The Bull Sector - Because there is always a Hot Sector

And there has to be a better way to find it!

Bull Sector Indexes List l Yahoo/Briefing: In Play® l Yahoo Market Updates

March 30, 2007:

The Solar Cell List

AMAT ASTI CSIQ DSTI EMKR ESLR FSLR HOKU MT SOEN.OB SOLF SPWR STP TSL UMC WFR

October 16, 2005:

The Avian Flu Stock List

AVNA.OB BCRX CHIR EMFP.OB GILD GSK IRBO.OB NNVC.PK RHHVF.PK SNY SVA

The Uranium Stock List

JNN.V IUC.TO CCJ

The Copper Stock List

FCX MAD PCU PD WLV

The Synthetics Stock List

ALB AOOR.OB APFC APPA ARJ AVST.OB AWC BF BOX BRCO.OB BZ CCC CDTI.OB CE EPLN.OB GGC GLMA.OB HPC HUN KMGB LNDC LXU MTX NVX NLC NL OLN POL PONR RCAA.OB ROC SCHI.OB SHI SQM TORM WLM

Jan 15, 2005:

Apple's iPod is the most popular of all the MP3 Players but they do have competition with more coming. MP3 players offer music lovers the ability to record and playback numerous songs and take them with them. The companies on this list are some of the players who expect to enjoy a little piece of the MP3 pie.

The MP3 (Digital Music Player) Stock List

AAPL ADBL CREAF DELL HAUP HPQ ITI.V KOPN LEXR MRVL NTGR PGOI.PK PLAY PLMO SDSX.PK SGTL SNDK SNIC STX SYNA TGTL.PK VDWB.OB VOXX

AAPL through VOXX

 
Sales of stun-guns (tasers) took TASR investors on one of the wildest rides in recent memory. Are they safe? Can profits continue to grow with more players entering the field? On the list below you will find some of the players on our Non-Lethal Weapon Stock List.

The Non-Lethal Weapon Stock List

LENF.OB IOTN STIY.PK TASR UGHO.OB

LENF.OB through UGHO.OB

Dec 5, 2004:

We've recently recieved a number of questions about whether the Bull Sector is still being updated. Yes, it is. We are checking symbols and adding new stock IPO symbols almost every day. We do implore all readers to do their own due diligence. Some companies have changed their business plans since they were first added to specific lists. Those companies may not be properly listed today. We hope you will feel free to ask us to add new stocks to existing lists, as well as ask us to add new stock lists like the two new lists you will find here.

The HDTV Stock List

The companies on this list are some of the players who expect to benefit from the widespread adoption of HDTV.

ACDJ.PK BRCM BRLC CNXT CRKT.OB CVC CYRO.OB DISH EAG GTEL.OB HDTV HIT HLIT LPL NMEN.OB PNO PTHO.PK SBC SHCAY.PK SNE STTS TERN TIVO TRID TUNE UTSI

ACDJ.PK through UTSI

The Outsourcing Stock List

 

The stocks on this list of global information technology (IT) service companies use offshore centers to offer outsourcing solutions to other companies to reduce IT costs.

INFY SAY WIT

Jan 11, 2004:

The China Stock List

The stocks on this list conduct the majority of their business in China, Taiwan or Hong Kong. You might also be interested in our Asian Stock List .

 

^USXC ACH AOBO.OB ASIA ASTT ASX ATS AUO AWRCF.OB BNSO BYH CBA CEA CEO CHA CHDX CHINA CHL CHRB CHT CHU CTEL CTRP CYD DFCT DSWL GAI GSH HIHO HNP HRCT.OB ICAB IMOS INTN IVN.TO IWAV JADE JCC LFC MXICY NTE NTES NWD PACT PCLN PCW PEAK PTR RADA SAT SDAY SHI SINA SNP SOHU SPIL SSPI SWG.TO TOM TSM UMC UTSI UUU XING YZC ZNH ZNDT

ACH through ZNDT

The India Stock List

 

The stocks on this list conduct the majority of their business in India. You might also be interested in our Asian Stock List .

HDB IBN INFY MTE RDY REDF SAY SIDY.OB VSL WIT

HDB through WIT

 

Dec 26, 2003:

The recent confirmation of a cow affected by Mad Cow Disease in the US has made this new list worthy of inclusion at the Bull Sector. As of December 2003 the human form of mad cow disease, called variant Creutzfeldt-Jakob disease has killed about 130 people, mostly in England. Stock traders are currently looking for possible beneficiaries of increased vigilance in testing and tracking of U.S. livestock. You might also be interested in our RFID List .

The Mad Cow Disease Stock List

ABT AIDO.OB BIO DOC EMRG LYNX NEOG ORCH SDIX VITX

ABT through VITX

Oct 16, 2003:

Radio frequency identification (RFID) technology uses microchips to track goods remotely. Proponents hail this technology as the next-generation bar code, allowing merchants and manufacturers to operate more efficiently and cut down on theft but there are potential privacy issues.

The RFID (Radio Frequency Indentification) Stock List

AIDO.OB ALAN AVY AXSI.OB CKP DOW G HEII IDSY MANH NPCT.OB PG PHG SBL SCSC SMY.V SUNW TXN TYC UNA WJCI WMT ZBRA

AVY through ZBRA

Sept 5, 2003:

We have received several emails wondering if we were still busy updating our lists here at the Bull Sector.

We are indeed!

We would like to thank all those who continue to use this site to aid their research and wish you all the best in investment returns.

Jan 5, 2002:

Our work at the Bull Sector is very nearly done. We now have lists of all the basic industries. Rather than continue to send out a newsletter containing information that can be readily found by following the links on these pages we intend to focus our energies on keeping the lists current. In addition we will add new industry lists as we become aware of them so please check back soon to see what is new. Our latest bit of work is in sharing more detailed charts of some of the widely followed Stock Market Indices found below. You may need to pay for a basic subscription at StockCharts.com in order to see all the indicators.

DJIA
NASDAQ
S&P 500
RUSSELL 2000
AIRLINE
B2B INDEX
BANK
BIOTECH
BROADBAND
BROKERS
COMM.
COMP. TECH
DISK DRIVE
GOLD
HARDWARE
HEALTH PRODUCTS
INSURANCE INTERNET NATURAL GAS NETWORKING
OIL INDEX OIL SERVICE PAPER PHARMACEUTICAL
REITS RETAIL SEMICONDUCTOR TELECOM
UTILITIES WIRELESS    

We wish you all a Happy and Prosperous New Year!

December 16, 2001: Updated Consumer Non-Cyclical Sector Industries Lists and a New Home Furnishings Stores Stock List

Market Commentary: So much for the Santa Claus rally last week. It just never happened despite the eleventh rate cut by the FED and promises of more rate cuts if necessary. Oh sure there was those disappointing Retail Numbers suggesting that Retail Sales Offer Little Holiday Cheer. In fact at first blush the retail numbers released last week might make one wonder if anyone was buying any gifts at all. But, on a closer look it was fairly obvious that the record drop in sales was due to the lack of follow through buying from new car buyers who during October were enticed by zero percent financing. Sure the Fed came through with the expected 1/4 point rate cut but the U.S. Industrial Recession Pushes Industry Operating Rate to Lowest Level in 18 Years but Keeps Inflation in Check.

Numerous earnings warnings announcements coupled with news of additional layoffs were just too much to take for the beleaguered averages leaving many expecting Confessions, Earnings to Hit Stocks again this week. It's not that the market lost a tremendous amount of ground on the week. It is simply that it failed to build on momentum with nearly every sector damaged by the selling leaving only one sector positive the Consumer Non-Cyclical Sector. More on that later. Lets take a look at a table of the major market averages. Click on the index for a chart from StockCharts.com.

INDEX Weekly Close Point Gain or Loss % Gain or Loss
DJIA
9811
-238.31
-2.4
NASDAQ
1953
-68.09
-3.4
S&P 500
1123
-44.03
-3.0
SOX
549
-22.79
-4.0

The week ended well enough on Friday but despite all the talk of the market's rally after its 9/21 lows now only the NASDAQ remains barely above its 200 Day Moving Average. Our closely watched Semiconductor Index finally broke down on Thursday after four days of testing its 200 Day MVA at 558.51. Despite rallying back 2 1/2% on Friday the SOX remains more than 9 points below the 200 Day MA. Of course the DIJA and the S&P 500 never really successfully moved above their respective 200 Day Moving Averages and they now are much lower than those important measuring sticks. The DJIA does remain above its 50 Day MVA which is positive if it can hold.

The action on Friday was positive but on lower volume than that seen during the selling prior to Friday. At this point it seems that despite some strong evidence that a recovery is coming sometime in 2002 that stock selection is going to be increasingly necessary throughout the final trading sessions of 2001. Looking at a broader overview of the market you will find the some of the strongest industries (Data supplied by Market Guide, our Bull Sector Lists, and our own Bull Sector Indexes) from last Friday with the best and worst performers marked in bold if they were up or down more than 4% here:

Up: Air Couriers, Catalog, Disk Drive, Drugs, Gold, Home Improvement, Hospitals, Iron & Steel, Insurance, Medical Products, Natural Gas, Oil, Oil Service, Retail, Retail Technology, Real Estate - REIT's, Restaurants, Security Systems, Semiconductors, Storage, Telecom, Tires, Tobacco,

Down: Audio/Video Equipment, B2B, Banks, Biotech, Brokerages, Chemicals, Fiber Optics, Footwear, Forest & Paper, Hardware, Internet, Motion Pictures, Networking, Telecom Equipment, Utilities, Wireless,

And what happened last week?

Despite the small rally on Friday virtually every sector was down last week with only the Consumer Non-Cyclical Sector up slightly. Yes we were hoping for confirmation of a new Bull Market but after the tremendous rally since 9/21 it's not surprising that we are seeing some profit taking now. You can find What's Hot and What's Not among the sectors at Multex Investor. In addition you might want to check some of the hottest industries and sectors from the last week (with a One Day Delay) from CBS MarketWatch and BigCharts.

Now on to our new lists below:

The Home Furnishing Stores Stock List

The stocks on this list operate Home Furniture Stores. Despite the recession that that our country is currently gripped by these stocks have gained on an average 54% this year as low mortgage rates have helped to keep demand for new homes and furnishings relatively high. In fact the latest retail numbers show that Furniture and home furnishing purchases advanced 2.6 percent and Home Electronics Stores saw sales increase 1.8 percent. You may be interested in our broader Home Construction and Furnishings Stock List and our Specialty Retailer Stock List.

BBA BBBY HVT LIN PIR RSTO WSM

BBA through WSM

The Beverages (Non-Alcoholic) Stock List

Part of the Consumer Non-Cyclical Sector these companies are involved in a wide range of production and services used throughout the Beverages (Non-Alcoholic) Industry. You might also be interested in our Soft Drinks List, our Food & Beverages List, our Beverages (Alcoholic) List and our Distiller & Brewers List. You might also be interested in other stocks mostly within the Consumer Non-Cyclical Sector like our Confectioners List, our Crops List, our Dairy Products List, our Farm Products List, our Fish/Livestock List, our Food Products List, our Food Safety List,, our Processed Packaged Goods, our Food Processing List, our Household Products List, our Meat Products List, our Office Supplies List and our Tobacco Stock List.

AKOa AQCB.OB AQA AVIT.OB CCE CCBC.OB COKE COTT CSG ELDO.OB FIZ FMX GEM FMX GEM HANS HNWC.OB ICBG.OB JSDA.OB KO KOF LBIX MFW ODWA PAS PB PBG PEP SLHN VPS

AKOa through VPS

Final Commentary: We are now hoping that this sell off will be extensive enough to offer some real buying opportunities in industries that will benefit from an economic recovery in 2002. If some of the large cap semiconductor stocks reach relative strengths nearing 30 we will be looking to buy. Many people believe that Selection Is Key with Chip Stocks especially after the large run since 9/21. Overall we believe there will be some additional profit taking in 2001 leading to at worse something of better market next year where a Quiet Bull May Stalk Wall Street in '02.

That's about it for this week. Please be careful using margin and invest responsibly by keeping stops in place. You might want to stay abreast of this week's Calendar of Events:

Earnings Calendar l Economic Calendar I Splits Calendar l Conference Call Calendar l IPO Calendar


December 9, 2001: Air Couriers, Updated Airline Stocks, Miscellaneous Transportation and Radio Broadcasters

Anyone out there expecting a Santa Claus rally? If so you will be pleased to find that we have discovered Santa's true means of delivering gifts and it's not on a sled. We are very pleased to tell you that have finalized our lists for the stocks in the Transportation Sector this week. The Transportation Sector has been one of the better performers in the market of late so it has been well worth further exploration but before we get to our new lists we would like to briefly discuss recent market action.

Market Commentary: It was a very constructive week for the market. Constructive that is if you are at all bullish on the future for stocks. As we expected the market rose nicely breaking through 200 Day MVA's on the NASDAQ and on our closely watched Semiconductor Index before profit taking set in on Thursday and Friday. Although the DJIA and the S&P 500 were up on the week they have not yet been able to move upward enough to break through their respective 200 Day MVA's. That could happen this week depending on how the market reacts to the Federal Reserve's expected 1/4 point interest rate cut to be announced Tuesday at 2:15 Eastern Time. As always what the FED has to say will be equally important to the market and Mr. Greenspan may play the role of Santa Claus as the Fed, Recovery Hopes to Spur Rally. In addition to the FED Meeting and its expected rate cut in other economic reports on Thursday we will see the first of two inflation reports for the week with the Producer's Price Index (PPI) being reported. We will also get the Retail Sales Report on Thursday followed by the Consumer Price Index (CPI) on Friday.

All these reports will be important but what is most important to the markets right now is that any additional profit taking continues to take place on low volume. Low volume profit taking is very constructive. Without the periodic rests like we saw on Thursday and Friday any future advance this market will quickly become so overbought that we will be at risk of another severe sell off. So far the advancing moves of late have been on very healthy volume while the selling has been on much lower volume. This is consistent with normal Bull Market consolidation. A little additional profit taking in advance of the FED Meeting on Tuesday would not be surprising to us at the Bull Sector. As we all know the market has come a long way higher since 9-21. That advance has taken place on very good results in the war against terrorism and hopes for an economic recovery.

So what happened on Friday?

The action on Friday was consistent with normal profit taking and reallocation of money to more defensive industries after the strong rally earlier last week. Airline stocks continue to do well as do those stocks on our Anti-Terrorism List. Lower energy prices make it more likely that the troubled Airline Industry will be able to rebound quickly even with lower than normal passenger levels. Many of the Stocks on our Anti-Terrorism List are involved with Security Systems and Biometrics. These are industries seeing a great deal of interest from investors as new contracts are being delivered to those companies which are expected to help protect us from further terrorist activities. Looking at a broader overview of the market you will find the some of the strongest industries (Data supplied by Market Guide, our Bull Sector Lists, and our own Bull Sector Indexes) from last Friday with the best and worst performers marked in bold if they were up or down more than 4% here:

Up: Airlines, Anti-Terrorism, B2B, Coal, Drugs, Insurance, Natural Gas, Oil, Railroads, Real Estate - REIT's, Utilities,

Down: Biotech, Chemicals, Comm Equipment, Computers, Fiber Optics, Footwear, Forest & Paper, Gold, Iron & Steel, Internet, Motion Pictures, Networking, Oil Service, Retail, Semiconductors, Software, Tobacco, Wireless

And what happened last week?

Despite the profit taking on Thursday and Friday Technology Sector Stocks and Semiconductor Stocks in particular were the star performers last week. The average technology stock was up 5.8% on the week, with Capital Goods Sector Stocks up an average of 4.1% and Transportation Sector Stocks up on an average 3.3% on the week. You can find What's Hot and What's Not among the sectors at Multex Investor. In addition you might want to check some of the hottest industries and sectors from the last week (with a One Day Delay) from CBS MarketWatch and BigCharts.

Now on to our new lists below:

The Air Courier Stock List

Part of the Transportation Sector these companies are among the widely known publicly traded Air Courier Companies. You may also be interested in the stocks found on the Air Freight List, the Air Services, the Airline List, the Industrial Transportation List, the Marine Transportation List, the Miscellaneous Transportation List, the Railroad List, the Transportation Equipment List, the Trucking List or the Water Transportation List. You could also check our Aerospace & Defense List and the Trucking & Freight List.

ABF AIRT ANS ARMX CGO FDX MAYNY.OB TP USHP WLDA

ABF through WLDA

The Airline Stock List

These companies are among the widely known publicly traded Airline and associated Transportation Companies. You may also be interested in the stocks found on the Air Courier List, the Air Freight List, the Air Services, the Airline List, the Industrial Transportation List, the Marine Transportation List, the Miscellaneous Transportation List, the Railroad List, the Transportation Equipment List, the Trucking List or the Water Transportation List. You may also be interested in the stocks found on the Aerospace & Defense List and the Trucking & Freight List.

AAI ACAI ACNAF ALK AMR AMTR AWA BAB CAL CEA DAL FRNT FLYA GLUX HA JAPNY KLM LFL LUV MAIR MEH MESA NWAC RYAAY SKYW U UAL VIRGY VNGD WLDA ZNH

ACAI through ZNH

The Miscellaneous Transportation Stock List

Part of the Transportation Sector these companies are among the widely known publicly traded Miscellaneous Transportation Companies. You may also be interested in the stocks found on the Air Courier List, the Air Freight List, the Air Services, the Airline List, the Industrial Transportation List, the Marine Transportation List, the Miscellaneous Transportation List, the Railroad List, the Transportation Equipment List, the Trucking List or the Water Transportation List. You could also check our Aerospace & Defense List and the Trucking & Freight List.

AIRM ASIPY ASR ASW CHRW EAGL EXPD FLYA GMT HUBG IRM NUSL.OB RURL STNV TRUC UTIW VVN

AIRM through VVN

The Radio Broadcasting Stock List

The name says it all. Part of the Services Sector these companies are the biggest players in the in Radio Broadcasting. You might be interested in our broader Broadcasting & Cable TV List.

BBGI CCU CMLS CXR EMMS HSP HTV LAMR RC ROIAK RGCI SALM SBSA UVN YFM

BBGI through YFM

Final Commentary: We are very hopeful about this market finally giving us confirmation of a new Bull Market phase. Without a doubt there is nowhere near enough evidence that the economy is actually recovering but there is evidence that it has bottomed. Many companies are beginning to release statement showing an uptick in demand for their products. The Bears will argue that this is simply a short-term uptick. Perhaps they are right and maybe they are wrong. We will continue to buy stocks on dips.

That's about it for this week. Please be careful using margin and invest responsibly by keeping stops in place. You might want to stay abreast of this week's Calendar of Events:

Earnings Calendar l Economic Calendar I Splits Calendar l Conference Call Calendar l IPO Calendar

December 2, 2001: Video On Demand - VOD Stock List, Implantable Cardiac Defibrillators - ICD Stock List and Technology Sector Update!

Market Commentary: It wasn't a particularly scintillating week in the market. More of a mixed performance leaving us with the same questions we have had for weeks. Can the major indices break through upside resistance or is weak data set to rain on stocks' parade? On the one hand the positive argument is that the market has continued to build towards an upward breakout. On the other hand no breakout has taken place leaving the market at risk of a break down instead. Whatever actually happens is likely to be very interesting indeed. We have seen some tremendous sustained moved in mid cap stocks like HAND and RHAT bringing renewed interest to PDA Stocks and Linux Stocks respectively. These are the kinds of moves we expect to see in a Bull Market. Perhaps they are early signs of an anticipated recovery. If so we can expect to see the market continue to shake off bad news and break through upside resistance soon.

This week we have a couple of new lists for you to peruse including our new Video-on-Demand List and our Implantable Cardiac Defibrillator List. We also have finalized our listing of basic industries within the Technology Sector so you can easily navigate throughout the lists. Of course we have many much more focused lists like those we give you this week and like those focused on our closely watched Semiconductor Industry.

Despite bad news from SOX Index member NVLS after the close Thursday the Sox held up well on Friday. We believe this week could finally be the make or break week for the SOX. If the Semiconductor Index moves up then the NASDAQ will follow. Conversely if the SOX moves down then technology stocks in general will follow. It seems like last week the industries that moved higher one day were lower the next only to rise again the next. There is an awful lot of indecision in the market these days but it is presenting us with some excellent short term trading opportunities.

So what happened on Friday?

Looking at a broader overview of the market you will find the some of the strongest industries (Data supplied by Market Guide, our Bull Sector Lists, and our own Bull Sector Indexes) from last Friday with the best and worst performers marked in bold if they were up or down more than 4% here:

Up: Airlines, Anti-Terrorism, Audio/Video Equipment, Auto, Biotech, Chemicals, Computers, Construction Services, Footwear, Forest & Paper, Gold, Hardware, Home Construction, Iron & Steel, Networking, Oil, Railroads, Retail, Retail-Home Improvement, RV's, Security Systems, Tobacco,

Down: B2B, Banks, Brokerages, Conglomerates, Disk Drive, Insurance, Internet, Natural Gas, Semiconductors, Semiconductor Equipment, Software, Storage, Telecom, Utilities, Wireless

And what happened last week?

The market turned in a mixed performance for the major sectors in the market. The final result had winners and losers splitting evenly down the middle with six sectors up and six sectors down. Despite weakness in the NASDAQ on Friday Technology Sector Stocks were the best gainers over the course of the last week rising on an average 1.4%. Moves to the downside were more pronounced than sector gains with losses most notable in the Energy Sector, Utilities Sector and especially the Conglomerates which were down 4.1%.

Hottest Sectors Last Week: These are some of the hottest industries and sectors from the last week (with a One Day Delay) from CBS MarketWatch and BigCharts.

Now on to our new lists below:

The Video On Demand - VOD Stock List

These companies are involved in the delivery of Video On Demand or VOD. Two of the leading companies involved in actual VOD streaming technology are Concurrent Computer (NasdaqNM:CCUR) and SeaChange International (NasdaqNM:SEAC). Other companies associated with this industry can be found below. You may also be interested in our Interactive TV List or our Entertainment Stock List.

AOL CCUR CERO COX HLIT ICCA ITRU LBRT LINK LMCa MOT NTN OBAS OPTV PHG SEAC SFA SUNW WAVX WGAT

AOL through WGAT

The Implantable Cardiac Defibrillator - ICD Stock List

These companies produce and distribute medical devices known as Implantable Cardiac Defibrillators or ICD's. Results of recent studies indicate that the use of ICD's can reduce post heart attack deaths by as much as 30% by preventing ventricular fibrillation. These results may lead to a doubling of the market for implantable cardiac defibrillators resulting in as many as 300,000 new defibrillator implants each year. You may be interested in our Medical Supply Stocks or our Medical Equipment Wholesale Stock List or our broad Medical Equipment and Supply Stock List.

GB GDT MDT STJ

GB through STJ

The Communication Equipment Stock List

Part of the Technology Sector the companies on the Communication Equipment List provide integrated hardware and software systems solutions that enable customers to build and upgrade communications networks. You might be interested in our broader Technology, Hardware List, our Computer Networks List, our Computer Peripherals List, our Computer Services List, our Computer Storage Devices List, our Electronics Instruments & Controls List, our Office Equipment List, our Scientific & Technical Instruments List, our Semiconductor List and our broad Software & Programming List.

ACCL ACEC ADCT ADSP.OB ADSX ADTN AFCI AFP ALA ALN AMLJ ANCC AND ANDW ANEN ANTP APSG ASCX ATCO ATGN AUDC AVCI AWRE AXC BIGT BRKT CACS CAMP CATT CCBL CDCO CDT CELL CFON.OB CGN CHNL CIEN CLST CLTK CMDL CMTN CMVT COBR CSCO CSII CTLM CTV DAVX DCU DIGL DITC DLK DSPG DVID EAG ECIL ECIN ELAS ELMG EONC ERICY ESAN ETCIA FCM FDRY FIBR FNSR GCOM GEMS GILTF GLW GSTRF GTNR HLIT HRS HYBR IATV IDCC IDSY IMTV INPM.OB INTL INTV IWAV JDSU JNPR LIFE LLL LOR LU LUMM MCKC MKIE MLOG.OB MOT MRGE MRM MTSL MTWV NERAY NMSS NNDS NOIZ NOK NRRD NT NTFY NTRO NXTV OBAS ODETA ONIS OPTC ORCT PCOM PCTI PDYN PIII PLCM PLT PROX PSI PWAV QCOM RADN RELM REMC RITT RVSN SCKT SCMR SFA SFNT SLNK SMRA SMTX SNR SNWL SONS SPCT STCIA.OB STKR STMI SYNL SYNX TBUS TCCO TELT TERA.OB TERN TESS TKLC TLAB TLGD TLXS TRUE TSTN TUTS UIC UTSI VCST VINA VRLK VSAT VTEK VYYO WAVC WGNR WINK WJCI WRLS WSTL WVCM XETA XLNK ZL ZOOM

ACCL through ZOOM

Final Commentary: So what's going to happen in the market this week? Admittedly the NASDAQ and SOX have managed to continue to build towards a breakout move. If that move higher does come then we could actually have begun a new Bull Market just when economist actually admit we are entrenched in an actual recession. It should be a very interesting week!

That's about it for this week. Please be careful using margin and invest responsibly by keeping stops in place. You might want to stay abreast of this week's Calendar of Events:

Earnings Calendar l Economic Calendar I Splits Calendar l Conference Call Calendar l IPO Calendar


November 18, 2001: Harry Potter Magic and Fidelity Select Technology Update:

Market Commentary: This just in, another terrific week on Wall Street is now followed by the magical escapism of the first Harry Potter Movie. And what a movie it must be! Not only are many pundits predicting this movie will break all former box office records but the phenomenon and other toy related sales may also actually help the economy to avoid a deeper recession. Retail sales were already up a record 7.1% in October before the release of Harry Potter. This week we give you a list of some of those stocks that are already benefiting from the movie release. Be careful though because some of these smaller companies may offer you little more than the illusion of a good investment. Perhaps there will be some good future shorting opportunities here on our Harry Potter Stock List.

Suppose you had a crystal ball and could determine what some of the best performing technology stocks of 2002 will be in advance. Impossible you say! Well, maybe you can at least narrow the field a bit because we have now updated our Fidelity Select Technology Portfolio List to show the fund's stocks as of August 31, 2001. Why not run a searches on these stocks and the stocks on our Stock Buyback List to help select companies that both the fund and individual companies may be purchasing. If we do get a recovery these might just be some of the best performing technology stocks throughout the next Bull Market.

Yes Harry Potter the consumer is still out there spending his hard earned dollar while we wait for further signs of an economic recovery. Now don't get us wrong, we do believe that recovery is coming but we also believe that technology stocks in general have come an awful long way in a short period of time. Okay we have been asking for a pullback for weeks, and have been wrong so perhaps we are due, and perhaps not. What if the whimsical thinking that an economic recovery will actually take place by the second half of 2002 is actually right? If that is true then any pullbacks must be looked at as buying opportunities because we have already entered a new Bull Market.

Not so fast my friends.

Unfortunately from a technical standpoint we cannot yet support this point of view. Looking at our closely watched Semiconductor Index we continue to see reason to be cautious. Applied Materials released earnings after the close on Wednesday. As we expected both their earnings and outlook were less than spectacular. At this point both the SOX and AMAT have fallen a few percentage points from impressive recovery highs. That being said the SOX is up 54% since its bottom as of the close on Friday and the recent pullback has been very meager. Unfortunately neither ever broke through resistance points put in place at former support prior to 9-11. Once again we remind our readers that the NASDAQ cannot be expected to rise without strength in the semiconductors. We are ready to climb on the Bull Market bandwagon if the NASDAQ can break through its 200 day moving average currently near 1980. Once again we do not see that happening without a continued climb of the SOX Index. If the SOX rallies above resistance then the NASDAQ is sure to follow.

So what happened last week?

On the week the Dow rose 2.7% while the NASDAQ gained 3.7%. The broader S&P 500 rose 1.7% on the strength of higher retail sales, good news on the warfront and the feeling that an economic recovery could be closer at hand than previously thought. Of interest this week was the return of IPO's to the market. Successful IPO's will be an integral part of any stock market recovery. Weight Watchers led a trio of offerings on Thursday and the stock fattened up nicely. Keep an eye on the IPO market. If we are indeed entering a new Bull Market then we will surely be seeing many more successful ventures.

So what happened on Friday?

The one day industry action on Friday was interesting to say the least. Energy related industries were up after a rough week perhaps foreshadowing a good week ahead for these stocks in general. Technology stocks were mixed as some trends strengthened on hopes for a future economic recovery. Perhaps the strongest continuation was among the PDA Stocks. PALM and HAND gapped higher on Friday capping an incredible week on Wireless Hopes. Of course these were not the only strong technology stocks Friday and the technology sector actually rose 4.9 % over the course of the week. Looking at a broader overview of the market you will find the some of the strongest industries (Data supplied by Market Guide, our Bull Sector Lists, and our own Bull Sector Indexes) from last Friday with the best and worst performers marked in bold if they were up or down more than 4% here:

Up: Aerospace & Defense, Airlines, B2B, Communications Equipment, Drugs, Fiber Optics Components, Food Safety, Footwear, Hardware, Harry Potter, Home Healthcare, Natural Gas, Networking, Oil, Oil Services, PDA's, Photography, Railroads, RV's, Telecom Equipment, Tires, Tobacco, Travel, Utilities, Waste Management, Wireless

Down: Banks, Brokerages, Computers, Disk Drive, Gold, Iron & Steel, Hospitals, Insurance, Retail, Semiconductors, Software, Utilities

Hottest Sectors Last Week: These are some of the hottest industries and sectors from the last week (with a One Day Delay) from CBS MarketWatch and BigCharts. Last week (until Friday) anything associated with energy was basically beat down as energy prices continued to fall. On the plus side were Consumer Cyclical Sector up 6.5% on the week. The individual industry strength was led by an over 16% gain by the stocks in the Tires Industry. Also on the rise were Airline Stocks which after so much damage were ready to take flight again! Lower energy costs are an imperative for an actual economic recovery. Right now we it appears that we have both lower energy costs and tame inflation according to the CPI numbers for October. Still keep your eyes open for the continued yo-yo effect we have been seeing with energy stocks. Last week the stocks were higher on a predicted OPEC output cut. Energy prices fell this week and so did energy stocks. What will this week bring us and what longer term trends are in place? It's a safe bet that as long as we win the war on terrorism we will also but a lid on rising energy costs. Take a minute and look through the sectors covered by CBS MarketWatch and BigCharts throughout the various time periods. You might also want to check Barcharts.com for their listing of Industry Strength. The time spend there will help familiarize you with where we are now in the market. We are adding new lists almost daily to reflect these industries at the Bull Sector.

Now on to our new lists below:

The Harry Potter Stock List

On this list you will find some of the companies poised to benefit from the hugely successful Harry Potter books and movie. You may be interested in our broader Toys List, our Toy & Hobby Store List, our Entertainment Stock List, our Recreational Products List and our Video Game List.

AOL ENC ERTS GRIN HAS LRNS KO MAT SDRV SCHL TOY

AOL through TOY

The Fidelity Select Technology Stock List

Commercial Services - 2.7%

BSYS CEFT CEN DST FDC TSG

BSYS through TSG

Fidelity lowered its holdings in the Communications Equipment Sector but added several new stocks to their portfolio.

Communications Equipment - 16.0%

AVCT BRCD CIEN CMVT CSCO DITC ETS EXTR FNSR JDSU JNPR MOT ONIS PLCM QCOM RBAK RSTN SFA SONS SCMR TELM TERN

AVCT through TERN

Fidelity holds a smaller percentage of holdings in this broad category.

Computers & Peripherals - 8.6%

  CPQ DELL EMC IBM LINK MXO NTAP NTT DSS SUNW

CPQ through SUNW

Fidelity just added this category.

Electrical Equipment - 0.7%

BHE VSH

BHE through VSH

Fidelity just added this category.

Electronic Equipment & Instruments - 3.9%

A ARW AVT FLEX IM JBL MERX MNY.TO SANM TECD TEK

A through TEK

Fidelity just added this category.

Internet & Catalog Retail - 1.0%

EBAY NSIT

EBAY through NSIT

Fidelity just added this category.

