DJIM #8 2007

Three days off from the markets almost makes you forget what a happy little place you were at!.  That is until you look at your trading account gain over the previous weeks or the charts of DJIM's closely followed that we/you own to put yourself in that happy space again.   You see there is no excuse to be stuck in the mud after the last 5-6..trading days.  Opportunities have been a plenty and the market has been with you.  If you are not ahead in the game, you are not taking advantage of what DJIM provides for the day tripper or for the investor.  What opportunities?.  Well..lets go to the alert-forum pages and see what was there.  A week ago Friday, there was...

CSV at the open and $5.50, we said to look for confirmation at $6 for interest....it was there and it has touched $6.80...

ONXX buy in premkt on forum when the phase 3 was released just below $20 and now it sits just off $28.

The same day we mentioned the stellar earnings of BW around $41 and the buy of a starter that night, it has traded to $46 since.  Then there was the sooo timely mid week note on TRT lagging the field when it shouldn't have and the kick ass move to nearly $16 in less than 2 hrs on rally day.  This is one example of not chasing the 30% gap on earnings and instead waiting for another entry.   If that wasn't enough, we introduced CYNO low $23's...now almost 10% higher and IBD #28 by the weekend.   Friday's seem to be made for small cap earning and last week didn't disappoint as HURC released their earning.  We alerted we'd be buying early and another 10% was available after the gap open as the stock ran from $39's to $44. If we started the day on a good note, we might as well end it on a good note.  KRSL on the reversal and an alert just under $18 for a potential kick come Tuesday was the trader alert.  Well, it looks like it came in the last 20min and AH's.  Again, this is an example of not chasing if you miss a early entry off earning on a small cap/float stock and instead waiting for the next entry a few days later.  Last ...we checked this was trading over $20 AH's on Friday.  So, this was just the new plays last week, we can't forget the steady climbs on most DJIM's holds to new highs all week.   The long term holders should be happy with DJIM steel, aluminum, lodging, Internet plays...USAP CENX OEH VTRU and even our Euro play in VE, now from low $68's to $74.  Hey even a licorice/banking stock in MFW.   There is a mix on DJIM for any type of trader/investor.  You're not expected to catch all of these plays from last week as there are many factors involved, including size of account...but you should be sticking a few of these trades hard last week.  This is NOT about selling you that DJIM works, you are already here and so the only purpose of regurgitating last week is for ' hopefully ' not many of you to see the potential you are maybe missing and figure out why!!.  We simply want everyone to enjoy the same success.   So,  if you were not in a happy place late last week,  it's time to re- evaluate your strategy as we said last weekend and send us your recent trades and confess to your bad habits.   A very few have done so and hopefully last week they exercised what we discussed and profited.  Count how many of these DJIM plays mentioned today you hold this weekend or traded last week,  this could be a simple test to know why you are not ahead of the game.

HURC, this opened nicely with not a lot of fanfare as the volume indicated. This provided some early entries at a decent and not runaway price.  Soon you saw the potential in how fast this stock can move.  We touched on what we like about HURC in alerts. There is nice growth of 14mln yoy in revenue plus over 2mln in net.  The estimates were beaten and sequentially there was some growth which we like to see.  Considering 2006/2005 yoy Q was flat last year, this is impressive considering they did .84 v.48c.  Seems like they are back on track with operations in China to take hold in 2007.

KRSL, seems every Q we go through the KRSL hype off earning and most of the time it does not last.  The 775K float is always advertised as the the holy grail on this stock.  You see it has been beating YOY numbers Q over Q for the longest time and the same story starts.  This time many will put their EFUT in their mouth and say this will become such...Hey,  weren't they just saying that with FFHL and the happy smiley price targets on it.   Simply, the numbers are good but there is nothing tremendous about them.  But that is not the point here,  it is only about how much the traders want to play and drive something higher.  It depends on the mood and right now its seems to be craving a runaway, just a feelin'.  The volume the first day makes us think this might have a longer life span this time around.  This is for traders unless you want to take a $2 dollar lotto ticket on it.  You can see the drop to 15's and the pop to 20's as to the volatility.  Anyways, we got our trading boots on with this one and will trade accordingly.

