The market closed out a volatile week on a positive note, rebounding from Thursday's retreat amid encouraging economic data. The U.S. trade deficit narrowed in December to its lowest level in three years to $38.5 billion. More signs of a soft landing in China added to the positive tone as the nation's exports grew in January by the most since April 2011. Meanwhile in Europe, the EU agreed to a seven-year budget that cuts spending for the first time ever.

Fourth-quarter earnings results also helped lift the market. So far about 75% of S&P 500 companies have topped estimates for earnings and 67% have exceeded on revenue, according to Bloomberg.

Nearly all sectors traded higher on Friday. The more defensive groups of utilities and telecom lagged behind as Exelon Corp (EXC -0.92%) and Verizon Communications Inc (VZ -0.25%) ended lower. Technology paced the advance thanks to Apple Inc (AAPL +1.44%) which is now -32.6%% off its all-time high hit on 9/21/12. Note that date and its significance on the chart of the Nasdaq Composite Index discussed in greater detail below.

In fixed-income, Treasury prices were up slightly as the 10-year note gained 2/32 to yield 1.95%.

The latest rally has produced a few action worthy candidates meeting all of the fact-based investment system's criteria. Selectivity and discipline are required, as always. Investors may consider new buying efforts in stocks meeting all key criteria, as the market's (M criteria) confirmed uptrend has been comprised by great leadership (stocks hitting new 52-week highs) in the broader market. Widespread gains helped all of the major averages blast higher, and the benchmark S&P 500 Index is perched at its best level in more than five years and off its October 2007 all-time high.

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PICTURED: The Nasdaq Composite Index rose 28 points to 3,193, its best level since November 2000. It finished Friday's session above its best closes of 2012 after trading intra-day within 4 cents of the high hit on 9/21/12. Subsequent gains into new high territory may help the broader market gain more momentum and may attract greater interest in stocks overall.

In this "Industry Group Watch" section we compare the performance of "growth" oriented industry groups versus the "defensive" groups below.  The Healthcare Index ($HMO +2.00%) posted a big gain and was a standout leader on Friday. The Retail Index ($RLX +0.75%) helped underpin the major averages' gains. The Semiconductor Index ($SOX +1.32%) and Biotechnology Index ($BTK +1.37%) led the tech sector higher, meanwhile the Internet Index ($IIX +0.46%) posted a smaller gain, and the Networking Index ($NWX +0.18%) inched higher. Financial and energy-related stocks had a positive bias as the Broker/Dealer Index ($XBD +0.12%) and Bank Index ($BKX +0.29%) each inched higher, and the Integrated Oil Index ($XOI +0.52%) and Oil Services Index ($OSX +0.95%) both posted modest gains.

 Charts courtesy www.stockcharts.com

PICTURED 1: The Internet Index ($IIX +0.46%) is consolidating near its 2013 high after rallying +20% from its November 2012 low, up approximately +9.5% year-to-date.  Consider the performance of this and other "growth" oriented industry groups versus the classic "defensive" group below. 

Linkedin Corp (LNKD +$26.39 or +21.27% to $150.48) was highlighted in yellow in the earlier mid-day report (read here) with new pivot point cited based on its 1/28/13 high plus 10 cents. It reported earnings +192% on +81% sales revenues for the Dec '12 quarter and it gapped up today. Its considerable "breakaway gap" into new all-time high territory helped it blast from a 4-month cup-with-handle base. Longtime members may recall that a breakaway gap has previously been noted as the one exception which allows for new buying efforts more than +5% above prior highs, however risk increases the further one chases any stock above prior highs that an ordinary pullback may trigger the fact-based system's strict sell rule. Disciplined investors always limit losses by selling if ever any stock fall more than -7% from its purchase price.

LNKD was last seen in this FSU section on 10/09/12 with an annotated graph under the headline, "Pullback Testing Prior Highs And 50-Day Moving Average", when retreating near prior highs in the $113 area along with its 50-day moving average (DMA) line.  Subsequent violations triggered technical sell signals.  It has rebounded impressively from lows below its 200-day moving average (DMA) line since dropped from the Featured Stocks list on 10/19/12.

Its fundamentals (C and A criteria) remain strong. It was most recently noted in the 1/10/13 mid-day report - "Patient and disciplined investors may keep it on their watch list and wait for a proper base and breakout to possibly be noted in the coming weeks."

