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AFTER MARKET UPDATE - MONDAY, SEPTEMBER 13TH, 2010
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Indices NYSE Nasdaq
DOW  +81.36 10,544.13 +0.78% Volume 936,722,380 +24% Volume 1,908,387,540 +16%
NASDAQ +43.23 2,285.71 +1.93% Advancers 2,297 74% Advancers 2,098 76%
S&P 500 +12.35 1,121.90 +1.11% Decliners 725 23% Decliners 547 20%
Russell 2000 +15.82 652.28 +2.49% 52 Wk Highs 262   52 Wk Highs 100  
S&P 600 +8.00 347.45 +2.36% 52 Wk Lows 5   52 Wk Lows 21  

Major Averages Collectively Rallied Above 200-Day Moving Averages

Stocks rose sharply around the world after bank regulators met in Basel Switzerland over the weekend and passed a new set of capital rules for banks. Monday's volume totals were reported higher on the NYSE and on the Nasdaq exchange compared to Friday's levels which was an encouraging sign of institutional sponsorship. Advancers led decliners by over a 3-to-1 ratio on the NYSE and by nearly a 4-to-1 ratio on the Nasdaq exchange. New 52-week highs easily outnumbered new 52-week lows on the NYSE and on the Nasdaq exchange. There were 77 high-ranked companies from the CANSLIM.net Leaders List made a new 52-week high and appeared on the CANSLIM.net BreakOuts Page, nicely higher than the 30 issues that appeared on the prior session.

 

Over the weekend, bank regulators reached a new agreement now known as "Basel III" which set new capital requirements for banks around the world. The new standards are viewed as bullish for the ailing financial industry as they help prevent excessive leverage which threatened the global financial system in 2008. The US Federal Reserve and a host of other major central banks and banking regulators said the new capital standards are a "significant step forward in reducing the incidence and severity of future financial crises." Federal Reserve Chairman Ben Bernanke; Sheila Bair, head of the Federal Deposit Insurance Corp. (FDIC), and John G. Walsh, the acting head of the Office of the Comptroller of the Currency, participated in Sunday's discussions in Switzerland. Their agencies issued the joint statement.

Monday's action was a healthy sign for the market rally that began on the September 1, 2010 follow-through day (FTD). Looking forward, the window is now open for disciplined investors to begin carefully buying high-ranked stocks again. It was encouraging to see a flurry of high-ranked leaders trigger fresh technical buy signals and break out of sound bases in recent sessions. All the major averages jumped above their respective 200-day moving average (DMA) lines today which was an encouraging sign. The next important level to watch for the major averages are their summer highs.  It is 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 gapped up and rallied above its 200-day moving average line toward prior highs.




Bank Index Among Big Gainers Starting The Week

The Bank Index ($BKX +3.05%) rallied for a solid gain above its 50-day moving average (DMA) line and the Broker/Dealer Index ($XBD +1.86%) also posted a solid gain as the financial group was among the important positive influences on Monday amid widespread gains. The Retail Index ($RLX +1.45%) rose, and the tech sector traded up, with solid gains from the Internet Index ($IIX +1.97%), Networking Index ($NWX +2.71%), and Semiconductor Index ($SOX +3.35%). The Healthcare Index ($HMO +1.21%) posted a solid gain and the energy group had a positive bias as the Integrated Oil Index ($XOI +0.73%) and Oil Services Index ($OSX +1.09%) posted gains. The Biotechnology Index ($BTK +0.59%) finished with a smaller gain, and the Gold & Silver Index ($XAU +0.23%) was also among the session's relative laggards.

Charts courtesy www.stockcharts.com

PICTURED: The Bank Index posted a considerable gain today, rallying above its 50-day moving average (DMA) line toward its 200 DMA line.


