Miles J. Stoner, @StockHollywood

Dallas, Texas

8.02.2010

August 2

*Milestone Financial Investments LLC - Scalping profits since you were in diapers*
"Scalping Man, Oh yes I am"
  • Monday's are the worst days for soothsaying these god forsaken stocks! REMEMBER THAT.
  • Big week of economic data coming up, we got: Auto sales on Tues, Crude inventories on wed, unemployment rate on friday. I expect good auto sales, crude better or flat, and unemployment will be bad.
  • New data released Friday morning showed real gross domestic product, the broadest read on all goods and services produced in the United States -- rose at a 2.4% annualized rate in Q2. That's slightly less than the 2.5% expected and well below the average 4.4% increase over the last six months. Q1 growth was revised up to a 3.7% rise compared with the prior estimate of a 2.7% increase.
    • This slowing is definitely something to keep in mind. 
  • Stocks teetered near even late in regular session trade, eventually closing mixed as traders were tugged in both directions by a mixed bag of earnings reports and a basket of economic data that suggested U.S. economic growth slowed in the second quarter and consumers grew more pessimistic.
  • Speculation Surrounds What Ace's Greenberg Will Do With $6B  
  • BP Plc (BP:...) could start plugging its broken deepsea oil well in the Gulf of Mexico on Monday night, more than three months after its rupture led to the worst offshore oil spill in U.S. history.
  • "I don't see any reason why we should renew a tax cut that only gives a tax cut to the wealthiest people in America, increases the deficit, and doesn't create jobs," Pelosi said. "That doesn't make any sense."
  • Venezuelan President Hugo Chavez on Friday said he had deployed infantry and air force units following Colombian charges last week that his country harbored leftist guerrillas.
  • When the market drops, the VIX tends to rise, and vice versa. In actuality, the VIX index price is derived from the S&P 500 cash index options. As such, this index actually measures an approximation of the volatility surface of a hypothetical 30-day SPX option.
  1. McAfee (MFE:$33.1000,$2.8500,9.42%) shares were up 9.4% in the regular session to $33.10.
    • The company reported second quarter revenues of $495 million, below the analyst mean of $507 million on Thomson Reuters. EPS was $0.63 per share, three cents better than the Street view.
    • Shares of McAfee (MFE:$33.1000,$2.8500,9.42%) were down in after-hours trading, paring some gains made earlier.
    • Came down to 32.39, didn't hold the drop, back to 32.9-33area.
    • I'd s/s this stock around 32.9x33 area, with resistance on the come down 32.66 and 32.15.
    • MFE shot up Friday due to the 3 cents, but revenue was 13million below, be careful on the s/s and s/s the pops only. I am short biased 70/30.
  2.  Shares of Middlesex Water Company (MSEX:$16.55,00$-0.23,00-1.37%) were down in after-hours trading after the company said it earned $0.31 a share on revenue of $26.5 million.
    The street was looking for $24.01 million in revenue.
    • Middlesex Water Company Beats Revenue Expectations - Shares Off Modestly After Hours.
    • Beat revenue by 2.4million dollars and stock came down after hours, this stock has low volume, but discrepancy in the number is good.
    • Small drop ah's range 16.53-16.55, some big buyer's, could catch some upside momentum with buyers confident in the revenue gain. 
    • I'm long this stock at any dip 16.35-16.43area, target sell 17.
    • Although, the chart indicates a downward trend over the next week, I don't know, or I have doubts that the revenue gain will make up for the sell off.
  3. Dynavax Technologies Corp (DVAX:$2.21,00$0.00,000.00%) posted a quarterly loss, hurt partly by higher expenses as the drugmaker restarted development of its experimental hepatitis B drug heplisav.
    • If you can s/s this stock do so, I can't, but looks to dip lower, 1.94 support level. 
  4. Fortune Brands Inc.'s (FO:$43.8800,$0.5000,1.15%) second-quarter profit more than doubled, helped partly by higher sales in its spirits and home products businesses.
    • Results beat expectations and the company boosted its earnings target again, this time by 10 cents to $2.60 to $2.90 a share.
    • tighter range (43.5-43.88), pivot 43.6, res 43.79, 44, 44.6, sup 43.47, 43.2, 43. 
    • I'm thinking Long with a push into the 44.4 area. Watch in pre for dips and rebounds to est. pattern. Probably stay pretty tight, if not, then will be good to get some 30 to 40 cent moves.
  5. Shares of TeleNav Inc. (TNAV:$5.44,00$-3.47,00-38.95%) lost more than a third of their value Friday after the mobile-navigation-services company said it was in negotiations with its largest customer, which could lead to lower revenue.
    • down 5.4, up 5.7, downtrended back to 5.4 where their seems like strong sup.
    • Mixed on where this will go, but does have alot of scalping potential, if you can short the pops and long the dips, yeah!
  6. Meanwhile, evening-traded shares of Tellabs (TLAB:$6.98,00$-0.41,00-5.55%) picked up 0.3% to $7. They slumped 5.6% in the day session after J.P. Morgan Chase & Co. said the deal between Alcatel-Lucent (ALU) and AT&T (T:...) could have a "material impact" on Tellabs.
    •  up a lil ah's to 7, sup 6.8, choppy on fri, res 7
    • I'd stick to this pattern and watch for dips, but the words "material impact" and could make me think of longing this at the 6.8 area.
  7. Coinstar Inc (CSTR:$45.50,00$-2.59,00-5.39%) fell to $44.19 at 10:44 AM ET on July 30, 2010 in heavy volume of 2,771,696 shares.
    • ah's range 44.57-45.55, I'm long CSTR, I like to grab some around, 45 pivot, any dip below I'm long, sell target 45.5.
  8. First Solar Inc (FSLR:$125.45,00$-10.05,00-7.42%) fell to $125.27 at 3:26 PM ET on July 30, 2010 in heavy volume of 4,322,599 shares.
