Weekly Watch List

GMCR
NVEC
PCLN
NEU
LFT
PEGA
RKT
CRI
JOSB
ROST
ISRG
CERN

Additions:
None

Subtractions:
CTRN
CUB
JST
UNFI
VRX

Last week the market managed to put together another positive effort, with all the major indexes reaching new high ground for 2009. The S&P500 added 2.2%, the NYSE composite 2.1%, the Dow 2%, and the Nasdaq 1.8% for the week. However, last week didn’t start out very well. On Monday, the indexes plunged precipitously, causing IBD to jump directly to an outlook of “market in correction”. They maintained this outlook through Friday, but then decided to reverse themselves after four straight up days following last Monday’s steep sell off. So, going into tomorrow, the IBD outlook is now “confirmed uptrend resumes”.

Be forewarned though, the uptrend is resuming with a significant number of distribution days still weighing on its potential sustainability. It wouldn’t take a whole lot of significant downward action to push the IBD outlook over into “uptrend under pressure” or “market in correction”. Personally, I’m approaching the current market environment with extreme caution. While the market managed to finish up again last week, it’s carrying a lot of baggage and I can’t shake the feeling that some form of a correction is most likely iminent.

Once again, this week there are no stocks on the watch list that are potential buy candidates.

/as usual, your mileage may vary, always do your own homework