DGIT and others...

DGIT($10.25), Co. raised the guidance for the next quarter.   They are estimating for 18.6 to 19 mill, which is about 2 mill more than the last quarter.   The stock is breaking out on this news and we are looking for follow through.

SYX, yesterday proved to be a good time to buy.   Will it make it to IBD this weekend?  keep your fingers crossed.

ACOR, what goes up must........... consolidate.   We locked in some nice profit by reducing some exposure to this hot potatoe.   Will it continue?   It might and when it breaks new high, we'd be there.

IAAC/FNET, both playable for follow through if they get a good close.

also keep an eye on MR, an IPO today which is based in China and sells medical device.   It looks pretty sexy.

DJIM updated holds/ hit listd

Those following DJIM must've noticed we entered the week without passing on a hitlist for the week. Last week we dropped up to 7 off our list as they pullbacked from DJIM high runs...the AMIE, GROW's etc. Instead of waiting for these to bounce we decided to go shopping this week for some fresh meat if the market allowed for such. We already had the steak in TRT from Friday and a bounce possibility we were waiting for in SYX plus a few well behaved carrots in CPY, CETV, TWLL, SNCR still on the plate. If we fall in love with the stocks that gave us amazing runs like EDU from 22, AMIE 29...we would be nowhere holding them right now waiting for a bounce.. Instead a clear head and free cash has allowed us to replenish our DJIM hitlist quickly and even enjoy a wild ride on ACOR. So far this week we have positioned back in SYX....as noted in MarketChat IAAC was becoming a possibility again as it came to $22 today. Once it was evident IAAC was clean over its 9ema we recycled in and watched it close strong ($23.60). The 27MM PPlacement seems to be behind it at least for today. A steady dip on light volume made us step up and get some more TRT in the mid 9's today. On the day our recent IPO runner from $22 EDU retraced all of it's DJIM gains, we found ourselves in MR($16.40) a medical device co from China IPO'ng today that closed very strong...if EDU bounces here we could have it back in DJIM books shortly. Keep an eye on it, you've seen it run once. Also added was DGIT($10.25), the guidance was nice but the chart is just as nice.

Hard to sustain the index move...

Of course, if the indices have another 7 or 8 days like today, we may have to rethink our strategy and perhaps include some bigger names.......  nah, that'd be just too easy lol      Ok, so if your portfolio is rocking in huge gains today, then you are probably getting to this page for the first time.    The DJIM type of stocks are definitely missing in action today and one of our favourites even had a nasty woosh today.    This is probably just the part of process as we call it.    Somtimes, there's just not much more you need to read into what's happening out there.    We are sticking to our system, sticking with what we are comfortable with and sticking to the type of stocks that have gotten us to this point.    

TRT, yes and yes!    The drop today is a little uglier than we are comfortable with and we did reduce our exposure in this one furthermore.    Right now, we have to take a wait and see attitude towards the action from it the next few days.    Thankfully, the earning season is about to begin and some of bigger semi co. can be a catalyst for TRT to pick up some steam.

MR, we are holding our fingers crossed because if you followed it since the IPO day, this one has a tendency to drop back down to $16 everytime it seemed to get some momentum.

Right now, we are keeping an eye on all of the DJIM stocks to wait for some trading development to come through.   At the same time, we are expecting to see some good earnings from small caps to come through in this seasonally a typical strong quarter.    Keep focused and rest up when not trading.

cheers,

Update on Thursday, October 12, 2006 at 09:46PM by Demi/ YourPersonalTrader

As discussed the other day  http://djmarkets.squarespace.com/journal/2006/10/10/djim-stocks.html 

todays nice up day proved some of the names including TRT, even our large cap RIMM were in nose bleed space a couple of days ago as they did not participate in this rally. Taking a look at TRT.... it might be good to bring up a trading perspective. The charts shows 4 days of resistance between 14-14.50...today was the kicker as it failed to break higher again. One way to avoid a pitfall is to give yourself a mental stop on a toppy feeling flyer, it is usually somewhere around the previous days low if its respectable..in TRT case just above 13. (notice where the selling picked up). Of course a uptick in volume smells trouble and you could see that clearly by the first 10min volume bar..its never just one bar with a high flyer. Maybe everybody was busy with the large names and so the TRT was ignored at the 9ema for support...well that ain't good enough for us and we will wait for some confirmation to use this trip to 9ema area as a reason to return in force.

