One New CANSLIM Long Position, Two New Speculative CANSLIM Long Positions, And Two Stocks I Am Adding To My Existing Long Positions For Friday’s Stock Market Session

February 7, 2008

I have to admit, I do like all of the chart patterns I see here tonight. But the problem with that is that I only like every chart pattern here tonight! I do not love anything that I see. What I like to do in bear markets–which reminds me to not buy too early–is to always review my best trades which are slowly being added to the ‘past big winners’ page. By doing this I can remind myself of what HOT charts are supposed to look like and therefore when I see the next green chart I will not get all crazy and go and load up. By constantly looking at my past big winners, I am reminded that the patterns we see tonight are not the same patterns that are seen before a stock launches a huge run. I mean it is always possible we could get some great gains with these–why else would I be going long; I am not doing it to pay the commissions–but I don’t think any of these will return 300% in a few months. I think if we could get 50% we should be very happy and that is what I expect from all of these. If they don’t work, like always and forever, use the cut loss areas to get out of a stock. We still do not have a follow-through day and besides FFH there is nothing out there worth drooling over. The value boys can continue to buy their values. I will wait till things are more clear and the shorts stop making me such nice coin (you like that term?). I am not personally loading up on any of these but I am not being shy with BVN or CREE. URBN has great fundamentals but I am not that insanely excited about the chart. CMP is also very pretty on the short term and the bounce in on the biggest volume I can see in a long time. However, the chart is now more volatile and random than it was. And that is enough to keep me away. The charts are supposed to “tighten” up not get wider and more loose. ATEC should probably be left to the pros with that very low average daily volume. If you go long that stock, use a limit order only.

new CANSLIM long position: URBN

URBN is bouncing off support at the 50 day moving average, on very strong volume. Cut your loss with a close below the 50 day moving average, if the stock does not move higher immediately.

new speculative CANSLIM long positions: CMP BVN

CMP is bouncing off support at the 50 day moving average nearing a breakout to a new all-time high, on extremely strong volume. Cut your loss with a close below the 50 day moving average, if the stock does not move higher immediately.

BVN is bouncing right off the 50 day moving average, on decently strong volume. Cut your loss with a close below the 50 day moving average, if the stock does not move higher immediately.

adding to existing long positions: CREE ATEC

CREE is bouncing off recent support nearing a breakout to a new 52-week high, on very strong volume. Cut your loss with a close below the 28.53 level, if the stock does not move higher immediately.

ATEC is breaking out to a new 52-week high after bouncing off the 50 day moving average, on strong volume. Cut your loss with a close below the 50 day moving average, if the stock does not move higher immediately.