    •  ah's range 126.73-125, closed 125.35, see no real signs of upside here, I'm s/s this stock on the open until I see any sup. None yet though.
  9. Power-One (PWER:$12.43,00$2.47,0024.80%) is recently up $2.32 to $12.29. PWER sees Q3 revenue of $250M-$270M vs. consensus of $199M. Stephens raised its target price to $15 from $10. PWER August option implied volatility is at 73, October is at 71, January is at 70; verses its 26-week average of 77. Call option volume of 4K contracts compares to put volume of 1K contracts according to Track Data, suggesting traders taking positions for price movement.
    • Will this stock ever come down?
    • 12.21-12.60 ah's up, check it in pre to see if its going to continue its upside movements, I'm long until I see it coming down, wouldn't play it out the gate unless you get a good take on it in pre.
    • Target price is $15.
  10. Baidu (BIDU:$81.41,00$2.21,002.79%) up 2.8 pct, There is a potential bullish flag on the daily chart that will not become active until there is a breakout above the $81 area. Upside potential for the pattern is to the $88 area, which would be a fresh lifetime high. The pattern would be voided on a move below the $77.50 area.
    • 81.24-81.56, sup 78, res 81.5 & 82
    • I'm optimistic about the bullish flag, held steady ah's with a small gain. not too shabby.
  11. Arch Coal Inc. (ACI:$23.6900,$1.1900,5.29%) had a $66.2 million second-quarter profit compared with a loss a year earlier as coal markets improved and the company bolstered output with the purchase of a mine in Wyoming'sPowder River Basin.
    • Arch's net income equaled 41 cents a share compared with a net loss of $15.1 million, or 11 cents a share, in the same period last year. Sales rose 38 percent to $764.3 million.
    • Nice rebound in rev, sup 21.8, res 23.4, its above that resistance which would indicate that it breaks out even further possible 24 resistance, if it breaks through look to sell into the pop.
  12. Trident Microsystems Inc (TRID:$1.79,00$0.31,0020.95%) rose to $1.76 at 10:31 AM ET on July 30, 2010 in heavy volume of 1,289,855 shares.
    • TRID beats with Q2 and guides for Q3 sales in line to above Street view.
  13. Merck & Co. (MRK:$34.4600,$-0.6000,-1.71%) reported sharply lower second-quarter earnings early Friday, its bottom line dragged down by costs associated with its recent takeover of Schering-Plough Corp. and a continuing restructuring program.
    • s/s this for all reasons stated above.
    • lot of sup 35.2, be careful with the short, scalp if anything, could long, but sharply lower earnings makes me like the short, steady downtrend, I'm s/s this at whatever I can get close to that sup level.
  14. Aon Corp. (AON:$37.6700,$1.0400,2.84%) said it beat profit expectations thanks to recent acquisitions that helped to offset a drop in comissions, according to a Reuters report.
    • Only beat profit because of acquisitions which may or may not help company in the long term, I'd short them. 
    • shot up to 38, came down to 37.7, could pop to 38 again, which would be a good s/s spot.
  15. NutriSystem Inc (NTRI:$19.56,00$-2.69,00-12.09%)
  16. On July 26, 2010 the board of directors at Expedia, Inc. (EXPE:$22.68,00$1.61,007.64%) approved a dividend of 0.07 per share. The dividend is payable on September 16, 2010 to shareholders of record on August 26, 2010.
  17. Genworth Financial Inc. (GNW:$13.5800,$-2.2100,-14.00%) shares dropped more than 15% Friday on concern about higher lapse rates in the company's life insurance business.
    • The stock was also pressured as the company, a major mortgage insurer, sounded cautious about the housing market..
  18. Micron Technology (MU:$7.28,00$-0.50,00-6.43%) is down after Bloomberg reports CEO Steve Appleton sold 103,385 shares, according to regulatory filings.
    • CEO is locking in profits of his own company, must know something we dont. 
    • has dropped consistently from 10 to 7 where its gotten support. 
    • Look for major support on green vol bars and liquidity, s/s until otherwise.
  19. Late-traded Alcatel-Lucent (ALU:$2.9800,$0.3800,14.62%) shares rose 0.7% to $3 in low volume. They jumped 14.6% during the regular session after the French telecommunications-equipment maker affirmed its 2010 forecast, including its operating-margin target. Separately, the company won a backhaul contract from AT&T Inc.
  20. Crown Media (CRWN:$2.04,00$-0.49,00-19.37%) is up 26.4%, or 47c, to $2.25
  21. Watson Pharmaceuticals Inc (WPI:$40.5000,$0.6400,1.61%) fell to $41.06 at 2:17 PM ET on July 23, 2010 in heavy volume of 3,292,032 shares.
  22. Huntsman Corporation (HUN:$10.4700,$0.0200,0.19%) today announced that the company has entered into a definitive agreement to acquire the chemicals business of Laffans Petrochemicals Ltd.
  23. Ace Ltd. (ACE:$53.08,00$0.11,000.21%) , one of the world's largest commercial insurers, has billions of dollars in extra capital and analysts are wondering what Chief Executive Evan Greenberg is going to do with the stash.
    • Choppy ass stock, scalpers dream, sup 52.3, res 53.5, depending on this money I expect this stock to go up, long it at sup or in that area, should be a scalp play, dont get comfortable.
  24. PMI Group Inc.'s (PMI:$3.13,00$-0.10,00-3.10%) U.S. mortgage insurance unit sold its equity ownership in troubled bond insurer FGIC Corp. for an undisclosed amount.
 A Look Ahead: Major Corporate & Economic Events, Aug. 2 to Aug. 6    
MONDAY, Aug. 2
Extended-Hours Earnings: ACTU, ASF, AGN, AGII, APL, B, BMRN, CKEC, CRL, CGNX, FIX, CUTR, DVA, DCO, ESLR, EXTR, GUID, HSIC, HLS, HLF, HOLX, HUM, INSP, ISYS, IVAC, KALU, LPNT, L, MGIC, MNKD, MNTA, NAVR, OPLK, OSK, PTEK, POWI, PWAV, ROG, RTEC, SNTS, STXS, SUPG, SYKE, SNCR, SVR, TSTY, TXRH, VRSN, WMGI.
Economic Data: 10 a.m. Construction Spending; ISM Index.