Internet Software & Services - 0.7%

ARBA HOMS NETE VRSN

ARBA through VRSN

Fidelity just added this category.

IT Consulting & Services - 1.2%

ACS CSC SDS

ACS through SNGD

Fidelity just added this category.

Media (Interactive TV) - 2.1% - AOL GMST

AOL through GMST

Fidelity just added this category.

Semiconductor Equipment & Products - 29.1%

AMD AGRa ALTR AMKR ADI AMAT AMCC ASML ACLS CHRT CHPC CNXT CY DPMI ELNT FCS HELX IBIS ICST IDTI INTC ISIL KLAC KLIC LRCX LSCC LLTC LSI MRVL MIPS MIPSB NSM PDFS RFMD SMTC SLAB TSM TER TXN VSEA VIRL VTSS XLNX

AMD through XLNX

Fidelity just added this category.

Software - 26.3%

ADBE BEAS CDN CTXS CA CPWR JDEC MSFT NATI NTIQ NETA NMTC NVDA ORCL PSFT PRGN RSYS SY TTWO VAST VRTS

ADBE through VRTS

Final Commentary:

We are anxiously awaiting some clues from the market this week. Will we break through upside resistance to begin a new Bull Market? Will the market begin to pull back and confirm that we still remain firmly entrenched in Bear Market territory? No matter what happens we at the Bull Sector wish you all the happiest of all holiday seasons. We would especially like to thank those of you who have shared the site with others.

Happy Thanksgiving Everyone!

That's about it for this week. Please be careful using margin and invest responsibly by keeping stops in place. You might want to stay abreast of this week's Calendar of Events:

Earnings Calendar l Economic Calendar I Splits Calendar l Conference Call Calendar l IPO Calendar


November 11, 2001: Expanded Consumer Non-Cyclical Lists including Food Processing List - Also new Computers Stock List:

As we told you last week we are finally getting very close at the Bull Sector to accomplishing one of our major goals. That goal is finalizing the basic market sectors at our site while allowing you to easily navigate to our more focused lists. Today we give you a finalized list of Consumer Non-Cyclical Sector Stocks. These stock lists can be accessed through our new Food Processing Stock List. From this list you will be find both the traditional industry lists that you find defined by sites like Market Guide as well as links to smaller, better defined, industries like those you find at excellent sites like Barcharts.com. What we give you at the Bull Sector is a chance to see these industries and even more focused lists like our Food Safety Industry List all in Yahoo Detailed Quote form where you can easily access both stock and industry performance at a glance. Our new Computers Stock List is a good example. The PC Hardware List was simply too broad to help investors to see what computer manufacturers are performing well in relationship to their peers.

Market Commentary: Boy we have had a great run since the bottom set on 9-21. This rise has taken place despite a heightened sense of alert concerning further terrorism after the attacks on 9-11. Attacks that left the people of our nation gripped with despair but also rallying together to each other's aid. Nothing has slowed the climb of the markets not even those daily reminders of deaths due to Anthrax. In fact the market has managed to shake all that off and actually rise to levels not seen before those attacks. Although we expected a rebound rally this rise in the market has been very surprising to us in that it has been so strongly sustained despite the fact there remains so much to be negative about throughout the market.

It's true that the FED has really been incredibly accommodating. Today we have interest rates that have not been this low since 1962 and those rates are predicted to be going lower still. But low interest rates are not enough stimulate an economy. At least it has not been enough so far. The economy has stumbled and evidence of how widespread this downfall has been can be seen in the earnings warnings that have come from a wide variety of companies including many that were previously thought to be resistant to an economic downturn.

Earnings highlights next week will come from many of the big name Retailers. In addition in economic news we will get some insight into the status of the economy in October when the retail sales reports are released on Wednesday. We believe investors will be watching the October retail sales report very closely because we all know that before 9-11 it was the consumer who had kept us out of a recession. Now only those very same consumers can bring us back to a growing economy. Other major earnings news will come from box makers like Dell and Hewlett-Packard who may give us some comments concerning possible sales growth due to Microsoft's new Windows XP operating system. It's going to take some strong forward guidance to keep the market rising in our opinion.

So what happened last week?

On the week the Dow rose 3.1% while the NASDAQ gained 4.8%. The broader S&P 500 rose slightly less than the NASDAQ and even the Dow finishing the week up 3%. The Semiconductor Index continued to rise mightily before it hit resistance (just as we expected) at former support levels prior to the 9-11 attacks. Applied Materials one of the biggest components of this index also reports next week. Many analysts are already on record stating that the 60% rise seen in the SOX since its lows is unsustainable. We agree. Comments from AMAT may help to underscore that a real recovery has yet to arise for this industry whose stocks we love to trade so much. The tremendous rise in the SOX has far outshone any major index over the last seven weeks. Can it go higher in the near term?

So what's Hot and what's Not?

On the week we saw a great deal more strength in the Energy Sector than any other. The sector up 2.9% on the week got a 2.4% rise on Friday alone. The rise was particularly strong in the Oil Service Industry with Russia backing oil output cuts. Talk of production cuts has caused oil prices to rise back over $22 a barrel. According to Market Guide the rest of the major market sectors were treading water which is not too surprising. We are finally reaching the end of earnings reports leaving the market potentially in profit taking mode. One of the most amusing quotes we read this weekend was the following, " The market has predicted 10 of the last 6 recoveries." In truth most of the gains that have occurred in the market this year have all happened amidst those months where most of the earnings reports are being released ( Jan, April, Oct.). The market has risen in those months as many companies have been beating already lowered guidance. But with earnings season winding down most investors are wary that the market must consolidate these recent gains even if it is to rise again later. Indeed our closely watched Semiconductor Index rose above former support levels prior to 9-21 but was unable to sustain that rise the last three trading sessions. In truth a 60% rise in the SOX should be difficult to maintain unless we get more evidence that an actual recovery is close at hand. Check the Bull Sector Indexes List for Sector and Indices Updates.

What happened on Friday?

Looking at a broader overview of the market you will find the some of the strongest industries (Data supplied by Market Guide, our Bull Sector Lists, and our own Bull Sector Indexes) from last Friday with the best and worst performers marked in bold if they were up or down more than 4% here:

Up: Audio/Video Equipment, B2B, Broadband - Fiber Optics, Brokerages, Computers, Disk Drive, Gold, Hardware, Internet, Internet Security, Iron & Steel, Natural Gas, Networking, Oil, Oil Service, Overseas Telecom, Publishing, Retail, Software, Storage, Telecom, Telecom Equipment, Tobacco, Utilities, Waste Management, Wireless

Down: Aerospace & Defense, Airlines, Biotech, Construction Services, Drugs, Food Processing, Footwear, Healthcare Plans, Hospitals, Insurance, Real Estate - REIT's, Savings & Loans, Security Systems, Semiconductors,

Hottest Sectors Last Week: These are some of the hottest industries and sectors from the last week (with a One Day Delay) from CBS MarketWatch and BigCharts. Take a minute and look through the sectors covered by CBS MarketWatch and BigCharts throughout the various time periods. You might also want to check Barcharts.com for their listing of Industry Strength. The time spend there will help familiarize you with where we are now in the market. We are adding new lists almost daily to reflect these industries at the Bull Sector.

Now on to our new lists below:

The Food Processing Stock List

Part of the Consumer Non-Cyclical Sector these companies are involved in the Food Processing Industry providing a wide range of food products generally sold to Restaurants, Food Retailers and Food Wholesalers. You might also be interested in other stocks mostly within the Consumer Non-Cyclical sector like our Beverages Alcoholic List, our Beverages Non-Alcoholic List, our Confectioners List, our Crops List, our Dairy Products List, our Distiller & Brewers List, our Farm Products List, our Fish/Livestock List, our Food & Beverages List, our Food Products List, our Food Safety List, our Household Products List, our Meat Products List, our Office Supplies List and our Tobacco Stock List.

ABR ADM AOR ARMF BRID BRVO.OB CAG CBAK.OB CGPE.OB CHEZ CPB CPO CQB CUIS.OB DA DAR DEVT.OB DF DLM DOL FLO GBUR.OB GIS GLDC GMCR GMK GSFT.OB GXY HAIN HCOW HIBNY HNFSA.OB HNNS.OB HNZ HRL HSY IBC ICY IMC JBSS JJSF K KFT LANC LNCE LUCY LWAY MKC MLP MSK MWGP NGTH.OB NMSCA.OB OPTS OVH PDA PFGC PSTA PZA RAH RAL RCF RENE.OB RFDS.OB RMCF RVFD SAFM SBUX SCP SFD SJM SLE SNAK SPOP.OB SRO SSUG.OB SXT SYY SZA TBC TCGI TOF TR UL UN UNFI UNMG.OB VRFT.OB VSF WWY YOCM ZAP

ABR through ZAP

The Computers Stock List

On this list you will find the biggest names in the Computer or PC Industry. You may be interested in our broader Hardware List, or our PC Hardware List and our PDA List.

AAPL CPQ CRAY DELL GTW HWP IBM

AAPL through IBM

Final Commentary:

There are a lot of voices all crying for a market pullback after the strength shown since 9-21. Usually any market consensus proves to be wrong. This one will prove to be wrong too but perhaps not at this time. Short-term the market remains overbought. Economic reports are likely to be disappointing leaving investors ready to begin looking hard at the lofty valuations they have established on many of the leading stocks in the market. As strong as the rally has been over the last seven weeks it has not convinced us that the Bear Market is behind us. We are mostly in cash and hoping for a nice dip in the market before going shopping for semiconductors. It's true that we may finally be on the verge of an actual recovery where P/E ratios will improve dramatically but color us skeptical.

That's about it for this week. Please be careful using margin and invest responsibly by keeping stops in place. You might want to stay abreast of this week's Calendar of Events:

Earnings Calendar l Economic Calendar I Splits Calendar l Conference Call Calendar l IPO Calendar

November 4, 2001: Expanded Capital Goods Sector Lists:

We are finally getting very close at the Bull Sector to accomplishing one of our major goals. That goal is working towards finalizing the basic market sectors at our site while allowing you to easily navigate to our more focused lists. Today we give you a finalized list of Capital Goods Sector stocks. Within that list you will be find both the traditional broader lists that you find at Market Guide and links to smaller, better defined, industries.

Market Commentary: We hope you all had a great week in the market! As we expected it was for the most part more trick than treat for long investors but the market has held up quite well so far. The question is how much longer can the market concentrate on a potential economic recovery next year while ignoring the current economic malaise? Have we seen the bottom in this cycle? Probably, but don't forget that the threat of further terrorist activity remains high. This threat continues to put a damper on the strength of any recovery that will eventually take place. In addition it increases the likelihood that we will see further pullbacks after market advances like we have seen over the last month.

So what happened last week?

On the week the Dow dropped 2.3% while the NASDAQ pulled back 1.4%. Initially we saw a rally based on a stronger than expected "Weak GDP Report" but that evaporated when consumer confidence numbers came in worse than expected. On Friday unemployment soared to 5.4%. Many believe that we will see Stocks Set to Rise on 2002 Rebound Hopes but there are many factors that could derail any further advance. Monday when the market closes Cisco Systems will announce their earnings. Guidance from this company will be closely watched. The market could take its cue from that guidance. On Tuesday the Federal Reserve is expected to deliver its 10th interest rate cut. Many expect another 1/2 point cut in rates. The commentary provided by Fed Chief Alan Greenspan will also be closely watched. That commentary will potentially have a major impact on the direction of the markets.

So what's Hot and what's Not?

On the week we saw a great deal more weakness throughout the major sectors than strength. According to Market Guide only the Transportation and Consumer/Non-Cyclical Sectors rose with the average gain on a transportation stock being a measly 1.1%. Technology stocks lost ground but it was the Energy Sector that fared the worst with an average loss among the stocks of 4.5%. Our closely watched Semiconductor Index continued to rise with a nice gain on the week that left the average stock in the group up 30% over the last month. It would seem to us that we are at a critical juncture in the market here if we are to get any further advance. Breaking through resistance at levels that once were support for indices may be very difficult indeed. Check the Bull Sector Indexes List for Sector and Indices Updates.

What happened on Friday?

Looking at a broader overview of the market you will find the some of the strongest industries (Data supplied by Market Guide, our Bull Sector Lists, and our own Bull Sector Indexes) from last Friday with the best performers marked in bold here:

Up: Advertising & Media, Aerospace & Defense, Apparel Retailers, Banks, Brokerages, Chemicals, Computers, Cruise Ships, Disk Drive, Footwear, Gold, Hardware, Healthcare Plans, Home Improvement, Insurance, Iron & Steel, Medical Products, Music & Video Stores, Paper, Railroads, Retail, Semiconductors, Storage, Tobacco, Video Gaming

Down: Home Construction, Natural Gas, Oil, Oil Drillers, Oil Services, Photography, Utilities, Wireless

Hottest Sectors Last Week: These are some of the hottest industries and sectors from the last week (with a One Day Delay) from CBS MarketWatch and BigCharts. Take a minute and look through the sectors covered by CBS MarketWatch and BigCharts throughout the various time periods. You might also want to check Barcharts.com for their listing of Industry Strength. The time spend there will help familiarize you with where we are now in the market. We are adding new lists almost daily to reflect these industries at the Bull Sector.

Now on to our new lists below:

The Construction & Agriculture Machinery Stock List

Part of the Capital Goods Sector these companies are among the most widely known publicly traded producers of Construction & Agriculture Machinery. As promised we now give you a complete listing of all the industries we have found thus far within the Capital Good Sector. You might be interested in our broader Construction Services List, or our Construction - Supplies & Fixtures List or our Construction - Raw Materials List. You might also be interested in getting a little more focused with our Heavy Construction List, our Heavy Machinery List, our Cement List, our Home Construction List, our General Contractors List, our Miscellaneous Capital Goods List, our Manufactured Housing List, our Mobile Homes & RV's List, and our Aerospace & Defense List. Below you will find the stocks on our Construction & Agriculture Machinery List and a couple of other new broad lists:

AG ALG ASVI AUGI.OB BION.OB CAT CNH CTBC DE FMC GEHL IICR JLG KMT LNN LUFK MHCO MTW RDO RSTI SHOP.OB TDHC.OB TPC WAXM.OB WPEC

AG through WPEC

The Construction - Raw Materials Stock List

ACO AGA ASWRF.OB CX CXP FRK FWIN.OB HAN IPII.OB LAF MLM OGLE PRN RMIX SMID.OB TXI USG UMC

ACO through UMC

The Construction - Supplies & Fixtures Stock List

AG AERTA AFCO ALGI AMWD BGRH CRDN CRR CRTK DTL DW EEGL EGBT.OB ELK ETZ FO GFF GIFI HBP IAL ICM III INTXA.OB KES KNAP LSS MTIN.OB MVK MYS NSD NSS NWPX OWC PATK PDM PI PLI POP ROCK ROHN SRCR.OB SYNC TAM TDYN.OB TMTX.OB TPR UREC.OB USHS VWLC.OB

AG through VWLC.OB

Final Commentary:

The upward market trend would appear to be at real risk of faltering sometime this week to us. The current strength in the Semiconductor Index has kept a strong floor under the NASDAQ but if the rally here fails to extend itself then the NASDAQ will fall too. Third quarter earnings announcements are winding down leaving us once again in a market that may concentrate more on uncertainty than hope. We believe that short-term now might be a good time to be very careful about new long investments.

That's about it for this week. Please be careful buying on margin and invest responsibly by keeping stops in place. You might want to stay abreast of this week's Calendar of Events:

Earnings Calendar l Economic Calendar I Splits Calendar l Conference Call Calendar l IPO Calendar

To subscribe or unsubscribe to this e-mail newsletter please contact us here with a written request.


October 28, 2001: It's Alive! - Food Safety, Waste Management and Medical Practitioners:

Market Commentary:

It's alive! Ah yes, the market is back at it again, ignoring bad news and rising. Rising in the face of economic data that should have us wondering if we have fallen asleep for the last two years only to reawaken in a nightmare; the economy of the living dead. Yes we admit that we were wrong about our outlook for the last week as we expected this rally end much sooner than it has thus far. Perhaps we are becoming somewhat jaded. We have had many a Bear Market rally end in bitter disappointment just when investors thought it was safe to return over the last eighteen months. Will it be the same this time around? Probably but for now the trend is up as the market continues to ignore bad news. For the week, the Dow Jones Industrial average added 340 points or 3.7% while the NASDAQ tacked on 104 points for a 6.2% gain. Our closely watched Semiconductor Index did even better gaining 13.4% on the week. Semiconductors are still the best place to play these bounces in our opinion, as many of the best stocks in the group are volatile enough to provide investors with 10% or more gains in a single day. Unfortunately the upward trend is likely to end we just don't know exactly when that will happen. So we will keep our market commentary brief this week. After all at the Bull Sector we realize that our lists are what bring investors back to our site. There are many sources of excellent market commentary besides our site so lets get to our new lists while we await another new week on Wall Street and ponder the big question; Is this current rally just Trick or Treat?

So what's Hot and what's Not?

Guess what? It was damned good week for most sectors in the market. According to Market Guide only Utilities were down on the week with Technology stocks showing an average gain of 7.3%. It would appear that the market is concentrating on the potential for an economic recovery somewhere down the road from here. At the very least we got a sizable extension to our recent relief rally with short covering as a contributing factor. Check the Bull Sector Indexes List for Sector and Indices Updates.

Looking at a broader overview of the market you will find the some of the strongest industries (Data supplied by Market Guide, our Bull Sector Lists, and our own Bull Sector Indexes) from last Friday with the best performers marked in bold here:

Up: Advertising, Advertising & Media, Aerospace & Defense, Aluminum, Anti-Terrorism, Apparel Retailers, B2B, Banks, Biometrics, Biotech, Brokerages, Chemicals, Disk Drive, DSL Chips, Footwear, Forest & Paper, Healthcare Facilities, Hospitals, Insurance, Iron & Steel, Long-Term Care, Mining, Natural Gas, Non-Metallic Mining, Oil, Oil Drilling, Oil Services, Railroads, RV's, Storage, Telecom, Telecom Equipment, Tobacco, Wireless

Down: Computers, Drugs, Gold, Utilities and more... Check the Bull Sector Indexes List for Sector Updates

Hottest Sectors Last Week: These are some of the hottest industries and sectors from the last week (with a One Day Delay) from CBS MarketWatch and BigCharts. Take a minute and look through the sectors covered by CBS MarketWatch and BigCharts throughout the various time periods. You might also want to check Barcharts.com for their listing of Industry Strength. The time spend there will help familiarize you with where we are now in the market. We are adding new lists almost daily to reflect these industries at the Bull Sector.

Now on to our new lists below:

The Food Safety Stock List

The companies on this list are among the best known publicly traded Food Safety Stocks. Using antibacterial methodology like Irradiation and Ozone treatment they have also garnered headlines recently because some may become leading companies as Anti-Biowarfare treatment companies. Surebeam (NasdaqNM:SURE) is already penciled in to supply 20 electron beam systems to sterilize mail and eradicate the threat of anthrax contamination.

IRAD.OB OZON.OB STE SURE TTN VIFL

IRAD.OB through VIFL

The Waste Management Stock List

The companies on this list are among the best known publicly traded Waste Management companies. You might be interested in our broader Pollution Control Stock List. They are highlighted in this newsletter because some of these stocks have already made tremendous one-day gains as contracts have been announced concerning their ability to handle hazardous materials resulting from the events that have unfolded since 9-11. You will find some of these companies listed on our Anti-Biowarfare List. Several more of them may end up on that list in the future.

AW AWX CERI CLHB CWST DRTK ITX MPML PESI RSG SRCL STHK VSR WCNX WWIN

AW through WWIN

The Medical Practitioner Stock List

The companies on this list are among the best known publicly traded Medical Practitioner companies. Also known as physician practice management companies. You might be interested in our broader Healthcare Facilities Stock List. Barcharts.com has this group listed in their top ten of gainers this year with an average gain of over 60% per stock. Of course this is no guarantee of future gains but it does point out once again that the best stock in this market have been those with predictable earnings growth.

CVH INMD LVCI NHHC

CVH through NHHC

Final Commentary:

The market trend would appear to remain upward this week in spite of terrifying economic data. We would be remiss if we did not admit we believe this is just another Bear Market trick rally that could end up treating those investors buying too high with nothing but disappointment. Buying here is pretty scary especially for those trying to catch momentum stocks. Consider the poor investors who bought ESAFETYWORLD (NasdaqNM:SFTY) last week only to find the stock halted this week when the NASDAQ requested information from the company. Trick or Treat indeed. Sometimes buying a stock in this market is a bit like biting into a piece of Halloween candy. Can anything compare to the excitement of a child tasting a beautifully wrapped piece of candy for the first time? Sadly sometimes it leaves an unexpectedly sour taste in your mouth.

That's about it for this week. Please be careful buying on margin and invest responsibly by keeping stops in place. You might want to stay abreast of this week's Calendar of Events:

Earnings Calendar l Economic Calendar I Splits Calendar l Conference Call Calendar l IPO Calendar

To subscribe or unsubscribe to this e-mail newsletter please contact us here with a written request.


October 21, 2001: Best Performing Industry - Music & Video Stores, Golf Stocks, Rentals & Leasing, Property Management, Management Services, Silver Stocks

Do you know what industry has outperformed all others this year? It might surprise you. Read on and you will find out what industry has been outperforming all others in this week's write up.

Welcome to our weekly wrap up. We hope you all had a terrific week in the market. We've got several new lists this week and a more comprehensive look at what has been going on in the market below but first...

We are looking for some feedback!

What kind of investor are you? Do you consider yourself a long-term investor or a short-term investor? Are you more interested in momentum investing or long-term trends? How do you feel about shorting stocks? Are you more likely to base your investments on fundamental or technical analysis? Help us to tailor our research and commentary into areas that interest you by answering these questions when you Contact us. Now lets get to our market discussion.

Market Commentary:

As far as we are concerned very little has changed over the past week. We expect more weakness in the market as investors continue to focus on the effects of terrorism. Yes the ground troops have started hit and run excursions into Afghanistan while Bioterrorism is grabbing the headlines at home. All as we expected and as we discussed last week. Our overview of the market remains intact with a downward bias. We believe that despite the rise on Friday that we are at further risk of the market moving lower. On the plus side earnings generally are coming in better than we expected. Unfortunately guidance in the majority of the reports we have been reading has been for lower revenues than previously expected. It seems that an economic recovery will be further delayed by the events that have unfolded since 9-11.

There is still money to be made here by patient investors. Certainly by those who are interested in timely shorting of stocks despite short covering rallies that continue to come within this Bear Market. Momentum investors seem to be making good use of our lists of Bioterrorism - Anti- Biowarfare Stocks and Anti-Terrorism Stocks in an attempt to make money as well. Momentum investing is very risky but for those who have been in the right place, at the right time, it is hard to beat the kind of gains that are possible. Take the 412% gain on Friday by a stock like ESAFETYWORLD (NasdaqNM:SFTY). Those interested in investing in momentum stocks should be careful; as they often fall nearly as fast as they rise. That being said we at the Bull Sector will continue to update momentum industries as quickly as we can for interested readers.

So what's Hot and what's Not?

According to Market Guide only three of the major sectors have shown growth in revenues and earnings over the last year; Energy, Healthcare and Utilities. None of these sectors has been outperforming lately however. Over the last week only industries within the Consumer/Non Cyclical Sector managed to show actual gains. The big picture last week had the Standard & Poor's 500 index falling 1.7 percent, the NASDAQ falling 1.9 percent, and the Dow Jones industrial average down 1.5 percent. All pretty much as we predicted as the market concentrated on tepid guidance and continued Bioterrorism concerns. Check the Bull Sector Indexes List for Sector and Indices Updates.

Our Industry outlook has us watching the Semiconductor Index closely for a retest of the 344 low set on Sept 27, 2001. It is our belief that current earnings and the present outlook within the semiconductor industry will merit a retest of these lows. In our opinion the NASDAQ cannot move significantly higher until the longer term outlook improves for this industry. However once the bottom is tested again this may be a great place to find some tremendous short-term long positions among the semiconductors. Many of these companies will be seen as solid long-term fundamental values at lower price levels creating momentum investing opportunities. Investors seem to jump in to the best of these stocks on the ensuing short covering rallies. We hope our readers will keep your eyes open. Presently we see the following industries as being potentially technically top heavy on a short-term basis; Biotech, Brokerages, Chemicals, Disk Drive, Insurance, Medical Products, Natural Gas, Pharmaceuticals and Retailing. Closer to a bottom but needing a reason to rally would be industries, Gold, Hospitals and Telecom. Of course gold has been looking for a reason to rally for many years while the outlook for the telecom industry remains cloudy at best.

Looking at a broader overview of the market you will find the some of the strongest industries (Data supplied by Market Guide, our Bull Sector Lists, and our own Bull Sector Indexes) from last Friday with the best performers marked in bold here:

Up: Aerospace & Defense, Apparel Retailers, Auto Parts Stores, Auto Dealerships, Beverages (Non Alcoholic), Biotech, Retail (Catalog & Mail Order), Computers, Computer Services, Consumer Electronics, Cosmetics, Disk Drive, E-health, Fiber Testing, Food & Beverage, Footwear, Golf, Hardware, Gorilla Stocks, Home Health Care, Iron & Steel, iTM, Medical Equipment, Medical Products, Music & Video Stores, Natural Gas, Oil, Oil Service, PC Software, Retailers, Semiconductors, Software, Storage, Telecom Equipment, TMR, Tobacco, Toys, Utilities, Video Games, Windows XP,

Down: Auto & Truck Manufacturers, Gold, Insurance, Internet, Investment Services, Paper & Paper Products, Railroads and more...

Hottest Sectors Last Week: These are some of the hottest sectors from the last week with a One Day Delay from CBS MarketWatch and BigCharts. Take a minute and look through the sectors covered by CBS MarketWatch and BigCharts throughout the various time periods. You might also want to check Barcharts.com for their listing of Industry Strength. The time spend there will help familiarize you with where we are now in the market. We are adding new lists almost daily to reflect these industries at the Bull Sector.

Now on to our new lists below and the Best Performing Industry of the year is made up of the stocks on...

The Music & Video Stores Stock List

According to Barcharts.com the hottest industry in the market this year is made up of the stocks on the Music & Video Stores Stock List. These stocks are up 288.73% as of the date of this column. The companies on this list are among the best known publicly traded Music & Video Store Stocks. You may be interested in our Online Music & Video Stock List, or our Specialty Retailer List or our Retail List.

BBI HLYW MOVI TWMC

BBI through TWMC

The Golf Stock List

The companies on this list are associated with the sport of Golf. Some produce and distribute golf products and in some cases own and manage Golf Properties. You may be interested in our Recreational Products Lists or our Sporting Goods Stock List.

ALDA AMB ASHW ELY GOLF PAR SPOR TEE

ALDA through TEE

The Rentals & Leasing Stock List

Part of the Services Sector the companies on this list are involved in the Rental or Leasing of a wide variety of products including rental cars, aircraft, household goods, electronics, appliances and various types of equipment.

ACY ANCX BD BSTW CDO CISC CRNS DTG DWL ELRC FCZI.OB FLY HC HDR IAIS IPX JAYA.OB KRSC MFI MGRC MIND MODM NFF NRI NSV NWAY NZ PDSG PLM R RAWA RBOW RCII RNT RWY SWHI UCO UHAL URI WLFC

ACY through WLFC

The Property Management List

On this list you will find companies involved in Real Estate Property Management. You might be interested in our broader Real Estate - REIT List.

ACP ALX ARI ARL BEI BPO BXP CDX CFCM CPV CTR ETT GL GNI HRY JLL JOE KRSC KWIC LHO LNR MSW NZ PKY RSE SLG TCC TZH USV XLG

ACP through XLG

The Management Services List

On this list you will find companies involved with IT (Information Technology) and Management Services. You might be interested in our broader Business Services List.

BKR CRG DTPI EXBD FCN FCGI FYII HSII IT KCIN NCI ONSS ORAL PRW PSTI RECN RMCI SNVT SUPC SVM TGIS TMNG USL VTIV WW ZOMX

BKR through ZOMX

The Silver Stock List

Part of the Basic Materials Sector on this list you will find companies involved with Silver Mining and exploration. You might be interested in our broader Gold Stock List, or our Precious Metals List, or our Metal Mining and Mining Stock List.

PAAS SIL

PAAS through SIL

Final Commentary:

While we believe the short-term trend is down we believe the level of cooperation the US is recieving worldwide will eventually lead to a much stronger than anticipated worldwide economic recovery. Industries that will show the greatest strength short-term will most likely benefit from a consumer spending more time at, or near, home like those stocks on the Music & Video Stores Stock List have already shown. This week Microsoft will officially release Windows XP. Keep an eye on the stocks on the Video Game Stock List and our Xbox List. We expect this year to be the beginning of an extremely strong growth cycle in electronic gaming. Please let us know what you think by contacting us!

That's about it for this week. Please be careful buying on margin and invest responsibly by keeping stops in place. You might want to stay abreast of this week's Calendar of Events:

Earnings Calendar l Economic Calendar I Splits Calendar l Conference Call Calendar l IPO Calendar

To subscribe or unsubscribe to this e-mail newsletter please contact us here with a written request.


October 14 , 2001: Auto Parts Stores, Discount Variety Stores, Drugs Wholesale, Farm Products, Personal Services, Credit Services and Oil & Gas Refining Marketing

Market Commentary:

We have a bunch of new lists for our readers this week. They are for the most part based on the excellent industry lists provided by BarCharts.com. But before we get to our new lists we would like to take a moment to discuss the overall market. It is our belief that the market may be due for some profit taking after its recent run higher. Although the military action in Afghanistan has been going very well there are numerous areas of potential concern that the market may begin to factor into stock prices once again very soon. Both the US and world economies were definitely affected in a negative fashion by the terrorist actions on 9-11. Recent retail numbers showed just what a shock this was to businesses already feeling the economic downturn.

While the market has done extremely well the last couple of weeks many of the major indices are now hitting upper Bollinger Bands on the charts we run. This means it may take a lot of good news to keep stocks moving higher. More likely than not we expect some profit taking to ensue as investors realize that we are still in a long Bear Market in very uncertain times. There will be an onslaught of earnings coming this week and those earnings are not expected to be stellar. But weak profit reports might be the least of investors concerns as Anthrax infections and the threat of Bio-Terrorism may be just the beginning of a great deal of real, or imagined, terrorist activity post 9-11. In addition this week ground troops will most likely move into Afghanistan in what could prove to be a very long military battle to wipe out terrorists and their supporters throughout the world. There is lots of uncertainty about how these events will unfold. Uncertainty is something the stock market does not like at all. Consumer anxiety post 9-11 may continue to delay an eventual economic recovery. In any rate it should limit the upside to the market until we get evidence that a recovery is underway.

Looking at a broader overview of the market you will find the some of the strongest sectors from last Friday with the best performers marked in bold here including our updated listing of Anti Bio-Warfare and Anti-Terrorism Stocks:
Up
: Anti Bio-Warfare, Anti-Terrorism, Broadband - Fiber Optics, Computers, Disk Drive, Drugs, Footwear,
Gold, Hardware, Networking, Server Hardware,
Telecom Equipment, Utility
Down: Airlines, B2B, Hospitals and Many More!

Hottest Sectors Last Week: These are some of the hottest sectors from the last week with a One Day Delay from CBS MarketWatch and BigCharts. Take a minute and look through the sectors covered by CBS MarketWatch and BigCharts throughout the various time periods. You might also want to check Barcharts.com for their listing of Industry Strength. The time spend there will help familiarize you with where we are now in the market. We are adding new lists almost daily to reflect these industries at the Bull Sector.

Now on to our new lists below:

The Auto Parts Store Stock List

On this list you will find the better known Auto Parts Stores companies. You might be interested in our Auto Parts Wholesale List or our Specialty Retailer List.

AZO CAO DAP MDS ORLY PBY

AZO through PBY

The Discount Variety Stores Stock List

These companies are among the widely known publicly traded Discount Variety Stores. You might be interested in our Apparel Retailer List, our Auction List, our Auto Parts Wholesale List, our Bookstores List, our Electronics Retailers List, our E-Tailers List, our Food Retailer/Wholesaler List, our Online Music Stores List, our Retailers List, our Retail Technology List, our Specialty Retailer List, our Sporting Goods Stores List or our Toy & Hobby Stores List.

