Wiser Trader Stocks and Options Newsletter
______________________________________________________________________________
Issue No. 84 July 10, 2006 Prescott, Arizona Systems@WiserTrader.com
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1.0 Trading
Most traders will tell you that market timing is very difficult. Short-term traders use technical analysis to take a general approach to market timing.
1.1 Market Timing
The 5-index Williams %R in Figure 1A is composed of the average Williams %R for the DOW, S&P 500, NASDAQ Composite, Russell 2000, and NYSE Composite. This indicator is useful as a proxy for the momentum of the broader market. While market momentum is irregular, there are distinct periods that favor either long or short trades based on the presumption that 50% of a stock’s move is based on how the major averages move, 25% is based on fundamentals and 25% is based on a stock’s technical indicators.
FIGURE 1A
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© 2006 WiserTrader.com, LLC. Members of wisertrader.com are neither licensed brokers nor licensed advisors. Trades discussed represent recommendations made by the editor for the wisertrader.com portfolio. The newsletter and web site are for information only and should not be considered as personal advice. While it is believed that the posted information is factual, mistakes can be made in transcription. Investors should trade stocks only after verifying all information and consulting with a licensed broker or adviser. WiserTrader.commarkets third party trading systems but has no other affiliation with trading system companies. |
The trick is to choose stocks whose fundamentals and technical indicators are consistent with the direction of trade and to time each trade such that the stock’s momentum is synchronized with that of the broader market. Increasing market momentum favors long trades and buying call options while decreasing market momentum favors short trades and buying put options. This approach is straightforward during periods when the cyclical change in market momentum is regular and well behaved. However, when the market is choppy, as it has been recently, implementation can prove difficult. Until recently, major shifts in broader market moment occurred every 2 to 3 weeks. Figure 1B shows how since late May, momentum transitions were interrupted by a sharp reversals.
FIGURE 1B
It has been observed that such reversals have a distinct historical probability, depending on the current 5-index indicator value. Using the data from Figure 1A, a pair of tables were prepared that show the historical tendency of indicator movement without a reversal for up and downward moves. Currently the momentum indicator is moving downward. Its last closing value was -42, which just happens to coincide with its 200 day SMA. The historical probability of the indicator moving from -42 to -50 without a reversal is between 72 and 81%, based on information in Table 1A. The probability of it reaching -80 without a reversal is between 40 and 43%.
In this context, a reversal is defined by the indicator changing direction and moving back across its starting point. Historical probabilities less than 50% are highlighted in yellow in the table. A general point of interest is that when the indicator drops below -20, there is only a 50% probability (highlighted in red) that it will reach -50 without a reversal. Yet, starting from -20, the probability that it reaches -30 without a reversal is 80%. Likewise, the probability of continuous downward moves in small increments without a reversal is quite high while that for large moves is low.
Table 1A
Historical Probability of 5-index Indicator Downward Movement without a Reversal
|
Down |
Downward Movement Destination Point |
||||||||
|
Starting |
|
||||||||
|
Point |
-20 |
-30 |
-40 |
-50 |
-60 |
-70 |
-80 |
-90 |
-95 |
|
-5 |
69% |
63% |
53% |
41% |
34% |
25% |
16% |
16% |
0% |
|
-10 |
77% |
68% |
55% |
45% |
40% |
32% |
19% |
17% |
11% |
|
-15 |
80% |
80% |
56% |
46% |
44% |
35% |
28% |
22% |
13% |
|
-20 |
100% |
80% |
63% |
50% |
48% |
41% |
33% |
28% |
20% |
|
-25 |
|
84% |
66% |
52% |
48% |
41% |
33% |
28% |
21% |
|
-30 |
|
100% |
77% |
59% |
52% |
43% |
36% |
30% |
23% |
|
-35 |
|
|
87% |
65% |
58% |
47% |
40% |
33% |
25% |
|
-40 |
|
|
100% |
72% |
62% |
47% |
40% |
33% |
24% |
|
-45 |
|
|
|
81% |
68% |
51% |
43% |
36% |
26% |
|
-50 |
|
|
|
100% |
84% |
62% |
53% |
42% |
31% |
|
-55 |
|
|
|
|
94% |
67% |
54% |
42% |
31% |
|
-60 |
|
|
|
|
100% |
68% |
52% |
40% |
30% |
|
-65 |
|
|
|
|
|
78% |
60% |
46% |
32% |
|
-70 |
|
|
|
|
|
100% |
76% |
57% |
39% |
|
-75 |
|
|
|
|
|
|
88% |
63% |
47% |
|
-80 |
|
|
|
|
|
|
100% |
74% |
47% |
|
-90 |
|
|
|
|
|
|
|
100% |
100% |
Table 1B shows similar historical probabilities for rising momentum. After some inspection, it should be clear that the two tables are not symmetrical. The market has a distinct upward bias. Historical probabilities of upward moves without reversals is typically higher than for down moves without reversals.
