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Strategies & Market Trends : Market Gems:Stocks w/Strong Earnings and High Tech. Rank -- Ignore unavailable to you. Want to Upgrade?

To: LastShadow who wrote (10759)	6/29/1998 3:30:00 PM
From: Jenna	Read Replies (3) \| Respond to of 120523

OZEMY,MSPG,NSOL,ELNK.. looks like strength into the close. I'm holding some positions overnight. OZEMY should play "catch up" to the other ISP's. I'm in NAUT, PAYX through earnings.

To: LastShadow who wrote (10759)	6/30/1998 11:13:00 AM
From: Jenna	Respond to of 120523

Importance of having Watch Lists BEFORE you jump in to buy. Assemble a list of leading stocks and keep your eyes on this list. When a stock breaks out, you've already done your homework and can buy it with confidence. Some critrea of watch lists 1) good price performers 2) showing strong earnings 3) poised to break out of a base (breaking through resistance) 4) Chart turnaround indicating change of trend. The time to buy the stock is when it is emerging from a basing formation of at least seven weeks and close to making a 52 week high. A good time is 'bouncing off 7 day moving average or closing in our 50 day moving average. In your daily financial paper you can find stocks with high eps and high relative strength and the strongest companies in the leading sectors. It helps of course if you have good scanning software and technical analysis tools to 'help you along'. ....Stocks on a watch list should be owned by a few top mutual funds and have good earnings prospects. A solid price pattern and good chart. When our stocks 'beat estimates' as in the case of ERTS, COMS, TRV etc. they will be bought by the mutual funds and institutions. Analysts' should be followed weekly and when EPS estimates are revised upwards you have an important sign of a possible new price trend. In Tuesday's June 30' Investor Business Daily they include examples of good companies to include on watch lists. IBD uses the examples of PFE, VCA, EMC for stocks now basing. EMC is a stock I have been following for the last few months and it is on my watch list. Veterinary Centers of America is also on my watch list for possible breakout. EMC has a relative strength of 95 and 92 eps. Analysts forcast a 35% jump in EMC's earnings this year. ........It's been trading sideways for eight weeks above its "RISING 50 DAY MOVING AVERAGE".... Veterinary Centers of Ameria has an 89 RS and 97 EPS rank. ....<i.This year the Street sees earnings for the opeator of veterinary hospitals climbing 34% (easily putting both EMC and VCA on 'earnings plays' watch lists). It's in an eight week base with a breakout point at 19 1/4. (We also like to use the Point & Figure breakouts) The stock has been trading in a tight range near the top of its base of for the past six weeks. So you see you can't buy stocks in a vacuum or solely because others recommend it. You have to diligently follow your own list and be prepared with some of your own trading tactics. Support/Resistance and trendlines are for me mandatory for discerning 'breakouts'. Telescan, Technifilter and Metastock 6.5 help to filter the database for other candidates. A list is but a list, activated after your own preparation and scrutiny. *excerpts reprinted courtesy of Investor's Business Daily