Bill Cara: Cara's Daytrader Bull Board, Thurs., Dec. 21, 2006, 8:08 AM

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December 21, 2006

Cara's Daytrader Bull Board, Thurs., Dec. 21, 2006, 8:08 AM

Late Wednesday trading slipped the Dow, S&P and Nasdaq into a small negative on the day. Traders are taking off for the holidays. All in all, the slowing economy, including high oil costs, is putting headwinds into this market.

The Dow Transports (4584.9) (-1.1 pct) are seen as breaking down here given that the 4600 support level did not hold. The Dow Utilities (457.61) (-0.5 pct) are supported at about 455. The stock market is looking tired. The biggest loser on the day, however, was the Energy sector (-1.3 pct). But, after briefly topping $64, January Crude Light finished up $0.15 to $63.61.

FedEx (FDX) disappointed (-1.5 pct) and warned on Q3. Rail car maker Greenbriar (GBX -16%) also warned. The railroad index dropped -2.1 pct. Coal (-2.7 pct), Precious Metals (-2.1 pct) and Industrial metals (aluminum, copper, steel) (-1.6 pct) declined to December lows in what has been an unexciting month. With higher Crude Oil prices, the Airlines dropped -1.1 pct dropped for the 4th straight session. Higher energy futures hurt the retailers. And after the MBA reported a -10.2 pct decline in mortgage applications, HD and LOW Do-It-Yourself retailers sagged. The Financials, including Brokers (LEH), banks (NCC) and REITs, were up. Tech also rallied, led by computer Peripherals (+2.0 pct) and Semis (+0.7%).

(From Knobias) "During Wednesday's "Mad Money" show, Cramer evaluated Syneron (ELOS). Cramer: I'm back on this stock because it has a new tool. Currently ELOS is down, but ready to move much higher. It's new catalyst: a dental laser - it helps clean teeth. ELOS has 46 pct operating margins, and a solid potential market in front of it. Cramer: Buy ELOS. Next, Cramer evaluated Divx (DIVX). DIVX makes software that enables companies to compress digital video, so that it takes up less bandwidth. DIVX is trying to make itself the digital video standard, and Cramer thinks it is succeeding. And DIVX has a contract with Google (GOOG). Cramer: I like DIVX, but at a cheaper level: right now, it's too high. In the Lightning Round, Cramer was bullish on: Foster Wheeler (FWLT), KBR Inc. (KBR), JC Penney (JCP), Sears Holdings (SHLD), Devon (DVN), Cisco (CSCO), Qwest (Q), and Best Buy (BBY). In the Lightning Round, Cramer was bearish on: O2 Micro (OIIM), Sandisk (SNDK), CPFL Energy (CPL), Brightpoint (CELL), and Motorola (MOT). In the Sudden Death Round, Cramer had the following recommendations - Buy: United Health (UNH) - buy UNH on a breakout. Sell: Coventry (CVH) and Georgia Gulf (GGC)."

Like his style or not, Cramer is good for the business. He makes it a more interesting day.

Asia-Pacific indices (Interactive link)

European indices (Interactive link)

Gold spot chart (Interactive link)

Silver spot chart (Interactive link)

Platinum spot chart (Interactive link)

Palladium spot chart (Interactive link)

$CRB Index (Interactive link)

$USD Index (Interactive link)

U.S. Treasury Bond Dec. contract (Interactive link)

Open Futures Contracts (Interactive link)

NYMEX Oil near futures contract (Interactive link)

Goldminer stock watch (Interactive link)

RSI Highs in Cara 100 (Interactive link)

RSI Lows in Cara 100 (Interactive link)

Wall Street upgrades (Interactive link)

Wall Street downgrades (Interactive link)

In Focus (Interactive link)

Economic calendar

Commentaries:

NKE
PAYX

BBBY

Yesterday's portfolio movers from Cara Watch List:

Here are the top 25 gainers on the day.

Interactive chart of the top 12 Watch List gainers (Interactive link)

Interactive chart of the next 12 Watch List gainers (Interactive link)

Here are the top losers on the day.