With over 90% of the SPX probably reporting already, you might think it's the end of earning season.  In reality, this is when the small / micro caps quietly start sneaking in with reports, so this hardly the time to get complacent and tie up cash in laggards.  It is always good to have cash ready and not be anything close to 100% invested as you don't want to be selling something in order to get at another.  First, you will never get the price you dreamed of for the one you've been holding and by selling you won't be getting the new buy at the price you wanted if it runs quickly anyway.   Still, this has been a very productive earning season so far as we conclude week #8 of DJIM weekend updates.    To name a few nice ones from this Q, we need to start with USAP as the big winner from $36's.  CCF VARI VTRU ENR AVZA MTRX, a few quick 20% runs in the cheapies like TGX TRCR and some that are fresh like SYNL CGX  CYNO etc. that we are looking and hoping for more out of.  The charts paint a good picture of the recent DJIM closely followed,  nothing we can really add than what you see from last weeks Journal, Alert follow ups and Forum notes.

Happy trading and a Happy Chinese New Year to our DJIM friends...

Solar...Solar

Now only if our entire portfolio is made up of these solar plays, then we wouldn't be worrying about the choppiness of this market.   The truth of the matter is, when you have become a mature trader, it's just hard to dedicate a meaningful percentage of your portfolio to plays like these.   We have been playing these solar plays for a while now but results are definitely not the same as the stock's performance suggests.    Well, this is part of the game and we just have to weigh in and balance out different plays with different kind of risk/reward ratios.    The market looked a little worrisome intraday and despite a late pick up in the market indices, many of the most recent strong stocks we follow still ended up in red.     Unfortunately, when the only group of stocks you are trading are the ones that are near 52 week high, this sort of behaviour is common when they lose a little steam.    We reduced some exposure today and we are still going home with a cautionary note.     At this point, we have no bias on the overall market and we are certainly not sticking our necks out to see which way the wind is blowing.     We are taking some of the trading opportunities from some hot sector and some story stocks to make our trading days a little more meaningful.

TSL,  yes it looks like one of our members gave it a royal pom pom blessing and it closed at the high today.   The momentum certainly looks strong and it feels like there is more upside to come.   Right now, this play is really beyond the eps/outlook but rather it's more momentum based as we've said before.   What you see is what you get and it's a little pointless taking the fundamental into the account when the daily swing is 10%+.    We have been busy trading this one on the long side but we are taking this play as is.   We do want to caution that when this one does pull back, don't expect just a one or two point pullback, be prepared for some dramatic movement. In the meantime, even a technical newsletter bull on SOLF can bring the others into play once again.  It could also work the other way, so be on guard and don't get carried away.

FSLR, we don't know if this one is following TSL or the other way around but the end result is similar.   This one also closed pretty good and pace seems a bit controlled compare to TSL.    Even though FSLR's gain is conservative compare to TSL, we feel it's also way less risky when it comes to actual trading.    Again, it's really up to an individual to decide which one he/she is more comfortable with.  But as we said yesterday, we are more concerned with the strongest at a particular time...hitching a ride and not asking for names.

EML, yes volume is really laughable in this one today but it's only a buck or two off the all time high.   Keep an eye on this one as this is back in play in our book and watch for further volume increase to look for trading opportunities.

MFW, nice rebound so far. The best way to trade this is go with the flow as the institutions will do the calculating on the debt of one part of the company and the value of the licorice biz etc..  We are not about to crunch the numbers,  it's easier to go with the flow. If this continues it should top the recent top going into MFW's full earnings which appear to be in mid March.  Plenty of time to catch on,  if we get a continuation of the big run recently.

UEIC, we added this one to our watchlist on Friday and bought a starter.    We liked its earning number but more importantly its earning reaction.   This one is actually an institution's favourite too as 75% of the float is held by them.   We are definitely keeping a close eye on it to see any further development.