TUESDAY, Aug. 3
Extended-Hours Earnings: ACOR, ACTS, AKRX, ALY, ACAS, AMMD, AMT, ACF, AREX, ADM, ARNA, ARM, ATLS, ATSC, BHI, BBOX, SAM, BYD, BEXP, BTUI, BKI, CBS (CBS/A:$15.0400,$0.3300,2.24%) , CRA, CHK, CLX, COH, CTSH, CNO, CRIS, DHI, DF, DNDN, DENN, DXCM, DTG, DSCM, DUK, ELON, ERTS, ETR, ENZN, EXAC, EXPD, FE, FRPT, FDP, GWR, GLUU, HRS, HCC, HCP, HW, HERO, HTZ, IPXL, INSV, JCOM, JAH, JBT, KNXA, KFRC, KOPN, LNDC, LEAP, LEA, LQDT, MAKO, MRO, MMC, MLM, MA, MSSR, MTXX, MDU, MERC, MRCY, MGM, MOLX, TAP, NICE, GAS, NI, NVMI, NVTL, NYX, OMX, OKE, OSG, PZZA, PH, PFE, PBI, POZN, PCLN, QUIK, RJET, SVNT, SSCC, SOLF, SLTM, SOFO, SONS, STAA, STEC, SCON, TISI, THC, DOW, PTRY, TREX, TRLG, UNS, UNM, VICL, VSH, WTS, WBMD, WFMI, XL, YRCW, ZIPR, ZGEN.
Economic Data: 8:30 a.m. Personal Income/Spending; PCE Prices; 10 a.m. Factory Orders; 2 p.m. Auto/Truck Sales.