BJ BLI COST CPWM DG DLTR DUCK FDO FRED KM NDN SKO TGT TJX TUES WMT Z

BJ through Z

The Drugs Wholesale List

On this list you will find companies that manufacture Wholesale Drug Products. You might be interested in our broader Drug Stock List or our Drugstore Stock List.

ABC ALU CAH DKWD MCK MMD NUS PHCC PHLI SCIO SCOR

ABC through SROR

The Farm Products List

On this list you will find companies that grow and distribute Farm Products. You might be interested in our broader Food Products List.

ALCO DLP FDP MRGO NUT SYLN TRC

ALCO through TRC

The Personal Services List

On this list you will find Personal Services companies. You might be interested in our broader Consumer Services List.

AMIE BFAM CPY CSTR CSV GTAX HB HRB MPH NLCI PPD RGIS ROAC SRV STEI STNR

AMIE through STNR

The Credit Services List

On this list you will find Credit Card and Credit Services Companies. You might be interested in our broader Financial Services Stock List or our Consumer Services Stock List.

ACF ACRT ADVNB AGM ALD ASFI AXP CACC CCRT COF DOLL DVI FIF HF HI METFP MFI NICK NXCD PDSG PLUS PMC PVN REXI SFI SLM STU TAXI UACA WFSI WRLD

ACF through WRLD

The Oil & Gas Refining Marketing Stock List

The companies on this list are involved in Oil & Gas Refining and the marketing of such products. You might also be interested in companies are engaged in the exploration for and production of crude oil and natural gas. If you are interested specifically in Natural Gas Stocks then check the Natural Gas List. Oil Drillers? Check the Oil Drillers List. You might also be interested in our Oilfield Equipment and Services List.

AHC ASH BPT CECX EON FTO GI HOC IMO MRO MUR P PBR PC PCZ PZL SU SUN TNT TSO UCL UDS VLO

AHC through VLO

That's about it for this week. Please stay off margin and invest responsibly by keeping stops in place. You might want to stay abreast of this week's Calendar of Events:

Earnings Calendar l Economic Calendar I Splits Calendar l Conference Call Calendar l IPO Calendar

To subscribe or unsubscribe to this e-mail newsletter please contact us here with a written request.


October 7, 2001: Enduring Freedom Begins New Lists:

Market Commentary:

Military action in Afghanistan takes center stage today. Uncertainty as to the success of such action could cause a flight to safety among investors but any appearance of real success in the war against terror should result in a sizable relief rally. No further discussion seems necessary at this time. You will find our newest lists below.

The first two lists you will find this weekend are based on lists put together by CNET; the Server Software and Server Hardware Lists. The third and final list this week is based on the excellent industry lists put together by BarCharts.com; the Insurance Broker List.

The Server Software Stock List

ACTU ADVS AGIL AMSWA ARTG ASCL ASDS.OB ASFT ATEA AXO BEOS BMC BOBJ BRIO BSQR BVEW CA CCRD CLIC.OB CLRS CNQR COGN CPWR CSPI CSRE CTRA CYLK CYSV DALN DCTM DLTK EMBT EPIC EPNY EPRS EXLT FBAY FILE FNDT FSTP GNOM HYSL IINT IMAN INFA ISSX IW IWOV JDEC KANA LBRT LQNT LSPN MANH MANU MCDT MERQ MFLO MOBI MRNT MSLV MSTR MUSE MUZE.OB NESY NETM NETZ NOVL NSSI NTIQ NTWO ONTC ONXS OPNT OPTO ORCL OTEX PASW PKSI PKTR PRGS PRSF PRSW PSFT PUMA QSFT RETK RHAT SAP SCTC SCUR SGNT SGSF SPSS SRNA SSSW SVCW SVNX SY TENFC TIBX TMNT TROY TSYS TTLA ULTI VFNX VIAD VITR VNWK VONE VRTS VSNT WALK.OB WEBM WGRD WITS

ACTU through WITS

The Server Hardware Stock List

ASPX NCR OBAS SGI SUNW UIS

ASPX through UIS

The Insurance Broker Stock List

On this list you will find companies selling various forms of insurance. You might be interested in our broader Insurance Stock List.

AIG BRO BWINB CRVL FHCC HRH ISTN MET MMC PVC

AIG through PVC


September 30, 2001: Mr. Greenspan this list is for you - Beverages (Alcoholic)

Market Commentary:

A funny thing happened the last two trading days of September on the way to our finding ourselves in the midst of an almost undisputed recession...

The market rallied!

It's not that the last two days in the market were so overwhelmingly strong that has us mirthfully hopeful. No it is simply the breadth of the rally that has a smiling. A brief glance through the stocks found on our Stock Buyback List will give you some idea of just what a wide variety of sectors and industries benefited from the heightening of negativity that may be signaling a bottom is in.

A final bottom?

OK we admit we thought a bottom was in back in early April. We also thought the economy would be showing signs of recovery by the fourth quarter of this year... Then we got blind-sided by the events on 9-11... Now we expect that the fourth quarter is very likely to show continued weakness when the economic numbers come in. Even extreme weakness in some industries that have been hit hardest by the economic downturn (recession) and as a result of the terrorist actions. Will 9-11 result in a continued short-term or long-term economic downturn? Certainly the stock market has suffered the last two years. Many of the averages hitting three year lows over the last week it should end at some point. Not so fast! Some well respected analysts like Ralph Acampora suggest that the U.S. stocks bounce does not signal final bottom. So where do we go from here?

This week Investors will Face Fear, Fed and Data. Many believe the market will be flat or down on earnings warnings, disappointing economic data and a muted reaction to Federal Reserve Board action. However the market often looks further ahead than today, or even just a few months, into the future. It may have been doing that on Thursday and Friday of the past week when it began to rally back.

And that's why we are smiling!

The Federal Reserve meets again on Tuesday with a free hand to lower rates as much as they deem necessary due to a continued lack of inflation. Whether they add 1/2 or just another 1/4 point cut in the discount rate they will be adding more potential stimuli to the economy. In addition the congress itself seems destined to add a relief package to stimulate economic growth. US lawmakers plan a plan follow-up meeting with Greenspan this coming week. The package coming out could be as much as $100 billion. Perhaps this is why the market has refused to continue lower. Certainly we are hopeful that this rally will find some additional upside.

When you look through the industries showing recovery strength over the last week you will know that buyers are stepping up. Even in industries like Insurance, Lodging, Casinos and Gaming and Travel as they look beyond the current downturn in Airline travel to better days ahead. Looking at a broader overview of the market you will find the some of the strongest sectors from last Friday with the best performers marked in bold here: Airlines, Banks, Regional Banks, Biotech, Broadband - Fiber Optics, Brokerages, Chemicals, Computers, Defense, Disk Drive, Drugs, Footwear, Forest & Paper, Gold, Hardware, Healthcare Providers, Insurance, Iron & Steel, Internet, Medical Products, Natural Gas, Networking, Oil, Oil Services, Pharmaceuticals, Real Estate - REITS, Railroads, Retail, Semiconductors, Software, Telecom, Utilities, Wireless

Check the Bull Sector Indexes List for Updates and all the Bull Sector Lists for individual performances.

A Reversal of Fortunes! What was down is coming back!

Hottest Sectors Last Week: These are the hottest sectors from the last week with a One Day Delay from CBS MarketWatch and BigCharts. Take a minute and look through the sectors covered by CBS MarketWatch and BigCharts throughout the various time periods. You might also want to check Barcharts.com for their listing of Industry Strength. The time spend there will help familiarize you with where we are now in the market. We are adding lists almost daily to reflect these industries at the Bull Sector. Now on to our new Bull Sector List!

Mr. Greenspan we have not always been your biggest fans but salute your efforts to stimulate the US economy. We will hoist a couple cold ones if you get this right in the next few weeks. So we have only one new list this week but its a good one for those who like to celebrate victories. Soon we hope our military and intelligence efforts to find those responsible for acts of terrorism. The result should be a true victory rally. For those of you not sure that alcohol is a good way to celebrate anything; We understand and remind everyone that nearly three times as many people die each year as a result of drunk drivers than died as a result of the terrorist actions on 9-11. Please do not drink and drive.

New List:

The Beverages (Alcoholic) Stock List

ABV BEERF BFb BUD CBEV.OB CEDC CHLN CU DEO FRBW.OB GEER GENBB HOOK KNBWY LQU LVMHY MBRW MOND PMID RDBL.OB RKY SAM STZ THT VCO VINT

ABV through VINT

Final Commentary:

Yes we are hopeful that the worst is now behind us but no one knows for certain. In fact with Attorney General John Ashcroft stating that Terrorists Attacks are Still Likely this is no time to be using margin accounts to maximize returns. In the unfortunate event that we are attacked by terrorists again we remind readers to check the Bull Sector for stocks that might benefit like those on our Anti-Terrorism List, our Anti-Biowarfare List, our Biometrics List, our Security Systems List and our Aerospace and Defense List.

That's about it for this week. Please stay off margin and invest responsibly by keeping stops in place. You might want to stay abreast of this week's Calendar of Events:

Earnings Calendar l Economic Calendar I Splits Calendar l Conference Call Calendar l IPO Calendar

To subscribe or unsubscribe to this e-mail newsletter please contact us here with a written request.


September 23, 2001: Video Conferencing, Anti-Biowarfare, Auto & Truck Manufacturing, Cruise Lines and Water Transportation

Market Commentary:

We are going to keep our stock market commentary brief this week. In light of the Terrorist Attacks on the United States on September 11, 2001 we expected nothing less than a horrible week unless we were able fight back successfully against terrorism. That's what we got. It was a terrible week taking its toll on virtually every sector of the market. Airlines, Advertising & Media, Insurance, Online Travel were among those industries leading the way downward. In fact the losses over the week were so bad that historical comparisons are being pulled from as far back as WW II and beyond.

Certainly we feel good that we were able to provide you with big gainers like the stocks on our newly expanded Anti-Terrorism List created last weekend. We are also happy to be sharing with you in this newsletter a Video Conferencing List and an Anti-Biowarfare Stock List. The former is a group that this last week vastly outperformed. Investors are betting that business traveling will finally slow to such a degree that these few companies are sure to benefit from the growth of sales. The latter is a short list of stocks that may benefit if terrorist activities expand to germ warfare. Outside of these limited industries there really has not been much to crow about unless you could accurately predict what would happen to the market in advance of a terrorist attack. Insider trading is exactly what it appears to have happened in advance of the attack on America.

Once we show success in fighting against terrorism the market will have a chance to move higher again if consumers begin to spend again. How long any advance will last will depend entirely on our confidence to spend in a fashion like we would have in advance of the World Trade Center and Pentagon attacks. Far too many workers are now out of work for us to expect the quick recovery that we had hoped for even just one week ago. In other news the semiconductor industry book-to-bill fell last month reversing a slight but positive trend. Microsoft announced a one week delay in the release of their Xbox bringing up questions concerning how many units will ship when the Video Game product is released.

The stock market does not like uncertainty. We are plenty uncertain about the future now. It's generally accepted that we are now in a recession. Where will the bottom be or have we already seen it? That depends entirely on how successful we are in a war against terrorism. Confidence must return in order for consumers to spend their way back to economic prosperity.

Lets move on to a broader overview of the market and how it performed on the last day of last week. Here you will find the strongest sectors from last Friday with the best performers marked in bold here: Airlines, Anti-Terrorism, Brokerages, Footwear, Railroads, Video Conferencing

Check the Bull Sector Indexes List for Updates

So what has been hot lately?

Hottest Sectors Last Week: These are the hottest sectors from the last week with a One Day Delay from CBS MarketWatch and BigCharts. Take a minute and look through the sectors covered by CBS MarketWatch and BigCharts throughout the various time periods. You might also want to check Barcharts.com for their listing of Industry Strength. The time spend there will help familiarize you with where we are now in the market. We are adding lists almost daily to reflect these industries at the Bull Sector. Now on to our new Bull Sector Lists!

New Lists:

The Video Conferencing Stock List

The companies on this list are involved in Video Conferencing. They could be potential beneficiaries if business travelers curtail business flights and do more video conferencing instead. You might so be interested in our Audio/Video List and Audio Video Equipment List.

ACTT MCSI PCTL PLCM

ACTT through PLCM

The Anti Bio-Warfare Stock List

The companies on this list are involved in the detection and treatment of Germ Warfare also known as bio-warfare agents. You might be interested in our Biotechnology List.

ACLY.OB BDAL ISIP MAXY

ACLY.OB through MAXY

The Auto & Truck Manufacturers Stock List

Part of the Consumer Cyclical Sector these companies are among the best know Auto & Truck Manufacturers. You might also be interested in the Auto Index List. The Bull Sector also other lists like the Online Auto Sales List, the Auto, Tires & Accessories Stock List and the more specific Tires List.

ARGN CBA COLL F FIA FTHR GM HMC IR KROL MLR MNC NAV NSANY OTRKB PCAR RUSH RVMI.OB SCVa SPAR STCR.OB STS TM VOLVY WNC WTAI.OB

ARGN through WTAI.OB

The Cruise Line Stock List

The companies on this list are the best known major Cruise Ship or Cruise Line operator's

CCL POC RCL

CCL through RCL

The Water Transportation Stock List

The companies on this list are Water Transportation companies shipping products associated with a wide variety of industries.

ALEX BHO CKH CNRD EXM FRO GMR ISH KEX MCX NAT NNS OMM OSG SBLK SCRa SJH SNSA TDW TK TMM TOD TRBR TUG VLCCF

ALEX through VLCCF

That's about it for this week. Please stay off margin and invest responsibly by keeping stops in place. You might want to stay abreast of this week's Calendar of Events:

Earnings Calendar l Economic Calendar I Splits Calendar l Conference Call Calendar l IPO Calendar

To subscribe or unsubscribe to this e-mail newsletter please contact us here with a written request.


September 16, 2001: Anti-Terrorism Stocks, Beverages ( Non-Alcoholic), Fish/Livestock, Security Systems Update, Stock Buyback Update, Aerospace & Defense Update and Internet Content Lists.

Market Commentary: Just Another Monday?

The Stock Market will open again on Monday. It will not be just another Monday. As we reflect on the events that unfolded last Tuesday everything is different. The world is a darker place. We are saddened. Many of us our alone in our introspection struggling to understand how such a thing can happen even as we pull together as a nation to reach a common goal. We are mad and ready to strike back but whatever action that takes place will be measured and well thought out.

No Monday will not be anything close to business as usual. In light of last Tuesday's terrorist actions against the United States our lives have been changed forever. Stock market trading will reflect the uncertainty that lies ahead. We do know some things. There will be a response against Osama bin Laden and against any country that harbors him. President Bush has declared to Osama bin Laden that You Can run but You Cannot Hide. Even as plans are made to strike back against terrorism we wonder if any American feels as safe and self-assured about the future today as they did a week ago?

Monday will not be a normal trading session.

We at the Bull Sector are expecting that we will see additional selling in a broad based fashion. In fact when the markets open again it is highly likely that panic selling could take our markets down to new 52 week lows. We expect the highest negative impact will be on Insurance Stocks, Airlines, Travel and Lodging but the selling should be broad based. The Federal Reserve is aware that Tuesday actions against our country could result in further damage to our stock markets and our economy. This terrorist activity will result in a negative impact on global economies in general. The FED has already infused additional capital into the system in an effort to keep global markets liquid. We can no doubt expect further interest rate decreases. In addition the SEC has relaxed its rules on Stock Repurchases as Wall Street Braces for Monday in order to help companies reassure their investors. We are seeing a flood of announcements by companies announcing buybacks. We expect more this week and ask you to revisit our expanded Stock Buyback List later in this newsletter.

When the market reopens on Monday some sectors will benefit. Most stocks are going to see further downward pressure and some industries are going to be hurt worse than others.

Expectations and the uncertainty surrounding a possible military action against an oil producing country in the Middle East should produce a rise in energy related issues like Natural Gas, Oil, Oil Services, Oil Drillers. In a flight to safety Gold should move higher. Also moving higher should be certain Defense Issues, selected Security Systems Issues and selected Biometrics Stocks. These are stocks that should benefit from higher spending on defending our country in the former case. In the later case these industries will benefit by additional spending used in preventing future security risks through the the early identification of potential terrorists and their activities.

Other industries which might benefit on Monday belong in defensive industries like Utilities, Drugs, Major Drugs and Pharmaceuticals. We also expect relative strength within the Consumer Non-Cyclical Sector. While Americans' may curtail travel on a short-term basis they will not stop eating out or spending on consumer staples. We have added some new lists in these areas this weekend at the Bull Sector. They include the Fish/Livestock List and the Beverages (Non-Alcoholic) List. We also added an Internet Content List to help you keep up with the stocks followed by CNET.

It is important to never underestimate the resolve of the American people. We will win this war against terrorism. The stock market will eventually rally and begin a new Bull Market phase. We believe this is likely to happen in conjunction with our first successful military actions against Osama bin Laden and the country that harbors him. Our prayers go out to the families of those who have lost loved ones this week. More news can be found here using US Market News. Check the Bull Sector Indexes List for Stock Market Indices Updates.

Panic Selling - American Resolve

As we recently related our stock markets have seemed to be destined to test the lows set last April. They now have a reason to do just that. As stock markets left open throughout the world have continued to fall hard ours will likely do the same. However even as many begin to herald in a world wide recession as a result of this terrorism we remind our readers of the strength and resolve of the American people. This action taken against the American people is highly likely to ultimately produce the exact opposite result.

We will see additional defense spending. Additional moneys spent to increase our security. Security on airplanes and anywhere we might find ourselves in this world. A great deal of money will be spent to build and rebuild physical infrastructure. Efforts will be made that will result in reducing insurance company liability as buildings may now actually be expected to withstand disasters far worse than earthquakes.

This attack resulted in an overburdening on many modes of communications as people attempted to contact one another sometimes without any success. It points out the great need for further funding and growth in industries recently felt to have too much capacity. We will see additional money spent to increase redundancy in the Storage Markets and Telecom Equipment. Ultimately this completely tragic event may help to restore growth to our economy and the world as well.

New Lists:

The Anti-Terrorism Stock List

The companies on this list have been selected from industries like Biometrics, Aerospace & Defense and Security Systems as specific issues that could benefit from a war against terrorism. This war will require a heightened awareness of potential terrorist activity. Increased usage of electronic surveillance will benefit companies like Raytheon Co (NYSE:RTN), Lockheed Martin Corp (NYSE:LMT), Vicon Industries (AMEX: VII) and Northrop Grumman Corp (NYSE:NOC). Increased need for individual identification to reduce the activity of potential terrorists will benefit companies like Visage Tech (NasdaqNM:VISG) using facial recognition and Indentix (AMEX:IDX) using fingerprint recognition. As a direct result of the airline highjacking security needs will increase dramatically benefiting companies like Armor Holdings (NYSE: AH), which makes protective armor and vests for police and SWAT teams, InVision Technologies (Nasdaq: INVN) which makes bomb detection equipment and CompuDyne (Nasdaq: CDCY) which makes attack-resistant windows for government buildings.

AH ASE CDCY ICTS IDX INVN LMT MAGS NOC PKI RTN TYC VISG WAK

AH through WAK

The Beverages (Non-Alcoholic) Stock List

The companies on this list are involved in a wide range of production and services used throughout the Beverages (Non-Alcoholic) Industry. You might also be interested in our Soft Drinks List, Our Food & Beverages List and Our Distiller & Brewers List.

AKOa AQCB.OB AQA AVIT.OB CCE CCBC.OB COKE COTT CSG ELDO.OB FIZ FMX GEM FMX GEM HANS HNWC.OB ICBG.OB JSDA.OB KO KOF LBIX MFW MUSD.OB ODWA PAS PB PBG PEP SLHN VPS

AKOa through VPS

The Fish/Livestock Stock List

These companies are involved in the Fish/Livestock Industry providing a wide range of food products generally sold to Restaurants, Food Retailers and Food Wholesalers.

APCFY AQRO.OB CALM CEAT.OB CHCL.OB EMBX EMBR.OB EMRG IBA OME SDA SEB TRC

APCFY through TRC

The Internet Content Stock List

These companies provide Internet Content. You may be interested in our broader Internet List, or our Business Services List or our Computer Services List.

AOL APTM ASKJ ATHM CLKS CNET DICE DIS EMRG GOTO HEAR.OB HGAT HIRE HLTH HOOV HOTJ INOD KOOP.OB LOOK MKTW MLTX NEWZ ONES RATE.OB RNWK SALN SPLN STRM TCOW.OB TGLO.OB TMCS TPN TRLY TSCM TSCN UOPX YHOO

AOL through YHOO

The Security Systems & Services Stock List

These companies manufacturer a broad array of products used in the security and surveillance industry, not to be confused with those companies that supply Internet Security. Read through some of the press related to this industry to find some of the better ideas for investments going forward.

ABHH.OB AH AXSI CDCY CKP CMMD.OB CYLK FTEC CTS GIIS.OB ICTS IEIB ILXI INVN IZZI.OB LOJN MAGS NSSC PKI POI PZB RNBO SACM.OB SAI SBL SEHO.OB SFT SILW SKVY.OB SRM TRKR.OB TYC VII VISG VKSIE.OB VSNX WAK

AH through WAK

The Stock Repurchase List

In normal times one of the most effective and lucrative strategies that an individual investor can follow is to invest in companies that are repurchasing their own company's stock. The SEC has relaxed their standards for companies to repurchase shares in these difficult times. Stock Repurchase plans tend to lend support to a stock even if institutions are bailing out. The question of when to buy is a much less difficult one if you are buying an obviously oversold stock at the same time as the company itself. Investors should be careful with their timing here as Stock Repurchase plan announcements are usually met with a great deal of buying. If you intend to be a long term investor in such a stock keep in mind that economic cycles as well problems within an individual company have usually resulted in these buying opportunities. The good news is that the companies on this list have enough money to actually repurchase shares. The bad news is that they are under no actual obligation to buy the shares back as proposed. We will try to update this list often after the first listing as of November 29th, 2000. Please study these companies carefully and pay attention to basis technical analysis on each individual issue. The Keyword Search here is Stock Repurchase and we suggest you check this often to stay completely abreast of new announcements.

AA ABFI ABRI ACAP ACI ACRU ACTT ADP ADSK ADTN ADVS AGE AHCI AIG AJG AKR AMAT AMD AMGN AMEV ANSS APC ASCL ASGN ASTT ATGN ATX AVSR B BA BAMM BBQZ BCSB BEAS BFSB BGEN BJ BJS BLK BMY BS BSBN BXP CAC CB CBR CARN CATY CBBO CBSS CCBL CCBN CCNE CDI CDN CDX CEC CEM CFFN CFSB CGN CGNX CGZ CHH CHIR CHNL CI CJPG.OB CLAS CLZR CMA CNBKA CNTY COLL COMS COVB CPAK CPQ CREE CSCO CSGS CTCI CTXS CVBF CY DCCA DCEL DD DELI DFBS DLX DNY DPAC DRTE DSCP DVIN DVN DVXE DWL DY DYN EAG EAT EBTI ECHO EDEL ELNT ELOQ EMC ECMV ENTG ESST EPRE EPRS ESFT ESHR ESPD ESV EVRT EWBC EXCO EYE FCB FCCY.OB FCFN FCTR FDC FDRY FFHH FFWC FINL FLAG FMBI FNBN FO FOE FPFC FSFF FUR FWBN FYII GABC GBCB GBL GE GEMP GEMS GISX GPT GRKA GS GTNR GUMM HAFC HCC HDWR HHS HI HIHO HME HON HOOV HOT HRB HSII HUBb HUG HWP IBCP IBM IDCO IDTI IHCO IIBK.OB ILUM IMCO IMPV.OB INGE.OB INNO INOD INRG INS INSUA INSW INTL ISLE ITLA ITN IVD IVX JCOM JHF KEI KMI KO KRI KYF LDSH LFIN LIBB LIZ LNCB LSCC KR MAFB MPH MAY MAXF MBG MDCC MDCI MDT MET MFSF MGG MGAM MHCO MHR MLHR MOBI MOCO MPH MRF MRCY MW MYST NBR NC NETM NEOM NEP NEV NFX NGPS NICK NIKU NOIZ NOK NOVB NSM NTAI NTBK NEU NOVB NVR NZRO OAKT OBAS OHP OKSB ONES OO OPTI ORG OSIS PAB PBI PBKS PCCC PFE PHON PKY PLMD PLT PLXT PMFN.OB PMIC PNC PORT PROV PRTS PRTW PRZ PSFI PULB PVSA PVSW PVTB PWEI PWR PZB PZZI Q QMDC QUIP RATL RDA REBC REFR REMC RENT REY RIMG RMKR SABB SASR SBAN SBRG SCZ SFA SFN SFSW SGR SHBK SHFL SHW SIVB SKFB SKS SLNK SMRT SNCI SNPS SNS SPA SPEC SPF SQST SSFT SSNC STI STRT STS STST STT SUBI SUN SUNW SUPG SWIM SXT SZ TCBK TCOW.OB TER TFS THC THIN THOR THTL TLB TMO TNC TOF TORC TOTL TRAC TRFX TROY TRYF TSCM TSH TWAV TWE TWN TXBI TXN TXT UDS UEIC UNT UPS USBI UWIN.OB VAR VBNJ VLY VNWI VSEA XLNX VIA VICR VRTY VVTV VYYO WBST WEBK WFC WLKS WLL WMSI WMT WSBA WSBI WSFS WSTL WTT YHOO

ABRI through LSCC

MAY through YHOO

The Aerospace and Defense Major Dividend Stock List

BA GD GR LMT NOC

BA through NOC

The Aerospace and Defense Stock List

AASI.OB AASIU.OB ADIN.OB AERS AH AIM AIR AJX ALR ANEN APSG ARXX ASE ASY ATK ATPX AUTM.OB AVGE AVL AVS AXYS BA BAB BEAV BRSI.OB BVRS CDCY CDD CLTK COL CVU CW DCO DTSI DRS EASI ECC EDAC.OB EDO ERJ ESE ESL ESLT FA FAVS FLIR GD GNBA.OB GR GY HEI HPAC HRLY HSR HWK INVN IRSN ISSC ISYS KAMNA KELL KRSL KVHI LDSH LEIX LLL LMIA LMT MAX MOGA MOGB MXWL NNS NOC ORB ORBT PAGI PCP PCTH.OB PRTS RADIF ROK RTN SIF SMU SPAB SPDV.OB SQAA SQAB STST TATTF TDY TGI TTN UIC UTX VENT VII VSEC WGOV YLF

AASI through YLF

That's about it for this week. Please stay off margin and invest responsibly by keeping stops in place. You might want to stay abreast of this week's Calendar of Events:

Earnings Calendar l Economic Calendar I Splits Calendar l Conference Call Calendar l IPO Calendar

To subscribe or unsubscribe to this e-mail newsletter please contact us here with a written request.


September 9, 2001: Dividend Stocks, Gene Based Medical Labs and Stem Cell Stock Update

We've got an intriguing group of stocks on our new lists this weekend. Are you thinking about retirement in a few years? If so you might want to build a portfolio of stocks that will pay actual dividends. Check out the stocks on our new Dividend Stock List.

Want to invest in the medical or Biotechnology industry but you're concerned about not being able to find any profitable companies. How about investing in Gene Based Medical Labs; An industry full of profitable companies.

Want to know more about Stem Cell Stocks and those companies that might actually blaze a trail towards curing most of the diseases and conditions known to man? Check out our expanded Stem Cell Stock List.

Market Commentary: Unemployment Rises - Markets Continue to Fall

Another ugly week on Wall Street did a great deal of damage to the major indices leaving the S& P 500 at levels not seen since 1998. Both the Dow and the NASDAQ are within easy striking distance of the lows they set last April. What a week and it wasn't even a full week but rather only 4 holiday shortened sessions!

How bad was it?

Bad enough that we at the Bull Sector are concerned that we might not only test the lows seen on the NASDAQ and Dow in April but set new lows before rebounding.

So where did the markets end up on Friday?

The S&P 500 closed down 20.2 at 1085. The Dow closed down 234.99 at 9605 while the NASDAQ was off 17.94 to close at 1687. The S&P 500 is already at 3 year lows while the Dow is approximately 500 points above its April low of 9106.54 and the NASDAQ is just a little more than 68 points above its April low of 1619.58.

Friday's catalyst for continued selling was a higher than expected numbers in the unemployment report prompting reductions in economic growth prospects. This unemployment report is being blamed for further damaging of hopes for a second half of 2001 recovery for the economy while raising the chance that we will see additional Federal Reserve rate cuts. In truth the higher than expected number of workers joining unemployment lines raises the possibility that the consumer will lose confidence and finally send our economy into an actual recession. However we are reading enough data to make us wonder if maybe too attention is being paid to unemployment numbers which are definitely a lagging indicator.

Two groups hit hard by Friday's unemployment report were stocks related to the Home Construction Industry and the Retail Industry. Both of these industries depend heavily on continued consumer spending. Higher numbers of unemployed workers and those afraid they may join unemployment lines lead to less consumer spending. If the consumer does not continue to spend we will find ourselves in a recession.

Although we believe it would be almost impossible for the market to shake off this continued weakness without testing new lows there is hope for a recovery coming sooner than many expect. What we are continuing to watch most carefully is the Semiconductor Industry. There are increasingly more and more signs that a bottom for orders has already been reached for most companies in this industry. This alone is not enough to turn around the industry. That will not happen until overall demand rises significantly enough to lower pricing pressures and allow companies in the industry the opportunity to raise prices. Then and only then will companies beat analysts expectations for earnings. In past cycle lows Semiconductor Equipment Companies have sold as low as 2 1/2 times book value on average. Currently most companies in this industry are selling for as much as twice that amount. The reason these stocks have fared better than most of those in other industries is simply that many investors hope for a rapid recovery in orders. If that does not happen then the Semiconductor Index will most certainly test its own April lows of 450.

$SOX Chart from StockCharts.com

That is not a forgone conclusion. On Friday Prudential made positive comments on the semiconductor industry after August sales from Taiwan based wafer foundries and packaging & test equipment was released. Their take is that although we are at risk of a recession investors with a 12 month horizon should be amply rewarded for investment in this area.

Lets move on to a broader overview of the market and how it performed on the last day of last week. Here you will find the strongest sectors from last Friday with the best performers marked in bold here: Broadband - Fiber Optics, Cad/Cam, Gold, Natural Gas, Semiconductors, Utilities, Wireless

Check the Bull Sector Indexes List for Updates

So what has been hot lately?

Hottest Sectors Last Week: These are the hottest sectors from the last week with a One Day Delay from CBS MarketWatch and BigCharts. Take a minute and look through the sectors covered by CBS MarketWatch and BigCharts throughout the various time periods. You might also want to check Barcharts.com for their listing of Industry Strength. The time spend there will help familiarize you with where we are now in the market. We are adding lists almost daily to reflect these industries at the Bull Sector. Now on to our new Bull Sector Lists!

New Lists:

The Dividend Stock List

On this list you will find some of the besr known publicly trading companies that pay actual dividends listed on any of the exchanges. We've pulled stocks from a wide variety of industries including Utilities, Oil and Gas Stocks, Banking, Aerospace and Defense, Brokerages, Food & Beverage Stocks, Major Drug Stocks, among others including even Technology Stocks!

Yes that's right technology stocks.

It is important to remember that any company at any time can decide to discontinue entirely their dividend payments to stock holders. That being said if you are looking to put together a retirement portfolio of stocks that will require a minimum of your time in actively managing your portfolio then you will find some excellent candidates for that portfolio on this list. It is important to attempt to buy these stocks (like any other) when they are somewhat out of favor. If you do that then dividend returns are more likely to be a higher percentage of the stock value. Even more important to you will be that if your stock selection and timing is good enough you can expect both stock price appreciation and excellent dividend returns! Here are the stocks we have put on our list. Of course there are many others that might be worthy of your consideration!

