Strength and weakness | stockbee


Strength and weakness

It is a very deceptive market currently. Stocks are breaking out, but not moving much after breaking out. This is getting reflected in the stocks up 50 % plus in a month and also in stocks up 25% or more in a month. There are few wild runaway moves, if you see the individual stocks in those list.

Stocks up 50% or more in a month
AMZN,Amazon.Com Inc (Google  Yahoo  Earnings  Chart
DJ,Dow Jones & Co Inc (Google  Yahoo  Earnings  Chart
IDSA,Industrial Svcs Of Amer (Google  Yahoo  Earnings  Chart
MEDI,Medimmune Inc (Google  Yahoo  Earnings  Chart
NGA,N Amer Galvanizing & Coatings (Google  Yahoo  Earnings  Chart
RCCC,Rural Cellular Corp (Google  Yahoo  Earnings  Chart
SPAN,Span-Amer Medical Systs (Google  Yahoo  Earnings  Chart
TO,Tech-Ops Sevcon Inc (Google  Yahoo  Earnings  Chart

Stocks up 25% or more in a month
ADES,Ada-es Inc (Google  Yahoo  Earnings  Chart
AIMC,Altra Industrial Motion Inc. (Google  Yahoo  Earnings  Chart
AKS,Ak Steel Holding Corp (Google  Yahoo  Earnings  Chart
ALGN,Align Tech Inc (Google  Yahoo  Earnings  Chart
AMZN,Amazon.Com Inc (Google  Yahoo  Earnings  Chart
ARNA,Arena Pharmaceuticals (Google  Yahoo  Earnings  Chart
BIDU, Inc (Google  Yahoo  Earnings  Chart
BTUI,Btu International Inc (Google  Yahoo  Earnings  Chart
BXXX,Brooke Corp (Google  Yahoo  Earnings  Chart
CBUK,Cutter & Buck Inc (Google  Yahoo  Earnings  Chart
CMTY,Community Banks Mlrbg Pa (Google  Yahoo  Earnings  Chart
CNS,Cohen & Steers Inc (Google  Yahoo  Earnings  Chart
CPX,Complete Production Services Inc (Google  Yahoo  Earnings  Chart
CPY,Cpi Corp (Google  Yahoo  Earnings  Chart
CRNT,Ceragon Networks Ltd (Google  Yahoo  Earnings  Chart
CROX,Crocs Inc (Google  Yahoo  Earnings  Chart
CVNS,Covansys Corp (Google  Yahoo  Earnings  Chart
DJ,Dow Jones & Co Inc (Google  Yahoo  Earnings  Chart
DRYS,Dryships (Google  Yahoo  Earnings  Chart
FCPO,Factory Card & Party Outlet (Google  Yahoo  Earnings  Chart
FCSX,FCStone Group` Inc. (Google  Yahoo  Earnings  Chart
FMT,Fremont General Corp (Google  Yahoo  Earnings  Chart
FTK,Flotek Industries Inc (Google  Yahoo  Earnings  Chart
GCOM,Globecomm Systems Inc (Google  Yahoo  Earnings  Chart
GEL,Genesis Energy (L.P.) (Google  Yahoo  Earnings  Chart
GLUU,Glu Mobile Inc (Google  Yahoo  Earnings  Chart
GTI,Graftech Intl Ltd (Google  Yahoo  Earnings  Chart
HAN,Hanson P (Google  Yahoo  Earnings  Chart
HHGP,Hudson Highland Grp Inc W/i (Google  Yahoo  Earnings  Chart
HLYS,Heelys Inc (Google  Yahoo  Earnings  Chart
IDMI,IDM Pharma Inc (Google  Yahoo  Earnings  Chart
IDSA,Industrial Svcs Of Amer (Google  Yahoo  Earnings  Chart
IGLD,Internet Gold-Golden (Google  Yahoo  Earnings  Chart
ISE,International Securities Excha (Google  Yahoo  Earnings  Chart
JASO,Ja Solar Hldgs Co Ads (Google  Yahoo  Earnings  Chart
KRSL,Kreisler Manufacturing (Google  Yahoo  Earnings  Chart
LBY,Libbey Inc (Google  Yahoo  Earnings  Chart
LPHI,Life Partners Inc (Google  Yahoo  Earnings  Chart
MAFB,Maf Bancorp Inc (Google  Yahoo  Earnings  Chart
MBLX,Metabolix Inc (Google  Yahoo  Earnings  Chart
MEA,Metalico Inc (Google  Yahoo  Earnings  Chart
MEDI,Medimmune Inc (Google  Yahoo  Earnings  Chart
MOBI,Mobius Management Systms (Google  Yahoo  Earnings  Chart
MTOX,Medtox Scientific (Google  Yahoo  Earnings  Chart
NFI,Novastar Financial Inc (Google  Yahoo  Earnings  Chart
NGA,N Amer Galvanizing & Coatings (Google  Yahoo  Earnings  Chart
NPTH,Enpath Medical Inc (Google  Yahoo  Earnings  Chart
NXST,Nexstar Broadcasting Group (Google  Yahoo  Earnings  Chart
NYMX,Nymox Pharmaceutical Corp (Google  Yahoo  Earnings  Chart
OMG,Om Group Inc (Google  Yahoo  Earnings  Chart
ONAV,Omega Navigation Enterprises Inc Class A (Google  Yahoo  Earnings  Chart
PDGI,Pharmanet Dev Group Inc (Google  Yahoo  Earnings  Chart
PTEC,Phoenix Technologies Ltd (Google  Yahoo  Earnings  Chart
PTEK,PokerTek Inc (Google  Yahoo  Earnings  Chart
RCCC,Rural Cellular Corp (Google  Yahoo  Earnings  Chart
RTRSY,Reuters Group Plc Adr (Google  Yahoo  Earnings  Chart
SCHN,Schnitzer Steel Indust (Google  Yahoo  Earnings  Chart
SGP,Schering-Plough Corp (Google  Yahoo  Earnings  Chart
SLM,Slm Corp (Google  Yahoo  Earnings  Chart
SMDI,Sirenza Microdevices (Google  Yahoo  Earnings  Chart
SNCR,Synchronoss Technologies Inc (Google  Yahoo  Earnings  Chart
SOMX,Somaxon Pharmaceuticals Inc (Google  Yahoo  Earnings  Chart
SPAN,Span-Amer Medical Systs (Google  Yahoo  Earnings  Chart
STGN,Stratagene Corp (Google  Yahoo  Earnings  Chart
TBSI,TBS International Limited Class A (Google  Yahoo  Earnings  Chart
TFSM,24/7 Real Media Inc (Google  Yahoo  Earnings  Chart
TO,Tech-Ops Sevcon Inc (Google  Yahoo  Earnings  Chart
TRBR,Trailer Bridge Inc (Google  Yahoo  Earnings  Chart
TRCR,Transcend Services Inc (Google  Yahoo  Earnings  Chart
TTES,T-3 Energy Services Inc (Google  Yahoo  Earnings  Chart
TWIN,Twin Disc Inc (Google  Yahoo  Earnings  Chart
ULTR,Ultrapetrol Ltd (Google  Yahoo  Earnings  Chart
VSEC,Vse Corp (Google  Yahoo  Earnings  Chart
WGOV,Woodward Governor Co (Google  Yahoo  Earnings  Chart
WHR,Whirlpool Corp (Google  Yahoo  Earnings  Chart
WVCM,Wavecom Sa Adr (Google  Yahoo  Earnings  Chart
XNPT,XenoPort Inc (Google  Yahoo  Earnings  Chart