Just a quick note on SYX...todays report by SL was not a huge surprise.." A neg, the 'spinach' could be the filing issues, so do your own DD as always!. "     

 http://djmarkets.squarespace.com/journal/2006/9/15/syx-1340.html

BVX note in Market chat today.

"..........Adding today was adding to a non-event. This FDA clearance is really nothing and unfortunately some ran it up to the $9 level where others would gladly take profits after nearly a 25% run in a day. Its a DJIM stock now and we will trade accordingly, including taking some profits after waking to 9 level. A tad extended this premarket!. We thought it would break out yesterday on the news, we didnt think it wanted to test the recent highs so early or needed to."

DJIM holds/ hit list week #9

As the NFL takes on week #6, DJIM is on #9 running nose to nose with Da' Bears on record and the PF/PA spread, we are about collecting points except we are da' Bulls....After 8 weeks of solid gains including catching 9 moves of 25% and up since late August, we are quietly sitting with skeleton shares or none at all with most on our list waiting for a new earnings play(s) to come forward... or a bust out move like we recently had in AZZ, DGIT even if it is short lived from the ones on our list. These include some long followed DJIM's...CPY since $ 43,CETV from $60, MR an IPO.  So far the big names earnings releases are outperforming the 1 Alcoa, so things ahead look promising but that could change with one report as previously discussed. In the meantime, we will try catch a move here and there like BVX last week. Nothing new is worth taking on this weekend with the expectation of giving us a move DJIM style.

ACOR as per Market chat comments is one we still look to trade once some PR flow kicks in again.

EDU which is on its second DJIM run from $22 has earnings this week. Again, we don't hold into earnings but we will jump again if it is to our liking.                                          

RIMM, CETV, CPY all 10%+ DJIM's are all near tops which we want broken to add. We hold skeleton shares of these between us and will add if the tops look to be taken out. Exits are pretty clear on the charts for most of the DJIM's.  EML might be starting its crawl.

TRT has provided plenty of opportunity for those following since DJIM alert at $8+, we'll wait out the games and look for confirmation to go back hard. A start would be a close above the 9ema.

In between we look for DIVX, RVBD and now APKT to provide almost daily opportunities in the tech IPO fever. Some other names previously on the DJ Journal ANST,SIM,CSH, NEU also had a good week. Hopefully, after 8 weeks these names have made it to your lists. The point of our lists from week to week is so you may assemble a list of your own to concentrate on from what we trade and follow..... saving you lots of grunt work but still doing your own DD on the listed before making a trading decision.

Charts updated at BT charts....ACOR, AZZ, BVX, DGIT, EDU, EML, RIMM, TRT and the NDX

Trading and Killing time...

Well, this week happened to be our least busiest week in the last while.   Doesn't it sound ironic when this week had every big name co.  releasing their earning and Dow broke 12k?   To us, it's just business as usual.    We typically don't get very active during the first couple weeks of earning season as most of the reports are dominated by household names.    But of course, if you happen to run a mutual fund with billions of dollars, this is the crunch time.   For us, we just sit back and look at all this in amusement.    Then again, if you happen to be a multi billion dollar fund manager and are reading our blog, we'd say you definitely need help. lol...Although, we love seeing the million dollar Hedgies coming by;)

For us, we trade because this is the only thing we know how and love.  But in order to have an edge, we have to trade in our own games.    Small caps have been our success and it's been this way for quite sometimes.    Just because the spotlight is on the big caps and indices at this moment, it doesn't mean that small caps have been buried deep in the mud.    All it really takes is a couple of awesome small cap runner that have spectacular earning report and perhaps two to three weeks of hard work, you'd be all set for the rest of the year.    The reason why we don't touch options or other sophisticated strategy here is that we are trying to keep trading to its simplest form, demand and supply.    We think we have a very good understanding of the psychology behind trading of small caps.   There's simply no hiding of emotions when it comes to small caps.     Believe it or not, when it comes to small caps, you can experience surprise, excitement, enjoyment, greediness, top of the world feeling, fear, denial, numb, anger.. all kinds of emotional feeling  within a span of just two weeks.    We love to trade around that kind of emotional environment so we can't wait till the majority of the small caps to start reporting in the coming weeks. (TRT was just early in being late).