Table 1B
Historical Probability of 5-index Indicator Upward Movement without a Reversal
|
Up |
Upward Movement Destination Point |
||||||||
|
Starting |
|
||||||||
|
Point |
-80 |
-70 |
-60 |
-50 |
-40 |
-30 |
-20 |
-10 |
-5 |
|
-95 |
100% |
86% |
62% |
52% |
48% |
33% |
24% |
19% |
14% |
|
-90 |
87% |
71% |
53% |
50% |
50% |
39% |
32% |
24% |
13% |
|
-85 |
95% |
77% |
48% |
53% |
53% |
47% |
44% |
35% |
23% |
|
-80 |
100% |
82% |
61% |
57% |
55% |
48% |
45% |
36% |
25% |
|
-75 |
|
93% |
70% |
61% |
59% |
55% |
52% |
43% |
30% |
|
-70 |
|
100% |
74% |
62% |
60% |
53% |
51% |
43% |
30% |
|
-65 |
|
|
88% |
71% |
67% |
55% |
53% |
43% |
29% |
|
-60 |
|
|
100% |
76% |
73% |
59% |
53% |
45% |
31% |
|
-55 |
|
|
|
86% |
82% |
65% |
57% |
49% |
35% |
|
-50 |
|
|
|
100% |
93% |
74% |
61% |
52% |
37% |
|
-45 |
|
|
|
|
96% |
72% |
59% |
46% |
31% |
|
-40 |
|
|
|
|
100% |
76% |
60% |
45% |
31% |
|
-35 |
|
|
|
|
|
91% |
73% |
53% |
35% |
|
-30 |
|
|
|
|
|
100% |
79% |
57% |
36% |
|
-25 |
|
|
|
|
|
|
86% |
60% |
36% |
|
-20 |
|
|
|
|
|
|
100% |
67% |
41% |
|
-10 |
|
|
|
|
|
|
|
100% |
62% |
In general, once the indicator begins to move in a given direction, the probability that it will proceed in small steps in that direction is quite good. However, it is by no means certain. Even small moves must take into account that the probability of the indicator moving in the same direction two or more days in a row is always less than 50%. Trading goals should consider these probabilities.
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$18.71
Short-term Trading In the New Stock Market
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2.0 Market Analysis
Housing, manufacturing, consumer spending, and employment all are growing at slower rates while increasing wages is seen as inflationary. These factors will color how the market responds to earnings that begin this week. Investors can be expected to be highly sensitive to earnings warnings and missed earnings.
Key industry ETF’s in Table 2A are Biotech and Semiconductors, which confirm the NASDAQ. Transportation confirms the Dow Jones Industrial Average according to Dow Theory. Banking and Financials are confirming indicators for the S&P 500. Gold and Housing are respective indicators for the inverse health of the currency (inflation) and the capacity for consumer spending.