The high-ranked leader from the Internet - Content  Its Return On Equity of 11% (previously noted) is below the 17% guideline, which is a minor concern. Ownership by top-rated funds has been on the rise, increasing from 185 in Sep '11 to 809 in Dec '12, a very reassuring sign concerning the I criteria.

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
CELG - NASDAQ Celgene Corp DRUGS - Drug Manufacturers - Major	$100.13	+2.30 2.35%	$100.86	3,611,151 96.62% of 50 DAV 50 DAV is 3,737,600	$102.29 -2.11%	12/11/2012	$82.24	PP = $81.34
								MB = $85.41
Most Recent Note - 2/8/2013 4:00:02 PM G - Still perched near its all-time high, holding its ground stubbornly while very extended from its prior base. >>> The latest Featured Stock Update with an annotated graph appeared on 2/4/2013. 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
CFNL - NASDAQ Cardinal Financial Corp BANKING - Regional - Southeast Banks	$16.15	-0.01 -0.06%	$16.38	110,193 51.30% of 50 DAV 50 DAV is 214,800	$16.90 -4.44%	12/3/2012	$15.20	PP = $16.31
								MB = $17.13
Most Recent Note - 2/5/2013 3:49:27 PM Y - Rebounding today with below average volume while rising back above its pivot point and still consolidating just above its 50 DMA line defining important near-term support. Subsequent losses leading to a damaging violation and a slump below the recent low ($15.74 on 1/18/13) would raise concerns and trigger technical sell signals. >>> The latest Featured Stock Update with an annotated graph appeared on 1/31/2013. 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
CMCSA - NASDAQ Comcast Corp Cl A MEDIA - CATV Systems	$38.75	+0.13 0.34%	$38.88	15,393,489 127.45% of 50 DAV 50 DAV is 12,077,900	$40.28 -3.80%	12/3/2012	$37.08	PP = $38.06
								MB = $39.96
Most Recent Note - 2/5/2013 3:39:08 PM Y - Rallying up from support near prior highs and its 50 DMA line with a solid volume-driven gain today. A subsequent violation of the latest low ($37.81 on 2/04/13) would trigger a technical sell signal. >>> The latest Featured Stock Update with an annotated graph appeared on 1/29/2013. 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
KORS - NYSE Michael Kors Hldgs Ltd RETAIL - Apparel Stores	$57.10	+0.44 0.78%	$57.71	5,131,009 142.08% of 50 DAV 50 DAV is 3,611,300	$60.00 -4.83%	1/23/2013	$54.98	PP = $58.72
								MB = $61.66
Most Recent Note - 2/7/2013 6:12:57 PM Y - Managed an impressive "positive reversal" after testing support at its 50 DMA line on 2/05/13. Recently noted repeatedly with caution - "Disciplined investors may watch for volume-driven gains above the pivot point to trigger a proper technical buy signal before taking action." See the latest FSU analysis for more details and a new annotated graph.  >>> The latest Featured Stock Update with an annotated graph appeared on 2/7/2013. 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
LNKD - NYSE Linkedin Corp Class A INTERNET - Internet Information Providers	$150.48	+26.39 21.27%	$151.89	13,917,228 866.20% of 50 DAV 50 DAV is 1,606,700	$127.45 18.07%	2/8/2013	$147.04	PP = $127.55
								MB = $133.93
Most Recent Note - 2/8/2013 7:09:24 PM Y - It was highlighted in yellow with new pivot point cited based on its 1/28/13 high plus 10 cents in the earlier mid-day report. Reported earnings +192% on +81% sales revenues for then Dec '12 quarter and it gapped up today. Its considerable "breakaway gap" into new all-time high territory cleared a 4-month cup-with-handle base. A breakaway gap has been noted as the one exception which allows for new buying efforts more than +5% above prior highs, however risk increases the further one chases any stock above prior highs. See the latest FSU analysis for more details and a new annotated graph. >>> The latest Featured Stock Update with an annotated graph appeared on 2/8/2013. 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
MIDD - NASDAQ Middleby Corp MANUFACTURING - Diversified Machinery	$149.04	+1.48 1.00%	$149.51	58,897 63.67% of 50 DAV 50 DAV is 92,500	$149.37 -0.22%	10/8/2012	$118.46	PP = $122.67
								MB = $128.80
Most Recent Note - 2/5/2013 3:36:13 PM G - Volume is above average while rallying and hitting another new all-time high today, getting even more extended from any sound base. Prior highs and its 50 DMA line define important near-term chart support in the $132-134 area. >>> The latest Featured Stock Update with an annotated graph appeared on 1/30/2013. 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
