Collectively, the major averages negatively reversed (opened higher and closed lower) on Monday after The People’s Bank of China pledged on June 19 to make the yuan more flexible. As expected, volume totals were reported lower on both major exchanges, down from Friday's quadruple witching levels. Decliners led advancers by a 3-to-2 ratio on the NYSE and by a 2-to-1 ratio on the Nasdaq exchange. There were 50 high-ranked companies from the CANSLIM.net Leaders List that made a new 52-week high and appeared on the CANSLIM.net BreakOuts Page, higher than the 33 issues that appeared on the prior session.  New 52-week highs outnumbered new 52-week lows on the NYSE and on the Nasdaq exchange.

Overnight, Asian and European equities soared after China said it will allow its currency, the yuan, to be more flexible against the US dollar. Since the 2008 financial crisis, the yuan has been artificially pegged to the US dollar to protect Chinese exporters. During that time, a slew of Western governments, including the US, have pressured Beijing to remove the onerous peg but each time Beijing has dismissed their requests. It is important to note that China's economy is experiencing explosive growth and Beijing has taken several key measures in recent years to curb that robust growth. Allowing the yuan to be more flexible is simply another calculated measure to achieving that goal.

The news sent global stocks up for a 10th consecutive day which helped send the MSCI World Index to its longest rally in nearly a year. Gold continued its recent run and hit a fresh all-time high of $1,266.50 an ounce before backing off and closing lower on the day. An increasing number of high-ranked stocks have triggered fresh technical buy signals since last Tuesday's follow-through day (FTD) which bodes well for this nascent rally. Remember that now that a proper follow-through day has emerged the window will remain open for the next 13 weeks for the most ideal buying in high-ranked stocks as they trigger fresh technical buy signals.

It is also important to note that it was encouraging to also see the Dow Jones Industrial Average and the benchmark S&P 500 Index rally above their respective 200-day moving average (DMA) lines last week. The 200 DMA line should now act as support as this market continues advancing, while any reversal below that key technical level would be a worrisome sign.

Remember to remain very selective and disciplined because all of the major averages are still trading below their downward sloping 50-day moving average (DMA) lines which in earlier rally tries acted as resistance. It is also important to note that approximately 75% of FTDs lead to new sustained rallies, while 25% fail. In addition, every major rally in market history has begun with a FTD, but not every FTD leads to a new rally. Trade accordingly.

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PICTURED: The Nasdaq Composite Index broke a 7 session winning streak and erased its early gain for a negative reversal after it had nearly rallied back up to its 50 DMA line. An earlier rebound effort fizzled out when its short-term average line acted as resistance.

The Retail Index ($RLX -1.71%) had a negative influence on the major averages as most industry groups reversed early gains and closed lower on Monday.  Losses for the Broker/Dealer Index ($XBD -0.63%) and Bank Index ($BKX -0.22%) created a drag on the major averages.Meanwhile, commodity-linked groups also fell as the Gold & Silver Index ($XAU -2.17%) faced pressure and the Oil Services Index ($OSX -0.91%) and Integrated Oil Index ($XOI -0.29%) suffered small losses.   The tech sector faced pressure as the Internet Index ($IIX -1.07%), Semiconductor Index ($SOX -0.85%), Biotechnology Index ($BTK -0.78%), and Networking Index ($NWX -0.70%) ended unanimously lower.  The Healthcare Index ($HMO -0.82%) also slumped.

Charts courtesy www.stockcharts.com

PICTURED: The Retail Index ($RLX -1.71%) suffered a 4th consecutive loss and fell toward its 200-day moving average (DMA) line.  That long-term average and the recent chart low are now important support levels to watch, where subsequent deterioration would bode poorly for the overall market outlook.

High-ranked Internet - Content firm Baidu.com, Inc. (BIDU +$2.27 or +3.05% to $76.36) gapped up today and posted a gain with above average volume, but it closed in the lower third of its intra-day range, finishing the session below its 6/03/10 high (and closing price).  In the paper it was recently labeled an "irregular double bottom" pattern with a pivot point based upon that day's high plus ten cents. Others might chose to call it a choppy 6-week base with a higher pivot point based upon its all-time high, or they might simply wait for a better base pattern to eventually form. 

