For investors the best thing about a 3 day weekend is it gives an extra day for M&A activity to kick in. This weekend surely is not disappointing in this department as lots of activity is coinciding with the markets playing with highs. Hopefully, this gets us off on the right foot into a shortened, but what we expect to be a busy week. The flurry of earnings will hit us this week and hopefully we can hit back hard by buying into DJIM type earnings winners. This is the time we/you might want to reduce sizes of holdings or get rid of stocks completely stuck in the 'hub' with no immediate flight plan. It is best to have cash ready and not be forced to sell things off to get in on a play early. There is always more than one opportunity to get in on a DJIM stock, but sometimes the first is just an easy gift you can close early and then look for another entry..examples might be like a SNCR move last week but one with earning or an explosive VOL off earning. Also...don't forget to look for earning dates of your stocks!. We have enough on hands here in Canada following US holidays, so help us out on DJIM stocks...we knew EDU had earnings Tuesday, but we didn't know we had a holiday today till about 11 am on Friday..lol. We almost broke our 'no holding rule' into earning with EDU!.
Heading into Tuesday, these are our top hold/ hit lists plays at this time in no order..
CCF- Chase Corp is one of those small float (2.3mln float) Amex stocks that hides with pretty darn good earnings. Friday it reported its profit doubled on a 26% revenue increase. This .62c Q follows last Q's .69 on similar revenue. We also like Fidelity owning about 50% on the the instit. shares( 400k). If they want more, they can get ours now in the $30's!
OSIR- made a nice comeback late in the day Friday. It seems this one besides the FDA news last week is starting to be looked at as a stem cell stock of sorts. This explains the volatility the last 2 trading days, Osiris is also developing stem cell treatments for cancer and heart disease. A new NCH has us looking for more in this name, but now we are looking for more volatility that made us run out of it, Thursday. Easier to deal with volatility if you know why its there, we didn't Thursday.
CCOI- just a steady follow up Friday from its big day the day before. A NCH and a stock that is up 4.5 points in the New Year so far, almost 30% and is sure to be picked up by more eyes, but it also should consolidate sooner than later. So be careful jumping in!. Some of you are getting in a tad late on some plays and expect miracles too fast!.
ABM- we are satisfied with this steady performer. A NCH to end the week, don't forget we have been on this since $21 and the big push the second day after earning. This is heavy on institutional support, so this pace is not unexpected.
MR, is back in the picture... we like the move Friday and the fact it held it by the close. We added some near the finish and think this one might be one of the better plays to start week as it has climbed nicely above its 9ema. It could be just MR, it could also be EDU following earnings and HMIN might not be far off ( we would like to see 40+ before really taking another stab at it). FFHL should get some play but there is that supply of ones wanting to get out overhead to consider.
AMK, might be the other top play heading into the week. This is a small float with a nice earning story that is reporting early February. It just looks like a typical 9ema play at this point heading into earnings. Wish it just take out Ceramics from its name from its name!. Can't help but think pots when you first come across it!
INFY, we like it for its EPS, its business and where its at (India). A few targets in 60's already out following EPS. This might be a nice longer term hold.
CENX, a play we noted off AA earning is doing well but might want a rest in the 43's. It opened just below $40 on Wednesday following AA's eps. Again, if you want a nice aluminum stock to hold for the AA story, this is it for the longer term.
MFW, looks to be one to pick up more of on the dips. At this point as it has some interesting intraday moves and sits close to a high.
SNCR, seems panic has set in with some, yet its only finished day 3 off news and is only 6% or so off highs. There is two camps here, one that was getting in $15's Tuesday AH and then early Wednesday and the second camp that was procrastinating and moving in mid $16's and higher. Basically first camp has been distributing and the second camp just needs to be patient through it. If you don't believe in the story then just move on.
VOL, momentum begets momentum and that is what happened to the upside...and to the downside. It works both ways, kids. If you've never seen it before, you just passed MOMO 101 last week...hopefully in one piece. Violent sell offs are nothing new in something that goes up so fast. Now we turn to giving this a look around the 9ema area. At this point its only a look, we like to see a reversal begin before considering a entry.
MTRX, MTRX, MTRX one fine oily day it will move.
Some notes on other stocks in Alert/Update page.