Briefingcom bit, Barron's reports Universal Electronics (UEIC) shareholder Neal Goldman, who runs Goldman Capital, believes shares could appreciate by up to another 50% in 12 to 18 months, based on increasing penetration of the markets for HD TV and digital-video recorders. He's also enthused about new products like Universal's Nevo SL controller that orchestrates everything from HDTV to music stored on a computer and routed through a home-stereo system. "If you take away the $4.50 a share in cash from the [roughly] $25 stock, you are looking at a stock that's trading at a very low multiple of 16 and that can grow at a rate nearly twice that," Goldman maintains. The co's sales and earnings, reported late Thursday, topped Wall Street's consensus estimate, lifting the shares more than 23% Friday alone. Universal also raised its Q1 guidance. DirecTV (DTV) and Comcast (CMCSA), which utilize Universal's technology for their set-top control boxes on an OEM basis, are its biggest customers, providing 19% and 11% of revenue, respectively. The co's technology is also used in DVRs that TiVo (TIVO) and the cable/satellite operators supply to their customers. The real allures, according to Avondale Partners are its intellectual property -- a portfolio of patent-protected technology -- and market position, with 75% market share in providing remote controls to U.S. cable operators," director of research John Bright says. Their library includes more than 260,000 device codes, which allow its devices to plug into more than 2,400 brands worldwide.

We like Avondale..past success with their money

BTJ, IBD's "New America" section gave this one a pop today and this is definitely one of the most interesting oil service plays out there.    Maybe this one is getting the kind of exposure it needs to price it at a relatively higher valuation.   We think once the IBD fever dies down, it'll go back to the old "track the crude price" behaviour.   It's just at this point, it's hard to say how much higher of a price it's going to sustain with this new found IBD exposure. Day to Day with these as before.

All in all, this is mostly a "do nothing" day for us other than a few selective plays.    We are sticking to "play with the flow" strategy and not to lean either way until every signal we see points heavily in one direction.

Boring day...

We can't fault this market to behave like this today.   After all, the only thing we can do is to respect what the market is capable of and act accordingly.    Basically, there's not much of anything going on out there and we are writing the day off without writing much at all.   Maybe..on account of weather as we actually saw sunshine and felt warmth for the first time  in '07.    Earning season is almost upon us and we have to gather our energy to prepare for possibly another busy one.

ACAD, this is the only one we fiound of tradable quality today mentioned on DJIM.   It broke out and we added some but not too aggressively.   We are also keeping our eyes on ALXA and to see if it can establish a tradable base or not.  A few past DJIM's could be added back on your potential playlist.  MFW ROS

It just seemed too easy..

to shake off the damage incurred in the late Feb.   We were hoping that people would forget about the mini correction sooner rather than later but unfortunately that may not be the case.   Mr. Bernanke, of course, is not helping the situation either.   " Uncertainty" .. Mr. M is creating a lot of that and we somehow just have to get used to his way of business from now on.    The tension in mid-east also is adding salt to the wounds so it's almost a given that we have no where to go but down today.

Both indices touched 50 ema couple of days ago and now turned back down during the last couple of days.   Right now, we are eyeing the top range of that mini correction we had last few weeks as the support of this breakdown.    Although we are not making any kind of bets on that support but we are definitely hoping that support would be held going into the earning season.     This brings to the question of "how is this market going to behave during the coming earning season?"     We have said it many times before, under normal circumstance, market rarely crash before the earning season.   The excuse to sell things usually happen toward the end of the season.    This time, we aren't making any exception unless some major market moving events develop along the way.    

We think it's best for this market not to test the old high anytime soon.   Let this market churn and consolidate for a bit longer.    During an earning season, a good earning report will get rewarded as long as the market is not in a corrective mode.   We are looking for this kind of scenario during the next little while.    A combination of boring market and strong reports would give us obvious and easy targets to trade.   Believe it or not, when the whole market is strong, everything goes up and it's hard to distinguish a good earning play from others.    When the market is simply not doing much and then you have a good earning play, we'd know right away which ones to jump in.     This is also where DJIM background shines out the last few years.

