主题：1/4/2009 Market View -- 宁子

Upside:

Play Date: 01/05/2009

CBST (Cubist Pharmaceuticals--$25.07; +0.02; optionable): Drugs

http://biz.yahoo.com/p/c/cbst.html

EARNINGS: 1-22-08

STATUS: Ascending base. CBST suffered the dips in October along with most of the market, but it recovered as fast as it went down, continuing the work on a 13 month base. That morphed into the current 8 week base that is making some higher lows, the most recent using the 50 day EMA (23.82) in the past couple of weeks. Volume is on the rise again as CBST narrows its pattern. CBST is a stock that has based for roughly all of 2006 through 2008 in a range from 17 to 25. It has laid the foundation for a great run once more if the buyers give it the push to break it out. When it does make the break it has plenty of room to the upside to run as the last higher peak is at 37 back in 2001.

Volume: 1.026M Avg Volume: 1.42M

BUY POINT: $25.55 Volume=2M Target=$29.96 Stop=$23.76

POSITION: UTU EE - May $25c (54 delta) &/or Stock

http://www.investmenthouse.com/ci/cbst.html

Play Date: 01/05/2009

INSU (Insituform Technologies--$19.92; +0.70; optionable): Heavy construction

http://biz.yahoo.com/p/i/insu.html

EARNINGS: Late January

STATUS: Test breakout. INSU broke higher last week, moving out of a 15 week base on strong volume. It tested, and then Monday was bouncing again on stronger, above average trade. This move is also making a higher high in its larger 22 month cup base. This volume shows accumulation ready to push INSU higher and toward a March 2007 gap down point at 25. Very strong money flow is moving higher, a complement to the strong volume on the upside. Like the new high in the big base as INSU is stepping up as a leader.

Volume: 632.504K Avg Volume: 440.298K

BUY POINT: $20.32 Volume=625K Target=$24.45 Stop=$18.89

POSITION: ISQ CD - Mar. $20c (56 delta) &/or Stock

http://www.investmenthouse.com/ci/insu.html

Play Date: 01/05/2009

OSIR (Osiris Therapeutics--$20.00; +0.61; optionable): Biotechnology

http://biz.yahoo.com/p/o/osir.html

EARNINGS: Early February

STATUS: Ascending base. OSIR was a new issue in Q3 2006. It surged and is now in a long 2 year cup base with the current 13 week pattern setting up a breakout move from the bigger base. OSIR has quietly set up this breakout and is in position to run once it makes the move. Money flow is surging ahead of price and OSIR has put itself in great position for a good run on the breakout. Want to see some good volume as it makes its break. Note how it is ready for that new 52 week high, showing it is a market leader as the stock market comes off of its bottom.

Volume: 108.188K Avg Volume: 162.429K

BUY POINT: $20.32 Volume=250K Target=$23.97 Stop=$19.04

POSITION: QIU ED - May $20c (60 delta) &/or Stock

http://www.investmenthouse.com/ci/osir.html

Play Date: 01/05/2009

POT (Potash--$82.62; +5.27; optionable): Fertilizer

http://biz.yahoo.com/p/p/pot.html

EARNINGS: 1-22-08

STATUS: Reverse head and shoulders. Good volume jump Monday as POT broke over the 50 day EMA (77.88) and started the breakout from its 11 week base formed at the bottom of the June to December selloff. This marks a higher high for POT as it has come off its low. May test back some after this break; that is often the case after a stock makes the break over key resistance. If it continues on up, however, we will move into some positions and then see how it tests and see if we can add some more.

Volume: 13.564M Avg Volume: 17.018M

BUY POINT: On a continued move higher: $82.91. Can test back toward the 50 day EMA and we can pick it up on the rebound. Volume=22M Target=$95.89 Stop=$77.69

POSITION: PVZ CP - Mar. $80c (61 delta) &/or Stock

http://www.investmenthouse.com/ci/pot.html

Play Date: 01/05/2009

RIMM (Research in Motion--$43.30; +1.38; optionable): Blackberry PDA's

http://biz.yahoo.com/p/r/rimm.html

STATUS: Cup. After gapping lower in late September as earnings surged but its forecast hurt it. It sold off into October but the momentum slowed and it started work on the current cup base. It is holding at the Q3 2006 to Q2 2007 consolidation range; if that holds RIMM has put in a good bottom to rally from. Gapped on Monday but stalled out at the 50 day SMA (43.09). Looking for some more upside to move into positions and see how far RIMM will take us on this move. There is that gap down point from up near 100, but not expecting it to fill that over the next month or so. Nonetheless RIMM can make us a great gain as it rallies off this low.

Volume: 20.744M Avg Volume: 28.937M

BUY POINT: $43.77 Volume=31M Target=$52.91 Stop=$40.85

POSITION: RUP CH - Mar. $40c (59 delta) &/or Stock

http://www.investmenthouse.com/cd/rimm.html