What’s Cookin’

Here’s this week’s scan of the market’s top stocks grouped by rank.

1= Base Setups, 2= Pullbacks, 2h= New Highs, 4= Short Patterns (that may very well turn into longs as these patterns often fail.)

1
AAPL Apple Inc COMPUTER HARDWARE – Personal Computers
2h
AG First Majestic Silver Corp METALS & MINING – Silver
1
AH Accretive Health Inc DIVERSIFIED SERVICES – Business/Management Services
4
CELG Celgene Corp DRUGS – Biotechnology
2
CF CF Industries Holdings Inc CHEMICALS – Agricultural Chemicals
1
CLR Continental Resources Inc ENERGY – Independent Oil & Gas
2h
CRS Carpenter Technol Corp MANUFACTURING – Metal Fabrication
4
CSTR Coinstar Inc SPECIALTY RETAIL – Specialty Retail, Other
1
CVI CVR Energy Inc ENERGY – Oil & Gas Refining & Marketing
2
DLR Digital Realty Trust Inc REAL ESTATE – REIT – Office
2
FARO Faro Technologies Inc ELECTRONICS – Scientific & Technical Instruments
2
GCOM Globecomm Systems Inc COMPUTER HARDWARE – Networking & Communication Dev
1
GMCR Green Mountain Coffee Roasters FOOD & BEVERAGE – Processed & Packaged Goods
2
GOLD Randgold Resources Ltd Ads 1:2 METALS & MINING – Gold
1
GPOR Gulfport Energy Corp ENERGY – Independent Oil & Gas
1
GTLS Chart Industries Inc MANUFACTURING – Metal Fabrication
1
JAZZ Jazz Pharmaceuticals Inc DRUGS – Biotechnology
2h
MIND Mitcham Industries Inc DIVERSIFIED SERVICES – Rental & Leasing Services
2h
PAA Plains All Amer Pipeline ENERGY – Oil & Gas Pipelines
2h
PBH Prestige Brands Holdings DRUGS – Drug Related Products
2h
PCLN priceline.com Inc LEISURE – General Entertainment
2h
PRIM Primoris Services MATERIALS & CONSTRUCTION – Heavy Construction
2
QCOR Questcor Pharmaceuticals DRUGS – Biotechnology
2
RIC Richmont Mines Inc METALS & MINING – Gold
1
TNH Terra Nitrogen Co L.P. CHEMICALS – Agricultural Chemicals
2
TPCG TPC Group Inc CHEMICALS – Chemicals – Major Diversified
2
VHI Valhi Inc CHEMICALS – Synthetics
2
VMW Vmware Inc COMPUTER SOFTWARE & SERVICES – Technical & System Software
2
WIRE Encore Wire Corp ELECTRONICS – Diversified Electronics
2h
2
ALXN Alexion Pharmaceuticals DRUGS – Biotechnology
2
BODY Body Central Corp. SPECIALTY RETAIL – Apparel Stores
1
BPI Bridgepoint Education Incorporated DIVERSIFIED SERVICES – Education & Training Services
2
CMI Cummins Inc MANUFACTURING – Diversified Machinery
1
HAYN Haynes International Inc. METALS & MINING – Steel & Iron
1
LECO Lincoln Electric Hldgs MANUFACTURING – Small Tools & Accessories
2
LULU Lululemon Athletica Inc. CONSUMER NON-DURABLES – Textile – Apparel Clothing
1
NTGR Netgear TELECOMMUNICATIONS – Communication Equipment
2
ODFL Old Dominion Freight Lne TRANSPORTATION – Trucking
2
RAX Rackspace Hosting COMPUTER SOFTWARE & SERVICES – Information Technology Services
1
RBN Robbins & Myers Inc MANUFACTURING – Diversified Machinery
1
RUSHA Rush Enterprises Inc Cl A SPECIALTY RETAIL – Auto Dealerships
2
SHS Sauer-Danfoss Inc MANUFACTURING – Diversified Machinery
2
SNHY Sun Hydraulics Corp MANUFACTURING – Industrial Equipment & Components
1
SWI Solarwinds Inc COMPUTER SOFTWARE & SERVICES – Application Software
2h
WPC Wp Carey & Co Llc REAL ESTATE – Property Management/Development
2h
WTW Weight Watchers Intl Inc DIVERSIFIED SERVICES – Personal Services
1
3
FEIC Fei Company ELECTRONICS – Scientific & Technical Instruments
2
LULU Lululemon Athletica Inc. CONSUMER NON-DURABLES – Textile – Apparel Clothing
NGD New Gold Inc METALS & MINING – Nonmetallic Mineral Mining
4
PII Polaris Industries Inc AUTOMOTIVE – Recreational Vehicles
2
PVH Phillips-Van Heusen Corp CONSUMER NON-DURABLES – Textile – Apparel Clothing
2h
RGLD Royal Gold Inc METALS & MINING – Gold
2
SIX Six Flag Entertainment Corp LEISURE – General Entertainment
2
TGI Triumph Group Inc AEROSPACE/DEFENSE – Aerospace/Defense Products & Services
2
4
z CPFL Energia S.A. ADR UTILITIES – Foreign Utilities
2h
NETC Net Servicos De Comunicado Ads MEDIA – CATV Systems
1
NGLS Targa Resources Prtn Units ENERGY – Oil & Gas Pipelines
2h
WXS Wright Express Corp DIVERSIFIED SERVICES – Business/Management Services
2h
5
ASPS Altisource Portfolio Solutions S.A. REAL ESTATE – Mortgage Investment
2h
CASY Casey’s General Stores RETAIL – Grocery Stores
4
GCO Genesco Inc SPECIALTY RETAIL – Apparel Stores
2
INWK Innerworkings Inc DIVERSIFIED SERVICES – Business/Management Services
2
KEX Kirby Corp TRANSPORTATION – Shipping
1
RGR Sturm Ruger & Co Inc CONSUMER DURABLES – Sporting Goods
4
SHLM A.Schulman Inc CHEMICALS – Specialty Chemicals
1
SXCI Sxc Health Sol Corp COMPUTER SOFTWARE & SERVICES – Application Software
1
6
BWLD Buffalo Wild Wings LEISURE – Restaurants
2
GPX Gp Strategies Corp DIVERSIFIED SERVICES – Education & Training Services
2
HITK Hi-Tech Pharmacal Co Inc DRUGS – Drugs – Generic
4
HLF Herbalife DRUGS – Drug Related Products
1
HMSY Hms Holdings Corp DIVERSIFIED SERVICES – Business/Management Services
2
MELI Mercadolibre Inc. DIVERSIFIED SERVICES – Business/Management Services
2h
MG MISTRAS Group Incorporated DIVERSIFIED SERVICES – Technical Services
4
RHT Red Hat Inc COMPUTER SOFTWARE & SERVICES – Application Software
2
SHOO Steven Madden Ltd CONSUMER NON-DURABLES – Textile – Apparel Footwear & Accessories
1
TPX Tempur-pedic Intl CONSUMER DURABLES – Home Furnishings & Fixtures
1
UA Under Armour Inc CONSUMER NON-DURABLES – Textile – Apparel Clothing
1
WPZ Williams Partners LP CHEMICALS – Specialty Chemicals
2
7
FNV Franco Nevada Corp METALS & MINING – Gold
8
none
9
LKQX LKQ Corp WHOLESALE – Auto Parts Wholesale
4
SHOO Steven Madden Ltd CONSUMER NON-DURABLES – Textile – Apparel Footwear & Accessories
1