ABT AEE ADM AEP AHP AVE AYE BA BAC BLS BMY C CAG CAT CHV CI CPB DCN DCX D DD DQE DT DUK ED ENE FPL GD GE GIS GM GPU GR GS GSK GT F HSY HWP INTC JNJ JPM K KLT KO LEH LLY LM MER MHP MO MRK MRO MWD NCC NFB NOC NOK OGE PFE PHA PNC RD REI RJF RKY SFA SGP SO STI TRW TX TXN UB UCL UL WB WFC WMB WR WWY XEL XOM

ABT through XOM

Updated Stem Cell Stock List

Stem cell research holds enormous potential for fighting and perhaps even curing many of the most common and debilitating diseases known to mankind. Diseases and conditions including heart disease, stroke, arthritis, diabetes, spinal cord injuries, Parkinson's disease, cancer through bone marrow transplants, additional cancer treatments, viral infection treatments and even slowing the body's aging process. As of the time of this writing ASTM, GERN, KOOL, NEXL and STEM may be the most focused on Stem Cell development of the stocks on this list. GERN appears to have the best patent position.

The list has been expanded to include a number of companies that are using Stem Cell technology in various types of cell therapies and tissue engineering. We believe that profitability is likely years away for most of the companies on this list. However Stem Cells can potentially be directed to grow into any kind of cell or tissue type. Progress and enormous potential will keep these investors focused on these volatile stocks. Even President Bush's recent decision, which many believe did not go far enough, will not fully stem the tide of progress for most of the companies on this list. You may be interested in our broader Biotech List.

ALXN ARIA ASTM ATIS AVN CBO.V CCEL CRIS DCRN DNDN GERN GZBX IART IMNR INCR KOOL LIFC NEOT NEXL ORG ORTC OSTE STEM XZL

ALXN through XZL

Gene-Based Medical Labs

The Medical Labs Stock List

The companies on this list are some of the better known publicly traded Medical laboratories that use Gene-Based Testing. It's one of the few lists here at the Bull Sector where every company is actually profitable! You might be interested in our broader Biotech List or some of its offshoots; Whether it's the Human Genome Project, the Cancer Drug List, Proteomics, Gene Therapy, Humanized Monoclonal Antibodies, Stem Cells, Biochip Technology, Organ Transplant, or Blood Substitutes, or Drug Discovery the future is bright for many companies in this sector.

DGX DIAN IMPH LH SP ULAB

DGX through ULAB

Final Commentary:

Although we expect continued weakness in the market short-term we are not going to place too much importance on high current unemployment numbers. We believe that we are about to see one of the best buying opportunities for investors in recent memory. Intel, Microsoft, Cisco Systems and many other companies are now on record stating that many of their end markets are stabilizing. In our view we are just a few short months from seeing enough empirical data supporting that a recovery already underway that we are not willing to miss the opportunities in front of us.

Yes we expect additional earnings warnings in the weeks to come. Yes we expect the third quarter numbers for technology companies to be utterly dismal. Ultimately however we expect fourth quarter numbers to begin to show incremental improvements with company guidance being raised for future quarters. Expectations for better days ahead may finally ignite this market into a new Bull phase within that time frame.

That's about it for this week. Please stay off margin and invest responsibly by keeping stops in place. You might want to stay abreast of this week's Calendar of Events:

Earnings Calendar l Economic Calendar I Splits Calendar l Conference Call Calendar l IPO Calendar

To subscribe or unsubscribe to this e-mail newsletter please contact us here with a written request.


September 2, 2001: RF Semiconductors, DSL Chips, Retail (technology), Textiles - Non Apparel.

Market Commentary:

Gloom, Despair and Agony on Me...

Avoid Technology! Stay in Cash! Short Tech Stocks Now!

This is the overwhelming sentiment in the market now. What an incredible turn around we have seen in the press over the last year and a half where it concerns the stock market. Today there is so much negativity where it concerns technology investing. The amount of negative press being generated is absolutely astounding. Sadly for the most part it seems well deserved. Earnings estimates remain high for the majority of companies within the technology sector especially for the upcoming 3rd quarter. P/E ratios are considerably higher than they have been at the low points in previous cycles. We are only two weeks away from being hit hard by what is expected to be an deluge of negative company pre-announcements. One company after another is expected to reveal that they will not meet expectations. How can the market hold up with the world economy in such a downward spiral?

Things are so bad that it's hard to find a Bull anywhere. The good folks at Technology Investor Magazine have grown so negative on technology stocks that they have been recommending shorting some of the biggest names in technology (including MSFT) while recommending buying stocks outside of the technology sector entirely for long positions.

How negative are they?

So negative that they recommend avoiding technology stocks for as long as the next year or two. How ironic is it that Technology Investor, the people who gave us the principals of momentum investing in technology stocks, are now shorting large cap technology stocks?

Could they be right?

Sure but when the majority of the people out there begin to believe so strongly that we are doomed they are usually wrong. A couple of the better articles explaining the negative point of view are Smart Money's Ain't No Cure for the Summertime Blues and the Wall Street Journal Online's Brace for Bumps As Market Slides Into September.

Last week's rally off a short term bottom for the Semiconductor Index ( CHART) petered out at 613 on Monday August 27 (Historical Prices). The index then trended lower all of last week with the exception of a slightly higher close on Friday. As you may know the Semiconductors are one group which we have been trading individual stocks with great success lately. There are many other groups represented at the Bull Sector which are worthy of further research but we continue to like the semiconductor group as a favorite and will attempt to add new positions if the index falls once again below 540 (Closed Friday at 562.72). There is some evidence that the semiconductor industry has hit bottom but Chip Analysts Are Dubious of Trade View.

One positive is that the ARMS Index is giving off a buy signal suggesting that this Bear Market May Be Investor Opportunity but there still are no real signs of capitulation in the market. This is something which has been exceedingly accurate about predicting an upcoming Bull Market. As you know we have been exceedingly positive about the potential for new products like Microsoft's Xbox and Windows XP to revive the technology sector. We are anxiously awaiting the opportunity to add positions in the semiconductor industry if the SOX falls below 540 again and begins another rally. While we do believe 3rd quarter estimates are too high for many technology stocks we think semiconductor stocks in general will begin to announce signs of improvement moving into the 4th quarter.

What other groups do we like?

We have not done much trading here lately but we believe the Biotech Stocks are worth investigating as they have been holding up very well. We believe the Biotech Index (Chart) may continue to pull back a bit to around 486 again (Last there August 21) before we would be buyers in the sector again so it's probably better to be watching the semiconductor stocks for a potential entry in some of the more high profile stocks in the sector soon.

We also like a number of the companies within the Video Gaming Industry and expect the group to garner quite a bit of excitement as new game systems are released later this year.

Despite all the negativity pervading the market these days there are reasons to believe that Stocks will be seen rising this week. We would of course like to see just a bit more selling on that Semiconductor Index before we would expect any rebound but if Friday's session is any indication there is still some buying interest in this market.

So what has been hot?

You will find the strongest sectors from last Friday with the best performers marked in bold here: Airlines, Autos, B2B, Banks, Broadband - Fiber Optics, Brokerages, Chemicals, Computers, Disk Drive, Footwear, Forest & Paper, Hardware, Internet, Iron & Steel, Natural Gas, Oil, Oil Service, Railroads, Regional Banks, Retailing, Semiconductors, Software, Telecom, Utilities

Hottest Sectors Last Week: These are the hottest sectors from the last week with a One Day Delay from CBS MarketWatch and BigCharts. Take a minute and look through the sectors covered by CBS MarketWatch and BigCharts throughout the various time periods. You might also want to check Barcharts.com for their listing of Industry Strength. The time spend there will help familiarize you with where we are now in the market. We are adding lists almost daily to reflect these industries at the Bull Sector. Now on to our new Bull Sector Lists!

New Lists:

The DSL Chip Set Makers Stock List

These companies manufacture DSL Chip Sets. You may be interested our larger our DSL Equipment Stock List or our larger Semiconductor List.

CNXT CTLM GSPN VRTA

CNXT through VRTA

The Radio Frequency (RF) Semiconductor Stock List

These companies manufacture Radio Frequency, Microwave Frequency and other types of Wireless Semiconductors. You may be interested our larger Semiconductor List or our Wireless Stock List.

AHAA ANAD RFMD TQNT

AHAA through TQNT

The Retail Technology Stock List

On this list you will find all of the best known Retail companies that specialize in the sale of various technology products. You might also be interested in our Retailer Stock List, or our Apparel Retailer List, or our Specialty Retailer List, our Electronics Retailer List, or our Sporting Good Stores List and our Toy & Hobby Store List.

BBY CC COOL ELBO GGUY GOSN.OB HRVE ITN RSC RSH TWTR ULTE

BBY through ULTE

The Textiles - Non Apparel Stock List

Part of the Consumer Cyclical Sector these companies manufacture Textiles used for applications outside of the Apparel Industry. You might also be interested in our Textiles & Apparel List or our Apparel Retailer List.

BMLS.OB BOTX CFI CRWSE.OB DXYN GRDN IFSIA INNO LDL LEA MHK PGI UFI

AH through WTXI.OB

That's about it for this week. Please stay off margin and invest responsibly by keeping stops in place. You might want to stay abreast of this week's Calendar of Events:

Earnings Calendar l Economic Calendar I Splits Calendar l Conference Call Calendar l IPO Calendar

To subscribe or unsubscribe to this e-mail newsletter please contact us here with a written request.


August 26, 2001: Semi Upside Surprise?

If you have been reading our daily updates at the site then you know we predicted the current rally would start once the semiconductor index sold off below 540. To be fair semiconductors have not been the only hot group of technology stocks lately. Biotechs and Networking stocks have put in quite a performance the last few days as well. More on this later as we have a few other things we need to say before we get to our market commentary and our new lists for this week.

First off we would like to apologize for our inability to get our newsletter out the last couple of weeks. Like all other Internet concerns the Bull Sector has gone through its share of growing pains. Recently we lost our advertising banner adds. Adds which we hoped would help us pay for use of our server space. We never were paid a penny by the company whose banners were shown at the Bull Sector because they went out of business. Even more of a problem was the fact that Microsoft decided that they needed to charge for their Listbot service. It is for that reason that your e-mail today is being sent in a slightly different format. The Bull Sector is not interested in ever becoming anything more than a free repository of stock market information. That being said our big pay off comes from knowing that you think enough of our efforts to use the site and share it with others. So please share the Bull Sector with other interested investors. Nothing makes us feel better about our efforts than knowing you have been at the site using our lists to improve your investment returns.

Market Commentary:

As we noted in our last Weekly Update we did not expect a rebound in the NASDAQ until the Semiconductor Index sold off enough to fall below 540. Sure enough we got that fall and the responding move higher after testing the lower Bollinger Band was quite rewarding to us. We hope it has been to you as well. Take a look at the chart below on the Semiconductor Index and also keep in mind the principals of basic technical analysis which seem to be working so well with this index.

$SOX Chart from StockCharts.com

The stocks in the Semiconductor Industry finished up the week very strongly with an average gain of over 10% in just the last three trading sessions alone. The group rose on a combination of news of improving bookings and news from Cisco System's CEO John Chambers that he sees signs of stabilization in that company's markets. The initial reason for a rally was that the North American Semiconductor Equipment Industry Posted a July 2001 Book-to-Bill Ratio of 0.67. This number was roughly what was expected but within those numbers was cause for optimism. Bookings are rising:

The Entire Book-to-Bill Article

Neither the news from Cisco nor the booking numbers from North American Semiconductor Equipment Industry show an economy returning to past days of glory but they do seem to indicate that a bottom is in. This was more than enough reason to lift the market from its oversold condition at a time when the semiconductor index had reached an oversold condition itself. Things are not great in our economy but even growing unemployment numbers, a lagging indicator, have got to be kept in perspective. This economic cycle is has not been nearly as painful as many past cycles outside of the damage done to many a stock market portfolio.

We are still in a trading range. For us it has been a very profitable trading range. We have been watching the semiconductor index carefully for our entry and exit points and thereby trading the range. We have also used the momentum within the Stem Cells Stocks to our advantage. We hope to do so again if prices on high profile stocks fall to good entry levels. In addition we also continue to follow the stocks in the Video Games Industry as we are convinced that Microsoft's Xbox will create a buying frenzy in the stocks found on our Xbox List later this year. There are so many excellent ways to play what we expect will be a nicely recovering economy in 2002.

Recent entry points for us on semiconductor stocks include Jabil Circuit (NYSE:JBL) which we bought at 22.30 and RF Micro Devices (NasdaqNM:RFMD) which we bought at 23.71. Despite a recent downgrade of JBL we believe the stock could run as high as 35 again on this current upswing. On RFMD we thing that the stock could easily hit a price target of 30. Please keep in mind that we do not recommend chasing any stock higher. We believe the current ceiling on the Semiconductor Index is no higher than 650 without a great deal more evidence that the industry has hit a new growth phase. In fact many people much more familiar with this industry than we are believe the stock within it our richly valued on current earnings estimates. Please keep tight stops in place if you intend to protect your profits especially if the semiconductor index does hit 650 again sometime soon as we expect it will.

That being said we would not be surprised to see some profit taking after Friday's explosive session.

One stock seeing some recent profit taking is Acclaim Entertainment (NasdaqSC:AKLM) in the Video Gaming Industry. The stock has fallen near 4, a buy point, which we have previously mentioned. We are going to be watching this stock very closely on Monday for the possibility of an excellent entry point. Our short term target exit point would be back above 5, possibly as high as 5 1/2, although we would not be surprised to see AKLM trade as high as 10 later this winter. Anyway there are excellent trading opportunities within our current market's trading range. Over the last few days semiconductors stocks have not been the only group to turn red hot. Read on below to find out more about what was hot last Friday and in the week past.

So what has been hot?

You will find the strongest sectors from last Friday with the best performers marked in bold here: Airlines, Aluminum, B2B, Biotech, Broadband - Fiber Optics, Brokerages, Chemicals, Communications Technology, Computers, Disk Drive, Drugs, Footwear, Forest & Paper, Genomics, Hardware, Heavy Construction, Internet, Iron & Steel, Medical Products, Metal Mining, Networking, Oil, Pharmaceuticals, Railroads, Retailing, Semiconductors, Speech Recognition, Storage, Telecom, Utilities, Wireless

Hottest Sectors Last Week: These are the hottest sectors from the last week with a One Day Delay from CBS MarketWatch and BigCharts. Take a minute and look through the sectors covered by CBS MarketWatch and BigCharts throughout the various time periods. You might also want to check Barcharts.com for their listing of Industry Strength. The time spend there will help familiarize you with where we are now in the market. We are adding lists almost daily to reflect these industries at the Bull Sector. Now on to our new Bull Sector Lists!

New Lists:

The Printed Circuit Boards Stock List

These companies are involved in the manufacture and design of Printed Circuit Boards. You might also be interested in our broader Semiconductor Stock List. In a continued effort to reflect subgroups requested by our readers please explore the stocks found on the Electronic Design Automation (EDA) List the Yield Optimization Chip Software List, the PLD List, the Electronic Manufacturing Services companies on the EMS List, the Semiconductor Capital Equipment List, the Semi Equipment Materials List, the Integrated Circuits List, the Memory Chips List, the Communication Chips List, or the DUV Laser List, the Flash Memory List the Chip Foundry List the Power Management List and the Leading Fabless Semiconductor List.

ACTM BHE EFTC ELAM ELTK FLEX JBL MERX MWAV PKE PLXS PMTI PRLX PTIX RAVN SANM SLR SMTI SMTX TTMI VG

ACTM through VG

The Catalog & Mail Order Stock List

Part of the Services Sector these companies are among the most well known publicly traded companies that book a majority of their sales through the use Catalogues and Mail Order Sales. You might be interested in our broader Retailing Stock List.

ABIL.OB ALOY BL BOO CDIR CDWC CTAC CTLG CWTR DFXI DLIA EFTD ENC EONE.OB ESTM.OB FASH FRGN.OB GENI HITS HNV IGOC IMMM.OB IPT JILL KDST.OB LE LVC MAAX.OB MBAY MALL NSIT OSIN.OB PCCC PRVL RIMC.OB ROBE.OB SATH SCES SGDE SHCC.OB SPGLA SSPY.OB STMP SYX VSTY.OB VVTV ZONS

ABIL through ZONS

The Communications Services Stock List

These companies provide data and voice communications systems, services, and solutions primarily to businesses. You may also want to look at our closely related Telephone Services List. We also have additional stock lists of Telecom and Telecom Equipment Stocks as well as the closely related Fixed Line Communiciations Stock List or our Communication Equipment List, our Communication Technology List, or our Overseas Telecom List.

ABIZ ACCR.OB ACMN.OB ACTT ADGI.OB ADLAC AI ALGX ALSK AMCI.OB AMT AMX ANK APCS ARCC ARCH.OB ARTM.OB ASAT.OB AT ATEL.OB ATRK ATTC ATTL ATTP.OB AQIS.OB AV AWE AWSS.OB AX BCE BCGI BCICF BESC.OB BLS BRP BRW BTRK.OB BTY CAPS.OB CCGL.OB CCI CCMS.OB CENI CERT CLEC CGNT.OB CGYC.OB CHL CHU CINJ.OB CLEC CLPT CLRI CLTL CMCSA CNEBF.OB COLT COMM CONE CPTL CTCH CTCI CTCO CTEL CTL COVD.OB COX CTC CVST CWCI CWON CWP CYCL CYTP.OB CZN DAVL.OB DBSS.OB DCDC.OB DCEL DDDC DDEV.OB DECC DGTT.OB DGIT DIDA.OB DLNK.OB DSLN DT DTIX.OB DTVN.OB EAG ECTX EIR ELBT ELEC ELIX EMT ENCW.OB ENGSY ENT EPEA.OB EPHO.OB EQIX ESNI EXDS FCOM FTG FTGX FUTO.OB FON FTE FTHL GBT GENU GLDN GOAM GRIC GSMI.OB GTCC.OB GTTLB GWRX HANA HCT HTC HTCO HYPT IAWK IBAS IDT IGJA.OB IIT ILNKC ILUM IMPT IN INVT.OB ISLD ITCD ITRA ITXC JCOM KOREA KPN KQIP KTC LATD LCCI LCST.OB LDIG LMT LTBG LTWV.OB LVLT LWIN LXNT MBT MCIT MDLK MFNX MICC MICT MNTE MOOR.OB MPWR MTA MTNT MTON MURC.OB MVLA MYNT.OB NASC.OB NICO.OB NOPT NPLS NPSI NSK NTIA NTL NTLO NTOP NTT NWLL NXTL NXTP NXUS NZRO NZT OECI.OB OMNY ONSP OTWO PCS PCSA PHI PHON PHTE.OB PHXU.OB PR PRTL PSNRE PT PTEK PTNR Q QRUS.OB QSCG RCCC RCN RCNC RG RIMM RNDC SAT SBAC SBC SCM SDAY SHET SITE SKM SNRA SRFX.OB SPDE SOFN SONW SPOT SRGO.OB STCL.OB STGC.OB STHLY SURW.OB T TALK TAR TBE TBH TCMM.OB TCMV.OB TCN TCP TDP TDR TDS TEF TELI.OB TEM TEO TGCC.OB TI TIWI TKA TKC TL TLCP TLD TLK TLL TLS TLXX.OB TLTOB TMB TMWD TMX TMXU.OB TND TNE TNTX TPC TRO TSFT TSP TSU TU TVCP.OB TWTC TWW TXCS.OB UAXS UDIG.OB ULCM UNWR UPCS USM USNC.OB USOL UTGC.OB UTSI USWCE VDCI.OB VICM VIP VMII.OB VNCI VOD VPNC.OB VVVV VNT VRDO VRSA VSL VZ WCG WCOM WLFP.OB WLGS.OB WLNKA.OB WONE WQNI WWCA WWCO.OB WWVY WWWN.OB XING XLA XWC XOXO ZTEL

ADLAC through LXNT

MBT through ZTEL

The Printing & Publishing Stock List

Part of the Services Sector these companies are the most well known publicly traded Printing & Publishing Companies. You might be interested in our Publishing Stock List or our Printing Services Stock List.

AM ATTY BCC BN BTC CRRC CSS DAGM DJ DJCO DNY EDUC ENL EZR GCI HBDBE.OB HHS HPP HLR HMIN IHI IIGP.OB IVBK.OB JRC JWa KRI MAHI MDP MEGa MESH.OB MHP MILB MNI MSO MTROA NETD.OB NMNW.OB NWS NYT PLA PME PMGIF.OB PRM PRVT PSO PTZ RDA RUK SCHL SKBY.OB SSP TEEE.OB TNM TOMM.OB TRB TRDR TUTR UNEWY WPO

AM through WPO

The Printing Services Stock List

Part of the Services Sector these companies are the most well known publicly traded Printing Services Companies. You might be interested in our Printing & Publishing Stock List or our Publishing Stock List.

BNE CDMS CGX CHMP IDH IPRT IQW LABL OUTL SGK WORK

BNE through WORK

That's about it for this week. Please stay off margin and invest responsibly by keeping stops in place. You might want to stay abreast of this week's Calendar of Events:

Earnings Calendar l Economic Calendar I Splits Calendar l Conference Call Calendar l IPO Calendar

To subscribe or unsubscribe to this e-mail newsletter please contact us here with a written request.


August 21, 2001: Semiconductors to the Rescue?

From our Daily Update:

Despite the FED's additional 1/4 rate cut today the market traded south. The Semiconductor Index lost nearly 5% and remained just above the lower Bollinger Band.

Will we get a bounce soon?

$SOX Chart from StockCharts.com

Today's close on the index left the SOX just barely above that lower band. This could indicate that a rally is about to start again for the semiconductor index . What could start this rally besides the oversold condition of the stocks on the index you ask?

Well since you asked....

After the close the North American Semiconductor Equipment Industry Posted a July 2001 Book-to-Bill Ratio of 0.67. This number was roughly what was expected but within those numbers was cause for optimism. Bookings are rising:

The Entire Book-to-Bill Article

In other words orders are increasing. Yes they are well below anything approaching something to get excited about but they do seem to indicate that the worst is behind us. Is a bottom in for the SOX simply because orders are increasing. No not necessarily because pricing pressure still exists which will make it difficult for semiconductor companies to show profits. That being said the mere fact that orders are increasing indicates that as long as a capacity continues to fall supply will soon enough be overwhelmed by demand.

August 12, 2001: Blood Substitutes, Electronic Retailers and More:

Market Commentary:

The market continues bumping against the lower end of the range but it is not falling precipitously. This is something we find very promising for future trading gains. We have been mostly in cash since the end of the week before last but we are looking forward to getting back into several positions when market conditions look like they have bottomed. We did take a short term position in in Stemcells Inc traded on the NASDAQ at 4.38 early last week which we sold at 5.83 before the Bush announcement. A 30% gain in a matter of days is simply too much of a gain to risk losing in this market. So we were out well below the closing high on Thursday for STEM but also well in advance of the profit taking in Stem Cell Stocks on Friday. If you have been following our Daily Updates at the site then you know we are not at this time willing to take long term positions in the market. Although we feel strongly that interest rate cuts, tax refunds and new innovative products from companies like Microsoft ( Windows XP and the Xbox ) will ultimately lead this market higher there is simply too much money to be made by trading the range in the meantime.

As you probably know the Federal Reserve will most likely announce another 1/4 point rate cut on August 21st. Many experts are predicting that this is now something of a non event and perhaps they are right. Fortunately the cumulative effect of seven rate cuts should eventually help improve the tone of the stock market once orders in the manufacturing sector begin to burn through existing inventories. This is among the factors that has kept the stock market from falling any harder than it already has this year. Unfortunately economists are now predicting that the recovery in our economy may not begin until until 2002. Rate cuts may actually extend into 2002 as well. The end result is a cloudy view of the future that may leave us trading this range a good while longer than anyone might have thought possible. Especially back when the Federal Reserve began aggressively lowering interest rates in January of this year. It is entirely possible that the market could revisit the April lows. Doubtful but possible.

Indeed the NASDAQ has had six losing sessions in a row. Our favorite trading sector, the Semiconductor Sector, has actually seen a rise in the SOX the last two sessions. This has happened despite the continued losses on the NASDAQ as seen on this Chart from Savvy Charts. What we would like to see is a continued sell off on the SOX where we could initiate some new trading positions. A fall back below 540 which could set the stage for a strong rebound rally. If this happens then the NASDAQ too will be taken lower. Stocks we are watching for potential accumulation would be Jabil Circuit (NYSE:JBL) which we now would like under 25. The stock could potentially fall below 23 again but we doubt very seriously that the stock will trade as low as 18 again. JBL is a stock we have watched for an extended period of time. It seems like on every dip the stock then hits an up trend. We intend to buy on weakness if possible because 35 looks like a slam dunk from today's chart.

Speaking of raising cash we also exited our position in The 3DO Company (NasdaqNM:THDO) when it topped out early in the week. We would like to reenter THDO at or near 3. Also in the Video Gaming Industry we like Acclaim Entertainment (NasdaqSC:AKLM) which we now think we would be a great buy near 4 (rather than 3) where we thought it might be possible previously to accumulate a position. In order to initiate these positions at these prices we will need to see more selling selling on the NASDAQ which is struggling mightily to remain in its current trading range.

The Semiconductor Index might come under further pressure on Tuesday depending on what Applied Materials (NasdaqNM:AMAT) has to say about upcoming visibility when they report their earnings. The market is actually showing some very constructive behavior towards establishing future gains. The number of sectors that have shown strength despite the weakness in the NASDAQ can be seen in the breath of strong sectors just on Friday of last week alone.

So what has been hot?

You will find the strongest sectors from last Friday with the best performers marked in bold here: Airlines, Banks, Biotech, Brokerages, Chemicals, Drugs, Footwear, Forest & Paper, Hardware, Healthcare Providers, Hospitals, Insurance, Iron & Steel, Medical Products, Oil, Oil Service, Natural Gas, Pharmaceuticals, Railroads, Real Estate - REITs, Semiconductors, Telecom, Tobacco, Utilities. Check the Bull Sector Indexes List for Updates.

Hottest Sectors Last Week: These are the hottest sectors from the last week with a One Day Delay from CBS MarketWatch and BigCharts. Take a minute and look through the sectors covered by CBS MarketWatch and BigCharts throughout the various time periods. You might also want to check Barcharts.com for their listing of Industry Strength. The time spend there will help familiarize you with where we are now in the market. We are adding lists almost daily to reflect these industries at the Bull Sector. Now on to our new Bull Sector Lists!

New Lists:

The Blood Substitute Stock List

These companies are among the most well known publicly traded companies working on Blood Substitutes. According to Frost & Sullivan blood donations are not rising nearly high enough to keep up with demand. This in combination with the overwhelming need for a safe and plentiful supply of blood makes the companies on the Blood Substitute List worth looking into by those looking to diversify their portfolio. You might also be interested in our broader Biotech List.

ALLP BPUR HMSL NFLD SGNC.OB SNUS SYBD.OB

ALLP through SYBD.OB

The Audio/Video Equipment Stock List

These companies are among the most well known publicly traded companies manufacturing Audio/Video Equipment. You might also be interested in our Audio/Video List where you will find companies that deliver Audio/Video Solutions to the Internet and other forms of media.

APGT.OB BOGN BOSA CRTN.OB CURT.OB EUPH GMST GTN HAR KOSS MC MKIE MKLD.OB MSN NIPNY PGLD PIO PRKR ROFO SANYY SEVU.OB SNE SSCP.OB TMS TTMC.OB UEIC USEC.OB UVEW

APGT.OB through UVEW

The Electronics Retailer Stock List

These companies are among the most well known publicly traded Electronics Retailers. You might be interested in our broader Specialty Retailer List or our Retail Stock List.

BBY CC RSH ULTE

BBY through ULTE

The Home Improvement Retailer Stock List

These companies are among the most well known publicly traded Home Improvement Retailers. You might be interested in our broader Specialty Retailer List or our Retail Stock List.

ASV BMHC CCOM CLWY DIYH.OB GRIF HBI HD LOW NHCI PCSH.OB TSCO VALH.OB WIKS WLHN

ASV through WLHN

The Conglomerate Stock List

These companies are among the most well known publicly traded diversified Conglomerates. They are widely varied businesses whose operations include manufacturing, services and industrial applications of all kinds.

ALE BG COV CP DOV EDII.OB EMR FSS GE GY HON HWG ITT JCI JOE MMM MXM NSI OLN PDLPY PHG PNR RTN SI SQAa SXI TIN TKS TRW TXT TYC USI UTX V VHI WSC

ALE through WSC

That's about it for this week. Please stay off margin and invest responsibly by keeping stops in place. You might want to stay abreast of this week's Calendar of Events:

Earnings Calendar l Economic Calendar I Splits Calendar l Conference Call Calendar l IPO Calendar


August 5, 2001: More of the same:

We have several new lists this week including a couple of semiconductor related lists and one offshoot of alternative energy but first we would like to share a few comments about the market which we think might be useful.

Market Commentary:

Despite recent upgrades by Merrill Lynch for many semiconductor companies the Semiconductor Index looks like it has topped out again short-term to us. Likewise the NASDAQ hit the upper Bollinger Band on Thursday and started back lower by Friday. It was nice to see more upgrades within the semiconductor industry but we do not see fundamentals in place to support a sustained rise in stock prices just yet.

We do like many of the stocks in the semiconductor industry as buys on dips because most of the companies within the industry have been highly profitable in past cycles and should be again when we see a recovery in the technology sector. We have no evidence of that recovery just yet so for now it looks like to us that we are destined to trade back down within the range that we have traded in for several months. We took profits in many stocks which we held positions on Wednesday and Thursday. Although companies within the semiconductor industry will ultimately trade much higher once we see actual signs of renewed pricing strength for chips we sold. In our opinion it was well worth the risk of losing out on greater gains to lock in 20 to 30% profits in stocks like Integrated Devices (NasdaqNM: IDTI) and Keithley Instruments (NYSE: KEI) now rather than hope the recent rally would have legs. If all goes as we expect the NASDAQ could easily trade down to the lower Bollinger band within a week and a half and offer us another great buying opportunity in these stocks or others in the Semiconductor Industry.

We are letting our position in The 3DO Company (NasdaqNM:THDO) run as we expect the market for electronic games to explode with the release of the Xbox (Xbox List). Many Video Game Stocks have seen excellent appreciation this year but we are hoping to see even more as this is one area which is likely to see momentum investing.

The Stem Cell Stocks fell back this week when the House of Representatives voted to ban human cloning. This was completely understandable. These stocks will be very volatile but we still believe this is a very exciting industry that will see many establishing both long and short positions. As such we are hoping to initiate a long position in Stemcells Inc (NasdaqNM:STEM) near 3 if the stock continues to fall.

Yes it was a good week for semiconductors but Friday was a day of profit taking. We expect more profit taking in technology and the sectors that benefited from rotation Friday are listed below:

So what has been hot?

The strongest sectors from last Friday with the best performers marked in bold here: Biotech, Disk Drive, Gold, Healthcare Providers, Real Estate - REITs, Storage

Hottest Sectors Last Week: These are the hottest sectors from the last week with a One Day Delay from CBS MarketWatch and BigCharts. Take a minute and look through the sectors covered by CBS MarketWatch and BigCharts throughout the various time periods. You might also want to check Barcharts.com for their listing of Industry Strength. The time spend there will help familiarize you with where we are now in the market. We are adding lists almost daily to reflect these industries at the Bull Sector. Now on to our new Bull Sector Lists!

New Lists:

The Yield Optimization Chip Software Stock List

These companies are involved in the manufacture and design of semiconductors via the use of yield optimization software designed increase chip production. You might be interested in our broader Semiconductor Stock List, the PLD List, the Electronic Manufacturing Services companies on the EMS List, the Semiconductor Capital Equipment List, the Semi Equipment Materials, the Integrated Circuits List, the Memory Chips List, the Communication Chips List, the DUV Laser List, the Flash Memory List the Chip Foundry List the Power Management List and the Leading Fabless Semiconductor List.

HPLA PDFS SPLX VRST

HPLA through VRST

The Chip (EDA) Electronics Design Automation Stock List

These companies are involved in the manufacture and design of semiconductors through (EDA) Electronic Design Automation used to design newer and better chips. You might be interested in our broader Semiconductor Stock List,

AVNT CDN MENT SNPS

AVNT through SNPS

The Synthetic Fuel Stock List

Synthetic Fuel Companies produce fossil fuel substitutes including gasified and liquefied coal, synthetic natural gas, oil shale, tar sands, and fermented biomass materials. Synfuels are helping to extend and improve existing fuel supplies while offering the promise of a cleaner environment using more efficient fuels. You might be interested in our broader Alternative Energy - Fuel Cell List.