Table 2A
Indices, Key Industry ETF’s and Sector SPDR’s
|
|
1 month |
1 wk ago |
2 wks ago |
3 wks ago |
4 wks ago |
|
Dow Jones Industrial Index |
1.8% |
-0.5% |
1.5% |
-0.2% |
1.1% |
|
NASDAQ Composite Index |
-0.2% |
-1.9% |
2.4% |
-0.4% |
-0.2% |
|
S & P 500 Index |
1.1% |
-0.4% |
2.1% |
-0.6% |
-0.1% |
|
NYSE Composite Index |
2.4% |
-0.2% |
3.1% |
-0.1% |
-0.4% |
|
Russell 2000 Index |
1.1% |
-2.1% |
5.0% |
-0.4% |
-1.2% |
|
HGX, Phil. Housing Index |
1.4% |
0.0% |
1.6% |
0.6% |
-0.9% |
|
IYR, Real Estate |
2.0% |
1.6% |
3.7% |
-2.2% |
-0.9% |
|
GLD, GOLD |
3.6% |
2.3% |
5.6% |
0.5% |
-4.6% |
|
RKH, Banking |
-1.5% |
-0.1% |
2.3% |
-1.2% |
-2.5% |
|
IYT, Transportation |
6.3% |
-1.7% |
3.0% |
2.8% |
2.1% |
|
SMH, Semiconductors |
-2.4% |
-3.4% |
1.4% |
-1.7% |
1.3% |
|
BBH, Biotechnology |
3.6% |
1.6% |
3.5% |
-2.0% |
0.6% |
|
OIH, Oil Infrastructure |
1.7% |
-3.1% |
6.1% |
-0.9% |
-0.2% |
|
XLE, Energy |
7.2% |
-0.1% |
6.3% |
0.5% |
0.6% |
|
XLU, Utilities |
0.1% |
0.7% |
2.0% |
-1.4% |
-1.1% |
|
XLB, Materials |
4.0% |
-0.9% |
3.7% |
1.1% |
0.0% |
|
XLI, Industrial |
1.3% |
-1.6% |
1.7% |
-0.1% |
1.3% |
|
XLK, Technology |
0.2% |
-1.7% |
1.5% |
-0.8% |
1.3% |
|
XLV, Healthcare |
-0.1% |
0.6% |
0.9% |
-1.1% |
-0.4% |
|
XLF, Financials |
-0.9% |
0.0% |
2.3% |
-0.6% |
-2.7% |
|
XLP, Consumer Staples |
2.4% |
0.7% |
1.6% |
0.2% |
-0.1% |
|
XLY, Consumer Discretionary |
-0.7% |
-1.5% |
1.6% |
-0.8% |
0.0% |
The VIX and VXN volatility indexes are listed in Table 2B.
Table 2B
Volatility
|
Indicator |
Current |
Last Week |
2 Weeks Ago |
Complacent |
Cautious |
|
VIX ** |
14.0 |
13.1 |
15.9 |
< 20 |
> 50 |
|
VXN *** |
20.2 |
17.9 |
20.4 |
< 30 |
> 70 |
|
** Below 20 day SMA = Short-term buy signal. *** Below 20 day SMA = Short-term buy signal. |
|||||
Figure 2A compares the major averages with key ETF’s and Sector SPDR’s.
FIGURE 2A
Table 2C
Market Summary
Industries are listed according to the Yahoo Industry Classification System
Major Indices For the Past Week: Dow Jones -0.5% NASDAQ -1.9% S&P500 Index -0.4% Russell 2000 -2.1% NYSE -0.2% 30 Year Bond 5.174% 10 Year Note 5.132% Leading Industries For the Past Week: Lagging Industries For the Past Week: |
Leading Industries For the Past Month: Lagging Industries For the Past Month: Crude Oil $73.86 Gold for the past 30 days: USD +3.86% CAD +2.82% CHF +2.82% GBP +3.23% EUR +2.32% JPY +3.55% |
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3.0 Procedure
The following watch lists contain stock candidates for consideration. They are not necessarily trades. Categories include checklists for insider buying and cash rich companies, as well as, filters that employ stock picking methods used by master traders. The information is not meant to imply any endorsement or sponsorship by these master traders. This week’s lists are identical to those on the web site.
