Daily Calls -- Sept. 13, 2006

It probably cannot get more bullish about today's action: NASDAQ rallied on heaviest volume in the last few weeks and closed at a new 3 month high, while both DOW and SP500 are only about a little over 1% from the May peak. But somehow, I don't feel such bullishness. Am I too much sold on the Sept/Oct seasonability weakness or possible recession talks? Or because of triple divergence that the "smartcalls" has pointed out for all major indices? Or maybe the fact that NASDAQ is still lagging far behind, about 160 points away from this May peak? I don't really know. What I do know that at this stage, I feel too risky to chase the bulls, on the other hand, I probably should be extra careful openning any short positions.

1. AAPL: SOLD ON NEWS! well, if it were not for the late surge in major indices, it might have closed below 71.5. Bearish money flow divergence. CTT-ready, S2 on top use 73.5 as stop if opens lower, or 74 as stop if it gaps up with indices, or S1 when it breaks 71.4, IT=69.7.

@@ F

2. ADI: S3 on top when it approaches 32, CS=32.5, IDS=33.5, MA200=34

@@ C

3. AEOS: extended overbought condition, consider S2 on top between 43 and 45, IT=38.5

@@ C

4. AMD: stop just shy of MA200=26.7, will it hold tomorrow?

5. ANF: consider a speculative short position as it approaches 70, CS=70, IDS=71, IT=65.

@@ C

6. BRCM: S3 on top as it enters key resistance zone from 29 to 29.7, CS=30.35, IDS=31, IT=26

@@ C

7. CHRW: S2 on top, CS=47, IDS=48.7. Watch how it approaches MA50=46.1, It=42.

@@ B

8. COH: S2 on top when it enters 35-35.6, IDS=36, IT=31

@@ C

9. COST: S1 on when it approaches MA200=51.5, CS=51.5, IDS=52.5, IT=47.

@@ C

10. MOT: watch keey resistance just below 25 as it is approaches 52-wk high.

11. MRVL: consider S2 on top as it approaches 21, use 21.6 as stop.

@@ C

12. NTRI: some short squeeze going on here, watch it approaches 61-62 resistance zone. IT=55.

@@ C

13. NVDA: watch it approaches key resistance zone 29.5-30, IT=27.

14. SBUX: S2 on top as it approaches 33 (MA200), CS=33, IDS=34.5, IT=31

@@ F

15. TIF: watch as it approaches MA200=34.1, IDS=34.8, IT=31.25.

@@ C

16. TXN: watch as it approache key resistance zone 32.8-33.34.

@@ C

17. WFMI: S2 on top when it approaches 60, IDS=MA200=61.3, IT=54

@@ C

18. WMT: S2 on top as it approaches 48.75, IDS=49.2, IT=MA200=46.3

19. WSM: S2 on top as it approaches MA50=32.3, IDS=35, IT=30.

20. X: S2 on top as it approaches MA50=60.9, CS=61., IT=57.