HDWR HIPC MEOH RTK SU SYNM

HDWR through SYNM

That's about it for this week. Please stay off margin and invest responsibly by keeping stops in place. You might want to stay abreast of this week's Calendar of Events:

Earnings Calendar l Economic Calendar I Splits Calendar l Conference Call Calendar l IPO Calendar


July 29, 2001: Market Schizophrenia!!!

Market Commentary:

How well balanced are you? Are you managing things well? No not your own psyche but your own investment portfolio. Are you selling when you should be buying. Buying when you should be selling. Maybe you have what a lot of people have these days market schizophrenia. It's pretty tough to figure out these days where this market is heading. Perhaps you need to strike a balance and make a plan you can stick with. Maybe you just need to balance out your portfolio or find a way to be buying and trading throughout this trading range based on Basic Technical Analysis.

We have several new lists for you this week. Balance is important in all areas of life. A well balanced investment portfolio can be achieved by investing in stocks throughout a wide range of choices in the stockmarket but we need balance in all areas of our lives.

Is your diet well balanced?

No... perhaps you are not getting enough calcium in your diet? Well we've got our new Dairy Products Stock List.

Sick of the Stockmarket?

Maybe you just want to get away and enjoy the summer while traveling in in a vehicle manufactured by a company on our new Mobile Home and RVs List. Perhaps the market has you thinking I should concentrate on getting the most for my dollar in a home found on our Manufactured Housing List. Finally we have our new Healthcare Plans List because you never know when you might need some help with major medical expenses. We'll get to these lists in a bit but first a brief discussion on where we are at in the market.

Market Commentary:

Market Schizophrenia: Up and down, up and down, and up and down again, still stuck in a limited trading range. It seems like every time this market trades downward in deep despair over the current state of the economy and a potential consumer spending slowdown it finds a reason to bounce back. There are good reasons for the despair that is causing the selling. There are also good reasons for the bounces that come in a market that continues to be at risk of selling off further while we wait for signs that the technological recession is over.

When will this trading range improve? Perhaps we can expect a sustainable rally by late October.

Although the Federal Reserve rate cuts have seemingly had little impact on the stockmarket to date we continue to believe they will ultimately help. It's true that consumers will need a reason to spend the tax refunds they will be receiving from Uncle Sam but hopes for the future are actually rising even as consumer confidence falls.

We still continue to believe the release of Windows XP and the Xbox will help revive the economy even as they bring back buying throughout the Personal Computer and Video Gaming Market. Opportunities for investment exist here now. In fact some of the price predictions we made two weeks ago for stocks on our Windows XP List and Xbox Lists have already come to pass. The result offered excellent buying opportunities in some of the stocks we discussed two weeks ago. We stated that Applied Materials (NasdaqNM:AMAT) was one of our favorite buys on any weakness below 40. It traded briefly below 40. On Friday AMAT closed at 46.26 offering a better than 15% return. We also stated that Western Digital (NYSE:WDC) was among the companies that hoped to benefit from both Windows XP and the Xbox and could be a great buy near 3. It hit three only to close at 3.43 on Friday. Finally Interlink Electronics (NasdaqNM:LINK) fell to 4 where it did prove to be a wonderful buying opportunity. On Friday the stock closed at 5.65 offering an almost 40% return to potential investors. We expect the market to begin a climb by late October and two products being introduced by Microsoft will make a difference. Windows XP is expected to launch October 25. Microsoft's Xbox is slated for release on November 7, 2001.

For now technology investors would do well to follow the observations given here on the NASDAQ by ( Savvy Charts ). The last few days produced a strong rally off of support for the NASDAQ with the Semiconductor Stocks leading the gains. Biotech Stocks have found some strength with Stem Cell Stocks being the center of a great deal of political and moral discussion. Energy Stocks have been among the hottest of all sectors with OPEC voting to lower production bringing some stability to the price of crude oil and a rally in Oil Stocks.

So what has been hot?

The strongest sectors from last Friday with the best performers marked in bold here: Advanced Industrial Equipment, Banks, B2B, Biotech, Broadband - Fiber Optics, Brokerages, Computers, Disk Drive, Drugs, Entertainment, Forest & Paper, Gold, Hardware, Health Care, Hospital, Internet, Iron & Steel, Medical Products, Natural Gas, Networking, Oil, Oil Drillers, Oil Services, Pharmaceuticals, PC Software, Precious Metals, Semiconductors, Software, Storage, Telecom, Toys, Utilities, Video Games, Wireless

Hottest Sectors Last Week: These are the hottest sectors from the last week with a One Day Delay from CBS MarketWatch and BigCharts. Take a minute and look through the sectors covered by CBS MarketWatch and BigCharts throughout the various time periods. You might also want to check Barcharts.com for their listing of Industry Strength. The time spend there will help familiarize you with where we are now in the market. We are adding lists almost daily to reflect these industries at the Bull Sector. Now on to our new Bull Sector Lists!

New Lists:

The Health Care Plans Stock List

These companies offer a wide variety of insurance products. The focus here however is on health care related plans and each company on the list offers products in this area. Plans include health, dental benefit products, include health maintenance organizations, point-of-service, preferred provider organizations, group insurance products including life, disability, long-term care insurance products, managed care products for employer groups, Medicare beneficiaries comprehensive health care, workers' compensation programs, group life, accident and disability insurance, retirement products and services and investment management. You might be also interested in our broader Insurance List.

AET AMZ CBZ CI HNT HUM LPNT MME OHP PHSY RIT SIE TGH TRI UNH WLP

AET through WLP

The Mobile Homes and RVs Stock List

The stocks on this list are involved in the sale and distribution of Mobile Homes and RVs. You might also be interested in the stocks on our broader Recreational Products and Services List.

COA FLE KNGS.OB KIT NVH REXL SKY THO WGO

COA through WGO

The Manufactured Housing Stock List

These companies are among the biggest and best know publicly traded Home Construction Companies. Further down on the page you will find those companies that Bar Charts considers to be leaders in Residential Construction. You may also be interested in our Home Construction & Furnishing Stock List or our Home Construction List or our Cement Stock List.

CAV CHB CMH MODT OH PHHM SEHI SKY

CAV through SKY

The Dairy Products Stock List

These companies manufacture a wide variety of Dairy Products. You might be also interested in our Food Products List or our Meat Products List or our Food Retailer and Wholesaler List or our Confectioners List or our Food and Beverage List.

CHEZ DA DF DRYR GXY HCOW SXT SZA TCGI TOF

CHEZ through TOF

That's about it for this week. Please stay off margin and invest responsibly by keeping stops in place. You might want to stay abreast of this week's Calendar of Events:

Earnings Calendar l Economic Calendar I Splits Calendar l Conference Call Calendar l IPO Calendar


July 15, 2001: X Power - New Lists!

Market Commentary:

As we expected the earnings reports out this week were just good enough to add a bit of spark to the market. In fact the rally we noted on Wednesday night in the after hours market actually carried over enough on Thursday and Friday to deliver a 4.2% gain for the NASDAQ ( Savvy Charts) on the week. All this despite the fact that some very key support levels broke down on almost every index we follow earlier in the week. We did see some wonderful gains this week but can the market continue higher? We'll get to that soon but first we'll list the strongest sectors from last Friday with the best performers marked in bold here: Airlines, Banks, Biotech, Broadband - Fiber Optics, Brokerages, Computers, Disk Drive, Drugs, Forest & Paper, Hardware, Health Care, Healthcare Providers, Health Insurance, Insurance, Iron & Steel, Medical Products, Natural Gas, Networking, Oil, Oil Service, Pharmaceuticals, Railroads, Retail, Storage, Wireless.

Hottest Sectors Last Week: One Day Delay from CBS MarketWatch and BigCharts. Take a minute and look through the sectors covered by CBS MarketWatch and BigCharts throughout the various time periods. You might also want to check Barcharts.com for their listing of Industry Strength. The time spend there will help familiarize you with where we are now in the market. We are adding lists almost daily to reflect these industries at the Bull Sector.

So where do we go from here?

Honestly that depends largely on both actual earnings and future guidance from the rest of the companies who will report this quarter. We haven't seen anything yet that definitely suggest we will be able to break through resistance to the upside this summer. In other words we think we might still remain in the trading range that we have been in for as much as another two to three months before we see orders pick up where it really counts. In fact we would consider it beneficial if we can simply move forward without further tests of support levels. That can happen if we get enough positive forward looking guidance from large cap technology companies to keep the market from breaking down any further.

And we will need help from the Semiconductor Industry.

The guidance being given out by most semiconductor companies is still downward in nature. That hardly seems indicative of a sustainable technology rally on the NASDAQ. The fact that the SOX failed to move higher on Friday was not lost on us and it does not bode well for any further advance. Indeed unless the SOX firms up the NASDAQ is not likely to trade much higher than 2175 short term.

It's true that technology is far more that semiconductors alone but it is hard to find a single technological device that does not have some form of semiconductor present. Last month we saw the first of what we expect will be a continued upturn in demand in the semiconductor industry. Unfortunately there is still a great deal of pricing pressure to work through before demand is high enough to return the majority of these companies to growing levels of profitability.

Fear and Greed

Fear may yet drop many of these stocks to lower levels. Fear that there is simply too much capacity and far too little demand. A lack of demand that if it continues will lead to further pricing pressure on the chips that are being produced.

The other end of the equation is greed. Greed continues to lend support to semiconductor stocks despite the fact that most companies are lowering guidance. This Bear Market has proven that no technological industry is safe from the cyclical nature of the economy. However it has given us as investors opportunities to trade or accumulate positions in companies that either continue profitability at lower levels or at least will be extremely profitable again in the future among our favorite groups of semiconductor stocks.

We believe that the SOX has lost its ability to trend much higher because of the lack of good news among its component members. Sometime during the next few months we may likely test the lows hit back in April. By October with the release of Microsoft's new Windows XP and their game machine the Xbox things could look much brighter. Investors who buy the semiconductor stocks best positioned to benefit from the new cycle will likely benefit greatly. That's where this newest list of ours will be able to help interested investors. The list is based on this article from the Industry Standard entitled The X Factor.

It's Out There All Right!

An upswing in sales for some very specific technology companies is almost absolutely assured later this year with the release and the marketing of Microsoft's Xbox and Windows XP. We are betting that the marketing money spent here will help spark a new rally in technology stocks. If we are right then now is the best possible time to begin researching the stocks on these lists for entry points.

The Windows XP List

Microsoft (NasdaqNM:MSFT) itself will likely be the biggest winner if Windows XP and their Xbox are the huge successes but there will be many other winners. Windows XP will require at least 128 megabytes of memory. An obvious beneficiary could be Micron Technology (NYSE: MU) among other Memory Chip Makers. Micron might be a great buy below 35. If Windows XP does bring back buying to the Computer Industry then sales increases could also fan the flames throughout a wide range of related companies. Beneficiaries could include all kinds of Semiconductor Companies foremost among them might very well be Intel (NasdaqNM:INTC) which we like near 26. Among the LCD and Flat Panel Display Companies we like Three Five Systems (NYSE: TFS) as a buy on any weakness below 14. Among the Disk Drive Companies we think investors might do well with Western Digital (NYSE:WDC) by accumulating shares around 3. Semiconductor Capital Equipment Firms will likely benefit as well with Applied Materials (NasdaqNM:AMAT) being our favorite buy on any weakness below 40. Contract manufacturers will also benefit and they can be found on our EMS Stock List. We like Jabil Circuit (NYSE:JBL) if it falls back to 18 and Solectron (NYSE:SLR), now at 15.88, not that far above five year support near 10.

AMAT INTC JBL MERQ MSFT MU SLR TFS VRSN WDC

AMAT through WDC

The Xbox List

NVIDIA (NasdaqNM:NVDA) is one stock that has shown a great deal of strength in 200. It may be overpriced today (July 15, 2001) at 81, with a P/E of 62, but it is just one of many stocks that should benefit from the Xbox if it is a huge hit. The Xbox Console will also benefit Intel (NasdaqNM:INTC) which will supply an Intel 733MHz processor, the most powerful CPU of any console. We believe INTC would be a great buy if it falls near 27 again. The Xbox will also have an internal hard drive and Western Digital (NYSE:WDC) is among the companies that hope to benefit. We like WDC near 3. It will also have a DVD drive and Kon Phillips (NYSE:PHG) is slated to supply drives and might be a great buy near 24. Semtech Corp (NasdaqNM:SMTC) will supply power management solutions for the Microsoft's Xbox. The stock looks very interesting on dips below 25. Interlink Electronics (NasdaqNM:LINK) will provide game pad sensor technology. The stock has support at 6 but could fall again below 4 where it would be a wonderful opportunity. The Xbox is slated for release on November 7, 2001 and shortly thereafter we should have the beginning of another real upward cycle for Video Game Console manufacturers. The players are Sony (NYSE:SNE) - the Playstation 2, Microsoft (NasdaqNM:MSFT) - the Xbox and Nintendo (Not Public) - the Gamecube which will heat up sales throughout the Video Game Industry and may even ignite Online Gaming. Many of the stocks throughout the electronic gaming industry have already benefited from the excitement of these new products. Two of the lower priced issues have been pulling back lately and could be great buys again soon. We believe Acclaim Entertainment (NasdaqSC:AKLM) would be a great buy near 3 as would The 3DO Company (NasdaqNM:THDO) at around the same price although neither company has announced a great deal of development for the Xbox just yet.

AKLM INTC LINK MSFT MU NVDA PHG SMTC THDO WDC

AKLM through WDC

Now on to some of our other new lists this week:

The Toy & Hobby Store Stock List

On this list you will find all of the best known publicly traded Toy & Hobby Stores. You might also be interested in our Retailer Stock List, our Specialty Retailer List and our Toys Stock List.

BKST CNJ MIKE RAGS TOY

BKST through TOY

In keeping with our recent theme that you're gonna eat even in a bad economy we bring you the Bull Sector Specialty Eateries List. You might also be interested in our Food Products List, our Restaurants List or our Food & Beverage List.

The Specialty Eateries Stock List

BDL DDRX PNRA SBUX

BDL through SBUX

These companies manufacture chocolate candies and other confectionery products. You might be also interested in our Food Retailer and Wholesaler List or our Food and Beverage List.

The Confectioners Stock List

HSY MFW RMCF TR WWY

HSY through WWY

Well that's about it for this week. Please stay off margin and invest responsibly by keeping stops in place. You might want to stay abreast of this week's Calendar of Events:

Earnings Calendar l Economic Calendar I Splits Calendar l Conference Call Calendar l IPO Calendar

 


July 8, 2001: New Lists!

Market Commentary:

You would have to have been hiding under a rock not to realize the damage done by the continued unabated earnings warnings from some of the past titans from the last Bull Market last week. It wasn't just the number of warnings but the enormity of the misses by those companies that threatened to send Bulls running for cover. UGLY! Could we be heading back to those April lows or worse? We do not think so. All in all the fact that the selling that took place was not more violent in nature is where our hope lies for the NASDAQ market to at least remain in its trading range. Overall trading is expected to be choppy as actual earnings begin to roll out.

Economic news has actually been somewhat less negative lately. Yes the jobs numbers were bad but they are a lagging indicator. The NAPM was actually good and showed an improvement in orders as did the May Machine Tool numbers over April. Could it be we are beginning to see the improvement in manufacturing orders? Many think not just yet. Pessimism is reaching feverish heights which does set the stage for another rally if we begin to get hints from technology companies in general that their orders and visibility is improving we may yet manage to see the NASDAQ regain some of the additional strength it gained since early April.

If not then we will likely see money rotate back into those sectors with more predictable earnings. Although even in those sectors we have been seeing earnings warnings. In truth we believe that the NASDAQ has seen its lows as of last April but that only now is the economy beginning to pick up. In other words earnings reports this quarter for technology companies are likely to be as bad as they are going to get. It may not be until next quarter that we begin to hear most companies state that orders and visibility is improving but that time is nearer now than it was three months ago. Volume in the current sell off has been low so a rebound could take place at any time. We know your time is valuable so we will get on to our new lists while briefly pointing out some of the sectors showing the greatest strength this last Friday and over the last week below:

Hottest Sectors for Friday Included: Gold, Natural Gas, Oil Service, Utilities

Hottest Sectors Last Week: One Day Delay from CBS MarketWatch and BigCharts.

Once again we believe we will remain in a trading range on the NASDAQ until we begin to get better visibility. You might want to keep an eye on this chart of the NASDAQ from Savvy Charts. We are however very near the moment of truth for the NASDAQ so it either holds just below 2000 or we could break down if fear of a world wide recession becomes more pervasive. While we don't see that happening anything is possible.

Now on to our New Lists:

The Multimedia Software Stock List

These companies supply high performance multimedia solutions used for the rendering of 3D graphics. You might also be interested in our 3D Graphics Stock List or our Video Games Stock List.

AKLM ATYT ATVI CNVR CORL DOCC EIDSY ERTS IFGM MACR MAPS MFLO OPTV PIXR RLRN SMTF TDSC THDO THQI VWPT

AKLM through VWPT

The Office Supplies Stock List

The companies on this list manufacture and distribute a wide variety of Office Supplies. You might also be interested in our broader Office Equipment Stock List.

ATX DLX DXT DZTK EBF FC HUN JH MCL NEB PBFI SR WCS

ATX through WCS

The Cement Stock List

These companies are among the biggest and best know publicly traded Cement Companies. You may also be interested in our Home Construction or our Home Construction & Furnishings Stock List.

CRHCY CX CXP FRK HAN LAF RMIX

CRHCY through RMIX

The Meat Products Stock List

These companies manufacture a wide variety of Meat Products. You might be also interested in our Food Products or our Food Retailer and Wholesaler List.

BRID CHX HRL IBP RCF SAFM SEB SFD TSN

BRID through TSN

The markets were closed for the 4th of July holiday giving us a chance to add to some lists we hope might help provide you with some future financial independence. Most of these newer lists are based on lists supplied by Barcharts.com where the progress can be followed over the last year. Our lists give you the chance to easily ascertain the individual stock performance relative to its peers by using Yahoo Detailed Quote Lists. The PLD List below is one of our own, a subgroup of the Semiconductor Sector, which we expect will outperform over the next year. Read on for more information on our new lists:

The Programmable Logic Devices (PLD) Stock List

These companies are among the most widely known publicly traded manufacturers of PLD's or Programmable Logic Devices. In a continued effort to reflect subgroups of Semiconductor Sector stocks requested by our readers please explore the the Electronic Manufacturing Services companies on the EMS List, the Semiconductor Capital Equipment List, the Semi Equipment Materials, the Integrated Circuits List, the Memory Chips List, the Communication Chips List, or the DUV Laser List, the Flash Memory List the Chip Foundry List the Power Management List and the Leading Fabless Semiconductor List. You might also be interested in our larger Semiconductor List.

ALTR ATML CY LSCC XLNX

ALTR through XLNX

  The Auto Dealership Stock List

These companies provide Online Auto Sales and Services. Also included on the list are some of the more traditional Auto Dealerships. According to Barcharts.com the group is up over 100% this last year as of July 4, 2001. Perhaps you are interested in a list of the Traditional Automotive Industry or the larger Automotive, Tire, & Accessories List or perhaps just a list of Tires Industry Companies then we have that list too

AWEB ABTL AN AUTC.OB CNGR GPI HCAR.OB KMX LAD NVDC RUSH SAH UAG UGLY

AWEB through UGLY

The Food Wholesaler Stock List

These companies are among the best known Grocery Stores or Food Wholesalers. You might also be interested in our Online Groceries Stock List or our broader Food Retailer and Wholesaler List.

FLM GMCR NAFC PFGC SMF SVU SYY UNFI VPS WNI

FLM through WNI

The Technical Services Stock List

These companies are among the best known Technical Services companies. You might also be interested in our broader Business Services Stock List or our broader Construction Services List.

CACI CO EMEX FLR ICLR STVI TDY TKCI TRR TTEK TTI URS

CACI through URS

The Air Services Stock List

These companies are among the best known Air Services companies. Companies on the list provide services including offshore industries support, offshore search and rescue, air ambulance services, repair and overhaul services, aerial firefighting support and emergency medical transportation using specially equipped helicopter. Others provide commercial charter airline services and passenger airline services to individuals and even the United States military. You might be interested in our broader Airline List.

AIRM AMTR CGO FLYA OLOG

AIRM through OLOG

Well that's about it for this week. Please stay off margin and invest responsibly by keeping stops in place. You might want to stay abreast of this week's Calendar of Economic Events:

The upcoming Weekly Economic Calendar from Equidex:


July 1st, 2001: Summer Rally?

Market Commentary:

What a week! The FED cut 1/4 point instead of the 1/2 point hoped for by many traders leaving some to wonder if the FED might be done making rate cuts? Done making cuts! We think that it could be possible that the FED is done with rate cuts but only if we see demand picking up in manufacturing. There certainly are few signs showing up now that demand for technology is picking up. Still the NASDAQ rallied to close out the quarter 17.5% higher on high hopes for future earnings as we move closer to the end of warnings season. So could it be possible that we have left the Summer Doldrums for a sustainable Summer Rally? Lets talk about what got the NASDAQ back in gear first.

The first and best reason for the rally is the belief that the Federal Reserve has information on an impending recovery that we as investors are yet unaware of at this point from available economic cycle research. Microsoft also got good news on their antitrust case that helped but still the company is looking into settlement possibilities. The Microsoft news did help the NASDAQ move upward, as did the Semiconductor Sector stocks, which were moving strongly higher until problems with a service interruption on the NASDAQ caused some selling. The cause of that service interruption was troubles that Worldcom (NasdaqNM: WCOM) was having on their network due to heavy trading volume due to the reconfiguring of the Russell 2000.

Yes technology stocks are doing it again. Ignoring bad news and moving higher. The second quarter is now closed out. The NASDAQ actually held on to enough gains that many are now talking about the start of a Summer Rally. To be sure we did have a broad market rally on Friday with technology stocks being the biggest winners while those sectors considered safe havens in a Bear Market seeing some profit taking. No where was this strength more apparent than among the Communications Chips Stocks. Virtually every company in this sector has announced that they will miss earnings estimates but they refuse to sell off any further. Take a look at the action from Friday and you will see that no matter how you slice it these stocks are bouncing strongly off their recent bottoms. Every single stock was higher on Friday with a couple up more than 20%.

On the other hand as we warned might happen energy stocks have been trending downward as Oil and Natural Gas inventories rise. Utilities are holding their own. Health Care Stocks remain under pressure but there have been some notable stock repurchase plans announced by some of the biggest players like Pfizer (NYSE PFE) so keeping an eye peeled for good buys later this year would be a fine idea.

Summer Rally Time?

We believe we will remain in a trading range on the NASDAQ until we begin to get better visibility. You might want to keep an eye on this chart of the NASDAQ from Savvy Charts. The reason the NASDAQ gained 17 1/2% this last quarter is not because the effects of the Federal Reserve Rate cuts have already begun to be felt but rather because they will be felt. The question is how soon industrial manufacturing orders will pick up where it really mattersto investors in each particular sector. We suggest our readers keep an eye on the Semiconductor Capital Equipment stocks for signs of improvement in their orders. One positive sign for technology investors is that Wireless Sector stocks are showing strength. Some semiconductor stocks in this area are confirming their already lowered orders and earnings estimates will generally be met. A couple of examples are Celeritek (NasdaqNM:CLTK) and Sawtek (NasdaqNM:SAWS) which suggest a bottom may have been found already. On the other hand companies like Infineon (NYSE:IFX) are predicting a much more prolonged downturn.

Last week's featured stock group of broadband and Fiber Optics closed out the week strongly. Our featured Internet Infrastructure group from two weeks ago has shown two solid weeks of gains. As for the NASDAQ and technology stocks in general we expect another strong week ahead of us before we reach resistance levels that will be difficult to surmount without more evidence that a real recovery is coming.

Still this trading range has been quite profitable for those who are nimble and some of the single day moves have been astronomical. Consider those Communications Chips on Friday along with the other hottest sectors below.

Hottest Sectors for Friday Included: Airlines, B2B, Biotech, Brokerages, Chemicals, Communications Chips, Communication Technology, Computers, Disk Drive, EMS, Fiber Optics, Fuel Cells, Forest & Paper, Genomics, Hardware, Healthcare Providers, Hospitals, Iron & Steel, Internet, LCD's, Natural Gas, Networking, Office Equipment, Oil, Oil Services, Online Job Recruitment, PDA's, Railroads, Real Estate - REITS, Retaliers, Semiconductors, Software, Storage, Superconductors, Telecom, Tobacco, Video Games, Wireless

Hottest Sectors Last Week: One Day Delay from CBS MarketWatch and BigCharts.

Now on to our Newest Lists at the Bull Sector

These lists were by in large inspired by the compilation of data on some of the strongest sectors this year put together by Barcharts.com. All of the health related groups of stocks are benefiting from the graying of America. As larger proportion of our population enters the ranks of senior citizenship the need for Home Health Care and Long-Term Care is obvious. The result has been a very predictable rise in stock prices based on increasing income for these public companies and higher expectations for future earnings. Here are two groups of stocks which have the demographics of our population very much on the side of their future earnings. We are doing all we can to get as many industries and sectors covered on our lists as possible. So with no further ado we give you the following lists:

The Home Health Care Stock List

These companies are among the most widely known publicly traded Home Health Care companies. You might also be interested in our larger Healthcare Facilities List.

AFAM AHG DOC HH MATR NYHC OPTN TWH

AFAM through TWH

The Long-Term Care Stock List

These companies are among the most widely known publicly traded Long-Term Care Facilities or Nursing Homes. You might also be interested in our larger Healthcare Facilities List.

ACR BEV HCR NHC RSCR SRZ

ACR through SRZ

Healthcare companies of all kinds have been strong this last year as a source of dependable earnings for investors looking for visibility and predictable investment results. That's why these stocks in general have done so well:

The Specialized Health Services Stock List

These companies are among the most widely known publicly traded Specialized Health Care companies including companies in the fields of eye care, dentistry, orthodontics, radiology, renal care, pediatric care and a broad range of specialized services. You might also be interested in our larger Healthcare Facilities List.

ACDO ADVP AMHC AMS ASGR CMX CURE DVA DXR ESRX GBI HORC HRC LNCR MAII MDZ MIMS OCA OSTE PATH PDX PMSI RCGI RGX USPH

ACDO through USPH

Finally lower interest rates have kept General Contractors and Construction Services Companies busy this year and their stock prices in general reflect this fact:

The General Contractors Stock List

These companies are among the most widely known publicly traded General Contractors. You might also be interested in our larger Construction Services List.

APOG CBI CNRD EME ESR FCIN FIX IEE LAYN PWR SHF

APOG through SHF

The Contruction Services Stock List

These companies are among the most widely known publicly traded Construction Services companies. You might also be interested in our more focused General Contractors List.

ABRI ACP AERS ALS ARCAF ASTV.OB ATRO AXR BBR BFEN BPCC.OB BRER.OB BXG BZH CALC CAV CERB.OB CHB CHE CLCI CLPO.OB CMH CMRO CNYB.OB CO CPH CRHCY CROS CTO CTX CVNG DEVC DHI DHOM DLTA.OB DOVRA.OB DSTR.OB DUNE.OB DY EGXP.OB EME ENGEF ESEX.OB ESR EVMT.OB EYPSF.OB FLB FLR FRTG FWC GNDV.OB GTR GV GVA GWTR.OB HERC.OB HFDC.OB HMD HOV HRY ICA IEE IFS IGC INEI INFC.OB INSUA JEC KBH KGHI.OB LAYN LEN LIBHA LLOG.OB MDC MHO MJXC.OB MODT MPSS.OB MSOL.OB MTH MTLC MTRX MTZ MVCO NCS NEWC NHCH NHL NOBH NOGAF NURO.OB NVR OH OHB PCR PCYL.OB PHHM PHM PMLK.OB PWR QLNX RH RYL SEHI SHF SHLR SMXT.OB SOSA SPF STRS STVI SWIM THLT.OB TNAV.OB TOL UPK URS VVVV WBB WFII WLS WLT WMSI WTMK.OB

ABRI through WTMK.OB

Well that's about it for this week. We have been very pleased with the recent moves we have been seeing in previously mentioned stocks like Integrated Devices (NasdaqNM:IDTI) and especially the 3DO Company (NasdaqNM:THDO) our Video Game Sector pick which was up over 40% on Friday. If nothing else the Video Gaming stocks should prove to investors that momentum stock investing has not completely gone out of vogue.

We also picked up some shares of Keithley Instruments (NYSE:KEI) on Thursday at 18.12. The stock closed on Friday at 21.30. While we are hoping to see KEI trade as high as 30 before we would consider taking profits we will keep firm stops in place as we hope all of you will on all of your own investments. At some point this year the market psychology will reach critical mass to drive technology stocks out of this current trading range. Until that time buying oversold stocks at support levels and selling near resistance levels could ensure profits for investors while minimizing risk.

 


June 24, 2001: Broadband Bandwagon - All Aboard!

Market Commentary:

Well we didn't get much of a bounce last week. So much for our predictive powers but we did not get much additional selling either. The Dow Jones Industrial Average actually fell 0.02% last week while the NASDAQ rose slightly 0.033%. We appear to be falling prey to the summer doldrums. A time when the stockmarket often falters due to lack of interest as well as many investment professionals and private investors vacationing. This year that phenomenon is exacerbated by surprise: profit warnings and recession fears.

We did get a small move higher in the market that would have been a bit more apparent were it not for fear of terrorism activities emanating from Persian Gulf tensions. That being said, believe it or not, it turned out to be a much better week than it might have been. On Friday many oversold technology sectors attempted to rise and the most notable was the Broadband - Fiber Optics Sector. This sector will be the subject of this week's discussion because of its badly oversold condition and size of the bounce seen on Friday which was very encouraging.

The Federal Reserve meets this week. We will know on Wednesday whether we will get a 25 or 50 basis point cut. The technology sector at large certainly has not shown any signs that it has been benefiting from the already 250 basis points in cuts from the first of the year. We remain firm believers that the economy is benefiting. These rate cuts will benefit the technology sector although that evidence may not show up in hard numbers until later this year or early in 2002. The biggest problem concerning investors now is that we may be nearing the end of Federal Reserve rate cuts and those rate cuts do not seem to be working as well as they have in past economic cycles. It is for that reason that so many technology sectors are so greatly oversold on a short term basis.

Hot Sectors

Despite the sell off on Friday we did have some sectors that performed quite nicely with the best performers highlighted in bold: Broadband - Fiber Optics, Gold, Footwear, Natural Gas, Networking, Oil, Precious Metals, Semiconductors, Telecom, Utilities, Wireless

Over the last week we saw good strength in a lot of consumer related industries with the strongest being Home Construction, Banks, Savings & Loans with Wireless Stocks being the stand out in technology. The Federal Reserve rate cuts are helping. You might want to take the time to check industry strength YTD (year to date). If you do you will find that the fact that consumers have been keeping the economy from falling into a recession has not been lost on the markets and consumer sensitive industries. Fool around with this data from CBS MarketWatch and Big Charts and you will see what we mean. Keep in mind that this information is always at least one day old and therefore not 100% accurate. As you look through that data you will also see that most of the worst performers YTD are technology related industries. By next year at this time we expect to see technology sectors showing the largest percentage gains. Of course there is no guarantee that this will happen but when we see money swinging out of so called safe haven sectors like Healthcare we can't help but wonder how long it will be before technology sees greater investment interest.

Now on to Our New and Updated Bull Sector Lists:

This week we updated all our lists including our Stock Buyback List. We also worked on our Casino/Gaming List which could become quite intriguing if the Nevada Online Gambling Bill leads to legalized online gambling here in the United States. Another area that looks very interesting to us at the Bull Sector is the Asian Stock Group. Wireless communications is expected to grow so fast in China this year that that market will overtake the U.S. as the world's biggest mobile market in subscriber size later this year.