Current stock rankings are based on the degree to which stocks are overbought or over sold based on the 28-period Williams %R for the past two trading days. Two columns are labeled “%R1” and “%R2” with “%R2” indicating the Williams %R for the most recent trading day. Of course, values more negative than -80 are oversold and those less negative than -20 are overbought.
One should keep in mind that oversold stocks are not necessarily ready to move upward. They could very well be in a condition of continuous decline. The lists are meant to serve as a starting point for further due diligence.
A column labeled “Monthly % Gain” was added to show the inverse relationship between price action over the past month and the Williams %R. The change from a 10-period Williams %R with a weekly percent change to a 28-period Williams %R with a monthly percent change was done to reflect a longer term view.
The “Reference” is the date that a stock passed the indicated filter and was first added to or returned to the list. The “% Change” is how the price has changed since the reference date. Stocks that are down 10% or more after being listed are removed for a period of about two months. The “% from Max” is the percentage the price has declined from the maximum price reached since the reference date. Stocks that are down 8% from their highs after being listed are flagged in yellow. Stocks that are down 15% from their highs after being listed are removed for two months. More information on filters is available on the web site.
A performance summary of filtering techniques for checklists and master trader selection methods is given in Table 3A.
Table 3A
Stock Filter Summary
|
Filter |
Avg. % Change Since Listed |
Avg. % Change Friday |
1 Month |
1 Week Ago |
2 weeks Ago |
3 Weeks Ago |
4 Weeks Ago |
|
Net Insider Buying |
-1.2% |
-0.3% |
-2.6% |
-0.4% |
-0.2% |
-2.7% |
0.9% |
|
Cash Rich Companies |
7.3% |
1.0% |
0.9% |
0.9% |
3.3% |
-1.7% |
-1.6% |
|
Price to Free Cash Flow |
-1.4% |
-0.1% |
-0.6% |
0.0% |
2.0% |
-2.2% |
-0.3% |
|
Growth Momentum |
0.6% |
-1.5% |
5.6% |
-2.4% |
5.3% |
3.4% |
-0.6% |
|
Lynch |
14.2% |
-1.4% |
6.4% |
-0.9% |
4.0% |
0.1% |
3.2% |
|
Buffett |
10.7% |
-0.3% |
4.4% |
-0.3% |
2.0% |
1.6% |
1.0% |
|
Graham |
7.9% |
0.3% |
1.9% |
0.1% |
3.2% |
-0.6% |
-0.8% |
|
Templeton |
3.7% |
-0.4% |
-0.3% |
-0.8% |
1.7% |
-1.2% |
0.0% |
|
Zweig |
5.0% |
-1.8% |
4.9% |
-0.9% |
4.2% |
2.1% |
-0.6% |
|
Average |
5.2% |
-0.5% |
2.3% |
-0.5% |
2.8% |
-0.1% |
0.1% |
Key
|
Passed Recent Filter |
|
Price declined by half of stop loss setting |
|
Oversold based on Williams %R (%R2 is most recent) |
|
Overbought based on Williams %R (%R2 is most recent) |
Companies that have experienced net insider buying within the past 6 months of 5% or more of issued stock are listed in Table 3B. These stocks should also appear in one of the master trader screens or meet additional screening criteria before being given serious consideration. This list is a mixture of stocks that are optionable and those that are not.