Meantime, in order to keep ourself busy other than watching this ridiculous CNBC stuff, here's some stocks of interest.....

DIVX, we think this one is catching its GOOG connection one way or the other.     The chart looks like it's setting up for another possible run up.   We added some and will look for direction next week to trade accordingly.

MR, could this b/o be it?   The volume suggests it's the real deal but how many times we've been faked out by it before? lol    Of course, this one is gonna get our attention in the coming week.

SYNA, this one came to our attention last night when it guided up nicely.   Trading action is suggesting higher price to come.

DGIT, this one defiinely doesn't have the lust it had when we first initially found it, but it's nonetheless worth keeping your eyes on.

ACOR ITMN ILMN, when in doubt, go medical.   These three are also high on our trading list as they are definitely more immune to the sensitive side of the economic data.

some new stocks of interest this week included APH, ALB, RBN and most of the airline stocks....

cheers,

Targeting the easy..

It's definitely easier said than done.   What we are trying to do here at DJIM is to constantly find plays that we identify as being the easy plays.   Those are the kind of plays which according to our past experience, have the best probability to go up.    Of course, it doesn't necessarily mean that our plays aren't risky.    Take ACOR for example, we noticed the morning upgrade and decided that it has a good chance of going higher if its opening isn't too outrageous.   We got that and it was a good play.    Had we held on till the close, this is back to square one and you can literally write off that upgrade effect because it was in the bag.     The point is, use the opportunity to your advantage and trade according to the trading rules, as oppose to any other sentimental rules.  **CLICK ON HIGHLIGHTED GREEN to enter Chat

[Demi] (Reply) on Extended trading- Pre/AH » Small caps quickies Travelzoo beats by $0.04 (TZOO) 32.40 :Reports Q3 (Sep) earnings of $0.28 p ...

We still feel this market needs to rest/pull back.   We feel that the sooner it's done pulling back, the better shapen we'd be in for November.   Unfortunately, regardless what anyone thinks the kind of shape our mkt is in at this moment, trading opportunities keep on popping up daily, earnings related or not.     Here's some of the playing/watching today....

RIMM,  this one was noted awhile ago on its earning day and so far it's gotten close to 20%.    This is an exception to what we normally trade but this stock always occupy that special feeling to those who were once trading it on the Toronto stock exchange back in the days.    The break out looks good today.

MR, at last!   We just have one question about this one, "what took it so long?"   In any case, even though the stock is enjoying some nice gains, we still need to trade according to the action and letting some go when action stalls.

BTJ, de ja vu?   The earning reaction looks powerful today and we really don't need to refresh readers what this thing is capable of.

Past BTJ posts    http://djmarkets.squarespace.com/dj-journal-archive/ 

BVX, pennant b/o, thick zone or whatever you want to call it.   The fact is that it closed at the high and higher than the recent high, it's an automatic buy for us again even if this not one of our favorites right now. We have said numerous times what we were looking for since the recent run up, today we got that with volume and a good close.

TRT, we bought a little of this one.  We have a feeling that this one may have seen the low.   This doesn't necessarily mean that it's going right back to old high.   It definitely needs some more work and if the inside selling stops , we may just have a chance. 

EDU, possibly the Motley effect is eroding... we bot little to keep an eye on further development. APH as well off the 9ema. AZZ looking pretty good on the chart.

Off our market chat, a few nice stocks put up by fellow traders..

SILC, this stock is also worth keeping an eye on.   Earning may not be awesome but action suggests it can go higher. MTOX, this is one of those stocks that we aren't initially sure that it can attract momentum or not.  Today it proved that it can and we are in some . ILMN, this is a possible b/o that may get some follow through the next few days.

Yesterday we talked about a power move to/at 114 for RIMM. 

That's a pogo stick you want to jump on when you see the volume kick in.

Charts updated for wednesday at BT Charts

ACOR-APH-AZZ-BVX-CETV-CPY-DIVX-LCC-RIMM-TRT and BTJ

DJIM hold/hit list #11......MOBO hiccups the MOMO..

