BEAS - BEA Systems $77.25 (+2.37)

Any trader who is looking for stocks to buy following Friday's historical comeback should be scouring the charts looking for stocks that did not collapse last week and are showing good relative strength. Many of these traders, especially those that concentrate on technology, will likely discover BEAS. BEA Systems is a leading provider of the transaction software that helps to make e-commerce possible. BEAS is an anomaly in that it is actually profitable. The November 15th earnings release should show profits of $0.06, a four-penny increase over the same period a year ago. It would not be out of the question for BEAS to announce a split in conjunction with their earnings release. Last year the company announced a 2:1 split when the stock was trading at $72.50, or around the same price the stock is trading at today. Currently there are plenty of authorized shares to affect another 2:1 split. Early last week, Pacific Growth Equities initiated coverage of BEAS with a Buy rating. Despite the relative strength, some momentum traders may want to wait for BEAS to take out its old high of $82.63 before going long. A more aggressive trader may want to go long if the stock crosses its 10-DMA at $75.69. There was one quick severe dip last week but otherwise there should be support near $70.00, a trading low seen a couple of times. Therefore we are setting our stop at $70.00. The 50-DMA is trending nicely and should provide long-term support, now at the $64.06 level. Surprisingly, the MACD is still currently negative but should offer a buy signal in the early going next week if the stock can advance. Money Flow has remained strong and could also pick up steam if the NASDAQ sees a follow through into next week. We also like the fact that the RSI has plenty of room before an overbought condition is indicated. If we are not stopped out, we will exit this position before the earnings release.

Picked on October 15th @ $77.25 Change since picked +0.00

Ballard Power Systems is engaged in the development and commercialization of proton exchange membrane (PEM) fuel cells and fuel cell systems. A fuel cell is an environmentally clean power generator that combines hydrogen fuel with oxygen without combustion, to produce electricity. Pure water and heat are the only by-products of this power generating process. The company is developing PEM fuel cells for use in transportation, stationary power generation and portable applications. This play peaked our attention for a number of reasons. First, the company is about to report earnings on November 1st. Expectations are for a loss of $0.16 versus a loss of $0.21 in the same quarter last year. Secondly we see this company as a at the century mark. BLDR last announced a split on 1998, a 3:1. Since this company is based in Canada and considered an ADR, they have an unlimited number of authorized shares and could set a split at any time now. The stock was trading at $109.00 when they last split. Friday's gains came on volume of 558,000 shares, well above the average of 370,000. On both Monday and Wednesday of last week, the stock flirted with breaking the 200-dma on the downside, but found good support at that level. We view this as a positive sign and look for further gains in the near-term. At its present position the stock has support at the 10-dma at $95.38, the 100-dma at $94.55 and the 5-dma at $92.65. Resistance will likely be challenged at the century mark followed by the 50-dma at $101.13 and the 20-dma at $102.38. Next week, look for increased volume to pierce resistance levels or a bounce off support on good volume if considering opening a new play on BLDP. Watch the NASDAQ and the Technology Sector for leadership. We will place a stop below support at $87.00. Please review our IN PLAY section for any adjustments to our stop.

Picked on October 15th @ $98.00 Change since picked 0.00