BIDU has a stellar sales and earnings history that satisfies the C & A criteria, in fact, the quarter ended March 31, 2010 showed sales revenues and earnings growth accelerating impressively. However, it saw a slight decline in the number of top-rated funds owning shares from being reported at 204 in Dec '09 to 201 in Mar '10. Another concern that makes it a less favorable candidate under the system guidelines is the lack of leadership (L criteria) in the group, with the Internet - Content group currently ranked very low. Yet, a reassuring characteristic to its consolidation is that it has found support at its 50-day moving average (DMA) line. Volume totals have also cooled behind recent distribution days since its worrisome negative reversal from its all-time high on 5/13/10. Its share price was impacted by a 10:1 stock split as of 5/12/10, and the split reduced the share price while it greatly increased the supply of shares (S criteria) outstanding.  The best market winners typically has smaller supplies closer to its pre-split levels.

Keep in mind that BIDU has traded up more than 8-fold, and it has not been a smooth ride since it first featured on Monday, October 30, 2006 in the CANSLIM.net Mid Day Breakouts Report (read here). After making great progress it went through a multi-month consolidation under its 50 and 20 DMA lines, then later returned as a noteworthy leader featured in CANSLIM.net reports. An annotated graph showed a vivid picture at the beginning of the stock's period of greatest weakness back on January 11, 2008 under the headline, "Weakness Hurting Chances For Featured Favorite" (read here). Take a look back at that now!  Remember that a dropped stock can be featured again in a future CANSLIM.net report if it repairs its technical damage and forms a new pivot point.

Color Codes Explained :
Y - Better candidates highlighted by our staff of experts.
G - Previously featured in past reports as yellow but may no longer be buyable under the guidelines.