WEDNESDAY, Aug. 4
Extended-Hours Earnings: ABMD, ADCT, AGYS, AGU, AIRT, AMRI, AYE, ALE, AIB, ALNY, UHAL, ARGN, AMSF, AMKR, ANEN, ANDE, ANTH, AOL, AINV, ARIA, ARQL, AHT, ATML, ATO, ATRC, CAR, BBX, BBND, CELL, CECO, CBOU, CTL, CPBY, CHDN, CLH, CLWR, CGX, CNW, CXW, CCRN, DWSN, DVN, DSCO, EGLE, EP, ELOY, FARO, GRMN, LNUX, ROCK, GIGA, GMXR, SOLR, HNSN, HIG, IMGN, INFI, NSIT, INSM, ICE, INAP, JACK, ISTA, KNOL, LIOX, LPSN, LOJN, MMUS, MTEX, MEAS, MNDO, MUR, NANX, NCIT, NWS, ONNN, ONXX, OSUR, OC, PDII, RL, PRU, PSYS, Q, RTIX, SONE, SIRI, SKYW, SMSI, SNIC, TSCM, TWX, RIG, UNTD, VG.
Economic Data: 8:15 a.m. ADP Employment Change; 10 a.m. ISM Services; 10:30 a.m. Crude Inventories.
 
THURSDAY, Aug. 5
Extended-Hours Earnings: JOBS, ATVI, ASYS, ANSS, ARCC, AUXL, BCS, BZH, BGFV, BCRX, BVF, NILE, BRKS, CVC, CF, CI, COGO, CBRX, CPTS, CROX, ELX, FSYS, GNVC, HEES, HTWR, HOKU, HUN, INWK, INCY, KFT, KSWS, KLIC, LAMR, LLNW, LFUS, LIZ, LMNX, PCS, MF, MCHP, MFLX, NABI, N, OPWV, OWW, FACE, PLA, POWR, REVU, SAPE, SATC, SGMS, SIGA, SMTX, TKLC, KNOT, JOE, VCLK, VIA, WTW, WWE.
Economic Data: 8:30 a.m. Continuing Claims/Initial Claims.

FRIDAY, Aug. 6
Extended Hours Earnings: RDEA, CEDC, CSUN, CYTX, DYN, XIDE, HALO, JRCC, JOUT, MIR, WPO.
Economic Data: 8:30 a.m. Unemployment Rate; Non-Farm Payrolls; Average Workweek; 3 p.m. Consumer Credit.