MKT VIEWS:
Apprehension ahead of another potential rate cut, where .25 is all but built in with the bond markets. Does .25 trigger relief rally of better things to come, or rather a sell off on the premise that we once again, have the Fed acknowledging we are indeed in the midst of a potentially prolonged recession.
A few trading ideas: ATYT, called at 6 is building on momentum, and breaking out to new 52 week highs. ATI Technologies smells like the great turn around story. A new management team has followed NVDAs lead in separating the graphic cards from the motherboards, and in so doing, has allowed them to sell to a number of PC clones. There is no advantage to allowing NVDA to monopolize the sector so many companies are now switching over to ATI cards (Sharp, Toshiba, NEC recently). Nintendo did select ATI for their GameCube too, and their new Radeon chip is gaining wide spread appeal (I use them myself).
We recently flip flopped our portfolio from ATYT to NVDA, but are now back to ATYT, as NVDA sprang up from 24 to 50 in three weeks following Sept 11th and is now looking tired. A few problems I still have are the following: valuation, trades at a higher multiple then NVDA, slowdown in PC sales, and lack of insiders buying their own stock, (almost none existent). We will continue to ride ATYT with a 1 pt stop.
ENTU, called long on sympathy play to VRSN, another ATYT like momo stock. NT, the biggest share holder has some shares to sell, that could put termp pressure on the recent move up, however, they have only registered 1.5 million which can be absorbed quite quickly....
CRYP, amazing mover, and check out the PE!!!!
CHIR SHORT trigger 44. Here is one I called short recently from 55 and covered at 42. An article in this weekends Barrons suggests "continuation of doubts surrounding the viability of their new drug that helps blood banks screen donors for HIV and hepatitis, leading to a downgrade by Geoffrey E Harris at Warburg".
PRGN long trigger 16. "In a move to help BEA Systems and IBM extend their share of the fast-growing application integration market, Peregrine is announcing Monday an industry-standardized Web-based software."
BGEN/AMRN long triggers set, preview in the room....
Baby stocks: DVIN, NIKU and now NCNY.OB, watch this one for a link/sympathy play to INVN... biz.yahoo.com
FIFO SS triggers on P&F, JNPR, GNSS, EMLX, QLGC, BRCM if the naz implodes... (Like accounting rule FIFO, First In, First Out, the first big movers up, may lead the naz lower....)
Join me in the room for move trading ideas.... |