How convenient that earth shattering news was!...The market with 2 strikes against it yesterday....GDP and TGIF having little effect on the market, and then conveniently and timely GS decides to rile up the market with a blackberry file from an analyst whooping it up on a Friday night in Taipei with 'old news'....Did this tech rally really miss the fact that Vista delay troubles and 8 million Sony crisp and toasty batteries might dampen 4th Q holiday orders/sales and that corporations would take their sweet time incorporating Vista into '07.  Is it breaking news that many would go for something else this holiday season instead of a new MOBO' system?  Well...with a sensitive market after GDP#, profit taking Friday and with the market needing a rest period, it didn't take much to get the profit taking ball rolling without giving much thought. Is this really anything the market didn't know about or expect? . We wonder who was buying the selling on the 'demand has fallen off quickly in October" headline?.  You also have to wonder about a market that takes 'YUCK' GDP so lightly, yet gets shaken on MOBO growth prospects/shipment declines for October.   The market looks like it wants go higher into the last quarter to us, the GDP short term reaction helped this idea....but of course we need a healthy pullback ...consolidation, maybe this is it. The charts below show the lines in the sand for a pullback and/or some more. The SP on the upper line, the recent break outs of the indecies, the possibility of the Dow transports getting closer to highs which could be the last straw if it breaks out for those thinking this market will implode in 2006. Our gig at DJIM is not to get into the scenarios, there is enough info and talking heads giving their take. We don't want get into this ever on DJIM and we wouldn't expect many to ever agree with us or would we care if they didn't... so we don't.  We are traders first and as we always say....we will trade accordingly to the action we see. Yesterday, it was taking some off as we thought the GDP was enough to cause a needed pullback, the late tech action told us to sell but there were a few pieces we were still buying late in the day..   There are a few techs in the DJIM bunch..

TRT saw the brunt of the GS note. In our notes, we have been cautious on the TRT action pointing to the recent move without volume and waiting for the insiders to stop the selling. We talked off wanting a pullback to add before an attempt at the highs. Fridays was a little extreme to add, we will wait to see if the insiders helped the cause.

We added some DIVX again on the late day dip, we still think there will be some action like in RVBD the day of earnings before the release.

UCTT seemed to have survived the GS note and even closed higher than the much talked about pricing of the 1.8 mln share exchange.  Not bad action considering this is a semi with a cloud over it from that large transaction for some.

APH was looking so sweet as it broke the highs and toyed in the $70's  Then it got taken down with the rest. As we've said before, we expect this one to be on DJIM for a while.

RIMM..DJIM's after hours pick up at $99+ on earnings day had a nice breakout this week. We noted to look for one at $114 early on. TD research gave it a glowing report with another tgt in mid $100's on Friday. Our goal is still the 25% gain which is DJIM's benchmark we strive for in our buys to join the wall on our DJ Journal Archives page.

MR had a terrific week after driving us nuts for about a month. Last friday, we focused on the MR move and what it might bring the following week. Seems the break out move caught on as we went from low 17's to 19's. At this point we would like it to pullback closer to 9ema for another move into it. The volume dropped off thur/fri and so did our position. We will keep watching this closely and hopefully catch another move up.

ACOR is just a marvel to watch, it has bored the momo traders yet they all wait and watch for a move(including us;). This is now a hold long term for many as it has churned here in the 17 range endlessly. Are 3 or 4 firms wrong with the $24-25 targets on ACOR, we don't think so and patiently wait for any news to spark it again.

BTJ, the possibility we spoke of Wednesday for a late momo run into IBD didn't play out. The positive of this is the stock is becoming more attractive off the pullback after stellar earnings again...cheap...We will move heavy into BTJ on such sector moves but this will only occur with a volume push, so far BTJ is not trading like the BTJ we know...the volume is not there but we still bought some into the close as it closed in on the 9ema(15.80) level. The August run we followed had BTJ reach 9ema on day 6 (including earnings day) and then it continued forward.... Friday was day 4 this time around.

Some of the best trading opportunities this past week was from the stocks mentioned in the Extended trading thread in Market Chat...