***Last / Change / Volume data in this table is the closing quote data***

Symbol/Exchange Company Name Industry Group	PRICE	CHANGE (%Change)	Day High	Volume (% DAV) (% 50 day avg vol)	52 Wk Hi % From Hi	Featured Date	Price Featured	Pivot Featured
								Max Buy
AAPL - NASDAQ Apple Inc COMPUTER HARDWARE - Personal Computers	$270.17	-3.90 -1.42%	$279.01	27,604,563 101.21% of 50 DAV 50 DAV is 27,273,700	$275.00 -1.76%	6/17/2010	$270.95	PP = $272.56
								MB = $286.19
Most Recent Note - 6/21/2010 5:46:51 PM Y - Gapped up today and marked a new all-time high, then it negatively reversed, breaking a streak of 7 consecutive gains. In the 6/17/10 mid-day report (read here) it was featured again in yellow with a new pivot point cited based upon its all-time high plus ten cents while "working on the right side of a choppy 9-week consolidation marked by heavy distribution." >>> The latest Featured Stock Update with an annotated graph appeared on 6/17/2010. Click here. View all notes | Alert me of new notes | CANSLIM.net Company Profile | SEC | Zacks Reports | StockTalk | News | Chart |  Request a new note C A N S L I M
APEI - NASDAQ American Public Educ Inc DIVERSIFIED SERVICES - Education and Training Services	$48.00	+0.01 0.02%	$48.95	148,832 86.53% of 50 DAV 50 DAV is 172,000	$48.49 -1.01%	6/7/2010	$46.60	PP = $46.29
								MB = $48.60
Most Recent Note - 6/21/2010 5:50:14 PM Y - Gapped up today and hit a new 52-week high, then completely erased the gain and closed near the session low. Recently slumped near its 50 DMA line, then positively reversed and closed with a solid gain. >>> The latest Featured Stock Update with an annotated graph appeared on 6/14/2010. Click here. View all notes | Alert me of new notes | CANSLIM.net Company Profile | SEC | Zacks Reports | StockTalk | News | Chart |  Request a new note C A N S L I M
BIDU - NASDAQ Baidu Inc Ads INTERNET - Internet Information Providers	$76.36	+2.27 3.06%	$78.55	20,491,642 136.76% of 50 DAV 50 DAV is 14,984,000	$82.29 -7.21%	1/13/2010	$43.13	PP = $42.68
								MB = $44.81
Most Recent Note - 6/21/2010 7:40:28 PM G - Gapped up today for a gain with above average volume, then closed in the lower half of its intra-day range, finishing about -7% below its 52-week high. >>> The latest Featured Stock Update with an annotated graph appeared on 6/21/2010. Click here. View all notes | Alert me of new notes | CANSLIM.net Company Profile | SEC | Zacks Reports | StockTalk | News | Chart |  Request a new note C A N S L I M
BRLI - NASDAQ Bio Reference Labs Inc HEALTH SERVICES - Medical Laboratories and Researc	$22.93	-0.41 -1.76%	$23.68	139,756 74.74% of 50 DAV 50 DAV is 187,000	$24.67 -7.07%	6/15/2010	$23.57	PP = $24.77
								MB = $26.01
Most Recent Note - 6/21/2010 7:43:18 PM Y - Reversed into the red after gapping up today, slumping to a close just below its 50 DMA line. >>> The latest Featured Stock Update with an annotated graph appeared on 6/15/2010. Click here. View all notes | Alert me of new notes | CANSLIM.net Company Profile | SEC | Zacks Reports | StockTalk | News | Chart |  Request a new note C A N S L I M
CISG - NASDAQ Cninsure Inc Ads INSURANCE - Insurance Brokers	$27.50	+0.41 1.51%	$28.14	592,416 196.82% of 50 DAV 50 DAV is 301,000	$28.62 -3.91%	6/16/2010	$27.20	PP = $27.75
								MB = $29.14
Most Recent Note - 6/21/2010 12:12:42 PM Y - Near the session low after early gains today helped it briefly trade above its pivot point. Featured in the 6/16/10 mid-day report (read here) with new pivot point cited based upon its 5/13/10 high. >>> The latest Featured Stock Update with an annotated graph appeared on 6/18/2010. Click here. View all notes | Alert me of new notes | CANSLIM.net Company Profile | SEC | Zacks Reports | StockTalk | News | Chart |  Request a new note C A N S L I M
Symbol/Exchange Company Name Industry Group	PRICE	CHANGE (%Change)	Day High	Volume (% DAV) (% 50 day avg vol)	52 Wk Hi % From Hi	Featured Date	Price Featured	Pivot Featured
								Max Buy
CRM - NYSE Salesforce.Com Inc INTERNET - Internet Software and Services	$95.41	-0.31 -0.32%	$97.94	2,760,995 103.28% of 50 DAV 50 DAV is 2,673,200	$97.58 -2.22%	6/2/2010	$88.44	PP = $89.60
								MB = $94.08
Most Recent Note - 6/21/2010 7:45:06 PM G - Still hovering near its all-time high, extended from its latest sound base. Prior highs in the $89 area are an important support level to watch above its 50 DMA line. >>> The latest Featured Stock Update with an annotated graph appeared on 6/2/2010. Click here. View all notes | Alert me of new notes | CANSLIM.net Company Profile | SEC | Zacks Reports | StockTalk | News | Chart |  Request a new note C A N S L I M
DECK - NASDAQ Deckers Outdoor Corp CONSUMER NON-DURABLES - Textile - Apparel Footwear	$160.33	-4.59 -2.78%	$168.52	596,561 113.72% of 50 DAV 50 DAV is 524,600	$167.49 -4.27%	6/11/2010	$157.34	PP = $158.57
								MB = $166.50