Never Short A Dull Market

Global unease for the last five years has kept the heat on the financial markets. The old adage of ‘never short a dull market’ hasn’t applied. Though it should be held that dullness isn’t something readily measured.

Volatility, on the other hand, can be told from VIX readings, which give us a number to put on movement in the OEX options market (that’s S&P 100.) Monday’s reading of 18.75 tells us we’re nearing levels of exaggerated complacency. Readings under 16 are more significant when it comes to marking potential market turns. The other side of this scale would be high readings above 45 that would indicate excessive fear.

 

Upward Drift

We still see the S&P 500 on an upward track that will take out last week’s high. Old highs and lows act like magnets, usually.

What we don’t expect is to see price action continue to tear higher week after week. Cracks in this picture include relative weakness in the Transports ($TRAN) and Small Caps ($RUT.)

Took a couple steps back, we’re believers this market has loads of upside potential. Though we’re likely to see it pause first. Why? Hemlines are getting shorter, and that’s a good thing according to The Wharton School

YipYap,

Dan

Red Bar Affair

Distribution chalked up on the major indexes for the second day in a row spells C*A*U*T*I*O*N for this Bull.

Add in a key reversal day for market leader AAPL and we wouldn’t be surprised to see a correction right here, right now.

If you’ve got the stomach for risk you might take a shot at a short here. But only YOU can decide.

Keep cool,

Dan

Touch of Red

Distribution plugged into Tuesday’s trading gives warning to the Bull.

If we begin to see more of this institutional grade selling we may be waving the bearish Red Flag soon.

As for Growth Stocks, there here, they’re breaking out. Paid subscribers get the low down here.

Dan