N - NYSE Netsuite Inc DIVERSIFIED SERVICES - Business/Management Services	$67.04	+0.70 1.06%	$67.60	161,334 43.77% of 50 DAV 50 DAV is 368,600	$75.75 -11.50%	12/12/2012	$64.75	PP = $67.12
								MB = $70.48
Most Recent Note - 2/7/2013 5:29:30 PM G - Fell again today with lighter volume and finished near its 50 DMA line ($65.92 now). Following a worrisome "negative reversal" on 2/01/13 after initially gapping up for a new 52-week high, the mid-day report cautioned - "Reported earnings +20% on +33% sales revenues for the Dec '12 quarter, below the +25% minimum earnings guideline (C criteria) raising fundamental concerns." See the latest FSU analysis for more details and a new annotated graph. >>> The latest Featured Stock Update with an annotated graph appeared on 2/5/2013. 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
NP - NYSE Neenah Paper Inc CONSUMER NON-DURABLES - Paper and Paper Products	$29.96	+0.43 1.46%	$30.42	84,764 107.98% of 50 DAV 50 DAV is 78,500	$32.57 -8.01%	1/25/2013	$31.80	PP = $31.76
								MB = $33.35
Most Recent Note - 2/7/2013 5:31:18 PM Y - Slumped further below its pivot point with today's 4th consecutive loss, closing near its 50 DMA line defining important chart support. A "negative reversal" for a loss on heavy volume after hitting a new 52-week high on 1/25/13 was noted as a worrisome sign of distributional pressure as it failed to finish strong and did not clinch a technical buy signal. >>> The latest Featured Stock Update with an annotated graph appeared on 1/25/2013. 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
NSR - NYSE Neustar Inc TELECOMMUNICATIONS - Diversified Communication Serv	$46.46	-0.07 -0.15%	$46.71	264,398 59.50% of 50 DAV 50 DAV is 444,400	$47.24 -1.65%	12/11/2012	$41.85	PP = $41.41
								MB = $43.48
Most Recent Note - 2/6/2013 12:33:30 PM G - Today's volume-driven gain helped it touch another new 52-week high, getting more extended from its prior base. Its 50 DMA line (now $42.69)defines near-term support above its prior base. >>> The latest Featured Stock Update with an annotated graph appeared on 2/1/2013. 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
RAX - NYSE Rackspace Hosting Inc INTERNET - Internet Software and; Services	$73.40	+0.29 0.40%	$73.87	1,255,024 105.21% of 50 DAV 50 DAV is 1,192,900	$81.36 -9.78%	12/18/2012	$71.88	PP = $70.10
								MB = $73.61
Most Recent Note - 2/7/2013 5:21:20 PM G - Damaging loss today with almost 2 times average volume raised concerns and led to a close testing important chart support at an upward trendline and its 50 DMA line. Recently noted with caution - "It is extended from the previously noted base. Company will announce its fourth quarter 2012 financial results on Tuesday, February 12, 2013 after the close." See the latest FSU analysis for more details and a new annotated graph. >>> The latest Featured Stock Update with an annotated graph appeared on 2/6/2013. 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
RNF - NYSE Rentech Nitrogen Ptnr Lp CHEMICALS - Agricultural Chemicals	$45.90	-1.58 -3.33%	$47.43	445,553 140.95% of 50 DAV 50 DAV is 316,100	$49.18 -6.67%	11/1/2012	$39.11	PP = $40.15
								MB = $42.16
Most Recent Note - 2/8/2013 3:58:36 PM G - Retreating further from its 52-week high today with another loss on above average volume, a sign of still more distributional pressure. Previously noted - "Extended from its prior base. Prior highs and 50 DMA line coincide near $41 defining important chart support to watch on pullbacks." >>> The latest Featured Stock Update with an annotated graph appeared on 1/24/2013. 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
VRX - NYSE Valeant Pharmaceuticals DRUGS - Drug Manufacturers - Other	$67.80	+0.56 0.83%	$67.98	725,317 47.34% of 50 DAV 50 DAV is 1,532,100	$67.65 0.22%	12/20/2012	$60.24	PP = $61.21
								MB = $64.27
Most Recent Note - 2/8/2013 7:06:03 PM G - Hit a new 52-week high with lighter than average volume behind today's 4th consecutive gain. It is extended from its prior base, and its 50 DMA coincides with prior highs near $61 defining near-term chart support to watch on pullbacks. >>> The latest Featured Stock Update with an annotated graph appeared on 1/28/2013. 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