Still a day like today brings out the DJIM methodology of discovering good stocks and coming back to them.  Recycle. DJIM is also about accumulating points and 3 of the stocks below provided such.. MFW +3pts to high, VIP +2 , CYNO 1.5.   These stocks have been big winners here in the past few months and today even on a dreaded day they were able to produce if you followed them with us at alerts.  Considering the state of the market these stocks are not the longer term plays as they were before.  We are prepared to take the points on any sign of weakness and move on the next stock or just sit in more cash.   To those new at DJIM, please read the Alert-Comments description as to what purpose it serves.  We are giving you the stocks we are buying or the stocks we are looking to buy on any sign of further strength ..very soon.  Some like ALXA are no brainers in chasing. 

MFW, this one was noted last night and today it did not disappoint.   Despite the weakness from the overall market, this one held its ground right till the end of the day.   No matter what you say about how strong the stocks in your portfolios were today, this one simply outperformed 99.9% of the stocks out there.

CYNO, we alerted this one in the mid 27 range and it firmed up throughout the day and closed near the day high at $29.   This is also a nch.   Volume is particularly strong today and this is the kind of stock we'd trade aggressively.

VIP, we noted on the weekend we are keeping it close on our playlist. Before 10am and in a bad market, we felt it had a chance and it didn`t disappoint with a move soon enough.  The break wasn`t extreme to new highs, but in this market...we`ll take it.

VYYO, we are definitely a little disappointed on the way it behaved and closed but it's probably understandable b/c of the almost non stop action during the last few days.   Probably should have stuck to past DJIMs and shut up after being up nicely on the first three.  We retained a small position and will watch this one closely on any possible breakout setups.   We'll alert the members if we see such an opportunity arises.

The bottom line, don't be too pessimistic about what's going on in the market out there.   The key is to trade what's working and especially pay attention to those DJIM type of stocks that are green.   Be disciplined when it comes to cutting losses and protecting profits.    Given the uncertainty of this market,  we literally have to act like `traders`, not pretend and not fall in love with our holds.    Until the market gets a better trading environment, we just have to poke them one at a time for now.    Hopefully, we'd get some big earning reports going into this earning season and create some stability for this market so we can do our wonders at DJIM.

cheers, 

DJIM #14 2007

Looking at the past week, we sure had a lot of turbulence news wise yet whole lot of nothing from this market.    Being a trader in this market environment, we have to accept what's happening out there and constantly adjust our game plan in order to cope with what's working.   Basically, it was a grind out there and whole lot of time was spent on watching things that may not develop.   Well, this is one part of the trading world that we have to accept and we just have to deal with it to the best of our ability.    Because our trading methodology is very short term and most of our plays don't last longer than a couple of days or weeks, we always tend to assess the situation bear in mind our trading time frame.    One good thing is that last week is in the book and we are setting our eyes on a fresh week.   We are also getting closer to te earning season.    While a few little biotechs dominated the stories last week, we still had a few DJIM type of stocks making some nice moves.

MFW, this is probably the result of a long base forming action.  This one held up reasonably well during the correction and it caught our eye earlier this week on a breakout setup.   It did not disappoint and closed the week near another 52 week high.   We are definitely keeping this one on top of our trading list for the next little while.

CYNO, despite the minor pullback on Friday, we think this one is still very much in play.   The 9 ema is catching up which should provide support for this one to gain some footing for possibly another assault higher. We will look to play again. For those new to DJIM, this stock was an alert before being added to IBD back on Feb 15- CYNO, "Accumulating some of this one. Reported recently. Like chart, IBD #'s and float. Low 23's"..Posted on Thursday, February 15, 2007 at 01:49PM

JSDA, so Cramer jumped on this bandwagon and we are definitely putting this one on top of the trading play list at least the next couple of days.   Despite how much you like or dislike this TV guru, we think he can bring enough exposure to this stock for us to get a couple of "easy" tradable opportunities. Also, it was one of the biggest decliners in IBD last week, so look for some support.