Interactive chart of the top 12 Watch List losers (Interactive link)

Interactive chart of the next 12 Watch List losers (Interactive link)

Here are the stocks with higher than daily average volume on the day.

For those readers who have knowledge of skin cancer, I omitted to say yesterday that my latest one is a basal cell carcinoma, which is much less threatening than the other three melanomas I have had. I had a basal cell carcinoma on my nose three years ago, but the dermatologist scrapped it off completely when doing the biopsy. I knew this one on my leg was a basal cell and had been hoping the surgeon could have done a simple office procedure to remove it yesterday, but that has been set to Feb. 2. I have no concern about waiting six weeks, which includes two extra weeks at my request. If this had been another melanoma, I would not have delayed an extra day. I am writing about this situation in the sincere hope that you too will check yourself thoroughly, and wear sunscreen. My condition was probably completely avoidable.

A better view of life this morning.

Posted by Posted by Bill Cara on December 21, 2006 08:08:26 AM | Category: Cara's Bull Board

Discourse

great pics - beautiful scenery! Glad everything will be relatively fine.

Posted by: sergio at December 21, 2006 8:51 AM [link]

Sergio,

That is the picture that exists exactly two inches above my monitors as I "work" on my desk all day. It gets really tough not to be distracted in the summer when the tens of thousands of geese, swans, ducks and other birds are joined by boaters, jet ski riders, windsurfers and canoeists. I have noticed in the past two years though that the numbers of people near Toronto using Lake Ontario as a recreational playground has increased many times what it had been six and seven years ago. I take that as a sign people don't want to fight a couple hours traffic to head north to cottage country, and yet prices there are escalating just like waterfront property here is too.

Posted by: Bill Cara at December 21, 2006 9:20 AM [link]

Bill,
Another screen saver photo! Is that gold we see just about to rise above the horizon?
Glad to hear you are dealing with a basal cell type this time. Seasons Greetings.

Posted by: Wayne at December 21, 2006 9:49 AM [link]

Forecasts for 2007 from BusinessWeek Online including Tom McManus and Elaine Garzarelli:

http://bwnt.businessweek.com/fearless_forecasters/2006/index.asp

Posted by: JIM at December 21, 2006 10:57 AM [link]

Bill, you are a sun-addict.....even indoors. Happy to hear it is not serious.

What is your opinion on TIPS in current environment ? All bonds have done well since July except TIPS.

Posted by: ghosalb at December 21, 2006 11:19 AM [link]

i too was very concerned when i read about your delay yesterday. now that i know it is only a basal cell ca (which doesn't spread) you are correct. you can wait safely.

Posted by: shopper at December 21, 2006 2:53 PM [link]

Hi Bill,
Like you I spent several years in the sun. I lived on the sand in Laguna Beach off and on for ten years during the 80's and early 90's. It was a trailer park with its own beach and 180 degree views. I went to the beach in my 20's-30's and used no sun block. That was not the thing. When I got tired of "the view" and the lifestyle, noise and small home lot sizes I moved 12 miles inland on two acres in a small rural agricultural community. A few years off the beach and I started getting the pre-cancers and basal cells. No cancers luckily. I see my dermatologist every six months for a review. I wear long sleeve shirts most of the time and a brim hat if I am outside for any length of time. Two years ago the doctor put me on Effudent cream for my face. It is a cemotherapy cream and after two weeks I looked real scary. But it killed all of the hidden precancers on my face and my skin felt new again. I am going to do it again soon as a touchup. My ex-wife grew up and lived on the sand in Laguna Beach and got that olive colored tan every year. 6-8 hours a week, twice a week with nothing but baby oil. In her 50's, the doctors carved on her nose and face to the point that see needed skin grafts to replace all of the skin that they removed. I view the sun as a poison now. I have that paper thin skin on my arms that bruise and bleed if I scuff them on a semi rough surface. Sometimes even scratching my arms can cause fingernail bruising. I guess I am one of the lucky ones so far. No cancer.

Posted by: stktrader at December 21, 2006 8:50 PM [link]

December 21, 2006

Cara's Daytrader Bull Board, Thurs., Dec. 21, 2006, 8:08 AM

Discourse

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