Table 3B
Net Insider Buying Check List
|
Stock |
Reference |
% Chg |
Company |
Sector |
Industry |
% from Max |
Monthly % Gain |
%R1 |
%R2 |
|
TRGT |
06/02/06 |
-6.6% |
Targacept , Inc. |
Health Care |
Biotechnology & Drugs |
-7.3% |
-6.0% |
-80 |
-80 |
|
ACME |
05/12/06 |
2.6% |
ACME Communications, Inc. |
Services |
Broadcasting & Cable TV |
-7.1% |
1.0% |
-78 |
-78 |
|
APN |
06/09/06 |
-7.7% |
Applica Incorporated |
Consumer Cyclical |
Appliances & Tools |
-10.0% |
-1.8% |
-73 |
-73 |
|
MOCC |
05/26/06 |
-2.7% |
Moscow CableCom Corp. |
Services |
Broadcasting & Cable TV |
-8.2% |
0.0% |
-70 |
-70 |
|
SGXP |
06/09/06 |
-1.0% |
SGX Pharmaceuticals, Inc. |
Health Care |
Biotechnology & Drugs |
-6.1% |
-1.0% |
-52 |
-52 |
|
EQS |
04/13/06 |
0.0% |
Equus II Incorporated |
Financial |
Investment Services |
-8.6% |
-2.7% |
-50 |
-50 |
|
FVRL |
06/16/06 |
0.0% |
Favrille, Inc. |
Health Care |
Biotechnology & Drugs |
-5.5% |
-5.0% |
-46 |
-46 |
|
RGNC |
05/26/06 |
0.1% |
Regency Energy Partners LP |
Utilities |
Natural Gas Utilities |
-2.3% |
0.5% |
-32 |
-32 |
|
TWI |
06/16/06 |
4.6% |
Titan International, Inc. |
Consumer Cyclical |
Auto & Truck Parts |
0.0% |
0.7% |
-9 |
-9 |
Companies with net cash positions that comprise at least 40% of their share price are listed in Table 3C. These stocks should also appear in one of the master trader screens or meet additional screening criteria before being given serious consideration. Again, this list is a mixture of stocks that are optionable and those that are not.
Table 3C
Capital Rich Companies Check List
|
Stock |
Reference |
% Chg |
Company |
Sector |
Industry |
% from Max |
Monthly % Gain |
%R1 |
%R2 |
|
WSC |
03/11/06 |
-4.6% |
Wesco Financial Corporation |
Conglomerates |
Conglomerates |
-6.6% |
-0.4% |
-38 |
-38 |
|
SCIX |
04/07/06 |
19.2% |
Scailex Corp., Ltd. |
Technology |
Computer Networks |
0.0% |
2.3% |
0 |
0 |
Table 3D was added to contain companies having a low price to free cash flow (P-FCF) less than 5. Companies having P-FCF less than 10 are typically capable of financing the purchase of all their outstanding shares of stock.
Table 3D
Price to Free Cash Flow Companies Check List
|
Stock |
Reference |
% Chg |
Company |
Sector |
Industry |
% from Max |
Monthly % Gain |
%R1 |
%R2 |
|
FIS |
05/12/06 |
-5.2% |
Fidelity National Information Services |
Services |
Business Services |
-6.5% |
-0.4% |
-85 |
-85 |
|
RHD |
06/09/06 |
2.3% |
R.H. Donnelley Corp. |
Services |
Advertising |
-1.6% |
0.5% |
-22 |
-22 |
For the Peter Lynch style screen in Table 3E, the number of selections is reduced by selecting only optionable stocks having P/E’s less than 30.
Table 3E
Peter Lynch Value Watch List
|
Stock |
Reference |
% Chg |
Company |
Sector |
Industry |
% from Max |
Monthly % Gain |
%R1 |
%R2 |
|
CAE |
04/21/06 |
-6.0% |
Cascade Corporation |
Capital Goods |
Misc. Capital Goods |
-8.8% |
-0.3% |
-56 |
-56 |
|
PKX |
06/16/06 |
6.1% |
POSCO (ADR) |
Basic Materials |
Iron & Steel |
-5.3% |
9.5% |
-30 |
-30 |
|
BTI |
08/12/05 |
29.2% |
British American Tobacco (ADR) |
Consumer Non-Cyclical |
Tobacco |
-0.6% |
4.6% |
-12 |
-12 |
|
AZN |
02/03/06 |
27.5% |
AstraZeneca PLC (ADR) |
Health Care |
Major Drugs |
-0.5% |
11.7% |
-10 |
-10 |
For the Growth Momentum screen in Table 3F, the number of selections is reduced by selecting only optionable stocks having P/E’s less than 30.
