The Play Of The Day
09-20-99 07:00 EST
Good Morning Stock Fans!
Today's Play of the Day is: Timberline Software (NASDAQ:TMBS)
When a stock's 30 day average volume is a minute 68,000 and then all of the sudden trades over 1 million shares in one day there must be news that caused such an enormous increase Or is there?
Timberline Software (NASDAQ:TMBS) a stock that before last Wednesday, September 15, 1999, was virtually unheard of by the average investor was profiled at one of the Internets most popular financial destinations The.Fool.com The Motley Fool as it was identified as Company X in a most impressive piece that compared it to the likes of Microsoft (NASDAQ:MSFT) in its niche market.
Click here for the story:
fool.com: Mini-Makers, Part 1 of 2 (Rule Maker) September 15, 1999
It took investors less then 2 days to figure out that Company X was indeed Timberline Software (NASDAQ:TMBS). It was stated loud and clear this past Friday, September 17 , 1999, as Timberline Software saw a record increase in one day volume as gaped up off its Thursday, September 16, 1999, close of $17.1250 more then $1.00 as it traded in a range of $18.25 to as high as $19.50 before it closed at $18.56250 up almost $1.50.
I was very impressed upon reading The Fool.com Motley Fool's profile of Company X now identified as Timberline Software (NASDAQ:TMBS). However one to look for more information that would lead me to select it myself I found that (NASDAQ:TMBS) on July 14, 1999, reported record earnings quarterly earnings. It also is very important to point out that (NASDAQ:TMBS) is in a niche business of E commerce solutions for home builders on the Internet as well as a provider construction estimation software.
In a business that I only see getting bigger and ones that turns to the Internet even more upon its growth (NASDAQ:TMBS) certainly looks extremely well positioned to take advantage of that growth witch in turn should do nothing but increase its share price form here. Add in that The Fool.com The Motley Fool has ended this very unique and up and coming stocks identity should only add to the fuel that takes this stock higher.
In looking at the range in (NASDAQ:TMBS) it would seem that on such an increase of volume this past Friday, September 17, 1999 (NASDAQ:TMBS) technical indicators suggest that today (NASDAQ:TMBS) should open higher and then pull back to no less then $17.1250 a share and then go higher from there as this stock should now receive exactly what it needs to go higher from here VOLUME!
Buy Area: $18.1250 to $18.75
Sell Stop: $17.00
TARGET: $21.25 5 trading days perhaps sooner.
Watch the VOLUME!
BONUS PLAYS: (NASDAQ:CNCX) (NASDAQ:USWB)
I have featured both of these stocks over the past 2 months as I follow them both daily as I have been fairly accurate in estimating both of their trading ranges on a weekly basis.
It seems as if they both are in key area of there trading ranges today. One of them (NASDAQ:USWB) is at the top area of its trading range and now looks to go higher as its trading chart indicates a slight "Cup and Handle" formation that should take shares of (NASDAQ:USWB) up and over $32.50 a share in the coming days.
The other (NASDAQ:CNCX) is at the bottom of its trading range as it shows good support at $20.43750 and should over the next 2 weeks or so perhaps sooner find its way back up and over $25.00 a share as its volume on October $20.00 Call Options indicates.
(NASDAQ:USWB) KEY INDICATORS:
Buy Area: $28.00 to $28.43750
Sell Stop: $27.8750
TARGET: 32.50 (3 trading days)
"RUN THE OPTIONS!"
(NASDAQ:USWB) October 1999 $30.00 Call Options
(Symbol:QWB-JF) Last Ask $2.1250
(NASDAQ:CNCX) KEY INDICATORS:
Buy Area: $20.8750 to $20.25
Sell Stop: $20.3750
TARGET: $24.50 to $25.6250 ( 3 days to 3 weeks)
"RUN THE OPTIONS!"
(NASDAQ:CNCX) October 1999 $25.00 Call Options
(Symbol:QWB-JF) Last Ask $1.06250
Have a great day!
More to come.....