Large Caps at support

The Dow and S&P500 have pulled back to their rising 20 day sma's and could be ready to move higher. It is interesting how there has been a disconnect with the Nasdaq and Russell recently. When the large caps were making new highs recently, the Nasdaq was threatening to break down. Then last week, the Nasdaq, led by seminconductors, decided to move higher while the large caps drifted back. Now, the large caps seem ready to bounce, as the Nasdaq and Russell are getting extended. Interesting action to say the least. Here are a few charts I found interesting this weekend.


Empire Resources, Inc. (Public, AMEX:ERS)
ERS has a high flyer last year and has had a steep correction. It has attempted to end the correction a few times, but there were still too many sellers. It takes time to build a proper base, but it looks like ERS is close to attempting another breakout.


Home Inns & Hotels Management Inc. (ADR) (Public, NASDAQ:HMIN)
I can't say I've traded diamonds often, as they are hard to find. Often times, a diamond is really part of a larger pattern. While this may not be a text book diamond, it looks pretty close to me. Either way, it looks like this is a continuation base regardless of how it is labeled.


Advanced Magnetics, Inc. (Public, NASDAQ:AMAG)
AMAG may have a false breakdown here which could leave to a powerful move higher.


DXP Enterprises, Inc. (Public, NASDAQ:DXPE)
I've mentioned DXPE a few times as potentially resuming the uptrend, and it has basically drifted sideways. It is close to do or die time here, so it is worth watching to see if it breaks out.


Immucor, Inc. (Public, NASDAQ:BLUD)
BLUD is also close to do or die time, as it needs to either get back over the ascending trendline or possibly continue the corrective phase.


Rambus Inc. (Public, NASDAQ:RMBS)
RMBS is looking pretty decent to me, as it is trading a very narrow range while drifting to the 20sma.


The Estee Lauder Companies Inc. (Public, NYSE:EL)
EL looks like it begun to break out of this tight bull pennant base and then pulled back and succesfully tested it as support. I will be watching for a continuation move here.

Good Luck,





DT