Agilent - A - close: 28.70 change: +0.11
WHAT TO WATCH: Having a truly impressive run over the past 10 months, shares of A have more than doubled and are showing no signs of weakness. In fact, today's closing price represents the stock's best close since May of 2002. As long as the pattern of higher lows persists, buying the dips back to support should prove profitable. Currently, the bottom of the channel at $27.00 looks like a solid entry. Target a rally towards the top of the channel, currently $31.
Cendant - CD - close: 22.30 change: +0.17
WHAT TO WATCH: Fresh off a strong rebound from the 50-dma a couple weeks ago, shares of CD are right on the verge of breaking out to new multiyear highs. Use an entry trigger above $22.35 and target an initial move to $25 resistance.
Mcgraw Hill Companies - MHP - close: 69.92 change: +0.66
WHAT TO WATCH: Proving that every area of the market is still seeing concerted buying, shares of publisher MHP broke out to new multi-year highs on Tuesday and with volume running right at the ADV (vs. the light volume in most of the market) this hints at more upside to come. The best entries will come on a pullback and rebound in the $68.50-69.00 area, although more conservative traders may want to wait for a breakout over $70 before playing.
Aetna Inc. - AET - close: 67.94 change: +1.27
WHAT TO WATCH: Even Insurance stocks are looking strong lately and AET is looking good. After breaking back over the $66 level yesterday, the bulls tacked on nearly 2% on Tuesday, driving the stock near its all-time highs from this summer near $70. Ideal entries should be found on a pullback near $66, although there's certainly nothing wrong with a momentum trade for a rally to and hopefully through the $70 resistance zone.
The RADAR Screen
BSC $79.81 - Brokerage stocks are on the rise again and BSC finally broke free of several months of resistance near $78.50. Look for entry on a slight pullback near that breakout level and hold for a rally back towards the all-time highs near $83.
CI $56.99 - Clearly beaten down over the past year, CI is really trying to make a comeback and it lurking just below strong resistance at $60-61. After more than 2 months of consolidation after the strong move in late October, CI looks like it is ready to run. Look for entry in the $55-56 area and target a rally up to that strong resistance.
MAC $44.21 - While price action in MAC may seem a bit jumpy, a quick look at the weekly chart shows the strength of its bullish trend over the past year. Consistently finding support on each brief pullback has made it a gold mine for the dip buyers. Target entry in the $43.00-43.50 area and look for a breakout to new all-time highs.
WATCH LIST