FTK, ZIGO, CTCI and a few others on consecutive days.  We expect this to continue as the small caps begin to roll out their numbers. As the EPS small cap show and tell begins, we will still keep the charts refreshed for some DJIM stocks we have little or no shares of now. We don't expect these to test highs until EPS is out or some news propels them to break highs. This includes CETV, CPY.   On Thursday,  we said we dwindled BVX (DJIM since low 7's).. this follows DGIT (low 10's). BVX seems to be only for the chart players now, another play might be formed with those 3 last daily sticks, DJIM needs another catalyst to move back in. Both have been profitable DJIM plays but we see more exciting things coming up with a fresh earnings season. Like all DJIM listed stocks these will be watched for a possibe entry. IAAC,CTCM,GROW continue to provide nice intraday moves for traders.

What's "GREEN"?

...and up nicely to boot...between Journal and Market chat from yesterday ...ATNI, SYNL, MR, APKT.  Being selective means going with 'fresh' strength.

DJIM hold/ hit list wk #12.....incl. BRLC PVA SINA TWLL RVBD

Market is still going through a consolidation phase, and it still means that the priority for us is the capital preservation.    However, it doesn't mean that we'll be shying away from good trading opportunities, and it'd be irresponsible if we don't trade them.      What we at DJIM here stress is that in a time like this, we'd only trade what we think are the best of the best setups and leave the iffy ones alone.    We also do keep our trading time frame per play to a conservative level where we'd take profit on small increments, a $1/point here and there and not get carried away with big positions on any one stock.   We can't wait for 25%+ DJIM benchmark these days, so taking 5 -10% quickly is fine with us.  This style is definitely more difficult to trade compared to riding a few big winners that can offset any small losses from other trades.   We are literally trying to basically do with only the most probable plays, with the least risk.   This comes in the form of stocks with a earnings base for DJIM.  We've heard that many traders around various chat room, blogs surprisingly under performed in October.  We're not sure the path they have taken but we've taken/followed the uptrend path here at DJIM.   Well, unfortunately this game isn't an easy business so only time can tell whether one is cut out to do this for a living, or not.    Here are some recent plays...

The week provided some nice intraday trades off our extended trading thread...CASM, LMRA back to back days in Market Chat.  The first 3 below were mentioned in pre market yesterday. The market survived the eco numbers and some of these provided nice entries off earnings.

TWLL....     This one gave us a little surprise late afternoon as it came on with strong volume and then some follow through, finishing with a NCH.   The earning action definitely looks very strong and we think it may catch some attention around the trading circle.  See more below on TWLL.

BRLC..surprisingly this one traded down to $7.01 after multiple upgrades, a healthy price target of $14 by BMurray after beating estimates handily....7c vs.1 c estimate, revenues climbed 3x.      How this one is going to trade is still remaining to be seen.    Usually when it gaps up like that with that kind of volume, you'd see some more upside down the road.

SINA beat by .5, upped revenue G, multiple price upgrades in the morning and then closes gap to Thursdays close before EPS. That was a Friday morning gift to have a stock with so many positives only trade 1% higher in the morning.  If stocks that beat by .5, raise guidance and only move 1% up, we'd be out of the trading business real fast.!.  We'd be happy with a test of $30 here. The first two might have the better upside in the near term as far as collecting points, profits.

MR, stock had another nch(new closing high) on Friday and we are very encouraged by its action.   This stock is due to release its earning on Nov. 16th and we think there's going to be a pre-earning run-up play.     In last week's DJIM #11, we discussed the further play we were looking for after selling. Monday was a further drop and soon we were sitting on the 9ema ready for another move up.

PVA ..a  O&G/coal.....started to watch closely Thursday off earnings ($1.21 v 1.06). More below on Penn Virginia Cp.

BTJ, it seems a lot of the oil service stocks are perking up lately, there is always something to fuel it..yesterday was one of those days.  This one also made it to IBD100 as #19.   See last weeks DJIM wk #11 for our buy in below $16 , the play we were looking for and got Friday.   We are keeping an eye on ALY as well.

EDU, Chinese stocks immune to the pullback?  Perhaps!   We are certainly seeing strength in many of the Chinese stocks on our trading list.