TGX MTOX,  A couple of the best performers Friday are past DJIM EPS stocks . Some of you have definitely kept a closer eye on these two than us.    Given all the biotechs news we had last week, it's understandable that these small medial equip. co. can also be put in play.   We've always been partial to this sector and many of our past winners have come from this sector.    Yes, these ones are back onto the top of our trading list. This recent IBD addition has a column on it in weekends edition. As you know we are not shy about buying moves already made.

TGX was a earning play just below $4 in Alerts on Jan 30. here is a refresher on it...Briefingcom- After being a momentum stock in the late 90's, Theragenics fell sharply a few years ago and went through a restructuring and fell off the radar. However, the stock is showing signs of life again and could be making a comeback. Yesterday, the stock traded to a multi-year high following a strong Q4 report. Sometimes a big qtr can put a little company on the map for a sustained move. The co is a medical device maker and it's the brachytherapy segment that is the driver here: its TheraSeed device is used to treat prostate cancer without the drawbacks of surgery. Brachytherapy with the TheraSeed device involves a simple 45-minute, one-time procedure. Typically, a patient receives local anesthesia and does not feel anything below the waist. The physician then inserts thin, hollow needles into the prostate gland and deposits about 75-150 tiny seeds. Most patients leave the hospital within hours and resume routine activities in 2-3 days. During the next few months, the radioactive ingredient, palladium-103 (Pd-103), fights cancer from inside the body. The co says its treatment produces results better or equal to surgery... TGX's Q4 results were impressive with revenue rising 30% yr/yr to $14.8 mln and EPS of $0.05, ex-items, vs a loss a year ago. The co has now delivered four consecutive profitable quarters for the first time since 2002. The co also says it benefits from an important federal health law signed last month which protects reimbursement rates for seeds... Bottom line, TGX moved up on this report, but it still has a market cap of just $143 mln. A strong qtr can put a little known stock on the map, so it's a name to watch as it attempts a comeback. Mkt cap

WBD, we added a small piece on Friday after noting it on Thursday following earning. WBD was an original buy on DJIM back in mid '60. What a nice hold it would have been to today. We are looking to add if this trend continues, we would be sellers not much lower than our pick up in the 79's.

Solars, crude oil definitely stole the spotlight last week.   One would think solar plays would catch some fire as well.  Well, we think it's just a matter of time.   Now we just wait.    The point is, we just can not afford NOT to keep a close eye on these solars.

Let`s get earning season into gear.......

Plenty of nice money making  EPS plays started here last Q including USAP CCF VTRU VARI MTRX SYNL EML HDNG CYNO TRT..again HURC  micro caps TRCR TGX NWK AVZA CSV

Note: We will not be processing renewals or re-activating turned off accounts for those who (signed up Jan 3 or before) during trading hours.

DJIM #15 2007

A premise here has been our belief that the markets will be solid going into another earning season, a market has little chance of crashing through the floor before the companies get a chance to tell their side of the story. The correction has been literally wiped away and the recent retracement to the 100ma averages has seen a healthy bounce as we enter Q2.  Last week was one for the books as a number of plays here enjoyed breakaway gains..WBD, JSDA, GROW, MFW.  Isn't interesting that these are all earning plays at one time or another on DJIM. We also had nice moves from AMAG,OYOG.  Plus the solars TSL,ASTI, FSLR..we talked about last weekend as a possibility for the week made for some nice trades.  Sometimes the strong get stronger and it is more apparent in a bullish trend such as we enjoyed last week.  Simply, this was a case of recycling which is a big part of our trading methodology. Speaking of recycling, a few names popped back into our books here on Thursday and they include DJIM stocks from January in MTRX and USAP, both previous earning gem winners.

We'll concentrate on Thursday additions...

