Stalk Sheet For Thursday, July 5, 2001
Oil Service Sector should continue its turnaround.
The Telco Services Sector looks primed for a pullback.
$SOX.X also looks ready to fall. Keep your eye on ADI, XLNX and MCHP to go short.
SHORTS
A, Agilent, Short < 32.32, Computer Hardware, $HWI.X
Saw light volume reversal day on Tuesday after rallying 4 straight days. Rallied into resistance at 34.00 on Monday. 31.50 and 30.80 will be our targets below 32.32.
ALA, Alcatel, Short < 20.67, Telco Hardware, $XTC.X
Would break key Fibonacci support at this price.
AMZN, Amazon, Short <13.75, Internet Sector, $IIX.X
Significant support area at 13.72 – 13.78. Major resistance overhead and volume has been declining since rally from 11.20. Sector also weakening.
CNET, CNET Networks, Short <11.80, Internet Sector, $IIX.X
Stock has formed a double top with second half of the double top occurring on decreasing volume. Below 11.80 is a break of the up trend line, the 200 m/a on the 15 min chart and Fibonacci support.
DCLK, Double Click, Short < 13.25, Internet Sector, $IIX.X
Below Tuesday’s low this stock should see some support at 13.10. Below 13.10 we will 12.80.
EBAY, Ebay, Short < 67.50, Internet Sector, $IIX.X
Rally on Tuesday was on very low volume. Below 67.50 would constitute the break of a major zone of consolidation. Sell off on Monday was on much higher volume than Tuesday’s rally. Stock sold off into the close into the danger zone on comparatively high volume on Tuesday. Will consider taking a partial position short if stock trades below 68.60 and market is acting weak on Thursday.
ELNK, Earthlink, Short <14.45, Internet Sector, $IIX.X
14.45 zone has acted as key support for the past 3 days. Below here the stock should see minor support at 14.25 and should see 13.75.
BLS, Bell South, Short <40.86, Telco Service, $XTC.X
Has rallied for the past 4 days into major zone of Fibonacci convergence. Volume has been declining and we formed a doji star today. This one is primed to pull back with minimal upside risk.
CCU, Clear Channel Communications, Short < 62.01, Telco Services, $XTC.X
First reversal day after multi day rally. Loses key Fibo support at 62.00.
LONGS
TDW, Tidewater, Long > 38.20, Oil Services, $OSX.X
Above 38.20 constitutes a break in the downtrend line and a break above the declining 40 m/a on the 60-minute chart. As stated yesterday, this sector is due for a technical recovery.
CAM, Cooper Cameron, Long >57.39, Oil Services, $OSX.X
The stock failed to break resistance at this range for the past 2 days. Above here we will see resistance at 58.00. Good volume is essential.
KMG, Kerr-McGee, Long > 65.91 & 66.55, Oil Services, $OSX.X
Stock has pulled back and consolidated 3 days at .382 Fibo retracement. Was one of the first stocks to rally off the bottom in the sector after this massive sell off. Above 66.55, 67.20 is the next major resistance. Downtrend line broken 6/28 and retested 6/29. Stock looks poised to rally if it can see good volume.
NE, Noble Drilling, Long >32.47 on strong volume, Oil Services, $OSX.X
Increasing volume on Tuesday is a good sign. Continued strong volume needed. Will look to enter with a half lot above 32.47 if volume is solid. Idea is to add to the position if we get above major resistance at 33.05.
PTEN, Patterson-UTI, Long >19.50, Oil Services, $OSX.X
Similar to NE, we will enter half the trade above 19.50 only if volume is good in anticipation of a break above 20.00 where we will consider adding to the trade.
SLB, Schlumberger, Long > 54.05, Oil Services, $OSX.X
With good volume this would constitute a break above a 4-day consolidation zone.
Trade Well Today!
Ed, Steve and Deron
General Partners
intradayinvestments.com |