Industry Index Symbol Close Change % Change YTD % Change
Oil Services $OSX  189.66 +2.04 +1.09% -2.70%
Healthcare $HMO  1,565.95 +18.68 +1.21% +6.31%
Integrated Oil $XOI  998.35 +7.24 +0.73% -6.54%
Semiconductor $SOX  327.17 +10.60 +3.35% -9.10%
Networking $NWX  240.82 +6.36 +2.71% +4.22%
Internet $IIX  264.96 +5.13 +1.97% +13.30%
Broker/Dealer $XBD  106.27 +1.94 +1.86% -7.63%
Retail $RLX  431.26 +5.60 +1.32% +5.02%
Gold & Silver $XAU  185.63 +0.43 +0.23% +10.33%
Bank $BKX  47.98 +1.42 +3.05% +12.34%
Biotech $BTK  1,146.95 +6.67 +0.59% +21.74%


Extended Leader's Initial Support At Upward Trendline

F5 Networks Inc. (FFIV +$4.72 or +5.02% to $98.87) posted a considerable gain after gapping up today, hitting a new all-time high. An upward trendline connecting July-August lows defines an initial chart support level well above its 50 DMA line. Patient investors might wait for new secondary buy points to develop, and disciplined investors avoid chasing stocks extended more than +5% above prior chart highs.  It has been recently noted - "Extended from any sound base after recent volume-driven gains, it could go on to produce more climactic gains."

The company currently sports a very healthy Earnings Per Share (EPS) rating of 98 and a Relative Strength (RS) rating of 98 too. It resides in the Internet- Networking Solutions group which is an Industry Group showing lots of leadership, satisfying the "L" criteria. Its quarterly sales and earnings results showed impressive acceleration in the Dec '09, Mar and Jun '10 periods satisfying the C criteria. The company has maintained a good annual earnings (A criteria) history. This stock was first featured in the January 2004 edition of CANSLIM.net News (read here) with a $26.85 pivot point. During the past 6 years, FFIV has built several bases, and it has also been through some tough consolidation periods.


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
ABV - NYSE
Comp De Bebidas Adr
FOOD and BEVERAGE - Beverages - Brewers  
$115.95 +0.61
0.53%

$116.76

669,143
105.96% of 50 DAV
50 DAV is 631,500
$115.91
0.03%
6/29/2010 $104.74 PP = $109.33
MB = $114.80
Most Recent Note - 9/8/2010 4:49:51 PM
G - This Brazil-based beverage firm rallied to a new all-time high with today's gain on near average volume. Prior highs in the $111-112 area define support above its 50 DMA line.
>>> The latest Featured Stock Update with an annotated graph appeared on 8/18/2010. Click here.

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ARUN - NASDAQ
Aruba Networks Inc
COMPUTER HARDWARE - Networking andamp; Communication Dev  
$20.27 +0.59
3.00%

$20.44

3,183,644
174.70% of 50 DAV
50 DAV is 1,822,400
$20.05
1.10%
8/30/2010 $18.12 PP = $18.51
MB = $19.44
Most Recent Note - 9/13/2010 12:38:55 PM
G - Hitting yet another new 52-week high after gapping up today, getting more extended from its latest base. Prior highs near $18 define chart support to watch.
>>> The latest Featured Stock Update with an annotated graph appeared on 9/2/2010. Click here.

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BIDU - NASDAQ
Baidu Inc Ads
INTERNET - Internet Information Providers  
$86.26 +1.93
2.29%

$86.50

8,750,267
89.58% of 50 DAV
50 DAV is 9,768,100
$88.32
-2.33%
7/14/2010 $75.03 PP = $78.59
MB = $82.52
Most Recent Note - 9/13/2010 5:20:05 PM
Y - Gapped up today for a gain with near average volume. Its recent rally from its 10-week average may be considered a secondary buy point. However, it may be considered "late-stage" and riskier than fresh technical breakouts.
>>> The latest Featured Stock Update with an annotated graph appeared on 8/13/2010. Click here.

