new speculative Featured long positions: SYNO DST SVU
SYNO is bouncing off recent support and breaking out of a long flat base to a new 52-week high, on very strong volume. This chart is very pretty with all the green to max green BOP on this chart since early October, all the very strong accumulation since then, and with all the strong support this stock gets at the 50 day moving average. What would make this chart much better was if there was more max green BOP like October and December in the chart now and if the RS line was hitting new highs with or ahead of the price. Still though, it is a very nice chart. The fundamentals are getting better, with EPS growing 140% and 250% the past two quarters, sales growing 7% and 11% the past two quarters, and 2008 YOY earnings estimates for a gain of 68%. Fund ownership has increased from 18 to 21 during the last four quarters, showing growing interest by the smart money in this stock. Newbies should not get too crazy with this one and make sure you use a limit order as it only averages 56k a day. Cut your loss with a close below the 50 day moving average, if the stock does not move higher immediately.
DST is bouncing off support near the 50 day moving average and breaking out of a short cup with handle to a new all-time high, on extremely strong volume. This stock has been very nice since early January, with the stock showing great daily price action with constant support at the 50 day moving average, very heavy accumulation, and a lot of positive to green BOP. This chart would be much nicer if there was a lot more green to max green BOP and if the RS line was hitting a new high along with price. But with the stock so close to the 50 day moving average, it makes a good long. The fundamentals are mixed, with EPS growing between 1% and 26% the past eight quarters, sales growth is all over the place and is very disappointing, a ROE of an impressive 41%, and YOY earnings estimates for 2007 and 2008 for gains of 20% and 14% respectively. Fund ownership has grown from 136 funds to 142 funds the past four quarters, despite the poor sales growth. Cut your loss with a close below the 50 day moving average, if the stock does not move higher immediately.
SVU is bouncing off the 50 day moving average and breaking out of a cup base to new all-time highs, on strong volume. This is a very nice chart with it being in such a strong uptrend off the August lows on very heavy accumulation with strong support at the 50 day moving average the whole way up. The obvious flaw I see in this chart is that there is a lack of green to max green BOP anywhere on this chart. Normally, I do not take longs that look like this on my charts but the RS line is hitting a new high with price and the base was very quiet at the end before the breakout helping to cancel out this negative with the BOP. The lack of a real pretty chart is helped by the companies fundamentals. The fundamentals are strong, with EPS growing between 6% and 36% the past four quarters, sales growing between 122% and 134% the past three quarters, a ROE of 14%, and YOY earnings estimates for 2007 and 2008 for gains of 1% and 16% respectively. Fund ownership has not gone anywhere but it has not fallen either. Cut your loss with a close below the 50 day moving average, if the stock does not move higher immediately.
adding to existing speculative Featured long position: CRN
CRN is bouncing off the 50 day moving average, putting in an excellent intraday reversal and closing at its HOD, on strong volume. This chart is very pretty, since the stock started to see some strong accumulation with max green BOP in September. A flat base that followed then led to a series of strong uptrends on strong accumulation, with low volume pullbacks, and sporadic incidents of max green and green BOP. Obvious problems with this chart include the RS line not being anywhere near new highs while price is very close to new highs, volume on the upside is slowing compared to the volume from January to April, and even though BOP is green it is not max green like it was in February and May. The fundamentals are good, with EPS growing between 64% and 999% the past eight quarters, sales growing between 7% and 19% the past eight quarters, a ROE of 7%, 2008 YOY earnings estimates for a gain of 42%, but a 141% of debt to shareholder equity. Fund ownership has grown from 21 to 30 funds, the past four quarters. This is not the greatest chart with the greatest fundamentals, so do not get crazy loading up on this one. Cut your loss with a close below the 50 day moving average, if the stock does not move higher immediately.
adding to existing speculative long position: MCF
MCF is bouncing off support at the 50 day moving average, on below average volume. This chart is very pretty with all the green to max green BOP since early April, the very heavy accumulation from early April, and the excellent daily price action of this stock since then. The intraday action is very constructive and green to max green BOP all over this chart since the breakaway gap in April is just beautiful. If the stock would not have had all that red BOP in early 2007 and would still be max green, this would no doubt be a beautiful chart that would have me falling in love. But the red BOP, lack of max green BOP and volume on today’s move has me holding back. The fundamentals are getting much better, with EPS now positive with a 114% growth this quarter and sales growing from 33% to 999% the past four quarters. Fund ownership has grown from 8 funds to 10 the past four quarters and management still owns 21%, showing conviction in the company. Cut your loss with a close below the 50 day moving average, if the stock does not move higher immediately.
