce. Our target for NVDA is the $39.00-40.00 range. We do not want to hold over the early November earnings report. FYI: The Point & Figure chart is bullish with a $55 target.
Picked on September 26 at $36.15
Sirius Satellite Radio - SIRI- cls: 3.69 change: +0.11 stop: 3.29
XMSR and SIRI continued to rally on Wednesday. Shares of SIRI soared just over 3% and hit new seven-month highs. Volume came in above average on the rally, which is a positive sign. We are not suggesting new positions at this time although technically a pull back toward what should be support near $3.60 would be a new entry point. This remains a very high-risk, speculative play. Last week SIRI and XMSR determined that their shareholder vote to approve the merger will be November 13th. The FCC and the Department of Justice still need to give their okay on the deal. Our target is the $3.95-4.00 range.
Picked on September 30 at $ 3.49
Synalloy Corp. - SYNL - cls: 22.02 change: -0.37 stop: 19.99
We do not see any changes from our Tuesday comments on SYNL so we're reposting them here: It looks like SYNL has turned the corner and reversed back into a bullish posture. The stock has produced a bullish double-bottom pattern with the lows in August and September. The late September breakout over resistance at $20.00 was pretty impressive. Traders bought the dip near $20.00 as the stock retested old resistance as new support. Our biggest risk that we can see is the lack of an earnings report. We just can't find any sort of report date for its upcoming third quarter earnings. Without a report date to avoid holding over earnings we have to label this a high-risk play. We do want to note that the P&F chart has produced a spread triple-top breakout buy signal with a $34 target. Plus, SYNL has a relatively high degree of short interest, which could fuel the rallies. We're suggesting positions now. There is potential resistance near $25.00 but our target is the $27.00-28.00 range near its 200-dma.
Picked on October 09 at $22.39
Westwood One - WON - cls: 2.72 chg: -0.13 stop: 2.59
It looks like we should have been more patient with WON. The stock lost another 4.5% and is now poised to slip into the $2.70-2.60 range again. Yesterday we adjusted our suggested entry point on WON and after today's performance that may have been a poor choice. We would wait and watch for a bounce near $2.65-2.60 as a potential entry point. This remains a very aggressive, speculative play. Watch for potential resistance near $3.00 and then again at its 50-dma near $3.10. Our target is the $3.25-3.50 range but more aggressive traders may want to aim higher.
Picked on October 09 at $ 2.85
World Accpetance Corp. - WRLD - cls: 34.25 chg: +0.32 stop: 31.99
WRLD out performed the broader market with a 0.9% gain and a breakout above its short-term trendline of lower highs. We don't see any changes from our Tuesday night comments. The P&F chart points to a $46 target. We're aiming for the $37.25-38.00 range. We only have two weeks and plan to exit ahead of the October 23rd earnings report.
Picked on October 09 at $33.93
Wyndham Worldwide - WYN - cls: 33.21 change: -0.25 stop: 31.49
WYN consolidated back towards the $33.00 level today. We are not suggesting new positions at this time and readers might want to consider taking some money off the table here. Currently we're aiming for the $33.90-35.70 range. One concern is potential resistance at the 100-dma and 200-dma that are near the $34.00 level.
Picked on September 19 at $32.15
Zoltek - ZOLT - cls: 47.83 change: +3.34 stop: 42.90 *new*
ZOLT was a bright spot in the market today. Shares broke out higher and closed up 7.5% on above average volume. We could not find any specific news to account for the rally but we're not complaining. Readers are strongly encouraged to take profits early right here. We're not suggesting new positions. Please note that we're adjusting the stop loss to $42.90. Our target is the $$49.00-50.00 range.
Picked on September 24 at $43.06
Short Play Updates
Supervalu - SVU - cls: 36.10 change: +0.35 stop: 38.51
SVU managed a minor bounce following yesterday's weakness. We don't see any changes from our previous comments. We're not suggesting new positions at this time. We're aiming for $35.25-35.00. More aggressive traders may want to aim lower.
Picked on September 30 at $38.05 *gap down
Closed Long Plays
Closed Short Plays