THIS IS A BAD OMEN IF YOU ARE LONG THE MARKETS!
Fundamental analysts are obviously concerned about sub-prime woes. Technical analysts have just seen a sharp correction off the 50% retracement level and no doubt the sentiment shifted even more bearish after today’s move. Again it doesn’t mean that we won’t rise up in the next day or so but that one day move doesn’t mean you should buy into the thesis that we are starting a new uptrend! The market will pop up during downtrends – if only to lull you into a feeling that it’s not that bad – and then it steals your money because you were not patient!
Speaking of patience, it is Whale Week on CNBC’s Fast Money – oh Phil you are missing much more than the market! And today’s Whale was Warren Buffett. Although initially I found it somewhat mundane to hear about Buffett – again – I am not sure any of us can ever be reminded too often that this is indeed a long-term game and has historically rewarded the bulls. History has shocked investors holding long-term positions many times but has rewarded them in the end and no greater example of seeing how patience and astute investing has rewarded disciplined investors than Buffett himself.
Returning back to Greg for a moment, he commented today that he was in search of “stocks that will be the leaders after this correction.” Let’s first note some stocks that didn’t hold up well (courtesy of Yahoo!) – always fun!
PRICE % LOSERS
|
Sym |
Name |
Last Trade |
Change |
Volume |
Related Info |
|
TARR |
TARRAGON CORPORATION |
0.94 4:00PM ET |
1.88 (66.67%) |
18,129,441 |
Chart, Profile, More |
|
LLNW |
LIMELIGHT NETWORKS, |
8.99 4:00PM ET |
5.81 (39.26%) |
7,570,942 |
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|
NWECW |
NORTHWESTERN CORPORA |
2.00 3:59PM ET |
1.18 (37.11%) |
159,615 |
Chart, , More |
|
CTRN |
CITI TRENDS, INC. |
26.57 4:00PM ET |
11.51 (30.23%) |
3,904,346 |
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|
BKI |
BUCKEYE TECH INC |
10.43 4:07PM ET |
4.29 (29.14%) |
1,512,600 |
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|
HDIX |
HOME DIAGNOSTICS, IN |
8.52 4:00PM ET |
2.82 (24.87%) |
2,938,260 |
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|
AIRN |
AIRSPAN NETWORKS I |
2.81 4:00PM ET |
0.92 (24.66%) |
1,262,501 |
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|
TECUA |
TECUMSEH PRODS A |
17.20 4:00PM ET |
5.36 (23.76%) |
620,780 |
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|
HEES |
H&E EQUIP SERVICES |
21.27 4:00PM ET |
6.38 (23.07%) |
2,902,442 |
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|
TECUB |
TECUMSEH PRODS CL |
15.10 3:58PM ET |
4.51 (23.00%) |
21,692 |
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|
INVX |
INNOVEX INC |
0.82 3:59PM ET |
0.23 (21.90%) |
217,382 |
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|
AMCE |
AMER CLAIMS EVALUA |
1.47 3:59PM ET |
0.40 (21.39%) |
2,100 |
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|
LNX |
LENOX GROUP INC |
4.88 4:05PM ET |
1.32 (21.29%) |
174,000 |
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|
VSEC |
VSE CP |
38.19 4:00PM ET |
9.80 (20.42%) |
261,539 |
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|
GCA |
GLOBAL CASH ACS HLDG |
12.21 4:03PM ET |
2.99 (19.67%) |
879,000 |
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|
CALM |
CAL-MAINE FOODS IN |
14.58 4:00PM ET |
3.47 (19.22%) |
1,446,894 |
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|
HDNG |
HARDINGE INC |
27.25 4:00PM ET |
6.17 (18.46%) |
458,718 |
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|
SNHY |
SUN HYDRAULICS COR |
22.88 4:00PM ET |
4.95 (17.79%) |
539,672 |
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|
LOGC |
LOGIC DEVICES INC |
2.3499 3:50PM ET |
0.5001 (17.55%) |
74,265 |
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|
KNXA |
KENEXA CORPORATION |
33.85 4:00PM ET |
7.15 (17.44%) |
2,918,793 |
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|
TRCR |
TRANSCEND SVCS |
13.25 4:00PM ET |
2.76 (17.24%) |
342,497 |
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|
SYNO |
SYNOVIS LIFE TECH |
12.59 4:00PM ET |
2.60 (17.12%) |
236,336 |
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|
AFCE |
AFC ENTERPRISES |
13.48 4:00PM ET |
2.75 (16.94%) |
790,050 |
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|
