September 18th, 2005

So how are we doing? That’s a reasonable

So how are we doing? That’s a reasonable question. How many of the stocks listed in previous postings have broken through their resistance level? How many have declined? Here is a summary of those mentions as compared with the S&P500 over the respective periods.

On July 5, I mentioned the following 8 stocks. Through last Friday, September 16, the S&P500 has increased 2.7%; these stocks increased an average 11.84%. Two of the stocks have surpassed their resistance levels at which point they became suitable buys. Waiting for breakthroughs was an excellent strategy because of the several had substantial declines since being mentioned.

Stock Price when Added Resistance Recent Price 9/12/2006 % vs. Resistance Level % Change since Added
ALTR 20.19 22.50 19.17 -14.8% -5.1%
BSTE 56.92 62.00 58.21 -6.1% 2.3%
DRTE 14.22 19.50 19.51 0.1% 37.2%
FFIV 47.51 50.00 44.21 -11.6% -6.9%
FLIR 30.12 33.00 30.09 -8.8% -0.1%
HAE 40.00 44.00 46.37 5.4% 15.9%
SERO 21.60 25.00 24.47 -2.1% 13.3%
XEC 41.00 41.00 43.21 5.4% 5.4%
-4.2% 11.84%
One week later, on July 12, I added another 14 stocks to watch many of which were at or slightly above their resistance levels. Since then, the S&P500 has increased 1.3% having fallen during that week; this group of stocks have increased 4.15% over the same period. The group’s average performance was helped considerably by increases of between 10%-nearly 30% for five of the 14:

Stock Price when Added Resistance Recent Price 9/12/2006 % vs. Resistance Level % Change since Added
ACU 20.75 19.25 14.70 -23.6% -29.2%
AGP 44.92 40.00 35.50 -11.3% -21.0%
AHS 16.67 17.50 16.00 -8.6% -4.0%
AMLN 23.37 22.00 30.14 37.0% 29.0%
AMMD 21.50 20.50 18.79 -8.3% -12.6%
ANGO 24.35 25.00 23.02 -7.9% -5.5%
ARW 28.80 28.00 31.16 11.3% 8.2%
BBSI 17.65 16.50 21.81 32.2% 23.6%
BJS 27.86 27.00 32.61 20.8% 17.0%
BOL 79.00 79.00 78.83 -0.2% -0.2%
DIOD 34.97 34.75 38.43 10.6% 9.9%
ESI 52.38 50.30 49.46 -1.7% -5.6%
GLYT 50.14 47.00 46.91 -0.2% -6.4%
GMAI 12.44 12.00 15.05 25.4% 21.0%
7.7% 4.15%

Finally, on July 31, I added a watchlist of 16 stocks (including 3 shipping stocks contrary to Jim Cramer’s view on the sector). Since then, the S&P500 is essentially flat (up 0.3%) while the group, on average, has increased 2.3%. Nine of the 16 have moved up in price.

Stock Price when Added Resistance Recent Price 9/12/2006 % vs. Resistance Level % Change since Added
ISSX 22.77 24.75 23.36 -5.6% 2.6%
KSWS 33.77 34.75 30.00 -13.7% -11.2%
MGI 21.04 22.00 20.93 -4.9% -0.5%
MNST 30.37 31.00 31.32 1.0% 3.1%
MXRE 22.95 24.00 24.87 3.6% 8.4%
NHMC 25.93 27.00 26.44 -2.1% 2.0%
NILE 33.26 35.00 33.81 -3.4% 1.7%
NVDA 27.06 28.00 33.25 18.8% 22.9%
OLG 36.00 38.00 35.21 -7.3% -2.2%
OMM 18.03 21.00 17.62 -16.1% -2.3%
OSG 62.05 66.00 59.16 -10.4% -4.7%
RAVN 26.42 28.00 27.70 -1.1% 4.8%
SAP 42.82 45.00 44.22 -1.7% 3.3%
SBUX 53.55 57.00 46.98 -17.6% -12.3%
SNIC 19.20 22.00 20.77 -5.6% 8.2%
SWK 48.93 51.00 46.17 -9.5% -5.6%
-4.2% 2.3%
But that’s history. What should we do now? Statistically, 50% of a stock’s price movement is dependent on the industry sector to which it belongs. In the next post, we’ll summarize the sectors whose members have stock prices increasing and those having price declines.

Subscribe below or click here to learn more about help for navigating turbulent markets.