Table 3F
Growth Momentum Watch List
|
Stock |
Reference |
% Chg |
Company |
Sector |
Industry |
% from Max |
Monthly % Gain |
%R1 |
%R2 |
|
MDR |
05/12/06 |
-3.1% |
McDermott International |
Capital Goods |
Construction Services |
-3.7% |
1.6% |
-26 |
-26 |
|
KCS |
05/12/06 |
-2.5% |
KCS Energy, Inc. |
Energy |
Oil & Gas Operations |
-3.4% |
5.4% |
-25 |
-25 |
|
ENDP |
02/17/06 |
7.5% |
Endo Pharmaceuticals |
Health Care |
Biotechnology & Drugs |
-4.2% |
-2.9% |
-23 |
-23 |
The filter for Warren Buffet style stock picking in Table 3G is for the intermediate to long term. Two requirements were added. One was to include only optionable stocks in order to find LEAPS opportunities. The other requirement was to include only those stocks having a PE of 17 or less.
Table 3G
Warren Buffett Value Watch List
|
Stock |
Reference |
% Chg |
Company |
Sector |
Industry |
% from Max |
Monthly % Gain |
%R1 |
%R2 |
|
GTRC |
06/30/06 |
-5.5% |
Guitar Center, Inc. |
Services |
Retail (Specialty Non-Apparel) |
-5.5% |
-12.9% |
-100 |
-100 |
|
NKE |
09/23/05 |
-2.7% |
NIKE, Inc. |
Consumer Cyclical |
Footwear |
-13.5% |
-2.5% |
-97 |
-97 |
|
KSWS |
06/30/06 |
-4.0% |
K-Swiss Inc. |
Consumer Cyclical |
Footwear |
-4.0% |
-3.5% |
-69 |
-69 |
|
MDC |
06/30/06 |
0.3% |
M.D.C. Holdings, Inc. |
Capital Goods |
Construction Services |
0.0% |
-1.5% |
-48 |
-48 |
|
FNF |
10/21/05 |
8.7% |
Fidelity National Financial |
Financial |
Insurance (Property & Casualty) |
-8.6% |
-2.4% |
-44 |
-44 |
|
JBHT |
03/31/06 |
16.2% |
J.B. Hunt Transport Services, Inc. |
Transportation |
Trucking |
-3.1% |
2.3% |
-29 |
-29 |
|
STR |
05/26/06 |
9.3% |
Questar Corporation |
Utilities |
Natural Gas Utilities |
-4.1% |
9.3% |
-25 |
-25 |
|
ABFS |
04/29/05 |
52.5% |
Arkansas Best Corporation |
Transportation |
Trucking |
-4.9% |
11.7% |
-25 |
-25 |
|
OXY |
03/03/06 |
8.0% |
Occidental Petroleum Corporation |
Energy |
Oil & Gas Operations |
-4.2% |
5.9% |
-20 |
-20 |
|
NUE |
06/30/06 |
-0.1% |
Nucor Corporation |
Basic Materials |
Iron & Steel |
-3.1% |
10.0% |
-17 |
-17 |
|
HDI |
10/14/05 |
10.4% |
Harley-Davidson, Inc. |
Consumer Cyclical |
Recreational Products |
-2.6% |
10.7% |
-17 |
-17 |
|
BTI |
12/30/05 |
15.6% |
British American Tobacco (ADR) |
Consumer Non-Cyclical |
Tobacco |
-0.6% |
4.6% |
-12 |
-12 |
|
AEOS |
03/10/06 |
21.1% |
American Eagle Outfitters |
Services |
Retail (Apparel) |
0.0% |
10.6% |
-6 |
-6 |
|
NAT |
05/12/06 |
20.0% |
Nordic American Tanker Shipping Limited |
Transportation |
Water Transportation |
0.0% |
19.0% |
0 |
0 |
Stocks from Benjamin Graham’s style of utility investing are listed in Table 3H. A requirement was added to include only those stocks having a PE of 17 or less.
