Oct 13th: Bulls made an attempt to grab a foothold, but none of the day's volume was suggestive of heavy demand. The best index on the day, the NASDAQ 100, ended on a 'bullish engulfing pattern' as it regained its 200-day as the heavily influencing semiconductor index rallied off its positive test of the 200-day MA. Look to these two indices to continue to strengthen over the coming days. The 'bullish hammer' of the Russell 2000 looks to be a false signal although knife catchers may want to look at the S&P as it closed the day on a doji after days of heavy volume selling. If you check the S&P's secondary indicators on my Breakout page you will see these are in deeply oversold territory and are well positioned for a lengthy upcoming bounce. The tech secondary indices [$NASI, $NAA50 and $BPCOMPQ] are not quite there yet. The $NAA50 has entered solid bounce territory but this does not exclude it from future whipsaw on the next EMA crossover.

Target hits: none

Stop hits: Brief list due to travel commitments; ACN, MO, BJS, SNG, DESC, ET, GRS, JEF, OO, PESI, EPAY, ELY, DADE, HELX, and OXPS.

Aug 29th	.	.	Short	13	Short	6	Aug 30th	.	.	.	.	.	.
Aug 31st	Long	29	Long	4	.	.	Sep 1st	Long	22	Long	12	Long	4
Sep 2nd	.	.	Long	5	.	.	Sep 6th	Long	4	.	.	.	.
Sep 7th	Long	12	.	.	Long	16	Sep 8th	.	.	Long	5	.	.
Sep 9th	Long	2	Long	4	.	.	Sep 12th	.	.	Long	5	Long	7
Sep 13th	Long	6	Long	3	.	.	Sep 14th	Long	6	.	.	.	.
Sep 16th	Long	2	Long	2	Long	1	Sep 19th	Short	10	.	.	.	.
Sep 20th	Short	6	.	.	Long	8	Sep 21st	Short	3	Short	2	Short	5
Sep 22nd	Short	2	Short	4	Short	1	Sep 23rd	Short	3	Long	2	Long	2
TYPICAL RISK		6%	Avg Max gain of winners				74%	Avg Max gain of Stop hits				7%

Oct 12th: The current wave of selling from the last couple of days sent another batch of Gold Member and Breakout picks to the slaughter house. As for the markets we are seeing a rapid deterioration of support and increase in fear as each day piles on the misery. A lack of leadership and a Prudential downgrade of the semiconductor index were good enough to keep the bulls away. Energy services took a move to the downside which diverged with crude oil prices. Sector related stocks tend to lead the underlying commodity. With the XLE bouncing off its 50-day MA we can look to crude oil prices to do likewise. Interestingly, the semiconductor index which gave up channel support so eagerly and foreshadowed the eventual loss of similar support in the tech indices [NASDAQ and NASDAQ 100] has managed to dig in at the 200-day MA - unlike the diving tech indices. If the semiconductor index can hold on to this level it may drive demand for buyers to step in and take the tech indices back to their respective 200-day MAs. Large caps [Dow and S&P] and the small cap index [Russell 2000] have little going in their favor. The Russell 2000 is looking particularly ragged with support at 570 still some distance away. The lower volume in the Dow is the best the bulls can look to. When can we expect the selling to stop? Secondary indicators [$NASI, $NAA50 and $BPCOMPQ] are pulling away from their 5-day EMAs but still have room to run to reach oversold levels. Not a time to be 'catching-the-knife' here.

Target hits: none

Stop hits: These have been taken over the last couple of days due to travel commitments; AIZ, KEYS, MCK, MTIX, MIL, SPNC, TWTI, PRTR, LFG, SFCC, SHPGY, SRT, TRN, TRZ, WITS, and ZHNE.

DD as always, DJF

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Performance vs Peers
(average return per trade)
Month	Netpicks	Financial picks.com	Gold Patron	Free Breakout
Cost	>$100 per month	>$90 per month	<$15 per month*	no charge per month*
Jun 04	+1.49	-0.29	n/a	-2.46
Jul 04	+4.60	+1.36	n/a	+0.81*
Aug 04	-2.72	-0.05	+1.55	+9.51*
Sep 04	+2.84	+3.13	+4.63*	+8.30
Oct 04	-2.39	+0.72	+2.88*	+1.55*
Nov 04	+1.33	+16.30	+0.99	+4.06*
Dec 04	+0.51	+5.75	+0.10*	-8.65*
Jan 05	+2.92	-4.12	+3.15	+1.99*
Feb 05	+0.92	-6.67	+1.18*	-4.83*
Mar 05	n/a	-5.32	-1.65	-1.57*
Apr 05	n/a	-1.63	-1.79*	+1.43*
May 05	n/a	+2.77	+3.78*	+13.47*
Jun 05	n/a	-2.04	-1.04*	+3.58*
Jul 05	n/a	n/a	-2.13*	-1.41*
Aug 05	n/a	n/a	-4.20*	-2.06*
Sep 05	n/a	n/a	-4.92*	-3.18*
Oct 05	n/a	n/a	-5.08*	-5.20*
NET %	+1.05	+1.54	+0.36	+0.87
% WIN	54%	48%	21%	31%
[*] does not reflect final return for the month as featured stocks for marked month remain 'open'.

Biggest gainers
As of Aug 11th 2005
Rank	Stock	Feature	Gain	Date
1	SWME	Breakout	165	29-Nov-04
2	CKCM	Breakout	131	2-Nov-04
3	GRA	Gold	129	17-Aug-04
4	AQNT	Breakout	105	10-Jan-05
5	WLDA	Gold	100	21-Jan-05
6	UNWR	Gold	95	4-Nov-04
7	GRA	Breakout	93	27-Aug-04
8	PARL	Gold	86	28-Sep-04
9	DESC	Gold	81	10-Jun-05
10	USG	Breakout	77	16-Sep-04

Month-to-Month recommendations. Dated: 8/11/05
Month		Avg % gain	Avg % loss	% profitable of closed trades	Avg % return per closed trade
Sep 04		31.71	11.45	46	+8.30
Oct 04		22.18	10.72	38	+1.55
Nov 04		40.24	9.51	27	+4.06
Dec 04		24.17	5.92	20	+0.10
Jan 05		38.30	4.83	19	+3.15
Feb 05		19.87	4.87	23	+1.18
Mar 05		16.51	5.29	17	-1.65
Apr 05		19.69	5.73	14	-1.79
May 05		24.78	5.75	63	+13.47
Jun 05		16.85	7.56	46	+3.58
Jul 05		10.00	7.74	36	-1.41
Aug 05		17.37	8.53	25	-2.06
Sep 05		24.67	7.16	13	-3.18
Oct 05		0.00	5.08	0	-5.08
Cash
Gold Member selection
Free Breakout selection
Sell, move to cash

Stock information

Biggest losers
As of June 18th 2005
Rank	Stock	Feature	Loss	Date
1	HDVY	Breakout	35	29-Nov-04
2	CSII	Breakout	32	8-Jul-04
3	BCON	Breakout	32	24-Sep-04
4	RVTIF	Breakout	32	23-Jul-04
5	NVAS	Gold	29	16-Jun-05
6	SGIHF	Breakout	27	25-Aug-04
7	INTD	Breakout	27	3-Jan-05
8	ESMC	Breakout	27	15-Sep-04
9	EMED	Breakout	26	24-May-04
10	SLPH	Breakout	26	7-Jul-04