MTRX, announce an excellent Q with an upside to guidance. Last Q this was pick up at 16+ and was as steady as they come. Not a big flyer it survived every pit the market would throw at it, including a sliding Oil price and it still held ground. We expected MTRX to trade as the previous earning day, but it performed much better than expected as the institutions did not churn it as before. The guidance was the key this time around as it put on gains throughout the day finishing strong.

...beats by $0.07, issues upside guidance (21.41 ) : Reports Q3 (Feb) earnings of $0.24 per share, $0.07 better than the Reuters Estimates consensus of $0.17; revenues rose 41.1% year/year to $168.7 mln vs the $136.5 mln consensus. Co issues upside guidance for FY07, sees FY07 revs of $630-640 mln, up from previous guidance of $560-580 mln, vs. $588.92 mln consensus.  CEO says, "Our third quarter performance significantly exceeded our expectations as we were able to add to our strong talent pools in the construction services groups allowing us to capture and execute more projects, particularly in the Downstream Petroleum Industry."

USAP, a darling from last Q with first buy in at 36+. This maker of speciality steel products including Aerospace and power industries is in the right space at the right time.  We think it is just a matter of hours before we see USAP take on the February highs of 51.80 and go forward and so we added it back. FWIW...Cramer was bullish on his lighting bolt seg March 7th as well.

SPEC, this one gapped off earning March 30th, ( Q1 EPS of $0.16 vs $0.02 in yr ago period; revs $32.9 mln vs $25.6 mln in yr ago period ). Sequentially, this was in line with Q4EPS and with 99 94 IBD numbers it is seeking $15 from the IBD crowd.

Speaking of IBD... How about SYNL and EML, #13 and #85 this weekend for these two DJIM finds from 2006 and last Q. Guess they added their volume together to stick them finally on IBD100.  A note about EML, Friday there was a note on Dept of Defense new armoured vehicle program. Big contracts will come in 07 as this program expands and AH(Armor Holding) gets EML do quite a bit of the work. 

TNH, Terra Nitrogen (nitrogen fertilizer products). 93c Q announced in February. It has been a great trade for sometime due to its volatility. It is one to be traded with care. We added on the dip Thursday and it recovered and flirted with new day highs by close. Made a NCH on a very good volume day(top 5 this year). Guess this is a Ag play as it grows what we eat,  but it is tied to the price of natural gas, it is more than 60% of its expenses. So know what's going on in that end.

As great as the recycling program can be, it does not stop us from looking forward and having cash available to go strong after a new batch of earning plays. We have a growing play list after last week, but we think the bigger money can be made in new picks coming up and so enter this Q with plenty of cash on hand.  Also, if we were holding any laggards at this point, we would simply dump here and avoid waiting for a sunny day with anything stalled and just free up more cash to use on new plays.

If you need reminding, here is a list of some of the stocks we traded here last Q off earning... USAP CCF VTRU VARI MTRX SYNL EML HDNG CYNO TRT HURC TRCR TGX NWK AVZA CSV.   Get it?  Opportunities will be there!

It starts with RIMM and VIP this week as far as past DJIM earning plays.  If you missed it, we've talked about VIP being a play before earning on the heels of MBT report  here on the Journal. So watch it closely this week for a pre-earning reaction. A few notable Russian funds were up over 3% last week, maybe it wasn't all WBD holdings;), but a sign of things to come for DJIM Russian names.

Also, the earning dates link waits for your participation on earning dates for DJIM plays when found.

DJIMstocks.com Alerts blooming in April..

What are DJIM Alerts-Comments?. They are up to the minute "leads' to members available on our site or via email delivery. These are stocks we are closely watching for a trade, a heads up of sorts and ones we have just bought.  This section is mostly for the trader during market hours and those who are familiar with the DJIM trading methodology and the stocks from our nightly Journal.  We only send out 'only' 1-3 Alerts-Comments a day, which some days includes some of our plays for a next day move.  In the evening, we follow up in our nightly Journal blog on most of the activity that day in regards to our buys/ play listed stocks.