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CACC - NASDAQ
Credit Acceptance Corp
FINANCIAL SERVICES - Credit Services  
$59.73 -0.08
-0.13%

$59.97

45,238
93.08% of 50 DAV
50 DAV is 48,600
$61.41
-2.74%
7/29/2010 $52.04 PP = $54.07
MB = $56.77
Most Recent Note - 9/8/2010 4:56:22 PM
G - Consolidating in a tight trading range with volume totals cooling. Perched -3% off its 52-week high, well above its 50 DMA and old highs near $54 that define support.
>>> The latest Featured Stock Update with an annotated graph appeared on 8/2/2010. Click here.

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CMG - NYSE
Chipotle Mexican Grill
LEISURE - Restaurants  
$168.37 +2.36
1.42%

$169.18

689,391
97.30% of 50 DAV
50 DAV is 708,500
$167.28
0.65%
9/1/2010 $158.31 PP = $155.52
MB = $163.30
Most Recent Note - 9/10/2010 3:58:04 PM
G - Gain today with below average volume, closing above its "max buy" level, and its color code is changed to green again. Technically, it broke out on 9/01/10, rallying to multi-year highs with a considerable gain backed 2 times average volume.
>>> The latest Featured Stock Update with an annotated graph appeared on 9/1/2010. Click here.

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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  
$118.59 +1.17
1.00%

$120.00

2,540,701
97.63% of 50 DAV
50 DAV is 2,602,300
$122.00
-2.80%
6/2/2010 $88.44 PP = $89.60
MB = $94.08
Most Recent Note - 9/9/2010 6:21:09 PM
G - Pulling back today after early gains for a new all-time high. It is extended from a sound base, not currently buyable under the investment system guidelines.
>>> The latest Featured Stock Update with an annotated graph appeared on 8/16/2010. Click here.

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EGO - NYSE
Eldorado Gold Corp
METALS and MINING - Gold  
$19.01 +0.03
0.16%

$19.20

2,820,144
68.87% of 50 DAV
50 DAV is 4,094,800
$20.06
-5.23%
8/19/2010 $18.25 PP = $19.17
MB = $20.13
Most Recent Note - 9/8/2010 5:23:54 PM
Y - Holding its ground above its pivot point yet below its "max buy" level after recent volume-driven gains.
>>> The latest Featured Stock Update with an annotated graph appeared on 8/19/2010. Click here.

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FFIV - NASDAQ
F 5 Networks Inc
INTERNET - Internet Software and Services  
$98.87 +4.72
5.01%

$99.72

1,991,899
120.00% of 50 DAV
50 DAV is 1,659,900
$98.01
0.88%
6/16/2010 $74.50 PP = $74.10
MB = $77.81
Most Recent Note - 9/13/2010 3:47:38 PM
G - Considerable gain after gapping up today, hitting a new all-time high. Upward trendline connecting July-August lows defines an initial chart support level well above its 50 DMA line.
>>> The latest Featured Stock Update with an annotated graph appeared on 9/13/2010. Click here.

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FOSL - NASDAQ
Fossil Inc
CONSUMER DURABLES - Recreational Goods, Other  
$51.00 +0.61
1.21%

$51.34

645,873
83.79% of 50 DAV
50 DAV is 770,800
$51.20
-0.39%
8/10/2010 $45.54 PP = $42.69
MB = $44.82
Most Recent Note - 9/8/2010 5:26:57 PM
G - Perched at an all-time high, extended from any sound base after a recent streak of gains. Prior high in the $46 area defines support to watch.
>>> The latest Featured Stock Update with an annotated graph appeared on 8/11/2010. Click here.