NWY |
NEW YORK & CO INC. |
7.67 4:01PM ET |
1.54 (16.72%) |
2,781,400 |
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|
INSP |
INFOSPACE INC |
16.76 4:00PM ET |
3.35 (16.66%) |
1,834,231 |
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Meanwhile some of the biggest gainers for the day are on the following list:
PRICE % GAINERS
|
Symbol |
Name |
Last Trade |
Change |
Volume |
Related Info |
|
HCM |
HANOVER CAP MTG HLDG |
2.02 3:57PM ET |
0.47 (30.32%) |
50,200 |
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|
OPX |
OPTEUM INC. |
1.65 3:59PM ET |
0.35 (26.92%) |
388,300 |
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|
KNOT |
THE KNOT INC |
23.33 4:00PM ET |
4.65 (24.89%) |
3,384,584 |
Chart, Profile, More |
|
MXWL |
MAXWELL TECHS INC |
16.50 4:00PM ET |
3.26 (24.62%) |
1,230,213 |
Chart, Profile, More |
|
SUF |
SULPHCO INC |
4.94 4:01PM ET |
0.94 (23.50%) |
1,157,600 |
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|
INPC |
INPHONIC, INC. |
4.86 4:00PM ET |
0.89 (22.42%) |
3,516,894 |
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|
EXPEW |
EXPEDIA INC WARRANT |
1.71 3:20PM ET |
0.31 (22.14%) |
4,635 |
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|
ISRL |
ISRAMCO INC |
49.00 1:31PM ET |
8.60 (21.29%) |
2,575 |
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|
GGBMW |
GIGABEAM CORP WT |
1.38 3:47PM ET |
0.21 (17.95%) |
22,507 |
Chart, , More |
|
NOVC |
NOVACEA, INC. |
9.05 4:00PM ET |
1.31 (16.93%) |
910,968 |
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|
ACUS |
ACUSPHERE INC |
1.69 4:00PM ET |
0.24 (16.55%) |
377,744 |
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|
OHB |
ORLEANS HOMEBUILDERS |
7.49 4:01PM ET |
0.99 (15.23%) |
152,400 |
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|
TRCA |
TERCICA INC |
7.13 4:00PM ET |
0.91 (14.63%) |
263,318 |
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|
JMBAU |
JAMBA, INC. UNITS |
10.82 3:55PM ET |
1.37 (14.50%) |
4,763 |
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|
PSPT |
PEOPLESUPPORT INC |
12.72 4:00PM ET |
1.61 (14.49%) |
2,545,917 |
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|
ACP |
AMER REAL ESTATE LP |
99.65 3:59PM ET |
12.40 (14.21%) |
268,800 |
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|
ICTG |
ICT GROUP INC |
17.89 4:00PM ET |
2.20 (14.02%) |
330,203 |
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|
SNT |
SENESCO TECH |
1.15 2:25PM ET |
0.14 (13.86%) |
63,800 |
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|
RTEC |
RUDOLPH TECH INC |
14.00 4:00PM ET |
1.70 (13.82%) |
1,524,322 |
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|
TKO |
TELKONET INC |
1.68 3:59PM ET |
0.20 (13.51%) |
246,600 |
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|
DYAX |
DYAX CORP |
4.50 4:00PM ET |
0.53 (13.35%) |
583,913 |
Chart, Profile, More |
|
MBRX |
METABASIS THERAPEUTI |
3.22 4:00PM ET |
0.37 (12.98%) |
215,876 |
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|
SKX |
SKECHERS USA INC |
22.50 4:04PM ET |
2.54 (12.73%) |
2,258,600 |
Chart, Profile, More |
|
JMBAW |
JAMBA INC WARRANTS |
2.86 3:57PM ET |
0.32 (12.60%) |
97,207 |
Chart, , More |
|
VYYO |
VYYO INC |
6.91 4:00PM ET |
0.77 (12.54%) |
199,195 |
Chart, Profile, More |
Personally, I was impressed by the action of CSCO, EBAY, SBUX and even YHOO today.
One stock that is looking very cheap to me now is UNH:
“Goldman Sachs upgraded health insurer UnitedHealth Group, Inc. to neutral from sell to reflect current valuation and its expectation of improved profitability in commercial trends during the second half of 2007. The broker told clients it feels optimistic the insurer will begin to "turn the corner" on execution and customer service issues now that the most disruptive phase of its merger integration with PacifiCare Health are behind it”
It didn’t help the stock at all in the short-term but I suspect as a long-term play it will rebound nicely over the coming year.
If I were starting any new bullish positions I would start VERY slowly with small capital contributions initially and scale in over time. But frankly that’s very boring so I’ll be joining the rest of the gang in taking advantage of the volatility and engaging in some advanced option strategies that only our members get to learn about!
