Weekly Watch List

ARUN
NFLX
BIDU
AGP
FOSL
SINA
HS
CXO
BTU
INFA
CTSH
ILMN
CVLT
PRGO
ORCL

Additions:
PRGO

Subtractions:
EW

Last week, all the major indices gained ground. For the week, the NYSE composite jumped 1.8%, the Nasdaq rose 1.7%, the S&P 500 tacked on 1.4%, and the Dow added 1.3%. On Wednesday, faced with markets creeping higher day after day, IBD made an unusual move and went back in time to the previous Thursday (3/27) and declared it to be a follow through day, citing the NASDAQ’s 1.4% rise on higher volume, thus changing the IBD outlook to “market in confirmed uptrend”.

Obviously, this wasn’t the ideal way to start a new uptrend, but the market action for the rest of the week didn’t do anything to bring IBD’s call into question. Keep in mind, not all uptrends are created equally and not all uptrends succeed. This one was launched under questionable circumstances so, while it’s okay to make new stock purchases again, keep an eye out over your shoulder for Mr. Bear.

This week, two watch list stocks, HS and INFA are potential buy candidates. HS, trading at $39.02, is still within 5% of a $38.85 buy point after breaking out of a 4 weeks tight pattern. INFA, trading at $52.19, is still just barely within 5% of a $49.87 buy point after breaking out of a flat base.

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