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GMCR - NASDAQ
Green Mtn Coffee Roastrs
FOOD and BEVERAGE - Processed and Packaged Goods  
$35.24 +1.05
3.07%

$35.94

3,693,873
159.27% of 50 DAV
50 DAV is 2,319,300
$34.98
0.74%
8/17/2010 $33.62 PP = $33.30
MB = $34.97
Most Recent Note - 9/13/2010 12:53:35 PM
G - Gapped up again today and hit yet another new all-time high. Trading beyond its "max buy" level, its color code is changed to green.
>>> The latest Featured Stock Update with an annotated graph appeared on 8/17/2010. Click here.

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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
HS - NYSE
Healthspring Inc
HEALTH SERVICES - Health Care Plans  
$22.80 -0.48
-2.06%

$23.47

795,526
128.21% of 50 DAV
50 DAV is 620,500
$23.36
-2.40%
8/27/2010 $19.91 PP = $19.75
MB = $20.74
Most Recent Note - 9/13/2010 5:22:21 PM
G - Hit another new 52-week high today traded above its 2008 high, then negatively reversed. Extended from its prior base, support to watch now is prior chart highs in the $19-20 area.
>>> The latest Featured Stock Update with an annotated graph appeared on 8/27/2010. Click here.

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IGTE - NASDAQ
Igate Corp
COMPUTER SOFTWARE and SERVICES - Information Technology Service  
$18.55 +1.39
8.10%

$18.67

713,858
190.87% of 50 DAV
50 DAV is 374,000
$18.23
1.76%
9/8/2010 $17.29 PP = $18.26
MB = $19.17
Most Recent Note - 9/13/2010 10:40:50 AM
Y - Gapped up today, rallying near its pivot point again after a weak finish on the prior session. Color code was changed to yellow as it met the 9/08/10 mid-day report screening criteria (read here), identifying it as an ideal leader for investors' watchlists. This high-ranked Fremont, CA-based firm built an orderly new base, however, it is a riskier "late-stage" base. Another concern was noted in prior mid-day reports -"The downturn in FY '09 earnings hurts its annual earnings (A criteria) track record."
>>> The latest Featured Stock Update with an annotated graph appeared on 9/10/2010. Click here.

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MELI - NASDAQ
Mercadolibre Inc
INTERNET - Internet Software and; Services  
$74.58 +2.07
2.85%

$74.78

816,497
94.85% of 50 DAV
50 DAV is 860,800
$73.00
2.16%
5/13/2010 $54.21 PP = $55.85
MB = $58.64
Most Recent Note - 9/13/2010 5:08:44 PM
G - Gain today on average volume for another new high, getting more extended from a sound base. Prior highs in the $62 area and its 50 DMA line define chart support.
>>> The latest Featured Stock Update with an annotated graph appeared on 8/26/2010. Click here.

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MRX - NYSE
Medicis Pharmaceut Cl A
DRUGS - Biotechnology  
$28.61 +0.01
0.03%

$28.87

759,405
62.17% of 50 DAV
50 DAV is 1,221,400
$30.00
-4.63%
8/12/2010 $26.88 PP = $26.71
MB = $28.05
Most Recent Note - 9/10/2010 4:00:35 PM
G - Pulling back from its 52-week high with a 4th consecutive small loss today with near average volume. Prior highs in the $28 area define an initial chart support level to watch.
>>> The latest Featured Stock Update with an annotated graph appeared on 8/12/2010. Click here.

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MWIV - NASDAQ
M W I Veterinary Supply
HEALTH SERVICES - Medical Instruments and; Supplies  
$54.01 +1.41
2.68%

$54.08

65,484
88.85% of 50 DAV
50 DAV is 73,700
$55.93
-3.43%
7/29/2010 $52.05 PP = $52.09
MB = $54.69
Most Recent Note - 9/13/2010 5:10:34 PM
Y - Today's gain halted a streak of 4 consecutive losses. Still consolidating under its "max buy" level yet above its pivot point. Recent lows in the $46 area define an important chart support level.
>>> The latest Featured Stock Update with an annotated graph appeared on 9/7/2010. Click here.