Table 3H
Benjamin Graham Utility Watch List
|
Stock |
Reference |
% Chg |
Company |
Sector |
Industry |
% from Max |
Monthly % Gain |
%R1 |
%R2 |
|
WPS |
05/26/06 |
-1.9% |
WPS Resources Corp |
Utilities |
Electric Utilities |
-4.5% |
-3.4% |
-81 |
-81 |
|
UU |
06/10/05 |
-1.1% |
United Utilities PLC (ADR) |
Utilities |
Electric Utilities |
-6.0% |
-2.5% |
-40 |
-40 |
|
PGN |
01/10/05 |
-2.8% |
Progress Energy, Inc. |
Utilities |
Electric Utilities |
-6.4% |
0.3% |
-38 |
-38 |
|
OKE |
11/11/05 |
25.9% |
ONEOK, Inc. |
Utilities |
Natural Gas Utilities |
-2.8% |
-0.9% |
-38 |
-38 |
|
WGL |
12/23/05 |
-5.6% |
WGL Holdings, Inc. |
Utilities |
Natural Gas Utilities |
-8.5% |
0.5% |
-28 |
-28 |
|
UGI |
12/30/05 |
19.3% |
UGI Corporation |
Utilities |
Natural Gas Utilities |
-1.8% |
3.5% |
-28 |
-28 |
|
OTTR |
06/09/06 |
3.4% |
Otter Tail Corporation |
Utilities |
Electric Utilities |
-0.3% |
3.4% |
-17 |
-17 |
|
ATG |
10/21/05 |
14.2% |
AGL Resources Inc. |
Utilities |
Natural Gas Utilities |
-0.9% |
2.4% |
-15 |
-15 |
|
ATO |
04/01/05 |
5.3% |
Atmos Energy Corporation |
Utilities |
Natural Gas Utilities |
-4.7% |
5.3% |
-8 |
-8 |
|
SRE |
01/10/05 |
27.5% |
Sempra Energy |
Utilities |
Natural Gas Utilities |
-5.4% |
3.3% |
-6 |
-6 |
|
EON |
03/10/06 |
5.1% |
E.ON AG (ADR) |
Utilities |
Electric Utilities |
-5.6% |
8.0% |
-5 |
-5 |
|
VVC |
03/03/06 |
6.2% |
Vectren Corporation |
Utilities |
Natural Gas Utilities |
0.0% |
3.1% |
-3 |
-3 |
Optionable stocks from John Templeton’s style of investing are listed in Table 3I.
