Today's pick is Silicon Laboratories (SLAB). I've been watching this one for a while and I like the chart and the fundamentals. It's consolidating right now at the $45 range, but some pressure could allow for an entry between $43 - $44. Once it closes at $46 for a day or two, SLAB will probably run to $48-$49 without too much trouble.
They've been able to increase their earnings per share and sales consistently throughout 2009. They've grown EPS by 78% ,quarter over quarter '09 vs. '10. Sales growth has also increased over the same time period by 28%. Analysts expect EPS growth of 24% in 2010.
Silicon Labs designs analog and mixed signal ICs and RF chips used in radio tuners, mobile handsets, modems and set-top boxes. Their devices let us interact with the digital feed from our t.v.'s, cell phones and other mobile devices.
Obligatory disclaimer: Past results do not guarantee future performance. The suggestions above are simply suggestions and the blogger is not liable for any losses incurred as a result of actual investment activity on the part of the reader.
Happy Trading!
Sunday, February 28, 2010
Thursday, February 25, 2010
Daily Stock Pick - Fri., Feb 26 2010
There's probably some seasonality to this pick, but I'm looking to enter Potash(POT) at about $108. It closed today at $111.40, but I'd like to get in at a better price if possible. The bullish engulfing pattern that posted at today's close and the Stochastics tell me this has a chance to move higher.
If it can sustain a close above the 50-day moving average for the next 2-4 trading days, I think this will rally to $115-$120.
Obligatory disclaimer: Past results do not guarantee future performance. The suggestions above are simply suggestions and the blogger is not liable for any losses incurred as a result of actual investment activity on the part of the reader.
Happy Trading!
Daily Stock Pick - Thurs., Feb 25 2010
In light of today's bearish action on Wall Street, the suggestion I'm offering is to short the S & P 500. You can do this one of two ways:
1. Short the SPY as it will probably lean into the $104 - $106 range, or,
2. Pick up shares of SDS -- it has some room to move up to $37-$39 range.
As always, it's recommended that no more than 20% of your total risk capital be invested in one position. Given the nature of this market, it might be wise to scale-in your position rather than buy-in all at once.
Obligatory disclaimer: Past results do not guarantee future performance. The suggestions above are simply suggestions and the blogger is not liable for any losses incurred as a result of actual investment activity on the part of the reader.
Happy Trading!
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