The Play Of The Day
08-16-99 08:45 EST
Reminder: Consumer Price Index (CPI) report due tomorrow August 17, 1999, 07:30 EST. This report coming due and Allan Greenspan's favorite may cause a sell off into the close today. I will be watching closely!
Good Morning Stock Fans!
Today's Play of The Day is: Scientific Atlanta (NASDAQ:SFA)
"The Why" behind this one is quite simple, it reported what were stellar quarterly earnings for the 3rd straight quarter on Thursday, August 12, 1999. That caused (NASDAQ:SFA) to open up from it's $39.8125 close on Thursday, August 12 to $43.00 even on Friday, August 13, 1999 (gap of $3.18). It would trade over 4 million shares on it's way to a new high, all the way up to $47.6250 before it would pull back and close. I really like (NASDAQ:SFA) to double in the next 3-6 months. If it is to do that, it has to test that area that it gapped up so much on the great earnings it just had. I am looking for (NASDAQ:SFA) to SELL OFF right off the open today. It looks to go higher and into the 50's soon. It must retrace to do that as techincal indicators would suggest, as it price is unproven here.
BUY AREA: $ 44.43750- $44.9375- (Buy on the Retrace of the range pullback)
SELL STOP: $42.50
Stock to Watch: Audible (NASDAQ:ADBL)
(NASDAQ:ADBL) I played this one from $7.6250 last Wednesday, August 11, 1999 to $11.50 on Friday, August 13, 1999. Today (NASDAQ:ADBL) has BIG NEWS! It is in an Enhanced Strategic Network to provide content to (NASDAQ:RNWK) It also expands it relationship with (NASDAQ:MSFT) The stock is up over $2.00 in premarket today. I am familiar with this one as it has a small float. I will be looking for (NASDAQ:ADBL) to SELL OFF right after it gap up big on the open. It the looks to pull back. I will look to get in it at the price reflected below.
Buy Area: $13.50 - $13.75
Sell Stop $10.43750
TARGET: $14.00 (today)
(Be careful on this one as it starts to pull back and test its "gap up area" I expect it to holds over $10.93750 today)
Concentric Network - (NASDAQ:CNCX) UPDATE: STILL NO NEWS! It may continue to go up even more to over $26.00 VOLUME IS KEY!
We have done great with (NASDAQ:CNCX). I was hoping that after 4 million plau shares it would look to "gap up more" today, into the open. As I look in pre-market today (NASDAQ:CNCX) is trading only up fractionally. (NASDAQ:CNCX) looks to go up perhaps $0.8750 to $1.00 more then it is right now. That would mean a good place to look to get out would be around $24.43750 to $25.25. If (NASDAQ:CNCX) VOLUME on (NASDAQ:CNCX) is KEY! If (NASDAQ:CNCX) has LOW VOLUME - under 100,000 in the first 5 minutes today then look to SELL IT OUT FAST! If the VOLUME is HIGH more like 175,000 plus in the first 5 minutes then it may run up. (NASDAQ:CNCX) is hard to call off of the way it could trade with STILL NO NEWS on a 2 day move last Thursday and Friday of over 37%. (NASDAQ:CNCX) at one point on Friday was up more then 24%. It was as high as 4 on the NASDAQ percentage gain list.
VOLUME: Still no news
NO NEWS: Still no news
CNCX Call Options VOLUME!
Look for me to be all over this one in my LIVE TRADING ROOM today. I will also try and send an email to you Play of the Day Subscribers on CNCX as well
OK That should do it
Have a great day!
More to come...