Table 3I
John Templeton Watch List
|
Stock |
Reference |
% Chg |
Company |
Sector |
Industry |
% from Max |
Monthly % Gain |
%R1 |
%R2 |
|
BZH |
06/16/06 |
-6.3% |
Beazer Homes USA, Inc. |
Capital Goods |
Construction Services |
-6.3% |
-6.6% |
-98 |
-98 |
|
CPS |
05/27/05 |
1.1% |
ChoicePoint Inc. |
Services |
Business Services |
-12.5% |
-7.1% |
-97 |
-97 |
|
CHS |
06/30/06 |
-7.7% |
Chico's FAS, Inc. |
Services |
Retail (Apparel) |
-7.7% |
-14.8% |
-95 |
-95 |
|
EWBC |
12/30/05 |
3.6% |
East West Bancorp, Inc. |
Financial |
Regional Banks |
-7.6% |
-5.9% |
-68 |
-68 |
|
SPLS |
05/26/06 |
-0.6% |
Staples, Inc. |
Services |
Retail (Specialty Non-Apparel) |
-4.3% |
1.6% |
-65 |
-65 |
|
LEN |
05/19/06 |
-9.0% |
Lennar Corporation |
Capital Goods |
Construction Services |
-9.5% |
-0.1% |
-58 |
-58 |
|
GBCI |
05/05/06 |
-5.9% |
Glacier Bancorp, Inc. |
Financial |
Regional Banks |
-5.9% |
-0.5% |
-53 |
-53 |
|
MDC |
06/30/06 |
0.3% |
M.D.C. Holdings, Inc. |
Capital Goods |
Construction Services |
0.0% |
-1.5% |
-48 |
-48 |
|
JNJ |
02/17/06 |
2.6% |
Johnson & Johnson |
Health Care |
Major Drugs |
-1.9% |
1.2% |
-46 |
-46 |
|
JBHT |
06/16/06 |
4.2% |
J.B. Hunt Transport Services, Inc. |
Transportation |
Trucking |
-2.0% |
2.3% |
-29 |
-29 |
|
GISX |
12/30/05 |
19.6% |
Global Imaging Systems, Inc. |
Technology |
Office Equipment |
-1.6% |
1.1% |
-25 |
-25 |
|
HDI |
02/24/06 |
3.4% |
Harley-Davidson, Inc. |
Consumer Cyclical |
Recreational Products |
-1.3% |
-1.1% |
-17 |
-17 |
|
CHD |
11/18/05 |
8.7% |
Church & Dwight Co., Inc. |
Consumer Non-Cyclical |
Personal & Household Products |
-4.2% |
1.0% |
-16 |
-16 |
|
DGX |
08/19/05 |
21.8% |
Quest Diagnostics Incorporated |
Health Care |
Healthcare Facilities |
-0.1% |
6.9% |
-13 |
-13 |
|
MIK |
12/30/05 |
20.0% |
Michaels Stores, Inc. |
Services |
Retail (Specialty Non-Apparel) |
0.0% |
11.4% |
0 |
0 |
Optionable stocks from Martin Zweig’s style of investing are listed in Table 3J.
Table 3J
Martin Zweig Watch List
|
Stock |
Reference |
% Chg |
Company |
Sector |
Industry |
% from Max |
Monthly % Gain |
%R1 |
%R2 |
|
SKIL |
06/02/06 |
1.7% |
SkillSoft Public Limited Company |
Technology |
Computer Services |
-6.2% |
1.0% |
-70 |
-70 |
|
TMTA |
06/02/06 |
3.4% |
Transmeta Corporation |
Technology |
Semiconductors |
-11.0% |
-5.6% |
-56 |
-56 |
|
ESI |
11/04/05 |
8.9% |
ITT Educational Services |
Services |
Schools |
-2.1% |
-1.3% |
-50 |
-50 |
|
FSH |
05/05/06 |
-2.5% |
Fisher Scientific International Inc. |
Technology |
Scientific & Technical Instruments |
-6.7% |
-1.3% |
-36 |
-36 |
|
HTLD |
01/27/06 |
7.4% |
Heartland Express, Inc. |
Transportation |
Trucking |
-7.3% |
2.5% |
-33 |
-33 |
|
ERF |
05/05/06 |
0.5% |
ENERPLUS RESOURCES FUND SR G TR UNITS |
Energy |
Oil & Gas Operations |
-4.2% |
1.1% |
-30 |
-30 |
|
RRC |
06/30/06 |
-3.1% |
Range Resources Corp. |
Energy |
Oil & Gas Operations |
-5.3% |
11.6% |
-29 |
-29 |
|
GS |
06/16/06 |
3.1% |
Goldman Sachs Group, Inc. |
Financial |
Investment Services |
-2.6% |
-0.9% |
-27 |
-27 |
|
SII |
04/28/06 |
1.6% |
Smith International, Inc. |
Energy |
Oil Well Services & Equipment |
-5.4% |
12.5% |