RVBD, this is one of the techs that broke out on Friday, one of the few techs that are standing out in our opinion. We still can't decide between the APKT, RVBD, DIVX...IPO's.... all we know is they provide plenty of trading opp's at this time, figuring out which will be the champ longer term is anyone's guess. Right now..there is a new champ every week in this IPO tech game.

Speaking of champs, we threw out ATNI at the open mid week ...she was a champ going from $21 area to $24 for many DJIM readers in a few days. We took a lot off near $24 as it seemed a bit tired late in the week. The numbers look great and we look for more out of ATNI. This is a relatively unknown stock, we hope and by the early volume off earnings we think this may be on a few trading lists soon.

RIMM,APH,UCTT round out our lists.  As per BT's charts, ACOR proved it couldn't handle its weight. Looks like many were expecting something out of the CC to fuel it. It didn't happen and many sold off. Still we'll keep this one around DJIM and hope for a news spark.

SYNL, EML are two DJIM profiled quality EPS crawlers..these are for the ones that like their sleep.

So, it seems that we have quite a few new plays on our hand after cleaning house late October. We are basically trying to play the best setups and again keeping our time frame short.   Until the market mood improves or we get a great earnings winner, this is the way we are going to be trading.

GMKT and others....

We also like the action in GMKT.   This co. reported earlier and we really like its action, much like SRVY action yesterday.

MR, pre earning run starting today in our opinion.

BTJ, this one wants to overtake GROW in IBD rating. lol   We are not arguing with its intention and we are trading along with it.

GROW, as much as you hate how the co. pumps their own stock this way, you have to agree that this action is nothing short of spectacular.

nice follow through across the board...  SRVY RVBD GDP DIVX

DJIM hold/ hit list #14

Up until this point, we have to say that we got more than we bargained for during the last few weeks.    Market has been extremely good and we had no shortage of good runners and a few super runners.   A quick glance at BT's charts, DJIM list#13 from last weekend and you see what a week DJIM had.  We introduced some new blood at the open during the week, EXLS, ZOLL to go with the GMKT, EDU, DLB, GROW, EFUT, AAON, ATNI already on the DJIM list from last weekend. These days are the reason why we trade, this is also why we have no problems going 100% cash when our gut tell us to.  Animal instincts, pile a stash for the harsh weather.  Some of these DJIM stocks definitely need to consolidate but new opportunities are popping up left and right,  so it's best we/ you do not have your cash wrapped in something not participating or moving. Thanksgiving trading week could add some fuel to the fire, this is why we've kept the charts of EFUT, CAAS up for more trading opp's...maybe this is the week...You see when the gnomes leave for turkey, the retail kids like to take charge of the house on a few names and run them up...basically taking a turkey and stuffing it with MOMO for a day or two.   A good chance is the theme of the C-team, China stocks continuing on.  Many of them provide a nice float to move.  You spend lots of time trading and learning and going through countless emotional roller coaster throughout years of dealing with this market.   Thankfully, a month like this would make all the hard work you've done in the past seem worthwhile.      We are going to highlight just a few stocks that stood out going into the weekend concentrating on the Asian theme.

JST, we played this stock a while ago and someone lit a rocket boost behind it on Friday.    Is this all because of the asian theme?  We definitely think so to go with the earning thrown in.    What may added fuel to JST is the IBD rating and it's not a total surprise to see it show up on IBD 100 this weekend, #73.  Unlike the other IBD plays floating around in the last few weeks, MEK BTJ ALY,  we think JST may have some more momentum to go.   Why?   JST is not oil dependent, and it's in a sexy region!  This is something we pointed out Monday, a look from the oils to China stocks, well now its spread to Japan a bit.  But most importantly from the trading perspective, it's being discovered by momentum crown based on its volume on Friday.    Ok, so momentum doesn't go up one day and die down the next day and we definitely don't think JST is one of those one day wonder either.    How are we gonna play this one?   The bias is definitely on long side and we will be trading it aggressively. We are also seeing a trade around CHDX and BIDU, primarily we are interested in the CHDX action.

MR, if the earning reaction isn't exactly explosive, then we can say that we are glad that the earning thing is over.    MR went up on its own Friday and had a NCHigh after being mentioned early in DJIM Alerts.  We like this one very much and added on its advance. Again...why hold a stock into earnings, better to have free cash and possibly dig up a EXLS the same day. You can always buy the MR back, we've been doing it since introducing it late September at 16.40. It was a frustrating stock at times but now up 30%.... it's all forgotten with the possibility of more on the horizon!