Finally we are continuing to keep our eyes on that Video Game Stock List for pullbacks as buying opportunities although sales of Playstation 2's are slowing while some of the big guns in the industry are filing to sell huge blocks of shares.

Broadband Bounce or Big Buying Opportunity?

On Friday the Broadband Holder (AMEX:BDH) got up off the mat despite the selling on the NASDAQ to rise 4.43%. This was by far the biggest percentage gainer on Friday and it may be a tip off that when earnings season begins in earnest that this group could recover quite nicely because the demand for broadband communications will continue strongly for several years. In fact demand for telecommunications bandwidth is expected to grow between ten to fifteen times over the next five years. Today we have only 10% of the total capacity in place that will be needed in the next five years.

Fiber Optics Communications were among the hottest of all technologies last year because optical/broadband communications allow faster, cheaper movement of information that will allow for new applications on the Internet leading to such new mediums as Digital Streaming Media, online Video Games, Video on Demand and Interactive TV. These are tremendously exciting applications that will lead to a great convergence of technologies and mediums. The market opportunities are huge and growing.

Annual spending on fiber and optical components is expected to reach $23 billion by 2003 while optical equipment sales are expected to grow to $45 billion in 2004. We have provided you with several subgroups in Broadband and Fiber Optics because the demand for bandwidth is simply growing too rapidly to ignore despite today's fearful stockmarket.

Please look into the DWDM List, the Fiber Optics Components List, Fiber Testing and Measurement List, the Fiber Optics Cable Producers List, the Fiber SANS List, the Photonic Switch List the iTM Internet Traffic Management List and the Gigabit Ethernet List. You may also want to check our other lists associated with Broadband Communications which can be found on the Cable Modem Related Stocks List, the DSL or Digital Subscriber Lines List, the Satellite Communications Systems List and the Interactive TV List.

Well that's about it for this week. Please stay off margin and invest responsibly by keeping stops in place. You might want to stay abreast of this week's Calendar of Economic Events:

The upcoming Weekly Economic Calendar from Equidex:


June 17, 2001: Time for a Bounce?

Market Commentary:

Well much as we expected the market traded downward again this week. Fortunately there are signs here that as we expected the market will not leave its trading range just yet. The indicator that we are following most closely is the Semiconductor Index. Once again it fell to the low end of its recent trading range but once again it actually managed to bounce off support to close slightly higher on Friday. This is very important because it continues to show that despite all the earnings warnings and bad news being churned out throughout virtually every industry or sector imaginable that investors are unwilling to risk missing out on the recovery when it actually arrives. Yes all the news seems to be bad but there are companies reporting that they are seeing a bottom and therefore feel a recovery is eminent.

The FED has been cutting rates aggressively since the first of the year. We now are hearing that it is more likely than ever that we will get a 1/2 point rate cut from the FED on June 27th. It is this kind of speculation and the fundamental knowledge that lower rates have always stimulated economic expansion in the past that should keep the market from collapsing even further. The market can look forward again despite reports former high flying technology stocks like Nortel and JDSU lowering expectations due to inventory build ups again. Technology stocks simply rose to far last quarter to remain that high without more evidence of a recovery. More bad news is expected and yet we know a recovery is coming.

So once again we ask ourselves where is the leadership among technology stocks to take us higher. There are simply far too few stocks in the broad technology sector showing leadership qualities. No wonder the NASDAQ broke below 2000 on Friday and many analyst's are expecting further weakness despite the current oversold condition of the market. To make matters worse Microsoft, the technology giant, whose stock has outperformed this year was the subject of a rumored earnings warning itself. Still even if these rumors were true new technology can drive the market higher. Microsoft as we have said has several new important products that they will unveil later this year and they are not the only company ready to deliver important new technological advancements.

It should be no secret to readers of the Bull Sector that we have been hot for stocks in the Video Gaming Sector all year based on new console introductions from Sony (SNE), Microsoft (MSFT) and Nintendo. The latter two have yet to begin to sell their new consoles but the effect on these stocks has been undeniable. The 3DO Company (THDO) traded up over 30% on Friday on no news at all. It was not the only electronic gaming stock benefiting from anticipation either so we continue to favor this group for buying on dips.

However if investors want to follow our lead in other areas we would also suggest looking long and hard at buying beaten down Semiconductor Stocks and Biotech Companies when they reach the lower end of their trading ranges. Using the Yahoo Detailed Quote Lists at the Bull Sector a potential investor can easily ascertain what companies in this group have more than enough cash to survive the remainder of this economic downturn. Doing this very thing we discovered Integrated Device Technologies (IDTI) moving towards the lower end of its trading range and became buyers on Friday. Now we won't tell you that there is no risk here with IDTI but with a war chest full on money the stock looks ripe for a rebound on any good news. Friday's best performers included the Biotech and Semiconductor sectors which have been showing excellent support since falling to their lows in April. All the best performing sectors from Friday can be found below:

Banks, Biotech, Brokerages, Healthcare Providers, Insurance, Iron & Steel, Natural Gas, Oil, Semiconductors, Software, Utilities, Video Games, Wireless

The best performing sectors of the week (not including Friday) are provided by Big Charts and CBS MarketWatch.

Now on to Our New and Updated Bull Sector Lists:

This week we are updating some of the Internet Infrastructure lists that we have provided for readers of the Bull Sector. It's true that with the high number of bankruptcies in this area that the risk is enormous for long term investors but the reward for those holding the winners in this sector should be even larger. So here they are our latest updates and a new Web Hosting List for your investment research.

The B2B Stock List

B2B companies supply a wide range of services to other companies sometimes acting as middlemen or simply providing software or other services that facilitate online transactions. The worldwide market for online business services is expected to increase from $145 billion in 1999 to $7.29 trillion in 2004, according to market research firm the Gartner Group. Some of the biggest names in B2B Software include: Agile Software (AGIL), Ariba (ARBA), Commerce One (CMRC), i2 Technologies (ITWO), Oracle (ORCL), SAP (SAP) and VerticleNet (VERT). You might also be interested in the e-Commerce Enablers List or our E-commerce List.

AATK ABFI ACRU ADSX AGIL AILP AKAM AMSY APRS ARBA ARTG ASDS ASO ASWX ATHM AVT AZPN AZX BA BFRE BHH BITS BOO BRND.OB BTLY.OB BVSN BWEB BYND CGLD CHCL CHRD CHWT.OB CKFR CLDN CLIC CLRS CMGI CMOZ CMRC CNQR CNRS CPQ CPTH CTT CYBR DATC DELL DCN DFCT DGIN DHTT.OB DLTK DMAX DRIV DRVR DSET DSFT DSTR.OB DVNT EBTB ECCS ECEC EDS EGAN ELCO ELEC EMAC EMRG ENE ENGA EPRE ENTU EPIC EPNY ESHR ESNI ESPD ETA EXGP EXLN EXTN FIRE FLCG FMKT GBIX GE GLMC.OB GMAI GNNU GONT HCDC HNCS IARC IBM IC ICCA ICGE IMGX INAI INAP IINT IMIC INFD INGE INKT INSP INTU IONA ISD.TO ISFBE ISLD IST ITRA ITWO ITWR.OB IWOV J JNJ JPM KANA LCOR LEG LGTY LIOX MANH MANU MBTIE MCTR MIRM MMTS MROI MRXX MSLV MSM MSTR MTHR MYPT MXR NAMI NAVI NEOF NEON NETO NTAP NTCS NYER OFIS.OB OMKT ONVI OPTK OPTO ORCL PACT PGNT.OB PLUS PME PMTC PNLK PPRO PRGN PRMO PRVW PSIX PRTW PVTL PXCM QBIZE.OB QADI QRSI RATL RCX RETK ROWE RSAS RWAV SAP SBYN SCLN SCNT SCTC SDWS.OB SEBL SFE SGNT SLTC SMRA SONE SPNS SQST SQSW SSSW SWBD TIBX TIER TSSW UAXS UBIX USHP USIX VATA VERT VETX VFND VIAD VIAN VIGN VITR VIZY VNTR VRSN VRYA VSR VYYO WALK.OB WSPH WB WEBM WCTI WEST XCED YHOO YSEK.OB

AATK through MXR

NAMI through YSEK.OB

The Digital Streaming Media List

These companies supply high performance content delivery solutions including digital streaming media used for DVD's, video conferencing and internet media applications. You might also be interested in our Audio/Video List. Using Caching and other methods Content Delivery this is expected to be a $2.3 Billion a year business by 2004.

AKAM BBI BDE CFLO CHKP CHY DDD DGLV EAG EBLDE.OB ECIL ELOQ FAVE.OB FVCX HIFN HWP IMON.OB ISLD INAP INKT INVU.OB IPIX IVIA.OB LOUD MDEA MDLK MPEGE.OB MSFT OBAS ONT OPTV PHG PNJA RNWK SCRM SIGM SMILE SNIC TVIA VIA WNRG.OB

AKAM through WNRG.OB

The Customer Loyalty Stock List

The companies on this list provide online customer loyalty known as eCRM (Electronic Customer Relationship Management). These companies manage information about customers and make that information available to sales staff, management, marketing and customer fulfillment departments. Tracking customer habits eCRM software makes it possible to tailor product and service offers to likely customers thereby increasing sales. Some of the major players in this group include Art Technology Group (ARTG), Broadbase Software (BBSW), Broadvision (BVSN), E.piphany (EPNY), Informatica (INFA), Onyx Software (ONXS), Oracle (ORCL), Pivotal (PVTL), SAP (SAP), Siebel Systems (SEBL) and Vignette (VIGN).

ACRU ADS ARTG ASPT ATEA AV BBSW BLUE BVSN DOCX DTEC EGAN ELOY EPIC EPNY ESHR EXAP EXTN FSTW GNTI IACT INFA ITWO IUSA KANA MESG MGTC.OB NCR ONXS ORCL PKSI PSFT RMDY RMKR SAP SEBL SPSS SWW VIGN ZMBA

ACRU through ZMBA

The Internet Service Provider Stock List

These companies are Internet Service Providers (ISP's). In order to get on the Internet you need an ISP. ISP's can provide connections in a variety of connection speeds including basic 56k dial-up, DSL, cable modems, or T-1 and T-3. You might also be interested in our Free ISP List, which is something of a misnomer since you really get nothing for free these days and the list is of Free ISP's is growing smaller due to the merger of NetZero and Juno, e-Commerce, e-Commerce Enabler and e-Business Lists.

AOL ATHM ATHY ELNK GEEK ICIX JWEB LOAX NZRO PRGY PSIX RCNC RTHM.OB RVST SCII.OB SPDE T TRLY VZ WCOM XOXO

AOL through XOXO

The Web Hosting List

These companies are some of the leaders in Web Hosting supplying expensive server farms, IT staffing and the Internet Security necessary to protect data. On this list you will some of the leaders in Web Hosting an industry expected to grow 71% annually from $4.6 billion in 1998 to $67.5 billion in 2004. You might be interested in our larger ISP List.

EXDS GBIX GENU ISLD LVLT T XOXO

EXDS through XOXO

The Bull Sector has certainly not got all the stocks listed in the Internet Infrastructure area on these lists but we have plenty more Internet related lists at the site. The risks associated with stocks in this sector have become painfully obvious over the last year but on a good day many of these stocks have been showing tremendous percentage gains. Perhaps the safest plays in the group are among the best stocks in the B2B and eCRM Sectors because their software can save old line brick and mortar companies large amounts of money while winning over new customers. The two best long term bets might very well be AOL and ORCL with the later trading well below 52 week highs.

As for the NASDAQ we think it will rebound with the semiconductor index. We are looking forward to a better week ahead. If not this week then the buying opportunities will only be that much better soon.

We continue to hope you find our lists useful in your own research and we ask that you share the site with your friends. Please click on the advertising banners once in a while to help defray the costs of keeping the lists available to you online.

Well that's about it for this week. Please stay off margin and invest responsibly. You might want to stay abreast of this week's Calendar of Economic Events:

The upcoming Weekly Economic Calendar from Equidex:

 


June 10, 2001: Range Bound:

Market Commentary:

The market is clearly caught in a trading range where market leadership is hard if not nearly impossible to find. True as we expected we have seen Video Gaming Stocks showing strength in anticipation of new game systems. There are other sectors in technology that seem to be showing some good strength lately but the question remains are the fundamentals in place to support these advances? Perhaps not and maybe that is why every time we get a sell off in technology we see strength in those defensive sectors that showed leadership throughout the Bear Market. As an example we give you the best performing sectors from this past trading session: Free ISP, Gold, Healthcare Providers, Natural Gas, Oil, Oil Service, Precious Metals, Utilities

Most of the best performers were in defensive groups on Friday. However we do seem to be in a transition period where the leading sectors from the past year grow increasingly likely to give way to next year's leaders. For instance Tobacco Stocks came under pressure recently as yet another jury awarded a huge award. This time $3 Billion in damages to a smoker. In the energy sector Oil and Natural Gas Stocks suffered somewhat due to higher than expected inventories that might result in lower profits for the associated companies. Even so the high technology sector is having a difficult time finding reasons for further gains. We are range bound because at the same time as the defensive stocks are finding it difficult to maintain their own levels high technology companies are simply not seeing enough demand to drive growth in revenues and earnings. We seem to be seeing money swinging in and out of both areas resulting in a great deal of volatility as we wait for the economy to recover.

As the week unfolded we saw very nice gains in the high technology sector with the Semiconductors leading the way. Unfortunately market volume has been incredibly light. Friday it became apparent that the Semiconductor Index would not be able to drive the market much higher. We believe that we are likely to see some additional short term profit taking in the semiconductor stocks and that the NASDAQ cannot rise without the SOX leading the way. On June 27 the Federal Reserve will cut interest rates yet again. Will they cut 1/4 point or a full 1/2 point? We are not certain that it matters near as much as the realization that we are very near the end of these rate cuts. We need a real recovery to drive sustainable gains.

The market is likely to continue range bound until high technology companies begin to report increases in their own orders. The semiconductor industry is as good an example as any in that actual orders have continued to fall. The SOX rose this last week but has yet to test resistance above 700 while attempting to take out a recent high of 710. If this does not happen this week and we see continued selling then we will be looking to reenter Semiconductor Stocks when the SOX falls below 600 or lower.

Biotechnology shares have managed to hold up quite well this year and one subsector that showed some great individual stock performance this week was the Stem Cell Stocks. In the Internet group we expanded our DRM List (Digital Rights Management) to include LOUD which sounded off to a huge percentage gain after announcing a relationship with Napster to digitally fingerprint their music files. Unfortunately outside of the electronic gaming stocks we do not yet see any signs of a secular trend that can revive a whole industry on a short term basis.

The market will take care of itself of course as the cumulative effects of interest rate declines, tax relief and reduced inventories begin to renew demand. The question is of course just how soon do we begin to see demand pick up? We at the Bull Sector are predicting October to be a breakout month for the technology sector. At that point in time orders for the holiday season in concert with new product releases should begin to outweigh the current slowdown and inventory buildup. At this time we are willing to patiently buy stocks on dips especially in the semiconductor area if only for trading opportunities.

Now on to Our Bull Sector List Updates:

This week we have updated many of our lists but we will highlight our Genomics List because this has been one of the best performers since the market lows set back in April. The sequencing of the Human Genome is now complete but the promise and the profits from Genomics Research lies in future accomplishments. An incredible explosion of discovery an development is being spurred on by these young, aggressive and innovative companies. On this list you will find Genomics Tool Makers, Enablers, Computational Genetics Companies (Bio-Informatics), Functional Genomics Companies, Genomic-Based Product Companies and companies involved in Proteomics. The first set of companies on this page consists of those companies that supply tools and supplies to companies involved in Genomic Research. The later list includes as many of the companies participating in Genomic Research as we could find including some of the tool makers and basic biomedical research supplier companies. You may also be interested in our broader Biotechnology Stock List, the Proteomics Stock List, the Pharmaceutical Stock List and the Drug Stock List.

The Genomics Tool Makers Stock List

A ACLA AFFX BIOI CGEN CRA CRGN EBIO GENR GLGC GLW GNSL HYSQ IBM ILMN INCY INMX IVGN MOT NGEN RSTA ORCH PBSC PKI QGENF RSTA SQNM TBIO TMO VGIN VWKS

A through VWKS

The Human Genome Project Stock List

ABI ABGX AFFX BIOI CBTE CGEN CRA CRGN DCGN DD DNA EBIO ENEX EXEL GCOR GENE GENXY GLGC GMNI GNOM GNSC GNSL HGSI HYSQ INCY ILMN INMX IVGN LEXG LYNX MAXY MCDE MCDT MEDX MLNM MYGN NGEN NEOT ORCH PBSC PDLI PKI QGENF RSTA SQNM TBIO TMC.V TMO TRIB VAR VGIN VGNX VICL

ABI through VICL

Well that's about it for this week. Please stay off margin and invest responsibly. You might want to stay abreast of this week's Calendar of Economic Events:

The upcoming Weekly Economic Calendar from Equidex:


 

June 3, 2001: Growth Stocks: Are You Plugged In?

We added new lists this week at the Bull Sector in several areas as we attempt to round out all the industries and sectors necessary to accurately portray the market. Lists in areas that have shown growth in a more literal fashion than what we now call growth stocks. This is especially true where it applies to agriculture but it is also true of of education which helps us to grow in so many different ways. Long before the the Internet became a part of every household we had household appliances and tools. Talk about being plugged in!

It was about time that we added these stocks to the Bull Sector so this week we have given our readers our new Appliances List, our Crop Stocks List and our Schools and Education Stock List. In addition we are adding new stocks to all our lists including but not limited to our popular Fiber Optics List, our Stock Buyback List, our Fixed Wireless List and our Low Float List.

Market Commentary:

Friday provided us with a nice broad based rally in the market. We know many investors are concerned that we are entering another profits warning season. We are concerned too but we are confident that we are moving ever closer to an economic recovery.

We have asked our readers to keep and eye on the Semiconductor Stocks especially the Semicap Stocks to help them gauge where the NASDAQ is headed. Why the semiconductor capital equipment stocks? Traditionally semiconductor capital equipment stocks recover before other semiconductor companies because they supply the equipment necessary for semiconductor companies to ramp up into a new growth cycle. Semiconductors are now used in virtually every area of technology so if the technology recession is going to give way to an economic recovery then most semiconductor companies will eventually benefit but the semicaps will early on.

The SOX has moved higher the last two days after penetrating the lower Bollinger Band on Wednesday. The penetration of a Bollinger Band is a technical occurrence that often leads to a change in trading direction as indicated by Basic TA. Intel (INTC) has been showing excellent strength lately with demand for mother boards apparently picking up. This could be an early indication that the computer market is picking up. New products from Microsoft (MSFT) are already rolling out with some very important products due out later this year. These products in conjunction with the current PC price wars give us great faith that renewed demand will result in increasing sales in this market.

Yes, Friday was a nice if somewhat muted rally but we are encouraged with the rebound over the last two trading sessions because there has been a great deal of negativity. We believe we could be in a trading range until we get further signs of an economic recovery but eventually we will breakout to the upside. Gold, Semiconductors and Biotech were the best performers in the last session. Biotech funds have been some of the best performers over the last month as well. Below you will find some of the best performing sectors in the market from Friday:

Alternative Energy - Fuel Cells, Banks, B2B, Biotech, Brokerages, Computers, Disk Drive, Drugs, Fiber Optics, Footwear, Forest & Paper, Genomics, Gold, Iron & Steel, Hardware, Healthcare Providers, Home Construction, Internet, Medical Equipment, Networking, Pharmaceuticals, Real Estate - REITS, Retailers, Semiconductors, Software, Steel, Storage, Office Equipment, Oil, Pharmaceuticals, Precious Metals, Telecom, Tires, Tobacco, Video Gaming,

Now on to Our New Bull Sector Lists:

You will find all of the biggest names in Appliances and Tools right here on this list. You might also be interested in our Smart Appliances List.

The Appliances and Tools Stock List

ACRN APN BDK CRFT ELUX FTMTF GAI HELE HMII.OB MKTAY MYG NPK PFIN PIK RAM SFP SNA SWK TRBO WHR

ACRN through WHR

The Crop Stock List

On this list you will find companies associated with agribusiness, crop growth, orchards, plants, horticulture and other businesses associated with crop growing.

ALCO ANDE BVA CCCFF.OB CRESY CBRYA DLP FDP HORT KNUR.OB LNDC NUT SOYL.OB SYLN SVIN WVVI

ALCO through WVVI

The School and Education Stock List

On this list you will find companies associated with Education and Schools.

MEP APOL ARGY BTZ CCDC.OB CECO CLBR COCO DV EDMC EDSN ESI EVCI FC HSTM KDCR.OB LCSE.OB LOGO.OB LTRE NEWH NLCI RUSS.OB POSO SKIL STRA TASA UOPX VADC.OB WADE.OB WIX

AMEP through WIX

Well that's about it for this week. Please stay off margin and invest responsibly. You might want to stay abreast of this week's Calendar of Economic Events:

The upcoming Weekly Economic Calendar from Equidex:


May 27, 2001: Video Games, Veterans and New Lists:

Well we hope everyone enjoyed a wonderful Memorial Day?

I know we did. We would like to thank our veterans who fought to make this country and our world a place where the future is far brighter than it might otherwise have been.

The market fires up again tomorrow for a short week. What kind of week will it be? We expect a little more selling on the NASDAQ before any real firming. That's OK because the market has come a long way with lots further to go offering excellent buy and hold opportunities or trading opportunities along the way.

Keep an eye on the Semiconductors!

We believe that the semiconductor industry stocks are acting as an early indicator now of exactly what moves will take place with the NASDAQ. The SOX (Semiconductor Index) which has been strong since before the NASDAQ found bottom is falling now. It may fall an additional 5% based on our own technical analysis before finding a short-term bottom. Numerous analysts are upgrading semiconductor equipment stocks because these companies will be among the first to recover with an expanding economy.

The market cannot move higher in a straight line.

On the plus side Mr. Greenspan seems to be making it abundantly clear that the FED will cut rates as much as possible to make sure we do not head into a prolonged economic downturn. "Greenspan said late on Thursday the U.S. economy is still at risk of weakening more than anticipated, a situation that could require further rate cuts by the central bank. However, the Fed chief emphasized that the aggressive action the central bank has already taken this year has not yet made its full impact on the overall economy."

On the negative side we are now heading into the early warning season and all indications are that the next quarter will be even more disappointing than the last one for most high technology companies. It seems that the press wants us to believe that the market is heading into another significant sell off based on the majority of the headlines we are reading lately like this one; Tech Shares to Dip on Profit Fears. It's true most of the news is bad but although the economy may be just now hitting bottom the stockmarket already has. To be sure even on a down day like Friday we had many up sectors in the market. You will find them listed here; Airlines, Chemicals, Alternative Energy -Fuel Cells, Gold, Iron & Steel, Oil Drillers, Oil Service, Precious Metals, Steel, Tobacco, Video Games

Momentum Stock Investing: Is it back?

Alternative Energy - Fuel Cell Stocks have done well this year despite the fact that most of these companies are years away from profitability based on the fact that huge amounts of money are being spent here in response to high energy prices and utility blackouts. Investors playing these stocks are proof that the very concept that started the Bull Sector is far from dead. Momentum investing based on a simple catch phrase is starting to catch on again. What goes around comes around and it will again and again.

A few years ago no one would have paid a premium for Tobacco Sector Stocks because of the amount of litigation and bad press surrounding the industry. Today we find that these stocks still remain some of the best performers of the last year. Take a look at this listing from Barcharts for a comparison of basic industry group performance over the last year. You will find the Tobacco Stocks right at the top of the list.

Barchart.com Advanced Sectors

The point we are attempting to make is that all kinds of investing styles flourish over time given the right economic conditions. Today we have an accommodating FED and tax cuts on the way. We will no doubt see more selling on Tuesday in the NASDAQ and the Semiconductor Index but as an investor you might want to be looking over the worst performers on list provided by Barcharts and often turned into lists of our own at the Bull Sector for tomorrow's winners.

By this time next year we will have an economic recovery well underway. Most semiconductor companies will be profitable again and looking forward to excellent comparisons. We expect terrible numbers being turned in this next quarter because the semiconductor industry fell to a Book-to-Bill Ratio of .42 in April which was the lowest number in ten years.

Naturally the Semiconductor Index should be subject to some additional profit taking but we don't expect too much of a fall before technology stocks and semiconductors in particular really heat up. Next year we expect to see Semiconductor Stocks right up at the top of the list where the Tobacco Sector Stocks reside today as the best performers.

So How About the Hottest Industries over the last week?

Last Week's Hot and Cold Sectors Courtesy of Big Charts and CBS MarketWatch:

So what was hot last week and what was not?

Hot Sectors

Cold Sectors

Toys - Up 7.04%

Home Construction - Down 8.87%

Tires - Up 7.00%

Railroads - Down 7.97%

Technology, Software - Up 3.94%

Chemicals, Commodity - Down 6.92%

Communication Technology - Up 3.10%

Oil Drilling - Down - 6.80%

Consumer Services - Up 3.10%

Precious Metals - Down - 6.61%

Advertising - Up 2.95%

Consumer Electronics - Down - 6.11%

Mining, Diversified - Up 2.93%

Automobiles - Down - 5.83%

Video Game Stocks are Hot!

The Toy Stocks have been performing well largely based on excitement about the release of Microsoft's Xbox. New gaming systems should put Electronic Gaming on the Rise as the worldwide sales of Video Games are projected to jump 71 percent to nearly $86 billion over the next five years. Unlike the Fuel Cell Stocks the companies on our Video Game Stock List are veterans of numerous gaming systems wars based on powerful new upgrades.

The Bull Sector has put together several new lists this week and updated a few more!

The (Miscellaneous) Capital Goods Stock List

The Companies on the (Miscellaneous) Capital Goods List are involved in a wide range of distribution services and equipment manufacturing including but not limited to the manufacture of turbines, hydraulics, diesel engines, air conditioning, heating, welding products and cutting products, graphic arts equipment, air pollution control systems, robotics and much more used in a range of industries. Here are the symbols of the stocks below. In addition you will find the symbols from Yahoo below:

AAON ABCC.OB ACRG.OB ACSEF ADTK AENG.OB AITX.OB ALDV AP ASD ASTE ATU AQCR BERS.OB BGG BHAG BLD BLT BMKS.OB BNS BNSO CAE CECE CMCO COHT CRAN CPST CREO CTOO CUM CUNO CUO CYD DCI DCU DECT EEC DTII DYMTF.OB DXPE EASI EDCO.OB EEC EMLTF ENO EPAT.OB EVTN.OB FARL.OB FJC FLOW FLS FTEK GDI GEG GGG GGNS GHM GWOW.OB GWW HDNG HELP.OB HOO HRSH HSC HUG IEX INDG INTK.OB ITEQ.OB ITW JIT MIDD KSWW.OB KTEC LAN LECO LII MCC MFRI MMAN MMG MPML MPR MRAY.OB MRY MSEV.OB MSM MTD MX MZ NC NDSN NOI NOLD NTK NURM NWPC.OB OLGR ONPT OSM PAMC.OB PECN.OB PEQM.OB PMFG PRAB.OB PRST PRTK PURE PURO.OB PV QPDC.OB QUIP RBC RBN RESR RGUS.OB ROBO ROP RPIN.OB RTNC.OB SFAM SGT SHS SIDT.OB SISI SLS SOTK.OB SPW SPZN SSSS STEK.OB STRDD SURE SVEIA.OB TAPI.OB TAYD TBMH.OB TBWC TCGN.OB TDI TECUA TEX TFG TFRY.OB TFT THMC.OB THM TII TLXAF TNC TORQ.OB TSTA.OB UNA VENT WEBP.OB WSO WTBK WTEK.OB XEIK YRK ZBRA

AAON through ZBRA

The Miscellaneous Fabricated Products Stock List

Companies on the Fabricated Products List are involved in a wide range of manufacturing; including the manufacture of fabricated metals, wires, tubes, bearings and other fabricated structures used throughout a wide range of industries.

AATK ABCR AGI AIZ AMSC ATPX B BGC BMM BOOM BWC CAS CENX CGUL CIR CIX CMC CMIN CR CSI CUR CVNR.OB CVR DGIX.OB DRH DRRA EC ERS FAST FLMK FNL FSCR FSTR GKIN.OB GNRL HIHO HXL IDG IHII IMR JIT KDN KIN LAWS LBMT.OB LDSH MAD MATW MGRPC MILAA.OB MLI MSC MUI NANX NNBR NSYS OCCF PH PKOH PNN PRAC.OB PY QEPC RAY RS RTI RUN SGR SGTN.OB SHLO SKFR SNHY SSD ST SUPVA SUT TKR TWR VALM WEB WIRE WLV WTS ZEUS

AATK through ZEUS

The Coal Stock List

You say you got coal for Christmas? Well if you got stock in a coal company around Christmas 2000 you would be feeling a bit more filthy rich right now in May of 2001. Peabody Energy (BTU) went public on May 22, 2001, and it closed 31% higher than the IPO offering price. Take a look at the stocks on our coal list and see if you don't wish your Christmas list included one of these! You might also be interested in companies are engaged in the exploration for and production of crude oil and natural gas. If you are interested specifically in Natural Gas Stocks then check the Natural Gas List. Oil Drillers? Check the Oil Drillers List. You might also be interested in our Oilfield Equipment and Services List.

ACI ARLP BHP BRCO.OB BTU CNX HDWR MEE SGII.OB WLB YZC

ACI through YZC

The Photography Stock List

OK, we admit that you might be fed up with those Kodak Moments but just in case you're not then you might want to check out the stocks on our photography list!

ADTI.OB BTNE.OB CMLH CPAK CPFR.OB CPY EK EMRT FOTO FUJIY HDTV LENS LEXR MOTOE.OB PHOC PIAM.OB PRD PSRC PVI SEQLE.OB WINT.OB

ADTI.OB through WINT.OB

We will continue to add to and update the lists at the Bull Sector. Please help us to grow by letting us know what stocks we are missing on our growing lists of stocks. We would also appreciate it if each and every one of you reading this message would help the Bull Sector to grow by sharing it with your friends. Our goal is to help you with your research. True we cannot profit if you do not occasionally click on our advertisement banners but we use our lists for research too.

One of the stocks we recently featured Siliconix closed the last week up over 20% on a buyout from Vishay. National Quality Care has fallen back to excellent buying levels after moving well over 200% from its yearly lows and more than doubling from our recommendation prices. These are great companies and there are many more that can be found while doing your own research at the Bull Sector. Well that's about it for this week. Please stay off margin and invest responsibly.

You might want to stay abreast of this week's Calendar of Economic Events:

The upcoming Weekly Economic Calendar from Equidex:


May 20, 2001: Gold Stocks Roar - New Lists and Updates at the Bull Sector:

Gold Stocks, Precious Metals Stocks, Aluminum Stocks and those associated with Mining and Metals were among the most outstanding performers in another strong week on Wall Street. As we told you last week the best performing industry over the last six months has been the precious metals industry. That performance only shined brighter this week as the stocks in the group added another almost 14% to their recent gains. Why is this occurring when inflation seems tame outside of the oil patch? It could be short covering causing gold prices to surge but gold has had a difficult time holding gains over the last 20 years. Will this time be different?

One thing seems fairly certain to us at the Bull Sector and that is that we have turned the corner and begun a new Bull Market. Still there are many reasons to be cautious going forward because earnings for technology stocks remain very much in question. Despite that fact we are seeing more and more signs that the stockmarket including the NASDAQ have bottomed and begun a sustained recovery. Sure we are going to see some pullbacks but they will be buying opportunities.

Recent IPO strength and the broad based rally that even has many of the worst performing industries in the market up last week cannot be denied as evidence of the early stages of a New Bull Market.

If the NASDAQ can close above 2250 then we will have confirmation of a new Bull Market.

We still have some cause for concern because of the strength in gold stocks and the so far failed efforts of the NASDAQ to breakout above resistance. To be sure it may yet be many months before technology stocks break through and show the earnings growth we normally attribute to a Bull Market. Yes there are still many clouds on the horizon so please stay off margin and avoid investing with risky strategies.