Here are a few examples of the DJIM Alerts-Comments feed in the first two weeks of April.

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JSDA, this was not first week we issued some timely alerts on JSDA. The latest was with this Thursday morning note with JSDA around $24 with our ready trigger fingers...

Apr 12, 2007 at 10:53AM ." Everyone seems to waiting on JSDA/9ema break yesterday,ibd mention today. We're waiting for volume to re-enter".

Apr 12, 2007 at 03:48PM    "we noted JSDA early and is our only add this afternoon/today.

Friday the 13th, JSDA exploded for another 10% and a AH's price in the high $28's

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UXG, rallied Friday to a high of $6.79 before closing up 16.2%

UXG was a DJIMstocks buy alert a few days before in premarket at $5.60's." UXG, a gold stock w/ results yesterday. Not a one day story we think, will look to buy dips here and there..bot some premkt 5.60's.for a first try"  Apr 11, 2007 at 09:27AM

The night before the BIG move, we noted UXG in our nightly Journal blog. ".....quickly climbed to over $6 at the open and a a quick 6-7% for the flippers here.  Well, we actually did some of that and as we said we will look to buy the dips, which we did later again.  Having some gold rather than the Nasdaq stuff seemed like a better idea later in the day.  We are traders and if we get 6-7% in the first 10minutes, we will take it.  It finds itself there over $6 in AH's today and we think it goes higher..."

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MFW,  a DJIM stock buy in and closely followed stock since $26-28 area.  An Alert was issued on Apr 5, 2007 at 09:41AM...

"MFW, Harland deal news last night seems to be liked".   This lead was issued with 4300 shares in the books with the price around $52.   The stock spiked to $61 high that day with volume of 1.8mln and biggest play of the day as strong momentum came to this closely followed stock by DJIM readers.  A possible 8-9 pts in one day or 15%+

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DNDN, we were prepared the night of DNDN news to play it the next day!.".....we'll most likely take a position with some funny money as in a $2 ticket at the races.  Its all about being at the show, like the Kentucky Derby and not about winning.  This is the fun of trading, you could really make some money but you must be prepared for every other possibility. This won't be a one day trade, so once in it's probably better to stick through the jumpy action. "

The next morning we were there from the start, Mar 30, 2007 at 07:24AM , issuing an alert as it traded in the $16's saying it will probably hit the $19 high. Well...it did for those wanting a quick trip.  For those buying the jumpy action and buying the idea of this being not a one day trade and holding through has paid big time as DNDN has traded over $25.

"DNDN up and running already, high of 19, now 16.60..will probably hit high again premkt..
Probably surprised a few getting up with halt released so early ..so the chasers will most likely be in bloom come 8am or so "

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GROW, Apr 2, 2007 at 01:42.  First we issued an Alert in the morning that included. "Oh yeah and potentially for a piece of GROW later" and then another that we  "also added GROW here" at 03:52PM with the stock around $28 for a breakout play.

We got a nice move the next day and then on 7 million shares the following day GROW shot to a nickel short of $35 and we were all there with our readers for a potential 25% move in 2 trading days!!

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TSL,  Apr 3, 2007 at 02:36PM,ALERT..."We've bot TSL mid 46's and will add if it gets to 48's "

          Apr 4, 2007 at 10:25AM , ALERT.."as per yesterday buy note of TSL, we've added more here in 48's "

           Apr 9, 2007 at 11:47AM ,ALERT..TSL,remember that block of 50k or so asking at $49.80? it's gone now and the march is on. We added on the break of $50 .    The next day TSL hit a high of 56.94 and on April traded up to $59. A potential 10 or more points as we took our readers through our TSL buys.

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WBD, a DJIM followed buy since September came back to our books recently in our weekend update March 28 and then alerted again the 29th.-

Mar 29, 2007 at 03:49PM-ALERT, WBD, mentioned this weekend in DJIM list. Earnings are very good and no usual sell off has happened. Looking for confirmation, might come soon over $79 to take a piece.