GMKT, hit $25+ Friday after getting a DJIM headline November 9th has provided many opp's to enter in the 19's-20 since. Late last week buying the dips was a buying opportunity as well.  The stocks price and daily volume keep riding the tide... higher.

TRT, this might as well be a foreign stock as it does the majority of its business in Asia. The stock has been in a tight range since exploding off earnings with DJIM in tow from the $12's. The thin market might be the right recipe for another leg up this week. Although a quick dip to the 9ema is a possibility with TRT, a  potential buy point again. The other choice is to buy a confirmed breakout which is not far off either. Volume is key here, both ways. You want it slow and easy to the 9ema, you want it hard and fast into the high.

Three and a half hrs left....

Still 3.5 hrs left to feast on this holiday trading week....do you have it in you?.

Wednesday premarket we noted JCG, J Crew which has been undergoing a turnaround since 2003 with a new CEO.  JCG came out with stellar earning and raised "G". We're not big on trading retailers but this one had a nice chart and the flavor of IPO still over it as well.  Hey, its not Limited Brands inc, (LTD) that we could do some serious due diligence work on over the holiday up here in Toronto... but with XMAS shopping season around the corner, this preppy clothier might stick around the DJIM books if it continues to gain interest. Of course, its Black Friday weekend so you have that to consider all the upcoming news into a potential retail play for your book.  The stock traded up to $38 AH's Tuesday, the open dipped into the high $36's..a surprise with nothing really behind it, this definitely looked like a buy opportunity to us..  Soon the stock picked up and it was not too much later that we entered as it started to catch some air. There are 100's of releases this time of the year, we are selective in putting things up you might want to look at during extended trading hours, DJIM alerts as well.  JCG was one you should have been watching early on with us.   CAAS's crazy one day run recently might have given you reason to check back into this Market Chat feature.

Another highlight was the move in the heavily followed DJIM stock MR.  Not much you could say about it except it managed to tack on another $1.50 after being alerted to with the follow up on JCG in the morning.

CMT, this late day alert Tuesday in the very low $9's put in a very good day closing in on $10. The chart looks excellent for this steady mover and it's IBD #'s are getting interesting enough to get some attention in our books.

GROW, GMKT continue to provide the best trading opportunities while climbing higher, buying the dips is not going out of style with these G's.

RVBD is providing the best opp in the recently followed DJIM tech names and is really the only one we have interest in trading...DIVX might be shaping up but the SCNR, TWLL, TRT, UCTT need further consolidation and/ or a breakout for us to get interested again.  Be careful tomorow, false breakouts may occur on small volume, best to pocket some gains because they can evaporate quickly come next week.  

EFUT, CAAS are teasing and might be playable tomorrow again, we just wouldn't be holding them into the weekend.

From Russia with Love...

We started the day with a very optimistic tone and we definitely finished it with the exact same tone.    So basically, the cautionary stance we took a couple of days ago is a little bit lessened.    However, just because the index is finishing solidly green, it doesn't mean that we are going back gun ho and buy back all of the DJIM stocks back off our watch list.      Still,  it's a game where you only get rewarded from the best action going forward, not from the past.    Momentum stocks provided us with some solid gains yesterday such as FMCN DIVX late day runs, today we had some other DJIM stocks such as ATNI IAAC SNCR MR EDU... providing sparks.    On top of everything,  every one of the Russia based telco stocks caught fire today, notably MBT GLDN VIP ROS.    These were the primary trading targets but if you were recycling DJIM names, you too had a good day!

DJ Traders Market hours Alerts in DJIM Alerts

'[Demi]' posts » MBT, russian telecom out with excellent earnings, also possible overflow to others such as VIP-GLDN, which was raised to buy and a 50 tgt from 37 by an overseas bank yesterday.