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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
NEM - NYSE
Newmont Mining Corp
METALS and MINING - Gold  
$60.42 -0.26
-0.43%

$61.10

4,155,419
63.33% of 50 DAV
50 DAV is 6,561,700
$63.38
-4.67%
8/31/2010 $61.32 PP = $63.48
MB = $66.65
Most Recent Note - 9/9/2010 6:26:08 PM
Y - Down again today with light volume. Disciplined investors will watch for a confirming gain above its latest pivot with heavy volume. Recent leadership in the Mining - Gold/Silver/Gems group (L criteria) is a nice reassurance.
>>> The latest Featured Stock Update with an annotated graph appeared on 8/6/2010. Click here.

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NEOG - NASDAQ
Neogen Corp
DRUGS - Diagnostic Substances  
$31.87 +0.72
2.31%

$31.99

72,076
75.87% of 50 DAV
50 DAV is 95,000
$32.42
-1.70%
9/1/2010 $30.79 PP = $30.49
MB = $32.01
Most Recent Note - 9/13/2010 5:13:17 PM
Y- Gain today with light volume for its second best close ever. Technically, its 9/01/10 gain above the new pivot point cited triggered a buy signal after an orderly 5-week base-on-base pattern.
>>> The latest Featured Stock Update with an annotated graph appeared on 8/20/2010. Click here.

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NFLX - NASDAQ
Netflix Inc
SPECIALTY RETAIL - Music and Video Stores  
$147.94 +1.78
1.22%

$149.95

3,343,722
70.82% of 50 DAV
50 DAV is 4,721,600
$149.74
-1.20%
8/10/2010 $124.05 PP = $124.00
MB = $130.20
Most Recent Note - 9/8/2010 5:57:42 PM
G- Hit another new all-time high today with its 6th consecutive gain. No resistance remains to hinder its progress. It has risen beyond its "max buy" level after holding its ground and finding recent support near its pivot point.
>>> The latest Featured Stock Update with an annotated graph appeared on 8/10/2010. Click here.

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NTAP - NASDAQ
Netapp Inc
COMPUTER HARDWARE - Data Storage Devices  
$48.10 +1.77
3.82%

$48.22

8,689,333
117.94% of 50 DAV
50 DAV is 7,367,800
$47.89
0.44%
9/8/2010 $46.98 PP = $44.99
MB = $47.24
Most Recent Note - 9/13/2010 5:07:07 PM
G - Gapped up and hit another new 52-week high today, closing above its "max buy" level. Color code is changed to green.
>>> The latest Featured Stock Update with an annotated graph appeared on 9/8/2010. Click here.

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PAY - NYSE
Verifone Systems Inc
COMPUTER HARDWARE - Transaction Automation Systems  
$27.25 +0.64
2.41%

$27.52

1,801,952
144.80% of 50 DAV
50 DAV is 1,244,400
$27.10
0.55%
8/25/2010 $24.30 PP = $23.74
MB = $24.93
Most Recent Note - 9/13/2010 5:15:21 PM
G - Gapped up today a posted a gain with above average volume for a new 52-week high, getting more extended from a sound base.
>>> The latest Featured Stock Update with an annotated graph appeared on 8/30/2010. Click here.

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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
ROVI - NASDAQ
Rovi Corp
COMPUTER SOFTWARE andamp; SERVICES - Security Software andamp; Services  
$44.79 +0.79
1.80%

$45.31

1,807,663
158.29% of 50 DAV
50 DAV is 1,142,000
$45.47
-1.50%
8/31/2010 $43.31 PP = $45.06
MB = $47.31
Most Recent Note - 9/8/2010 6:23:59 PM
Y - Technically, it has not broken out from the recently noted base-on-base type pattern. It spiked to a new 52-week high today, then encountered distributional pressure and closed the session below its pivot point in the middle of its intra-day range.
>>> The latest Featured Stock Update with an annotated graph appeared on 8/24/2010. Click here.