That being said you should take some time to really map out an investment strategy for this Bull Market. Why not start with some of the stocks in those groups that have been showing great strength lately. Below you will find evidence of just how broad based this rally has been. On Friday many industries performed well but none outshone gold and precious metals with the possible exception of the stocks on our Fuel Cell List. Gold stocks always outperform the percentage gains seen in actual gold prices by a great margin when gold prices are rising as they have been lately. Alternative energy stocks have seen a great deal of interest rising in response to investors seeing the future potential here for companies that might help solve the current energy crisis. So what industries did well on Friday? You'll find them below with the best performers highlighted in bold:

Airlines, Aluminum, Banks, Regional Banks, Computers, Consumer Electronics, Footwear, Fuel Cells, Gold, Insurance, Internet, Iron & Steel, Mining & Metals, Natural Gas , Oil, Oil Drilling, Oil Service, Precious Metals, Railroads, Real Estate - REITS, Retailers, Semiconductors, Telecom, Tires, Utilities, Wireless

How About the Hottest Industries over the last week?

Last Week's Hot and Cold Sectors Courtesy of Big Charts and CBS MarketWatch:

So what was hot last week and what was not?

Hot Sectors

Cold Sectors

Precious Metals - Up 13.88%

Retailers - Down 2.13%

Aluminum - Up 11.57%

Food Retailers & Wholesalers - Down 1.64%

Oil Drillers - Up 11.50%

Cosmetics - Down 1.61%

Consumer Electronics - Up 11.23%

Automobiles - Up- 0.06%

Oilfield Equipment - Up 11.16%

Wireless Communications - Up 0.12%

Mining & Metals - Up 10.96%

Food Products - Up 0.25%

Tires - Up 9.34%

Home Construction - Up 0.55%

We would like to share a new list and a couple updated lists from the past week with our readers so if you are interested then please read on below:

Newly Updated Water Utility Stock List:

These companies provide Water Utility related services. Several of these companies are involved in Desalination and other methods of making salt water and other contaminated water supplies safe for drinking. Despite the fact that 2/3's of the Earth's surface is covered with water less than 1% is actually Potable Water (safe for drinking). Forty countries actually have no safe water. Mexico is one example. Even San Diego here in the United States has no clean water supply and must siphon off water from the Colorado River. Four leading companies with excellent technology to make water potable are American Water Works (AWK), Insituform (INSUA), Ionics (ION) and Philadelphia Suburban (PSC). You might be interested in our broader Utility List, Electric Utility List or our Gas Utility List.

The Water Utility Stock List

ARTNA AWK AWR BIW CTWS CWCO CWT INSUA ION MSEX PNNW PSC SJW SWWC UU V WWTR.OB YORW

ARTNA through YORW

Newly Added Motion Pictures Stock List:

In an effort to expand on the stocks within the Service Sector we give you the Motion Pictures Stock List. These stocks include companies responsible for the creation of major motion pictures, television programming, cartoons, commercials, videotapes and CDs. Some are Movie Theater chains or involved in other forms of entertainment. You might also be interested in our Entertainment List, our Recreation Products and Services List or our Advertising and Media List.

The Motion Pictures Stock List

AACB AEN BDVM.OB DCPI DISK DMEC.OB DRCX.OB ETNT.OB FILM FMLY.OB FOX FRSTE.OB GCX HRVY.OB IMAX ISTC.OB ITAT.OB IWRK.OB JTWO KLOC.OB KMGGE.OB KREN.OB LGF LPAC LWIRA MGM MMTS.OB MVSN NOOF NSKY.OB OPIX.OB PAE PIXG.OB PIXR PMGH.OB RANKY RDGE RENT ROMN.OB SBAQ.OB SMTV.OB SYCD.OB TMTV VDIM VIAB WON

AACB through WON

Newly Updated Recreational Products and Services List:

The market is behaving well enough to make an investor feel as though he might one day have a little discretionary income to spend once again but where are you going to spend it? The stocks on our Recreational Products and Services List include theme parks, recreational activities and methods of escaping the everyday world while seeking out what most would simply call fun!

The Recreational Products and Services Stock List

AASP.OB ACAT ACEI.OB ACTN ADGO AEN AGAM ALDA AMBW.OB AMCN AMCV AORGB ATVL.OB BBI BC BFT BIKE BOO BOS BPAO BTNE.OB BULL BWLA CCL CHLD.OB CNOW.OB COA CRG CTIB DAB DFXI DIS DMH DVD ECEC.OB EDGE.OB EK EKC EQUUS.OB ESCA ETPI.OB FAIRC.OB FGCIE.OB FLE FPWR FTSP FUJIY FUSA FUN GCX GET GMTC GOLF GTLL GTK HDI HLYW HUF IGT ILI IMAX INNO ISCA IWRK.OB JOUT JVTT.OB KIDQ.OB KIT KRUZ.OB KTO LEIX LENS LTFD LVB MAGZ MBEW.OB MEAD MGAM MIEC MIKN MOVE.OB MOVI MPH MTN NVH ONST.OB PAR PELP.OB PENN PHOC PFIT.OB PII PKS POC PRD PRED PSON PVI RANKY RAWL RCL RDL REXL RICK RIFL ROCLF RUS SCC SCY SGM SHFL SKI SKYL.OB SNLV.OB SWIM TAUR.OB TBA THO TIXX TRAK TRK TRV UMCC.OB VFLX WEBQ.OB WGO WMS WOWI.OB WSKI.OB WWF ZAPP

AASP.OB through ZAPP

Calendar of Economic Events:

The upcoming Weekly Economic Calendar from Equidex:

Well that's about it for this week. Good luck with all your investments and thank you for visiting the Bull Sector.


May 13, 2001: We're Back!

Our hardware problems are behind us for now.

The market is behaving just about the way we expected it to do when we sent out our last weekly update. Technology related shares are pulling back in an attempt to consolidate gains. Meanwhile we wait for the FED to deliver yet another interest rate cut on Tuesday along with guidance on future moves. Economic data is getting more and more positive with retail sales rising in April along with an unexpected rise in consumer confidence. We even got a smaller than expected jobless claims number. It is no wonder that many are now questioning the size of future rate cuts.

At first blush the action in the market this last month has most believing that a new Bull Market has already begun. We think that may indeed be correct but there are numerous reasons why we are not yet ready to call the Bear Market in technology dead just yet. Despite the strength in the NASDAQ since the first week in April technology shares remain the poorest performing shares over the past six months.

Six Month Industry Performance from CBS MarketWatch and Big Charts

On the one hand this would seem to indicate that these oversold technology shares offer the potential for the highest returns later this year. In all honesty we agree with that thinking. Unfortunately on a short term basis many of these industries remain over bought and could continue to see profit taking as earnings season winds down and investors begin to fret again about the state of the economy and the recession in technology earnings.

Assuming we get some additional selling in technology shares we advise that investors begin to open positions in those technology companies they know will truly benefit from an upcoming economic expansion. There is no need to rush into any position in our opinion. Take your time to do your homework on numerous stocks while picking your own ideal entry points. We suggest you also follow the principals of basic technical analysis and try to buy your shares on dips rather than jumping into a rising market.

At the present time we are still in the late stages of an economic downturn rather than an expansion. As such the discussion of the market having gotten ahead of itself where it concerns technology shares should reach a feverish state as we move into what increasingly looks to be a long hot summer.

Energy prices in most areas are at record highs putting cost restraints on both industries and the consumer alike. The IPO market has shown little evidence of being able to reawaken during the next few months. Increasing numbers of out of work job seekers could easily dampen consumer confidence. At the same time the number of Internet start ups, Telecom Companies and Communications Technology Companies declaring bankruptcy should continue to grow adding further fuel to the fire.

Those are the negatives.

On the plus side we have seen already four interest rate cuts with the FED vowing to do more. Recent economic data suggests that we may already be seeing some positive influences from these rate cuts in consumer confidence and spending. Unfortunately we may have to wait another couple of months before we get a clear picture of how much impetus these rate cuts have given to the broader economy and technology companies in general. Take a moment and reflect on this chart from StockChart.com:

Sector Rotation Model throughout Economic Cycles

Our advice is that you as an investor use any weakness in the market to round out your investment portfolio. No matter how long it takes we will be moving into an economic expansion beginning later this year or at the latest early next year. The computer age and usage of the Internet are still in their youth. Microsoft will be releasing its newest consumer software product Windows XP as early as October. This one product could reinvigorate personal computer sales due to the number of bundled products Microsoft is offering. At any rate we would not bet against it.

As we closed out the week we found relatively few industries capable of showing any strength in the face of profit taking. Those that did well on Friday are as follows:

Healthcare Providers, Medical Equipment, Real Estate REIT, Utilities

Over the course of the last week it has become quite easy to see that investors have become increasingly reluctant to buy technology shares at current prices. Here are the weekly sector performance numbers from some of the basic industries:

Last Week's Hot and Cold Sectors Courtesy of Big Charts and CBS MarketWatch:

So what was hot last week and what was not?

Hot Sectors

Cold Sectors

Precious Metals - Up 8.50%

Semiconductors - Down 5.95%

Railroads - Up 7.65%

Wireless Communications - Down 5.88%

Apparel Retailers - Up 7.41%

Technology, Software - Down 5.17%

Pollution Control - Up 7.31%

Factory Equipment - Down - 4.93%

Home Construction - Up 4.6o%

Technology, Hardware - Down 4.87%

Heavy Machinery - Up 4.01%

Security Brokers - Down 4.52%

Consumer Electronics - Up 3.58%

Toys - Down 4.51%

The upcoming Weekly Economic Calendar from Equidex:

Now that we have our hardware all back up and running we hope to move back into expanding the Bull Sector with new lists as well as updating the sites current lists. We have been very pleased with the recent action of our stock pick NQCI.OB. We believe the stock remains undervalued despite recent strength.

At any rate we are moving ever closer to the best of investing times for market Bulls. Remember as always to stay off margin and to set reasonable stop losses if you buy in this market because for now the volatility seems certain.


May 6, 2001: Due to necessary hardware repairs there will be no daily or weekly updates during the next two weeks.

We are very sorry for the inconvenience. We hope to be able to continue to update our lists despite the hardware problems. The Stock Buyback List is now updated for instance.


April 29, 2001: Up the Down Staircase - Several New Lists at the Bull Sector

Are we really ready to move higher on the NASDAQ or are we just seeing another Bear Market Rally doomed to failure?

The strength in the market shown through the close on Friday was delightful to anyone even remotely Bullish about the future for the stockmarket. Only the falling volume and the failure of the NASDAQ to close above its 50 day moving average at approximately 2078 leaves us pondering whether we have truly put the worst behind us and are ready to begin a sustainable upswing. The DJIA has already moved back into very positive trading territory while the NASDAQ cannot quite seem to get over the hump.

Looking through numerous after-hours quotes from Friday it would not be hard to believe that the NASDAQ will open strongly on Monday and begin to break down the skepticism it has been infused into long-term bulls like ourselves. Still the dwindling volume that managed to show such strong gains in so many technology sectors on Friday seems to indicate that the institutional investor is not yet willing to hold technology stocks for long. Indeed we have read and hear numerous interviews suggesting that many institutional investors are using rallies to take profits on their own short term technology positions in hopes that they will be able to buy again in the not so distant future at lower prices.

Surely, the way the market has reacted lately by largely ignoring bad news from so many technology companies indicates that the worst may indeed be behind us. Unfortunately there are those who predict that once earnings season is over the market will trade lower all over again. The harsh reality is that increasing numbers of unemployed workers can drive consumer confidence even lower while consumer spending slows. There simply are not enough companies providing actual visibility as opposed to gut feelings on their own company's future earnings growth. As such we expect that we may have at least one more sell off before we can truly see another Bull Market emerge. Certainly for now; Optimism Rules on Wall St. But Data Lurks.

Friday was an excellent day for the market with a broad advance based on GDP numbers that doubled expectations. Despite the recent drop in consumer confidence consumer spending actually increased at a 3.1% annual rate. Business inventories also fell $7.1 billion. This hasn't happened since 1991. These numbers are hugely positive.

Technology companies have been wrestling with write offs based on unsold inventory. Perhaps they too will will ultimately benefit from falling inventories as supply falls and demand increases resulting in pricing pressure and renewed rising profitability. Unfortunately there were also some indications of inflationary influences in the GDP numbers but as of the close of the market on Friday there seems to be little fear of those potential problems now. The following sectors were just some of the winners on Friday with the biggest winners highlighted in bold:

Advanced Industrial Equipment, Airlines, Aluminum, B2B, Banks, Biochips, Biotech, Brokerages, Chemicals, Computers, Drugs, Fiber Optics, Footwear, Forest & Paper, Genomics, Gold, Hardware, Healthcare Providers,
Heavy Construction, Home Construction, Insurance, Internet, Internet Security, Investment Banks, Major Drugs, Oil, Pharmaceuticals, Proteomics,
Railroads, Real Estate - REITS, Storage, Retailers, Semiconductors, Software, Telecom, Tobacco, Wireless

On the week we saw some solid moves in many of the stocks associated with the Home Construction Industry as well as the Energy Industry. Sales of existing homes soared in March to the second highest level on record. This is hardly typical of a failing economy so maybe things are not so bad are they? Energy Related stocks and Mutual Funds also rose nicely this week but what happens when energy prices finally begin to fall?

Lets take a look at what did well and what did not last week. These numbers do not reflect Friday's close.

Last Week's Hot and Cold Sectors Courtesy of Big Charts and CBS MarketWatch:

So what was hot last week and what was not?

Hot Sectors

Cold Sectors

Heavy Construction - Up 15.29%

Advanced Industrial Equipment - Down 11.99%

Home Construction - Up 10.77%

Communications Technology - Down 10.78%

Oilfield Equipment - Up 10.00%

Technology, Hardware - Down 7.29%

Steel - Up 9.07%

Computers - Down - 6.68%

Oil Drilling - Up 8.92%

Semiconductors - Down 5.44%

Consumer Electronics - Up 8.80%

Technology, Software - Down 1.97%

Tobacco - Up 8.08%

Advertising - Down 3.37%

Coming up:

It's going to be a busy week filled with economic data. We managed to borrow the calendar of events for your viewing here. You will find it at the bottom of this report. If the NASDAQ can actually sustain a breakout move despite all the bad news we have seen recently from technology companies then we are ready to climb fully on board. If not we intend to watch the NASDAQ closely for an opportunity to invest in Semiconductor Industry Companies at what we hope will be a final bottom. The swings we have seen in this Bear Market have been very extreme in nature. Our fear is that we will see another sell off based on actual inflationary fears that may move the FED to a neutral bias before the economy can truly begin to recover. Despite those fears we have expanded our Semiconductor List to include several new subsectors of this industry including the companies on our Integrated Circuits List, our Memory Chips List and our Semiconductor Equipment Materials List. If you follow the industry strength provided by BarCharts.com then you know that these industries have badly under performed this last year but that will not be the case in the next Bull Market.

The Integrated Circuits Stock List

AFCO AHAA AMCC AMKR ANAD APTI ARTI ASTSF AVNX AXTI BRCM CAMD CLTK CNXT DIOD ELNT EMKR EXAR FCS GNSS GSPN HIFN HTEK IBIS INSN IRF MCRL MLIN MRVL MSCC MTLK NUFO OPLK PLXT PMCS PXLW RFMD SAGI SILI SIPX SMDI SMTC STLW SUPX TFS TO TQNT TSEM TSM TVIA TXCC UMC VRTA VTSS WFR

AFCO through WFR

The Memory Chips Stock List

ALSC ATML CHPC FLSH ISSI MIPS MIPSB MU MXICY RMBS RMTR SIMG SSTI SYXI VIRL XICO

ALSC through XICO

  The Semi Equipment Materials Stock List

ACLS ADEX AEHR AMAT ASMI ASTT ASYS ASYT ASX ATMI BESI BRKS BTUI CMOS COHU CREE CYMI DPMI EGLS FSII GGNS HELX IFRS IMSC KLAC KLIC LPTH LRCX MCTI MTCH MTSN NVLS LTXX OSIS PHTN PLAB PRIA PSIT REAL SFAM SPIL STTS SVGI TGAL TER TRKN UTEK VSEA XXIA

ACLS through XXIA

You will also find that we have added some excellent semiconductor information resources links. They are as follows: Semi.com I Semichips.org I Kirk's Semiconductor Links I Gottfried Semicharts I Wennerstrom Semi Equipment Analysis at SI

In addition we added some additional stocks to our Online Auto Sales Stock List which we have renamed the Auto Dealership List. This is a more appropriate name as even older profitable auto dealerships also have online web sites so we saw no reason to have two lists.

Updated Auto Dealership List:

These companies provide Online Auto Sales and Services. Also included are some of the more traditional Auto Dealerships. Perhaps you are interested in a list of the Traditional Automotive Industry or the larger Automotive, Tire, & Accessories List or perhaps just a list of Tires Industry Companies then we have that list too

The Auto Dealership Stock List

AWEB ABTL AN AUTC.OB GPI HCAR.OB KMX LAD NVDC RUSH SAH UAG

AWEB through UAG

Well that's about it for this week. Stay off margin and stay positive about the future. Longer term the stockmarket has outperformed any other investment vehicle bar none. The economic calendar for next week can be found below:

Next Weeks Economic Calendar Courtesy of Equidex

Monday, April 30

0730 CT: March personal income and outlays (February: income +0.4%, spending +0.3%; Forecast: income +0.4%, spending +0.2%)

0800 CT: April New York purchasing managers report (March: 50.0)

0900 CT: April Chicago purchasing managers report (March: 35.0)

AROUND 1230 CT: Treasury releases results of auction of $17 bln of 13- & 26-week bills (Previous: 13-week accepted rate 3.655%, 26-week 3.665%)

Tuesday, May 1

0800 CT: Redbook weekly survey of US retail sales (April +1.2% from March)

0800 CT: Bank of Tokyo-Mitsubishi weekly US chain store sales (Week ended April 21 +0.4%)

0900 CT: March construction spending (February: +0.6; Forecast:+0.4%)

0900 CT: April NAPM manufacturing index (March: 43.1, price index 49.0; Forecast: 43.7, price index 48.5)

Wednesday, May 2

AROUND 0830 CT: Treasury releases details on its quarterly refunding

0830 CT: Federal Reserve Gov. Laurence Meyer testifies about real estate brokerage activities to a House Financial Services subcommittee

0900 CT: March factory orders (February: -0.4%; Forecast: +0.1%)

0900 CT: Semiannual NAPM manufacturing, non-manufacturing surveys

0900 CT: Chicago Fed national activity index (February: -0.89)

1015 CT: S.F. Federal Reserve Bank President Robert Parry speaks on the role of the Fed in the economy; Costa Mesa, Calif.

1730 CT: ABC/Money Magazine releases consumer confidence polls

Thursday, May 3

0730 CT: State unemployment claims for week ended Saturday (Week ended April 21: +18,000 at 408,000)

0900 CT: April Challenger monthly layoff report (March: +60% to 162,867)

0900 CT: April NAPM non-manufacturing index (March: 50.3)

1330 CT: Treasury announces size of 13- & 26-week bills

1530 CT: Money supply statistics

Friday, May 4

0730 CT: April employment (March: Jobless rate 4.3%, non-farm payroll jobs -86,000, earnings +0.4%; Forecast: jobless rate 4.4%, payrolls +50,000, earnings +0.3%)

0800 CT: Chicago Fed Bank President Michael Moskow addresses Valparaiso University's College of Business Administration; Valparaiso, Ind. Topic to be announced.

0830 CT: April Economic Cycle Research Institute's future inflation gauge (March: 111.0)

0845 CT: April Foundation for International Business and Economic Research (FIBER) leading inflation index (March: 98.5)

1515 CT: Commercial/industrial loans


April 14, 2001: New Bull Market

The Bear is dead... long live the Bull!

Not so fast... this is not yet a forgone conclusion just yet.

Finally the Federal Reserve gave us the interim rate cut we have been asking for after what... well... what seems like forever. We believe the economy and the market so dearly needed this rate cut because it opens the door for an additional rate cut on May 15. More rate cuts in a smaller period of time equals necessary economic stimulus. This rate cut along with future cuts is important because we believe it will ameliorate what will be falling consumer spending in the coming months. As a result of what most on Wall Street are calling a surprise interest rate decrease we saw the extension of the recent stockmarket rally... especially in technology stocks.

But the "surprise interest rate cut" did not manage to lift all the normally interest rate sensitive sectors of the market for long. Before continuing to read our own discussion on market action this week you might want to read this excellent article on the subject from CBS MarketWatch: FED Surprise Lifts Many Boats.

Our concern is that the economy is going to show profound deleterious effects from the massive numbers of workers joining unemployment lines in recent weeks.

This week however we began to see enough strength in the NASDAQ in many sectors to see some individual stocks set themselves up for leadership roles in a new Bull Market.

Make no mistake a new Bull Market is coming.

We now believe the worst is over. Certainly although we now expect several weeks of consolidation we no longer expect that the NASDAQ will test recent lows. That only would have happened if the FED had not given us an interim rate cut.

Lets take a moment and discuss the traditional beneficial effects of falling interest rates on various sectors.

If you been watching the market recently then it is obvious that technology companies are beneficiaries of lower interest rates. It costs companies less to initiate growth when that growth is based on debt that is financed at a lower cost. As such the sector in the larger sense will benefit from lower borrowing costs and increasing returns on sales. Unfortunately most technology companies traditionally turn to the equity market to finance their growth. In addition sales at most technology companies are only now reaching a cycle bottom making cash on a hand a very valid concern. The economy needs to show growth itself to spur the equity markets. Where will that growth come from?

Ultimately the largest portion of our economy is still the consumer. Consumer spending has been dropping. We will get some additional insight in this area this week when we will get a look at some key economic numbers in this area; On Tuesday, consumer confidence numbers and on Wednesday the new and existing home sales numbers will be out.

Two things need to happen that will officially start the next Bull Market. Increased consumer spending based on increased consumer confidence. The kind of confidence that comes from a rejuvenated economy where technology companies stop laying off workers and begin to hire new ones. Also and perhaps more important to the stockmarket will be the return of real success in the IPO market. We don't need companies with no chance of success based on their business plans to go flying higher on the day of their IPO. We do need to see enough demand in the market for new IPO's with real business plans that brokerage houses and technology companies can actually have a chance to grow through the equity market.

Lower interest rates generally spark this kind of activity and growth but it sure has not happened yet. We are on record stating that the Federal Reserve still has room to cut rates another full point. We believe this will prove to be necessary. It seems that on a daily basis we are removing former high flying dot coms or small telecom companies from our lists as they fall prey to bankruptcy. The result is that despite lower interest rates far too few companies are able to find new money in the equity market and the number of IPO's entering the market has fallen to near nothing this year. This will improve later this year in our opinion.

For now, technology stocks and the NASDAQ in general look to be somewhat over extended after our recent rally. We believe we will see additional consolidation, or profit taking, over the next few weeks. Communication Chip Stocks seem like a perfect example of an overextended group. Take a few minutes and read through some of the comments from CEO's of the various companies in this sector. Their expectations are for lower growth going forward and and yet many of these stocks have rallied tremendously in the face of bad news. We wonder how long, in the short term, these stocks can continue to climb in the face of lowered expectations.

Although many companies within the Semiconductor Industry now believe the worst is behind them it is difficult for us to believe we will not see some additional profit taking after recent strength in the sector that may not be factoring in lower growth rates now being forcasted for the remainder of 2001 and even 2002 by most companies in the industry. Semiconductor Stocks are widely considered the guts behind any technological economic cycle. These companies are among the most profitable of all technology stocks when times are good. This is why the group has done so well the last couple of weeks in the belief that an economic recovery is on its way. We just think these stocks are now ahead of themselves and should be bought on dips because of lowered earnings expectations and the high probability that the economic recovery remains several months away.

The market the last couple of weeks has shown incredible strength in B2B, Semiconductor Stocks, Fiber Optics Stocks, Internet Stocks, Technology, Hardware Stocks, Technology, Software Stocks in general. Strength that may not last but which will ultimately strenght that will be rewarded as Lowered Expectations Lead to More Companies Beating Analysts' Earnings Expectations. In our opinion beating expectations will once again become the norm by the end of 2001 and certainly throughout 2002. We may not return to the heady growth rates that were sparked by the Internet Revolution but we will see most companies beat their numbers.

It is for that reason that this coming consolidation in the market will offer some of the best opportunities to longer term investors seen in years in the way of risk to reward. Interest rates are lower and they will be going even lower benefiting many sectors.

Banking Sector Stocks for instance should shine because they will see increasing profits based on the larger spread they can charge borrowers. In addition more borrowers will appear as the economy recovers. Brokerage Sector Stocks will do well as the stockmarket rally broadens out and IPO's begin to reappear in full force. Take a look at our NASDAQ Chart from BigCharts. Pay close attention to the volume.

5 Year NASDAQ Chart

Brokerage Stocks have not yet truly begun to benefit from lower interest rates despite the increase of volume you will see on the chart. This will change when IPO's begin to make healthy gains and increasing entries into the market. One such IPO that we can look forward to that might lead the charge is Instinet Group LLC. A Surprising Surge in Trade Volume Boosts Instinet's First-Quarter Net according to the Wall Street Journal Online and it is just one additional sign that the stockmarket is alive and well. IPO's and more investment in small cap stocks and even those stocks on the OTC BB will greatly benefit the stocks in the brokerage sector. There are signs that this is already occurring as can be seen in a recently profiled OTC BB stock at the Bull Sector; WorldNet Resources Group which is currently on a technical breakout.

Cyclical stocks will also benefit as strength returns to the economy. Cyclicals stocks that we can expect will benefit from lowered interest rates include companies in the Auto Industry, Chemical Industry, Paper and Forest Products, Iron and Steel and the Retail Sector among others.

Sectors which may show some strength in the next few weeks are those commonly called defensive stocks. But going into the later part of 2001 and 2002 we do not see these areas as the best place to be for potentially high returns. Drug Stocks, Healthcare Facilities, Pharmaceuticals, Utilities and Tobacco companies will most likely underperform over the next year. Their earnings while much more predictable in a declining economy are already arguably fully priced. In addition energy related shares can expect profit taking as new sources of energy produce falling energy costs.

On Friday the profit taking we are expecting began with Semiconductor Stocks and Internet Sector Stocks leading the downside which on a positive for the bulls came on lowered volume. The losses were really quite small considering the gains throughout the market this week but there was pressure also seen in the following sectors; Airlines, Biotechs, Consumer Financials, Drugs, Retail Stocks among others.

On the plus side we saw some strength in the following sectors: Fiber Optics, Footwear, Gorilla Stocks, Oil, Oil Service, and Storage Stocks.

On the week we saw technology shares extend recent gains in such a strong fashion that most on Wall Street seem to cautiously agree the Bear Market is dead. Check the chart below where the gain in Advanced Industrial Equipment might be somewhat less than what was seen on our own Fiber Optics List which contains many of the same stocks.

So what was hot last week and what was not?

Hot Sectors

Cold Sectors

Office Equipment - Up 21.94%

Cosmetics - Down 6.83%

Advanced Industrial Equipment - Up 18.97%

Water Utilities - Down 4.91%

Computers - Up 18.31%

Pollution Control - Down 3.71%

Technology, Hardware - Up 15.71%

Savings & Loan - Down - 2.40%

Entertainment - Up 15.35%

Food Products - Down 2.09%

Technology, Software - Up 15.00%

Toys - Down 1.97%

Semiconductors - Up 14.22%

Pipelines - Down 1.83%

The Bear may be dead but has a new Bull Market started?

To us that remains to be seen but we will be buying into any dips in those stocks that we believe will benefit most from an economic recovery. Over the next few weeks we hope to initiate numerous positions in those areas expected to benefit most from lower interest rates as we see the beginning of a new Bull Market. As always stay off margin, keep your stop losses in place and remain positive on the future.

If not now, then soon, the stockmarket will once again be the place for investors to see the best returns possible. At this time the economy is still in decline and searching for its own bottom. As a leading indicator the stockmarket has been saying that the economic recovery is coming.


April 14, 2001: Four Steps Up, What Now?

What a great week for the market.

The NASDAQ had four straight days of gains. We haven't seen anything like that since the technology led rally that fizzled back in January. The big question on everyone's minds is simply this; is this rally for real or just another attempt doomed to fail in Bear Market? Lets be honest, the news out this last week was not exactly stunningly positive (it was bad!) but despite that fact the market has been rallying in the face of increasingly little evidence that the economy is doing the same. Before we continue our discussion lets take a look at some of the sectors that did well on Thursday before the market closed for Good Friday. The big winners are marked in bold: Advanced Industrial Equipment, B2B, Banks, Biotech, Brokerages, Communications Equipment, Computers, Drugs, Electronic Components, Fiber Optics, Hardware, Internet, Iron & Steel, Networking, Oil, Oil Service, Pharmaceuticals, Semiconductors, Software, Steel, Tobacco, Telecom, Wireless

But this was not just a one day rally. Take a look at the week long numbers and you will find some huge percentage gains in the sectors that were leaders last week:

So what was hot last week and what was not?

Hot Sectors

Cold Sectors

Semiconductors - Up 24.16%

Distiller and Brewers - Down 11.11%

Wireless Communications - Up 22.07%

Cosmetics - Down 4.22%

Securities Brokers - Up 21.57%

Food & Beverage - Down 4.11%

Technology, Software - Up 21.21%

Soft Drinks - Down - 3.61%

Communication Technology - Up 18.67%

Healthcare Providers - Down 3.35%

Technology, Hardware - Up 18.28%

Food Retailers & Wholesalers - Down 2.99

Advanced Industrial Equipment - Up 17.89%

Food Products - Down 2.59

Investors might be well advised to return to the information we put together in January on that failed rally and ask yourself what has changed since then?

Technology stocks and the NASDAQ in general has fallen significantly since the end of January and therefore they are rallying off what is either a real bottom or at least much closer to a real bottom. More importantly every stock sector that had assumed a leadership role last year has seen its gains trimmed losing their leadership roles and we now await enough strength in any sector of the market to show us we have some leadership back in the market. Lately it seems like we see one week's worth of rally in technology followed by selling while money rotates back into the old economy stocks. Perhaps this week we will see some follow through for technology stocks and the NASDAQ. On the NASDAQ there is some resistance at 2000 and we need a breakout above 2090 to make us believe what we have been witnessing is more than a Bear Market fake out rally.

Last week we got an upgrade on the Semiconductor Industry resulting in an impressive rally but this weekend Barron's suggests that the: Semiconductor Market Can Only Get Worse. Who is right? Well if we do not see some follow through on the SOX this week then the NASDAQ is in trouble again. Several chip stocks are now considered to be back at breakout levels. If these stocks could make real moves higher this week then we will consider the technology rally real. If that happens then the perhaps the Bear will be dead but we advise caution. In any event we are entering the meaty portion of the earnings season. ZDNet has put together an excellent list of expectations for big name stocks reporting this week. The Steel Sector was also upgraded last week and looks ripe for some bottom fishing on any additional selling.

Despite the recent strength in the stockmarket economic data is piling up that suggests that the Federal Reserve is well behind in its efforts to spark a recovery. Jobless claims jumped much higher than expected last week. We don't see how this should be really very surprising with the numbers of workers being let go at major companies all throughout the economy. One of the sectors that traditionally rallies as the Federal Reserve cuts interest rates is the Retail Sector. This week the sector took a hit because retail sales fell 0.2% instead of holding steady as expected. Naturally the consumer confidence numbers shown be the Michigan Sentiment Survey showed preliminary April numbers that actually dropped more than expected to 87.8 after rising to 91.5 in March. The bottom line is that the Fed is well behind the curve here. Short term rates from the FED are at 5%.
The short term treasuries rates are at 3.5%. Basically that gives the Federal Reserve room to drop interest rates another 1 1/2 percent. If they wait until May 15 to lower interest rates again then we believe this recent rally is doomed to fail. There simply is not enough growth, if any, in this economy yet to sustain a stockmarket rally.

That being said there is more than enough opportunity to play rallies when they take place as we did in this recent Semiconductor Sector move. One of the things we have been doing is adding all the profitable low float stocks we can find to our Low Float List. Many of these stocks we have found on our Semiconductor List and our Fiber Optics List. It does not take many shares to move a stock a small float stock higher. Such was the case with California Micro Devices (NasdaqNM:CAMD) when it moved 68% higher on Friday.