In 3 trading days, WBD shot up to $86+ . Another 6 point potential play in a few days!

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See preview section 2006 for the set up inside DJIMstocks.com.  (navigation bar to the left).

Above is some of the action you'll find available inside DJIMstocks.com member section.  Many more plays inside including those from our fellow traders in our daily message board forum.  For those into technical analysis/charts or wanting to take a class, we have our plays regularly updated by an experienced chartist, who just picked off a beautiful move in ASTI this week!

 Happy Trading!

Spotlight on Solars, Part II

Climatic, climatic and climatic!   This is how we described action with TSL, JSDA and JASO toward the end yesterday.    Looking back, we felt that it was definitely a right thing to sell/ blow out our positions into the strength and leaving home with little to no position yesterday.    Was today's early downgrade merely a coincidence or was today's decline inevitable?   Whatever the conclusion anyone can come up with, we think odds did favour a pullback based on yesterday's action.    Momentum stocks tend to move up in a violent fashion and they can come down just as violently.    As traders who trade a lot of this kind of stocks, we have to respect the beasts' potential and act accordingly.  

For us, in case those are not familiar with our style.    We sell momentum stocks aggressively when they reach a climatic phase in our view..   We also sell most if not all of our position if stocks breach 9 ema or in an attempt of doing so.   This is not be mistaken with stocks that climb 20% for us and then start fading.   We do not wait for these to come to 9ema, we leave with most of gains in tact.   Use CIMT as an example here.   A $3.70-80 buy in, climbing to 4.60-70's...we do not wait for it to come down and hit 9ema like yesterday.  Look at it this way, if a stock you bought at $38...it goes to $46-47.   Will you let it slide back to $ 41's?.   We hope not , so look at a cheapie stock the same way.   These are some automatic reflexes we preach as part of our trading discipline.   Trading is solely about preserving most of the gains out of a play while cutting the losses as early as possible.    We use a rather conservative approach when dealing with these super momo stocks.   Here is a rundown...

TSL JASO SOLF FSLR, so now the stocks have pulled back and what do we do now?    We'd be eyeing 9 ema for the support and to see if the pullback can stop there for a potential quick rebound.   Otherwise, we'd be eyeing yesterday's high as the potential b/o point for re-entry.    The one thing we don't want to do now is to enter a trade here, where they closed today.   This is what we feel is no man's land and it just offers nothing but uncertainty.

JSDA, this is the exact same situation as solars and to a more extreme degree.   We really wanted to see where this stock would settle once the volume settles down.   Again, going in and picking an artificial bottom may as well mean that you are treating this game like a craps table.  

RCCC, this one held up really well but we think better entry pts are still ahead of us.  Others behaving SYNL, MFW.  Eyeing GROW, TRT some.

All this can change as lots of market moving co's. are reporting tonight , so we'd see how the market is going to react to their earnings tomorrow.   Unless the momentum is clear within a particular sector, we'd do what we normally do and pick one earning play at a time and highlight only those that are worthy of DJIM.

Short week..

Boy it definitely feels like a long week to us.  Today's market is typical of summer action with exceptions to a couple of plays.  Really no conviction, somewhat expected after yesterdays move.   Most of the plays, according to our book, were trading in a fashion where we really don't care where they end up at the end of the day.   Hope tomorrow brings a little more action, even some volatility would be nice because today was a real snoozer.

MA, this play looks as though it can rest some here.   We liked its strong action for the past three days in a row but we feel even the strongest stocks should rest after a good move.   Given the float of the stock, there's a good chance that the stock may rest around here.

RCCC, this wireless play just keeps on moving u, fetching $33's today.  Right space, right time.

MFW, is another old DJIM flame that we bit some on late in the day. We like the move it made yesterday off a morning sell off, rebounding to finish strong. Today it carried on.

ESEA, we are adding this one to our watchlist and we've added a very small position today.   This one is in the same business as TBSI and both are exhibiting good strength in this market.