Most Recent Note - 6/21/2010 7:25:37 PM Y - Reached a new all-time high today and then negatively reversed for a loss on slightly higher volume. Prior chart highs may now serve as initial support on pullbacks. >>> The latest Featured Stock Update with an annotated graph appeared on 6/11/2010. Click here. View all notes | Alert me of new notes | CANSLIM.net Company Profile | SEC | Zacks Reports | StockTalk | News | Chart |  Request a new note C A N S L I M
FFIV - NASDAQ F 5 Networks Inc INTERNET - Internet Software and Services	$74.22	+0.41 0.56%	$77.09	1,871,231 112.79% of 50 DAV 50 DAV is 1,659,100	$75.93 -2.25%	6/16/2010	$74.50	PP = $74.10
								MB = $77.81
Most Recent Note - 6/21/2010 7:27:11 PM Y - Hit a new all-time high today but reversed and closed near its session low. Gain on 6/16/10 with +55% above average volume helped it trigger a technical buy signal with its breakout from a flat base of about 5-weeks. Featured in the 6/16/10 mid-day report (read here) as its color code was changed to yellow with a pivot point based upon its 5/13/10 high plus ten cents. >>> The latest Featured Stock Update with an annotated graph appeared on 6/16/2010. Click here. View all notes | Alert me of new notes | CANSLIM.net Company Profile | SEC | Zacks Reports | StockTalk | News | Chart |  Request a new note C A N S L I M
MELI - NASDAQ Mercadolibre Inc INTERNET - Internet Software and; Services	$60.63	+1.40 2.36%	$62.08	1,036,395 132.46% of 50 DAV 50 DAV is 782,400	$62.14 -2.43%	5/13/2010	$54.21	PP = $55.85
								MB = $58.64
Most Recent Note - 6/21/2010 7:29:48 PM G - Gapped up today and posted a solid gain. Extended from its prior base, its prior chart highs in the $55 area may act as an initial support level on pullbacks. >>> The latest Featured Stock Update with an annotated graph appeared on 6/10/2010. Click here. View all notes | Alert me of new notes | CANSLIM.net Company Profile | SEC | Zacks Reports | StockTalk | News | Chart |  Request a new note C A N S L I M
ROVI - NASDAQ Rovi Corp COMPUTER SOFTWARE andamp; SERVICES - Security Software andamp; Services	$37.41	+0.03 0.08%	$37.95	915,942 67.79% of 50 DAV 50 DAV is 1,351,100	$40.06 -6.62%	6/3/2010	$38.70	PP = $40.16
								MB = $42.17
Most Recent Note - 6/21/2010 7:30:30 PM G - Hovering near its 50 DMA line. Recently found support near prior lows in the $35 area, and stayed above its October 2009 chart high. >>> The latest Featured Stock Update with an annotated graph appeared on 6/9/2010. Click here. View all notes | Alert me of new notes | CANSLIM.net Company Profile | SEC | Zacks Reports | StockTalk | News | Chart |  Request a new note C A N S L I M
Symbol/Exchange Company Name Industry Group	PRICE	CHANGE (%Change)	Day High	Volume (% DAV) (% 50 day avg vol)	52 Wk Hi % From Hi	Featured Date	Price Featured	Pivot Featured
								Max Buy
SUMR - NASDAQ Summer Infant Inc CONSUMER NON-DURABLES - Personal Products	$7.16	-0.12 -1.65%	$7.33	59,134 73.83% of 50 DAV 50 DAV is 80,100	$8.42 -14.96%	5/4/2010	$6.85	PP = $7.09
								MB = $7.44
Most Recent Note - 6/21/2010 7:31:40 PM G - Consolidating above its 50 DMA line and prior chart highs in the $7 area. Recent chart lows in the $6.25 area define important support to watch now. >>> The latest Featured Stock Update with an annotated graph appeared on 6/8/2010. Click here. View all notes | Alert me of new notes | CANSLIM.net Company Profile | SEC | Zacks Reports | StockTalk | News | Chart |  Request a new note C A N S L I M
THOR - NASDAQ Thoratec Corp HEALTH SERVICES - Medical Instruments and Supplies	$46.43	+0.13 0.28%	$47.26	585,065 59.91% of 50 DAV 50 DAV is 976,600	$47.93 -3.13%	6/3/2010	$44.38	PP = $45.35
								MB = $47.62
Most Recent Note - 6/21/2010 7:33:20 PM Y- Quietly consolidating above its pivot point and below its "max buy" level. No resistance remains due to overhead supply, and it could produce more climactic gains. >>> The latest Featured Stock Update with an annotated graph appeared on 6/3/2010. Click here. View all notes | Alert me of new notes | CANSLIM.net Company Profile | SEC | Zacks Reports | StockTalk | News | Chart |  Request a new note C A N S L I M
ULTA - NASDAQ Ulta Salon Cosm & Frag SPECIALTY RETAIL - Specialty Retail, Other	$25.55	-0.63 -2.41%	$26.75	864,368 139.80% of 50 DAV 50 DAV is 618,300	$26.50 -3.58%	5/28/2010	$25.58	PP = $25.86
								MB = $27.15
Most Recent Note - 6/21/2010 7:35:09 PM Y - Hit a new all-time high today after gapping up, but it closed lower after a negative reversal. No overhead supply remains to act as resistance, however, on 6/11/10 it completed a Secondary Offering which may hinder upward price progress for the near-term. >>> The latest Featured Stock Update with an annotated graph appeared on 6/7/2010. Click here. View all notes | Alert me of new notes | CANSLIM.net Company Profile | SEC | Zacks Reports | StockTalk | News | Chart |  Request a new note C A N S L I M