To cap the day, we definitely had a couple of wild small caps and the one we chose to play is RNIN.   RNIN is getting some buzz b/c of its close similarity to FMCN and the fact it's an IPO, it gets played with some serious momentum.     It's not easy to keep the gains for a 5 buck stock, even though the float is small.   It definitely had its share of volatility today, but the end result is a close near the high of the day with volume surging toward the last half hour of the day.     While this normally signals another good day to come, it's never guaranteed that it can happen and this play is definitely on the more speculative side.    And last, oil service group had a very decent day.  Recent DJIM stocks such as ALY BTJ GDP PVA... all seem to have broken out.    We'd say choose your play wisely and pay very close attention to the overall sentiment in the group.    One little hiccup in the sector and we are simply outta there.     

That -54 Naz day is still lingering around our memory.   It can not be easily forgotten and the way we've been trading last couple of days fully reflect that.     We have been playing with smaller sizes and only playing with those we think that exhibit the best momentum, today it was the idea of a wild fire spreading from MBT earning. It was a hunch in DJIM Alerts premarket and paid off handsomely with NCH's big dig days from the Russian stocks.

cheers,   

All the familiar ones...

This has been the theme throughout the the day, and throughout the month, so far.    Stocks that are going up today are those that have been trading near the 52week high during the last little while.    It definitely pays to have a watchlist full of strong stocks.    In our case, it's the DJIM list.   Here are some highlights..

ZOLL, this looks like a clear breakout today with respectable volume.   We added a little and feeling the move up is far from over.

MR, we are simply too tired to mention this one every other day.  This is a good stock, period.

EDU/HMIN, chinese stocks are definitely catching some fire today.   Both had a new closing high and that always spells potential momentum.

AXR, yes it's volatile and it can drop a few bucks intraday, but it can also be rewarding and trade up 15 bucks.    The key to trade a stock like this is to recognize the trend.   The trend is up and then it doesn't take a genius to know what to do, the rest is up to your experience and instinct.

There are quite a few others that made new highs and we are trading some of these moves.   Interesting movers include HRT LXU FRD GRRF CAAS....

ALY, BTJ,  we discussed their failure to avoid the trend Friday, well today it couldn't it fight it and $61 oil any longer, we reduced our exposure for the time being. $63+ is again showing its resistance.

POWL....bam...boom

..did you think we were going to get the CRASH...SPLAT too?.  Come on, you did!...Well, if you didn't, we did with the NASD down 20 and the FOMC a few hours away.  Our belief has been the closer we get to the holidays, the farther we are from a correction.  We just don't see Bernanke and his Posse stealing this Christmas after giving us such a ride.  It just wouldn't be fair, would it?.   The problem early was NUE and the NUEsami it could cause that rattled the market...the ripple effect, the wave hitting other steels..metals..titaniums...oh no maybe all the way to China and our dear DJIM China stocks!.  Oh yeah BBY didn't help the cause.  The 2:15 FOMC was almost a pause, nothing too actionable as expected yet it gave the market the little bump it cried for. The NASD spread was 25pts from open to lows, finishing down 11 was just fine.

We liked IPSU's numbers and expect a few follow ups from the analysts they surprised. We were looking for a breakout from days tight range after the FOMC showed all was okay for todays market, but never got it.  Sometimes, stocks need a little time to give it another leg up...recently we wrote on DJIM about POWL and wanting to give it a few days to settle...well, today we alerted to that note and the rest is history from $28 to a $30 close. Sometimes it takes a good stock a few hours to move again, sometimes a few days to be discovered again...sometimes a few weeks.. REXI which hasn't done much since our 1st day run off earnings, maybe will turn now.

If you've been kicking back with some DJIM Russian telcos, you enjoyed the volatile GLDN hitting a NCH with another move. The chart, the volume are all there. If you're in the crawler, ROS..you got a new high $40's as it announced a fast fiber deal with KDDI from Japan-Russia.

Really nothing too exciting today, mostly a bunch of stocks, including DJIM's hitting off new highs early on. This could be a short term top that just provided a higher exit or it could just be a small turn before catching more momentum. The market will let us know soon enough.... EDU smacked 37.96, DLB 31+, MR 27.20, ZOLL 56+  Is this it?. We don't think so and will keep to recycling the best DJIM names and sandwich new plays around the core.  A stock in a uptrend, including the previous days action coming to a new high... might continue a downtrend if it breaks that previous days lows...something to watch and help make exit decisions.