=================================== D A Y T R A D E R S R E P O R T =================================== for 04/20/07 (best viewed or printed in Courier 10 point) -------------------------------------------------------------------------------- NOTICE: The recommendations and information provided here are not necessarily those of the editor or DayTraders.com, nor should they be interpreted as investment advice or as an endorsement of any security or company's stock. This information is provided for informational purposes only and without warranty of any kind. Be advised that day trading has large potential rewards, as well as large potential risks involved. Trading of securities may not be suitable for all users of this information. You, and not DayTraders.com, assume the entire cost and risk of any investing or trading you choose to undertake. Remember, past performance does not ensure future results. Editors, staff and members of DayTraders.com may have long or short positions in securities and/or options listed herein. Further, the redistribution of information provided here or via our Internet site, without the express written consent of DayTraders.com, is strictly prohibited. The receipt of this information constitutes your acceptance of these terms and conditions. -------------------------------------------------------------------------------- SHORT TERM TRADING PORTFOLIO ------------------------------ (1 day to 1 month) TICKER DATE PRICE LAST PRICE GAIN SELL CURRENT COMPANY NAME SYMBOL BOUGHT PAID PRICE CHANGE LOSS TARGET STATUS -------------------------------------------------------------------------------- Texas Ins * TXN 04/17/07 31.30 32.10 0.800 2.56% 32.10+ SOLD Target * TGT 04/12/07 59.75 61.25 1.500 2.51% 61.25+ SOLD Cost Plus * CPWM 04/11/07 9.48 9.70 0.225 2.37% 9.70+ SOLD EMC * EMC 02/22/07 14.28 14.50 0.225 1.58% 14.50+ SOLD RF Micro * RFMD 04/20/07 6.44 6.50 0.060 0.93% 6.60+ +6.20 Genentech ~ DNA 04/10/07 81.70 82.37 0.670 0.82% 83.75+ +80.65 AT&T T 04/18/07 39.15 39.31 0.160 0.41% 40.15+ +36.00 L-3 Com * LLL 04/20/07 90.91 91.10 0.190 0.21% 93.18+ +85.75 Sun Micro SUNW 04/02/07 5.92 5.89 -0.030 -0.51% 6.05+ +5.50 Apple AAPL 03/29/07 93.30 90.27 -3.030 -3.25% 95.25+ +89.75 AMD ~ AMD 01/22/07 16.06 14.28 -1.778 -11.07% 16.45+ +15.20 Quest Diag !~ DGX 08/30/06 56.91 50.40 -6.513 -11.44% 58.34+ +50.00 Radware Ltd ~ RDWR 12/21/06 14.98 12.96 -2.023 -13.50% 15.35+ +14.25 Legend: * = Changes to portfolio (buy/sell) + = Cost average at this price or lower - = Indicates a Short position @ = Stop recommended at this level ! = Medium/longer term hold ~ = Stock price was cost averaged -------------------------------------------------------------------------------- DAY TRADING RECOMMENDATIONS & OUTLOOK --------------------------------------- NOTE: The following stock recommendations are short term plays which may produce results in a time frame of anywhere from one day to several weeks. In some cases, these recommendations may be slightly different in nature than the stocks recommended at the 'Trading Desk' and vice versa. The Trading Desk takes place at our web site during the day and focuses more on intraday plays. We feel the combination of mid term and short term information gives members a good foundation to work from when picking stocks. For more information about the Trading Desk please visit our web site or contact us anytime. New members have a look at http://www.daytraders.com/system.html and please keep in mind we cost average often. That means test the waters by purchasing some shares at recommended levels, then if the stock moves down and we still like it, buy additional shares to reduce your overall price. This means you must use discipline when buying initially and leave yourself some cash to work with. Please see the link above for further details if you are just joining us. -------------------------------------------------------------------------------- * NOTE: Current allocation model (based on market conditions, stock charts and market indexes) suggests the use of approximately 50% trading capital, while holding 50% cash - subject to change weekly. Continue to use price targets as your base target for taking profits on all positions. Not recommending excessive margin use at this time. Use these recommendations as a guideline to build your own allocation model. See http://www.daytraders.com/performance.html for recent model portfolio results. -------------------------------------------------------------------------------- * NOTE - No additional positions to add for Friday. For now, let's continue to focus on taking profits and raising cash levels if possible. We'll be back next week with some fresh recommendations. * LLL - This position opened below our suggested entry point and was subsequently added at $90.91. Based on the lower entry point, we have adjusted our price target to $93.18 or higher and have also adjusted our cost average point slightly to $85.75 or less. * RFMD - This position opened a penny below our entry point and was added to our model portfolio at a price of $6.44. * TGT - This position rallied Thursday, exceeding our price target, and was sold at $61.25 as outlined. Congratulations to members who made the play and earned a nice 2.51% return on the trade! * AAPL - Please note, we have adjusted our cost average point on shares of AAPL slight to $89.75 or less. We may also install an additional cost average point if required down the road. *** = HOT TRADE (could move big intraday / long term based on news or chart) ** = GOOD TRADE (looks pretty good based on technical chart analysis, sector) * = NOTE/UPDATE (update or notes regarding current recommendation or price) REMINDER: Shorting stocks contains somewhat higher risk than normal investments and may not be suitable for all day traders. Consult your brokerage before shorting any security or doing trading of any kind. Use our price targets as a guide to your own trading and remember that taking consistent profits over time is the key to this business. Keep in mind we may need to average down at times and that limited capital tied up in a single stock can cause additional risks to your trading. Exit and entry prices are only guidelines, please use your own judgement in trading at all times. For additional reading material, please refer to our book list at http://www.daytraders.com/booklist.html or feel free to e-mail us your questions. ----------------[ REFER TO SELL TARGETS FOR FURTHER EXIT PRICES ]--------------- MARKET NEWS & COMMENTARY -------------------------- The Dow added 4.79 points Thursday to close at 12808.63, while the Nasdaq fell 5.15 points to end at 2505.35. The S&P finished lower by 1.77 to end the session at 1470.73. Volume on the NYSE was above average, as roughly 2.98 billion shares traded, with declining issues leading by a margin of approximately 20 to 12. The Dow again finished at an all time record closing high - albeit it by less than 5 points. Stocks closed mixed overall, as investors again waded through economic data, as well as earnings reports. Oil slipped $1.30 per barrel to close at $61.83 on the session. After hours, both Google and AMD reported earnings. Google reported better than expected sales, as well as earnings, which helped the shares rally after hours. AMD missed numbers, but the shares still nevertheless traded higher after hours. Either investors were in just a very good mood, or they are betting that the worst may be behind AMD (we suspect the latter of course). The week finishes out with reports from Caterpillar, Honeywell, McDonald's, Pfizer and Xerox, just to name a few. Short of any major disappointments, we suspect the markets may balance some place between holding their own and a bit of mild profit taking. Moving forward, next week will include a number of reads on the economy. Consumer confidence is scheduled for Tuesday, along with Existing Home Sales. New Home Sales will be released on Wednesday. Thursday brings Initial Jobless Claims, while Friday closes the week out with the Michigan Sentiment report, as well as the Employment Cost Index. Investors will be looking for signs of inflation, as well as indications as to whether the housing market is continuing to stabilize. For now, the big concern among investors appears to be inflation, especially since the Fed has hinted that they may change their bias should inflation continue to come in above expectations. In any event, as far as our trading goes, we will not be looking to add any additional positions for Friday. Instead, let's focus on taking profits if possible. Overall, this week has been very successful in our view. We've been able to take profits on a number of positions, while most of the rest of the portfolio has held its own. Aside from the couple of lagging positions, which we have been nursing along now for a while, everything looks to be in good shape. Additionally, it appears one of our lagging plays (AMD), may be primed to recover down the road. If this does turn out to be the case, it shouldn't take too much for it to move back into the money. For now, let's keep cash levels up and we'll see how earnings progress as we move into next week. All right then, that's it for today and this week. We'll have further recommendations as we move forward. For now, let's continue to take profits when seen and keep cash levels up a bit to limit any further downside risk. As always, good luck in the markets and we'll see you around the Trading Desk in the morning. :-) Ray Johns Senior Market Editor DayTraders.com -------------------------------------------------------------------------------- Copyright (c) 2007 - DayTraders.com All rights reserved worldwide. Proudly serving daytraders & short term investors since 1996 Redistribution is strictly prohibited DAYTRADERS.COM P.O. Box 150 Pacific Grove, CA 93950 http://www.daytraders.com For all questions & customer service needs, e-mail to: support@daytraders.com