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The following
summaries are designed to recap the recent action in
the hand-picked stock ideas which were highlighted
through our September, 2003 CANSLIM.net
StockNews Membership. This update is our way
of helping subscribers assess the action in these
stocks. The major indices have managed
respectable gains in September. The Dow Jones Industrials
have risen 1.70%, the S & P 500 has risen 2.08%,
while the Nasdaq Composite has risen
5.04%. As we have previously stressed, the overall market
action will be a large determining factor in your
ability to make headway. Hence, in a good market we
will do great, in an average market we should at
least do pretty good, and in a poor market we will
preach defense and caution.
We have featured nine stocks
so far this month.
AGP
| ANSI
| COH|
KSWS |MTLG | NXTL
| PNRA | VMSI
| WEDC
|
Symbol |
Price Featured |
Current Price |
% Gain/Loss |
|
AGP |
42.53 |
45.14 |
6.14% |
|
ANSI |
40.30 |
43.16 |
7.10% |
|
COH |
58.04 |
57.78 |
-0.45% |
|
KSWS |
39.74 |
37.01 |
-6.87% |
|
MTLG |
40.25 |
44.89 |
11.53% |
|
NXTL |
19.20 |
20.21 |
5.26% |
|
PNRA |
46.46 |
44.55 |
-4.11% |
|
VMSI |
40.44 |
42.24 |
4.45% |
|
WEDC |
13.08 |
13.03 |
-0.38% |
Gain/loss
percentages are calculated based on the close of
8/23/03.
AMERIGROUP
Corporation
(AGP) (Company
Names/Symbols link to pop-up the original reports)
We first featured AGP in the June issue of
CANSLIM.net News (+28.97%), and we later issued a
CANSLIM.net Stock Bulletin (+6.14%) on the company
on 09/09/03. At that time it had formed a 7-week
flat base and looked poised for another breakout.
A
few days later, on 09/15/03 the stock gapped open and
traded through its pivot point on above average
volume, ringing a strong buy signal. Currently, AGP
remains near its 52 week high and is consolidating
sideways as volume is drying up. That is usually a
good sign. It is probably a little too far from an ideal buy
point, and it may spend time setting up to move up
again later. A break below its base of support in the
$42 range would not be a good, especially if
there is a big volume spike..
Advanced
Neuromodulation Systems, Inc (ANSI)
ANSI has been a continued favorite, featured
three times since March '03.
Most recently it was highlighted in a CANSLIM.net
Stock Bulletin on 09/17 (+7.10%) as we spotted the
stock spiking into new high territory on
better than average volume. Since then, this
high-ranked leader has continued to move up and is
now past an ideal buy point. Any break below $40
on heavy volume would
be your first strong indication that the stock might
be failing. Otherwise, it seems likely that we
will continue to see ANSI showing up on the new
highs list.
Coach,
Inc (COH)
This is a stock we first covered in a CANSLIM.net Special Report
(+81.76%)
published in October 2002 after the indices
completed their bear market bottom. We recently featured COH in our September
CANSLIM.net News as the retail sector looked
particularly strong,
and this stock was sprinting into new high territory
on high volume.
Since then it has mostly moved sideways,
building a new base. The company's
fundamental picture remains sound, and an eventual breakout
above $59.50 on above average volume would be a great
signal.
K-Swiss,
Inc (KSWS)
When featured in the September issue of
CANSLIM.net News (-6.87%) at
$37.01, KSWS was edging into all time high territory.
It
immediately ran up to $43
within 2 trading days! The stock
didn't hold that high and
ultimately dropped back into the prior base.
When it bounced back it failed to get back above the
line that should have been support it instead met
more resistance. Your 8% stop loss rule should
have protected you on this one, and meanwhile the
stock is now sinking below its 50-day moving
average.
Metrologic
Instruments, Inc (MTLG)
Featured in the September, 2003
newsletter, it is now up nicely (+11.53%).
Shortly after publication, MTLG survived an
important test of its 50-day moving average line.
That is a good indication of institutional support,
as fund managers with an existing position chose to
add to their holdings rather than sell and cause it
to slice below that important short-term moving
average.
Yesterday's big volume breakout was impressive and
the stock now may be too far extended to be considered
a wise buy at this point.
Nextel
Communications, Inc (NXTL)
This stock was featured as a CANSLIM.net
Stock Bulletin on 9/7 (+5.26%). Shortly after it
tested its 50-day moving average and reversed from
that line nicely. It is now challenging its
July highs. A break above that ($20.53) on big
volume would be a very good sign. This company
has more shares outstanding than a typical selection
we would write about, however, institutional money
managers often prefer large-caps with strong
earnings trends such as we've seen from NXTL.
Considering all factors it is certainly worth
consideration.
Panera
Bread Company (PNRA)
We issued a CANSLIM.net
Stock Bulletin on this stock (-4.11%) on
09/06/03.
Since then the stock put in a new high but soon
encountered heavier selling pressure. On
9/18/03 it gapped down into the previous base, which
could be considered a warning sign. It now
sits above its 50-day moving average, but it needs
to find more buying conviction and show some price
improvement before it should be seriously considered
for purchase now. Meanwhile, if you own it you
should keep a strict sell discipline and definitely
watch out for a more serious break of the upward
trend line drawn below.
Ventana
Medical Systems, Inc (VMSI)
Just after we featured VMSI in
the September CANSLIM.net News at $42.24 (+4.45%),
it marched steadily higher, but reversed after
hitting $44.80 on 9/19/03. It has been pulling
back without excessive volume behind the
declines. Interestingly, the stock's prior
highs in July coincide perfectly with its current 50-day
moving average, so there is likely to be very strong
support in this area. A break
below $38 could be a serious failure,
especially if it occurs on high volume.
White
Electronic Designs Corporation (WEDC)
Recently featured as a
CANSLIM.net Stock Bulletin on 09/07/03 (-0.38%) at
$13.08, WEDC immediately ran up to as high as $14.34.
It then plunged back to the original breakout point.
It has thus far found support near the prior
resistance level. Volume behind the recent
breakout action clearly exceeds anything it has seen
on the downside. In an uglier market it could
be pressured back down to retest at its 50-day line
and/or upward trend line.
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UPDATE