Other than doing lots of research and updating lists at the Bull Sector this week we added only one new list of stocks for interested investors this week.

The Food & Beverage Stock List

ABR ABV ADM AGX AKOA AKOB ALCO ANDE ANIIC AOR ARMF BAS BEERF BFA BFB BNRX BRID BUD CAG CALM CBRYA CCBC.OB CCE CHEZ CHX COTT CPO CRESY CU CYAN DA DEO DF DLM DOL DRYR FDP FIZ FLO FMX GBUR.OB GEM GENBB GIS GLDC GMCR GMK GUMM GXY HAIN HAMS.OB HANS HCOW HERBA HERBB HIBNY HOO HOOK HRL HSY IBA IBC IBP ICY IHTC IMC IPRL.OB IVCO JBSS JJSF K KNBWY KO KOF KREM LANC LBIX LNCE LQU LUCY LWAY MBRW MFW MKC MLP MOND MSK MTEX NAII NATR NTOL NUT NUTR OAT ODWA OPTS PLC PMID PMIL PSTA PURW PZA RAH RAL RCF RELV RENE.OB RKY RMCF RVFD RVWD SAM SEA SEB SENEA SENEB SFD SHD SJM SLE SLHN SMNS SNAK SRO STZ SXT SYLN SZA TBC THT TKS TOF TWLB UL UN UNMG.OB USNA VCO VIFL VINT VPS VSF WILCF WNI WVVI WWY YOCM ZAP

ABA through ZAP

Lots of earnings and plenty of economic data this week. Will the Federal Reserve take advantage to the weak economic numbers to lower interest rates before their meeting in mid May or will the NASDAQ fall back again on negative news? Best of luck with all your investments and many thanks to those of you who refer interested people to our site. Please stay off margin. If this rally fizzles the next Bull Market is still close at hand.


April 8, 2001: FED Action needed now - New Lists and More:

What a week we just had in the markets.

Pathetic actually... because despite some of the best one day gains ever in the market on Thursday the markets saw no follow through whatsoever on Friday. Oh sure there were some hot sectors on Friday as you already know if you have visited the site. If you have not been there then here they are for you to peruse in Yahoo Detailed Quote form: Drugs, Gold, Oil, Online Travel, Pharmaceuticals, and Tobacco.

There were no great individual sector performances put in here for the market on the week either.

The sectors or industries that actually saw gains this week were minimal at best with Gold Stocks and Precious Metals leading the list with a less than 5% gain on the week. So what was hot last week? Check out our chart below to see what was hot and what was not. Of note to us are those sectors in the not hot arena:

So what was hot last week and what was not?

Hot Sectors

Cold Sectors

Precious Metals - Up 4.74%

Communication Technology - Down 16.95%

Chemicals - Up 4%

Semiconductors - Down 10.19%

Oil Companies - Up 1.32%

Advanced Industrial Equipment - Down 10.07%

Aerospace & Defense - Up 1.22%

Technology, Hardware - Down - 9.36%

Aluminum - Up 1.19%

Mining Diversified - Down 9.11%

Mining & Metals - Up 0.81%

Home Construction - Down 8.77

Furnishings - Up 0.50%

Air Freight - Down 7.97

Of greatest interest to us was the fact that the top four losing sectors of the week were the top four losing sectors the week before as well. All of them high technology industries. The economic data that is coming in now is bad enough to give the Federal Reserve room to lower rates again soon if they so desire. The next actual meeting is not scheduled until May 15. Many stock market pundits are calling for a 50 basis point cut this week and an additional 50 basis point cut at the scheduled meeting but there is no clear sense of urgency from the Federal Reserve Board Governors to cut interest rates before the meeting. Dark clouds continue to hang over the market with earnings and economic data expected to be bad this week.

Despite all this negativity we continue to work hard to keep the Bull Sector up to date and as such we have been updating all our lists including the Cancer Drug Stock List and the Stock Buyback List which is now up to date again. In addition we have added several new lists this weekend including the following lists the Air Freight List, the Generic Drug Makers List and the LED List. So without further ado here are our newest lists at the Bull Sector.

The Air Freight Stock List is made up of the largest players in this Industry. You might also be interested in our Airline Stock List or our Trucking & Freight List.

The Air Freight Stock List

ABF AIRT ANS ARMX CGO DON EAGL EXPD FDX FRTZ UPS

ABF through UPS


The Generic Drug Makers Stock List consists of the top generic drug makers including major players pursuing huge opportunities in off patent drugs like Andrx (ADRX), which has filed for generic exclusivity to Prilosec, IVAX (IVX) for generic Taxol, the cancer treatment, and Mylan Labs (MYL) and Watson Labs (WPI) for generic buspirone, the anxiety treatment. Of course we added some of the smaller players too. You might be interested in our broader Drug Stock List, our Biotechnology Stock List, our Major Drug Stock List or our Pharmaceutical Stock List.

The Generic Drug Makers Stock List

AAF.V ADRX ALO BRL BVF CARA.OB DRMD DYGN.OB ESPR HITK IPXL IVX MYL NVS PRX SEPR SKYE TARO WPI

ADRX through WPI


The LED - Light Emitting Diodes Stock List is based on research put together by Technology Investor Magazine. We turned up a few small stocks of our own to add to their list of leaders in the field. Basically LED's are those little lights you see on your CD Player, VCR, etc that tell you the unit is on. There is a good sized market for these kinds of LED's but the exciting application is for what is now being developed and is called high brightness Light Emitting Diode (LED) Technology. This technology is by far the most efficient source of artificial light developed to date. It could soon offer us lighting without the need for changing light bulbs at 25% of the cost. According to Bob Steel, director of opto-electronics at market research firm Strategies Unlimited the total market for LED's in 1999 was $2.3 billion. He estimates that the market grew 75% in 2000 and that it should grow an additional 50% this year.

The LED - Light Emitting Diodes Stock List

A AXTI CREE EMKR GCU.V GNTX TIY.V UTCI

A through UTCI


Well that's about it for this week. Stay positive and stay off margin. Sooner or later the Federal Reserve will give the market a lasting lift. In the meantime there is lots of time to find those stocks you think will lead the next Bull Market at the Bull Sector!


April 1, 2001: New Bull Market - Big Rally Coming!

April Fools!

Sorry Folks we don't think that big rally is coming just yet.

We say this despite some pretty reasonable action in the market last week. Beyond the fact that everyone is expecting more technology earnings warnings the real trouble is that much of what has been going up over the last week was down just last week before.

Seems like what we are seeing is just lots of churning with sectors moving up and down and sideways at best and it's not just a weekly phenomenon. The first quarter of this year was memorable for one thing. Losses all the way around in most every sector of the market after a red hot January. The best performers were those stocks that went up after being deeply oversold the quarter before. Many are questioning now if these stocks have gotten ahead of themselves. So what did do well on Friday of this week?

Plenty of sectors were up on Friday:

Airlines, B2B, Banks, Regional Banks, Biotech, Genomics, Gene Therapy, Drugs, Fiber Optics, Financial Services, Food Retailers, Footwear, Forest & Paper, Insurance, Internet, Medical Supplies, Natural Gas, Oil, Online Mortgage, Pharmaceuticals, Railroads, Savings & Loan, Real Estate - REITS, Restaurants, Retailers, Software, Tobacco, Utilities

Some of the one day gains were almost as large as those that showed up over the entire week:

So what was hot last week and what was not?

Hot Sectors

Cold Sectors

Water Utilities - Up 13.44%

Semiconductors - Down 13.95%

Tobacco - Up 8.84%

Communication Technology - Down 12.55%

Railroads - Up 8.43%

Advanced Industrial Equipment - Down 11.18%

Electric Utilities - Up 7.95%

Technology, Hardware - Down - 11.04%

Utilities - Up 7.94%

Consumer Electronics - Down 7.66%

Insurance - Up 7.92%

Electronic Components - Down 7.23

Biotechnology - Up 7.89%

Computers - Down 6.93

First Quarter Performance:

The last three months saw only one small group of stocks gain over 25% ... the Toys Stock Group a group that seems to us to be very closely related to the Video Game Stock List. Certain stocks in the Video Game Stock group have shown some nice gains already this year but the best is yet to come. The future is looking good for software developers on a new growth curve with Microsoft's Xbox coming out along with Nintendo's Gamecube console. These consoles are set to join the still relatively new Sony's Playstation 2. This is great news for the sector as it should foster another long and profitable cycle of growing software sales for the stocks in this group.

For the rest of the best and worse sector results for the first quarter please check out the excellent 3 month industry results from Big Charts and CBS MarketWatch. As we said you will notice that there were no outstanding results here beyond the the Toys Stocks so basically all we have been seeing is a lot of churning.

The market is still at very great risk: No sector of the economy has proven to be completely immune to what many people still want to refer to as an earnings recession alone. If you have not seen these articles then please take a minute and read what we have concerning two of the biggest companies on the NASDAQ and NYSE and the CEO's of CSCO and GE:

SmartMoney.com - Stock Close-Up Cisco's Murky Future

Jack Welch says economic downturn "deep" in many sectors

Stock Lists Updated: Finally we have been busy updating our stock lists. Cypress Semiconductor is the latest of the big name Semiconductor Stocks to announce a stock repurchase plan. You will find it on our Stock Buyback List. Unfortunately the Semiconductor Sector was the worst performing group last week and has been struggling to find solid ground. We now believe that this group and many others will continue to show extended weakness. This is not all bad news because once these stocks reach long term bases those who buy will ultimately be well rewarded. We are building cash now for just such a buying opportunity.

What we really need is that final cathartic sell off based on the bad news we expect but that many investors may not yet have factored into their risk tolerance. If companies like CSCO, DELL, SUNW and GE warn that their earnings are going to be worse than expected then we could get just that.

Final Capitulation

It could set the stage for a new Bull Market based on additional rate cuts from the FED and a time where next years earnings are compared to a truly dismal 2001. Stay positive the future will be bright again one day soon.


March 25, 2001: Bear Market Bounce?

Thursday and Friday of this week brought us what appears to be most likely more than anything to be simply a Bear Market bounce. Although the volume on the DOW was extremely high on Thursday it was not high enough volume to confirm to us that the DJIA was done selling off. This to us is not a bad thing at all because we believe the market is simply one more rate cut away from a serious rally. The NASDAQ is much closer to bottom than the DJIA but we will welcome that bottom when it comes.

Mr. Greenspan has indicated that our next rate cut could come in advance of the Federal Reserve Board scheduled meeting on May 15. In the meantime we expect that the DJIA will again relapse well into Bear Territory. We think that when stocks in sectors traditionally considered safe havens in a Bear Markets lose their luster we will be much closer to the end of the Bear Market. In the meantime we consider it a positive if investors and institutions continue to rotate into under valued technology related issues as they did at the end of last week.

That's right we said under valued technology stocks. Don't believe us? We don't blame you because most of the biggest names in technology are still over valued in comparison to there previous cycle lows. That being said we think you can see quite clearly in the stock sector action over the past week a microcosm of the action that should come about when we finally bottom in the next few weeks and begin yet another new Bull Market run.

So what was hot last week and what was not?

Hot Sectors

Cold Sectors

Semiconductors - Up 11.35%

Tobacco - Down 9.05%

Trucking - Up 10.40%

Heavy Machinery - Down 8.65%

Home Construction - Up 9.52%

Pipelines - Down 7.78%

Technology, Hardware - Up 7.45%

Broadcasting - Down 7.78%

Computers - Up 7.32%

Factory Equipment - Down 7.66%

Footwear - Up 7.16%

Biotechnology - Down 7.33%

This week we saw some serious institutional buying in the Semiconductor Sector. As we told you earlier this week we found over 30 Low Float semiconductor stocks selling at P/E's less than 10 this week. It's true that we do expect we will see additional downgrades and earnings warnings in this sector, as well as many others, but the semiconductor stocks are shaping up to be some of the star performers later this year and throughout 2002. We suggest you make a buy list now of stocks you would like in this sector with your own buy points already laid out in order to take advantage of the final blow off selling that we expect soon.

Along with studying the chart above very carefully we would also suggest you visit the collaborative site efforts of Big Charts and CBS MarketWatch to see their 3 month sector performance numbers and carefully think through the action over that period of time in the market. Will the sectors showing strength early this year have legs? All these sectors and more are available to you to research at the Bull Sector using Yahoo Detailed Quotes.

Friday's action was really quite nice for us in the positions we have recently opened. We are holding and hoping that we will see more follow through early this week but we are not exceptionally certain that we will get much more upside as Monday seems to be a big day for downgrades and earnings warnings to us.

The following sectors on Friday performed quite well. The sectors showing the greatest strength are marked in bold but the were far more sectors than these alone that did well:

B2B, Banks, Biochips, Biotech, Brokerage, Computer Hardware, Content Filtering, Footwear, Genomics, Insurance, Natural Gas, Oil Services, Railroads, Semiconductors, Software, Stem Cell, Technology Hardware

This week we have been hard at work adding new sector lists and updating our current ones. Here is some of the latest we have accomplished. Our Stock Buyback List has been updated to include all of the latest companies making repurchase announcements. On the plus side the number of companies announcing stock repurchase plans is rising and technology companies like AMAT and NOK have joined in the fray telling investors that they feel their stocks are under valued here. Check out our Stock Buyback List.

We are adding new stocks to our lists every single day. Today we broadened our Online Sporting Goods List to include Specialty Retailers and renamed it simply the Sporting Goods Stock List. Traditional brick and mortar retailers are moving handily into the online market and will most likely prove to be the most successful players. The Internet is far from dead and it will prove to be just as revolutionary as expected last year before it fell from grace. True... the bubble burst last year where it concerns Internet only companies but more of those already profitable brick and mortar companies are using it than ever to increase their reach and profitability.

Two of the better performing stock groups this last year have been those stocks in the Insurance Industry. The Surety Title Insurance stocks have done particularly well. For that reason they are now singled out on our Insurance List. Publicly traded Drugstore related companies have also been having an excellent year. You will find an expanded Drugstore Stock List now at the Bull Sector.

In addition this week we broke out the major dividend producers on our Aerospace and Defense List. These companies stocks have already benefited from the election of a Republican President in George W. Bush this past year but if profits can ramp up in the future then investors will score both price appreciation and dividends a real nice combination.

The rally on the NASDAQ this time is oh so close to being the real deal. Close but no cigar. Too many of the former leaders on the NASDAQ have not yet reached bottom in our opinion and as such many of these stocks showed no follow through on Friday. Check out the Gorilla Stock List to see what we mean concerning the last Bull Markets Technology leaders. If you had not seen this chart below you might take the time to ponder the reasonable valuations of your own stocks holdings based on what their low point P/E's were over the last few years. General Electric has the highest market capitalization of any publicly traded company. Where will the DJIA be if GE falls to the low P/E of 19 of the past few years? Answer: much, much lower but if we get there then we will buy, buy.... BUY!

Company Name

Recent P/E

5 year low P/E

Recent Price

Projected Price at P/E Low

GENERAL ELEC
(NYSE:GE)

32.3

14.6

40

19

KRISPY KREME
(NasdaqNM:KREM)

63

No Data

36

11

CISCO SYSTEMS
(NasdaqNM:CSCO)

49.1

36

19

14 3/4

EMC CORP
(NYSE:EMC)

43.5

11.3

34

18 1/4

INTEL CORP
(NasdaqNM:INTC)

19.5

12.1

24 5/8

21

Data believed to be accurate

Reasonable P/E's of 20?

5 year lows

Prices very
volatile

Projections only

Disclaimer: Investing in stock market can be extremely risky. The authors of this site are not connected with the financial industry and nothing here should be construed as giving financial advice. While the authors of this site have not be compensated in any form for the due diligence provided here we do own shares in many of the stocks we feature here. Any or all of these shares may be sold at any time without warning. Prospective investors should contact a suitably qualified financial advisor. No warranty or guarantee is given regarding the accuracy, reliability, veracity, or completeness of the information provided here or by following links from this page, and under no circumstances will the author or service provider be liable for any loss including but not limited to direct, indirect, incidental, special or consequential damages caused by using the information, or as a result of the risks inherent in the stock market.


March 19, 2001 - Exuberance Now!

Mr. Greenspan, can you spare an extra quarter point please? We need a bit more exuberance.

Yes that's right, we are now equating interest rate declines with exuberance and we wouldn't mind if Mr. Greenspan could get just a little bit more irrational.

Last night we posted in our Daily Update at the site that we felt the market was entering the final stages of a Bear Market meltdown and ready to rally. Our reasoning is based not on historical valuations of the S&P 500 because P/E's are still too high on a historical basis, but rather based on the simple fact that last week no sector of the market was able to rally in the face of what looms as a real and lasting economic downturn.

Today the market rallied in the hope that Mr. Greenspan and the rest of the Federal Reserve understand that dramatic action is needed to stave off a broad based worldwide economic recession. The question on every investors mind today is just how big an interest rate cut will we get tomorrow?

A 50 basis point cut will not be enough in our opinion to stimulate the economy. Neither will it bring about a prolonged rally in technology sector shares. Additional cuts will be needed even if we get a 75 basis point cut tomorrow to actually return the economy to a long-term growth pattern. However a point rate cut tomorrow combined with the right amount of inscrutable Fedspeak and we might finally see a sustainable rally on the NASDAQ.

Today we surveyed our Semiconductor List and found no fewer than 30 companies selling at P/E's of less than 10. Some of these stocks have P/E's much less than 10. The reason is simple of course in that the market does not see reason as of today to believe that these companies will be able to grow their earnings in this economy. We certainly agree. The big question is does Mr. Greenspan only look at Internet related issues when he measures irrational exuberance or does he actually understand what we are trying to hammer home here in our weekly update.

The latest inflation numbers indicate that there is no real inflationary problem. Japan's banking system is precariously close to to needing something similar to CPR. European Telecom's are wondering why they spent all that money to ready themselves for a 3G roll out when economically the ramp up seems extremely daunting on a cost basis. There are no simple solutions for all these disparate problems but clearly an extra 1/4 point in tomorrow's interest rate cut would do more good than harm.

Come on Al, be our pal, have a little pity on the formally irrational.

Market's typically rise in the face of lower interest rates. Eventually this one will too. The question is did that rise start today or do we have to wait for stocks on the S&P 500 to reach historically value oriented bargain levels?

So what did do well this Monday before the big FED meeting? A number of sectors rallied strongly towards the close of the market bringing back memories of those days in early January when we believed the economy could resume growth after only a temporary setback. Here are just a few of the strongest and some were very strong indeed: B2B, Biotechnology, Fiber Optics, Brokerages, Chemicals, Computers, Internet, Networking, Railroads, Semiconductors, Telecom and Wireless.

Did you miss our new Hospital Stock List?

As is often the case the stocks on the Hospital List have been one of the hottest groups around this least year after an extended period of under performance. The stocks on this list include companies that are among the widely know publicly traded Hospital Companies. You may be interested in our broader Healthcare Facilities List. You may also want to check the companies on the Healthcare Index List, the Medical Equipment List, the Medical Supplies List, the Medical Products List, the Biotechnology List and the Drug Development List.

The Hospital Stock List

MSGA DYII HCA HMA MGL NEXT PRHC RHB THC UHS

MSGA through UHS

Regardless of the size of the interest rate decrease tomorrow please stay off of margin. Finally tonight when your head hits the pillow repeat after me...

Exuberance now.. Exuberance now... Exuberance now!


March 11, 2001 - Profiting from Pain, Despair and Our Vices?

How low can we go? How low can we go? How low can we go?

How much pain can we take!

Two weeks ago in our weekly update we asked how much lower can the NASDAQ go? We had no answer for you then and we still have no answer today. Clearly the amount of negativity in the press and other forms of media is extremely high. Actually, that's a positive but investor confidence is still historically high for the market to be finding a real bottom. On the plus side we had selling reaching feverish levels on Friday. It was real bad!

It was hard for us at the Bull Sector to even find the three industries we cover that did outperform based on the widespread bloodletting that was going on. Even the Gold Stocks and Precious Metal Stocks which have been on a tear lately failed to gain. How bad was it? Look at these statistics compiled by WSRN for overall Market Sectors from Friday:

WSRN Sector Stats: http://www.wsrn.com/apps/industry/

That's right! No one single major sector showed more gainers than losers. Even those Dow Blue Chip Stocks were for the most part nailed on Friday when the most recent job's report dampened expectations for an aggressive rate cut of as much as 75 basis points at the next Federal Reserve Board Meeting on March 20th.

So what sectors were among those that actually moved minutely higher on Friday?

Not surprisingly the stocks in groups most consistently seen as safe haven investments: The Major Drugs, Food Products and the Tobacco Stocks all performed well enough to show slight gains despite the market malaise and beat back some of the pain. Tobacco of course is a group that has outperformed all others according to multiple sources this last year including Barcharts.com

Barchart.com Advanced Sectors: http://www2.barchart.com/sectors.asp?base=industry

To my way of thinking the market has been so bad this last year that the those sectors that have shown strength can easily be explained on the basis of stress management, pain management and escapism.

Your stock portfolio is down?

Take a pill! Hence the rise in Major Drugs and Drug Stocks in general.

Your depressed because your 401 K is losing value?

I eat when I'm depressed I bet you do too. Might as well join Homer and have another donut. You can still afford to eat right. Of course you can... and that's why those Restaurants and Specialty Eateries have been doing so well along with Food Products and Soft Drinks.

And finally since it looks like you're going to die with no money anyway..

Why not have another cigarette and get it over before you need that money anyway!

Look at that sector performance on Friday again:

WSRN Sector Stats: http://www.wsrn.com/apps/industry/

OUCH!

Bet your really depressed now. You keep up this lifestyle my friend and you'll end up visiting another one of the better performing sectors over this last year... Healthcare Facilities.

Assuming you spent a little time looking over that list then you know we have had numerous Stock Sectors that have little or nothing to do with high technology and the NASDAQ that have been performing quite well this past year. That being said it is a little hard for us to justify the high prices associated with a stock like Krispy Kreme (NasdaqNM:KREM) sporting a P/E over 70 when technology stocks are being beaten down without mercy.

So how much more pain can we expect to endure if you still want to invest in technology stocks? Lets head back over to WSRN for some statistics on the S&P 500 and some of those big names in technology found on our Gorilla Stock List among others. Lets look at some of the P/E's here compared to our donut stock and the historical lows of these stocks over the last few years on a P/E basis.

KRISPY KREME
(NasdaqNM:KREM)

Recent P/E of 71

5 year low P/E: No Data

CISCO SYSTEMS
(NasdaqNM:CSCO)

Recent P/E of 49.1

5 year low P/E: 36

EMC CORP
(NYSE:EMC)

Recent P/E of 43.5

5 year low P/E: 11.3

INTEL CORP
(NasdaqNM:INTC)

Recent P/E of 19.5

5 year low P/E: 12.1

MICROSOFT CP
(NasdaqNM:MSFT)

Recent P/E of 31.5

5 year low P/E: 36

ORACLE CORP
(NasdaqNM:ORCL)

Recent P/E of 14.2

5 year low P/E: 28.1

QUALCOMM INC
(NasdaqNM:QCOM)

Recent P/E of 371

5 year low P/E: 31.5

SUN MICROSYS
(NasdaqNM:SUNW)

Recent P/E of 27.2

5 year low P/E: 21.7

Data believed to be accurate

Please do your own due diligence

 

In the table you will see that only MSFT and ORCL are selling at a discount to the past yearly P/E's over the last 5 years. The fact is that many of these stocks are still selling at substantial premiums over the the lows on their P/E's over the past few years. What does that mean? Quite simply when past market leaders are still over priced and falling it's impossible to call a bottom in the NASDAQ.

We believe we are close to a bottom. We believe that an interest rate decrease of 75 basis points on March 20 could turn the market around for good but we also believe we will only get a 50 basis point cut. So the reality of the situation is that before the NASDAQ bottoms we will probably need a few more pills, a few more donuts and something to soothe our nerves like God forgive... a cigarette.

Despite our belief that the market will still be under pressure there are lots of stocks that are currently bargains and many more that will be soon. It is time to do some serious research. We are getting ever closer to finishing the makeover at the Bull Sector. Soon we will be adding more new lists as well. All current lists are being updated. Thank you for your patience.


Disclaimer: Investing in stock market can be extremely risky. The authors of this site are not connected with the financial industry and nothing here should be construed as giving financial advice. While the authors of this site have not be compensated in any form for the due diligence provided here we do own shares in many of the stocks we feature here. Any or all of these shares may be sold at any time without warning. Prospective investors should contact a suitably qualified financial advisor. No warranty or guarantee is given regarding the accuracy, reliability, veracity, or completeness of the information provided here or by following links from this page, and under no circumstances will the author or service provider be liable for any loss including but not limited to direct, indirect, incidental, special or consequential damages caused by using the information, or as a result of the risks inherent in the stock market.


Feb. 25, 2001 - How Low Can We Go?

Last week was anything but good for the market despite the late day rally on Friday. The cause of that late rally was the rumor that an intra-meeting rate cut has again become a probability. A 50 basis point cut could come as early as next week according to former Fed Governor Wayne Angell. If that isn't enough to give you hope for better days ahead in the market then how about Stephen Slifer, chief economist at Lehman Brothers, who is now predicting that the Fed will cut rates by 150 basis points by July.

The market has been absolutely shell shocked by an outpouring of profit warnings that pushed the NASDAQ index to a 2-year low while briefly causing the S&P 500 to enter Bear Market territory as well. The economic numbers we got on inflation more than a week ago combined with continued warnings from some of the biggest names in technology have left many investors scared to pull the trigger on anything but the exit. The NASDAQ fell another 6.7% last week. It has been cut 56% from its all-time high set back on March 10, 2000.

Take a look at our NASDAQ Chart and you will see that we are trending off the lower Bollinger Band waiting for some impetus to take us higher with no real idea of where any actual support will be found. Another 50 basis point rate cut could easily create another rally but what if we don't get it? It will be an interesting week because if we do not get that rate cut there certainly has been little news coming out of Wall Street worth cheering about.

We had warnings from three Gorilla Stocks; First EMC in the Storage Sector, then SUNW one of the biggest names in Technological Hardware and finally QCOM the Wireless Sector giant whose stock was acting better than any of the other Gorillas before they called into question delays in the implementation of 3G Wireless. SUNW trades now just above 52 week lows even after announcing a $1.5 Billion share repurchase plan. Check it out along with all the new additions to our Stock Buyback List.

As we pointed out on Friday the battle between fear and greed almost always is won by greed from these levels. Quality companies whose products address rapid growth areas in a normal growing economy can and will outpace overall growth rates in an economic expansion. Obviously the economy is not currently growing at anything near the levels we have seen the past few years. In fact we believe we are now in a recession where it concerns technology in general. Still, if we are headed towards something close to 4% interest rates later this year then how much lower can the markets trade? Well the short answer is that if we do not get short term relief from the Fed in the form of a rate 1/2 point rate cut then no one can know for sure.

One trend that we do expect to see continue is the extreme volatility associated with those big cap names that admit to a continued slowdown in business. Buying the dips would have been extremely wise for a short term trader this last week. The Fed is going to be forced to lower rates again despite the fear of inflation and these companies will again assume growth leardership. The economy will eventually find itself back on track and on its way towards a sustained recovery. Next year these quality companies will be showing high growth rates again when compared to the low numbers turned in throughout much of 2001. Not only do we expect the technology sector to improve greatly by later this year but we also expect to see excellent returns for investors in the biggest names in cyclical industries and Retailing Sector Stocks as well.

This weekend along with updating the Stock Buyback List we have added a new e-Commerce Enabler List. We hope you will take the time to check this list out as it contains some of the best and brightest in the B2B world. These companies provide e-Commerce Enabling Software and Services. In addition we also have a broad e-Commerce List and a B2B List that also have a number of these stocks on them.

The e-Commerce Enabler Stock List

ABTL AGIL ARBA ARTG AWEB BBSW BRNC BTBC BVSN CKCM CLIC CMRC CORI CYCH CYSV DDDC DGIN DRIV ELCO EPNY FAIM FIRM.OB GSPT HCOM.OB IMNY IMPV INTW ITRA ITWO LQID NEOP.OB NETP NVDC OMKT ONVI ORCC PFSW PPRO PRTS PRSW QSFT QUOT RETK ROWE SBYN SLTC SNHK TANN WEBM XCAR ZNGN

ABTL through ZNGN

On another note we would recommend taking profits in SILI if the company does not announce that they feel the offer from Vishay was too low. Long term VSH will be an excellent investment so this is not an absolute necessity but there is now a lid on how high the stock can go unless Siliconix Management states emphatically that the offer was too low. The decision is yours and as always stay off of margin with any new purchases.

Finally we would like to update our sector rotation chart going through this current economic cycle. As you will see all the gains in technology shown in January have now been completely erased. Money has rotated back into numerous sectors that were showing strength prior to the initial rate cuts by the Federal Reserve. Please do not hesitate to share the Bull Sector and our Bull Sector Lists with your fellow investors. We are working hard to make the Bull Sector a more useful tool for your investment research by updating all the links, page design and adding new lists.

Sector Rotation and expected rotation through the current NASDAQ Bear Market to an expected upcoming economic expansion.

Economic Stage:
Consumer Expectations:
Industrial Production:
Interest Rates:
Yield Curve:

Full Recession
Reviving
Bottoming Out
Falling
Normal

Early Recovery
Rising
Rising
Bottoming Out
Normal (Steep)

Full Recovery
Declining
Flat
Rising Rapidly (Fed )
Flattening Out

Early Recession
Falling Sharply
Falling
Peaking
Flat/Inverted

Sector rotation has long been a hallmark of the stock market and economic cycles. Typically money has rotated out of various sectors into others in concert with normal economic cycles but the Wealth effect created by the Internet brought about a boom in Construction that coincided with a Bear Market in the NASDAQ. This may not be sustainable although an awful lot of refinancing will be taking place soon.

Money Moving In
Aluminum
Clothing/Fabrics
Consumer Non-Cyclical
Footwear
Furnishings
Household Products
Textiles and Apparel
Tobacco
Toys

Money Moving In
Autos
Auto Parts

Brokerages
Cyclicals
Div Financials
Networkers
Semiconductors
Technology
Wireless

Money Moving In
Biotechnology
Computers
Energy
Fiber Optics
Networkers
Semiconductors
Services
Speculative Issues
Technology
Wireless

Money Moving In
Airlines
Chemicals
Consumer Products
Financials

Footwear
Healthcare Providers
Home Construction
Insurance
Lodging
Major Drugs
Oils
Paper & Forest
Pipelines
Real Estate REITs
Saving & Loans
S&P Transportation
Tobacco
Travel
Value Stocks
Utilities

The economic cycle that we perceive ourselves to actually be involved in in 2001 is different from previous cycles because of the possibility of a reverse wealth effect that may make 2001 a very difficult year. Despite that we would recommend investment in appropriate areas as long as investors are no exposed to margin risk.

Money Moving Out
Technology
Communications
Consumer Electronics
Computers
Consumer Electronics
Electronic Components
Fiber Optics
Industrial Equipment
Semiconductors

Money Moving Out
Safe Haven Stocks
Value Issues
Healthcare Providers
Distillers and Brewers
Drug Stocks
Drug Related Retailers
Energy Related Issues
Food Retailers
Utilities

Money Moving Out
Sector Rotation
Speculative Issues

Money Moving Out
Advertising
B2Bs
Broadband Stocks
Comm Technology
Consumer Services
Electric Components
Industrial Services
Internets
Office Equipment
Semiconductors
Steel
Technology
Wireless

Previous Weekly Updates


Disclaimer: Investing in stock market can be extremely risky. The authors of this site are not connected with the financial industry and nothing here should be construed as giving financial advice. While the authors of this site have not be compensated in any form for the due diligence provided here we do own shares in many of the stocks we feature here. Any or all of these shares may be sold at any time without warning. Prospective investors should contact a suitably qualified financial advisor. No warranty or guarantee is given regarding the accuracy, reliability, veracity, or completeness of the information provided here or by following links from this page, and under no circumstances will the author or service provider be liable for any loss including but not limited to direct, indirect, incidental, special or consequential damages caused by using the information, or as a result of the risks inherent in the stock market.