Daily Stock Pick of the Day - Fri., Aug 27, 2010

Another tough day in the market today.  The Dow closed below 10,000 today at 9985, a loss of .74%.  The S&P lost 8 points and closed at 1047, down .77%.  The Nasdaq just over 1% and closed at 2119.  It looks to me like we're on pins and needles and expecting tomorrow's Q2 GDP report to show shrinking growth.  Energy and health-care names were lower, but names in the materials sector were higher.  To add to the anxiety, Pimco's Mohamed El-Erian was on CNBC today and remarked that the recovery is losing momentum.  Also, economist Nouriel Roubini commented today that he puts the chances of a double dip recession at 40%. 

One of the few names in the materials space that finished higher today was Polypore (PPO).  They develop polymer-based membranes used in separation and filtration processes in energy storage and health-care markets.  A few days ago, they found support along their 50-day moving average and today closed in the lower half of it's trading range today at $27.11.  I think it's neutral at this point.  I'm going to keep an eye on this and see if it dips towards the $25 mark.  I'd be targeting a brief run back to $27-$28 and sell at that point.

A guarded perspective out there is definitely the order of the day.  This year is shaping up to be a lot tougher than I expected.  How about you?

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