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SHOO - NASDAQ
Steven Madden Limited
CONSUMER NON-DURABLES - Textile - Apparel Footwear  
$38.28 +1.95
5.37%

$38.49

309,234
73.26% of 50 DAV
50 DAV is 422,100
$40.98
-6.59%
8/5/2010 $39.55 PP = $41.08
MB = $43.13
Most Recent Note - 9/13/2010 10:53:40 AM
Y - Gapped up today. Volume totals have cooled while recently consolidating. Gains above the pivot point previously cited are still needed to confirm a proper technical buy signal.
>>> The latest Featured Stock Update with an annotated graph appeared on 8/5/2010. Click here.

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SLW - NYSE
Silver Wheaton Corp
METALS and; MINING - Silver  
$23.79 -0.10
-0.42%

$24.29

4,735,646
100.84% of 50 DAV
50 DAV is 4,696,200
$24.72
-3.76%
8/25/2010 $21.40 PP = $21.99
MB = $23.09
Most Recent Note - 9/10/2010 4:02:36 PM
G - Held its ground for the week after enduring distributional pressure. Extended from a sound base, the previous highs in the $21 area are now a support level to watch.
>>> The latest Featured Stock Update with an annotated graph appeared on 8/25/2010. Click here.

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UA - NYSE
Under Armour Inc Cl A
CONSUMER NON-DURABLES - Textile - Apparel Clothing  
$40.91 +1.02
2.56%

$41.00

923,394
134.04% of 50 DAV
50 DAV is 688,900
$40.70
0.52%
9/9/2010 $39.99 PP = $40.10
MB = $42.11
Most Recent Note - 9/13/2010 5:18:37 PM
Y - Today it hit another new 52-week high with its 9th consecutive gain since finding recent support near its 50 DMA line.
>>> The latest Featured Stock Update with an annotated graph appeared on 9/9/2010. Click here.

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ULTA - NASDAQ
Ulta Salon Cosm & Frag
SPECIALTY RETAIL - Specialty Retail, Other  
$27.65 +1.44
5.49%

$27.70

772,918
125.84% of 50 DAV
50 DAV is 614,200
$26.96
2.56%
9/3/2010 $26.36 PP = $25.89
MB = $27.18
Most Recent Note - 9/13/2010 10:50:41 AM
Y - Gapped up today and hit a new 52-week high, trading just above its "max buy" level now.
>>> The latest Featured Stock Update with an annotated graph appeared on 9/3/2010. Click here.

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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
VIT - NYSE
Vanceinfo Tech Inc Ads
COMPUTER SOFTWARE and SERVICES - Business Software and Services  
$28.98 -0.59
-2.00%

$29.97

653,774
120.64% of 50 DAV
50 DAV is 541,900
$30.50
-4.98%
7/8/2010 $25.20 PP = $26.58
MB = $27.91
Most Recent Note - 9/13/2010 5:24:17 PM
G - Pulling back with higher volume today and closed near the session low, enduring mild distributional pressure.
>>> The latest Featured Stock Update with an annotated graph appeared on 8/31/2010. Click here.

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WCRX - NASDAQ
Warner Chilcott Plc
DRUGS - Drug Manufacturers - Other  
$21.99 -0.04
-0.18%

$22.15

1,807,262
76.71% of 50 DAV
50 DAV is 2,356,100
$30.57
-28.07%
8/23/2010 $29.54 PP = $29.34
MB = $30.81
Most Recent Note - 9/9/2010 6:53:33 PM
Y - Volume was heavy today as it rallied to a new all-time high. Price data will be adjusted to account for a "quirky" dividend effective as of today's trading. WCRX was featured in yellow in the mid-day report on 8/23/10 rising from a cup shaped base.
>>> The latest Featured Stock Update with an annotated graph appeared on 8/23/2010. Click here.

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