Breakouts for Dec 28th: Two current Subscriber picks and one fresh pick for Wednesday. The first pick, GLBC, has been a surprise package given its sordid past. Certainly the fallout hasn't damaged former executive's 'standing'. The stock sits primed for a break of $17.48 resistance although some sideways action at this stage cannot be ruled out. The MACD trigger 'buy' signal combined with slow stochastics on the verge of overbought levels are ticks in the bull column. The weekly chart shows a broad symmetrical triangle which looks favored to break to the upside. Tuesday's double top breakout on the point-n-figure chart does no harm; its target of $25.50 looks reasonable at this point. The second pick, LLY, sits at the other end of the spectrum. The December 8th feature banked solid gains to resistance, shaping the current handle and facilitating a rise in the stop price. The company recently announced a modest raise in its dividend. Last week the company also annnounced plans to take a Q4 charge of $0.13-0.15 a share. The weekly chart is the most interesting as a triple bottom looks to be in play (confirmed on a volume break of $58) with the potential for a run to 2004 highs of $74. The November 14th double top breakout on the point-n-figure chart also favors a move to 2004 levels as it shows a bullish price target of $77. The third pick, NINE, is the only new play of Tuesday's selection. The stock closed on a large bullish engulfing pattern, enjoying some late day buying to move the stock as much as it did. There was no company specific news to account for the day's gains but the move was enough to register a break of five month resistance, pushing prices inside the breakdown gap of August past. The point-n-figure chart shows little of interest and won't get exciting until there is a broader consolidation at these levels, or a break of $10. I am looking for relatively modest gains, but the monster bullish divergence in the MACD trigger line, overbought slow stochastics, and new highs in on-balance-volume all point to strong bullish momentum.

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For those who prefer to set their own price targets the table opposite represents the frequency for a given % return (taken from maximum highs) assuming a fill at at the stated "Buy" price on the open (i.e. the prior days close). The return per trade from 5% risk is typical of what my subscribers can expect from their picks. The return per trade from 10% risk is what one can expect from my free stock picks. Returns will be higher on fills below my "Buy" price

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96% of featured stocks turn a profit greather than or equal to breakeven, assuming a fill at the prior day's close. 91% of featured stocks return a profit of 1% or more assuming a fill at the prior's day close; 78% of picks return a profit of 2% or more. 92% of featured plays are completed within a 6-month time frame. Stocks which are still in play beyond 6-months are usually experiencing strong rallies. Returns will be higher on fills below my "Buy" price

Buy	Stop	Target	Support	Resistance	Risk:Reward	IBD
$6.17	$5.58	$7.89	$5.98	$7.60	2.9	C

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"IBD" refers to Investors Business Daily

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