After 10 months of rally, if you calculate it from July, only 400 stocks are up 100% plus. This figure is around 1000 by 7 th or 8 th month of a typical rally. Every time the figure has crossed 400 in last 8-9 months, there has been correction.

If you look at stocks down 4% or more in a day, you will notice number of stocks are breaking down. This trend has accelerated in last few days and weeks. The market is not making any substantial headway.


Semsons said...

Hi Pradeep,
why do you compute the beginning of last rally last summer, instead of beginning of March?. On Februry there was a correction.


Pradeep Bonde said...

More realistically, in February there was one day dip. The figures just show you that very narrow set of stocks have been leading the advance.
That was true of rally from July onwards also.

walter said...

what's the effect of this on a stock?:

Riverbed Technology, Inc. (RVBD) Chairman, President, and CEO to Ring the NASDAQ Stock Market Opening Bell
Friday May 4, 6:00 pm ET

Pradeep Bonde said...

No effect. They invite anyone to ring the bell.

garytt said...

Everyone is looking for a correction but small caps have been correcting for two or three weeks now. I see consolidation at this point for a few weeks as markets digest gains and build steam for a summer rally. I may be wrong but don't think we will see a huge sell-off any time soon. Small caps and thinly traded stocks are still targets for bears so one must be carefull of whipsaw moves meant to shake out weak hands. JMHO

Pradeep Bonde said...

I think there is a bit of semantic confusion, in my book, correction is healthy and it is a 1 to 3-4 weeks phenomenon. I am not talking about perma bears kind of world is coming to end scnerio, when I say correction is possibility.

Second on your point about small caps in correction, yes that is what is happening. The important reason for it is, that earnings trends on small caps are not as spectacular as large and mid cap till now in earning season. So they are not going to start rallying just like that, ultimately you need earnings fuel to rally. More so in small caps.