BJ - BJ's Wholesale Club $48.56 +0.25

Tuesday's Comment:

We enjoyed a decent start to our new play in this major warehouse retailer. Although the advance was only modest, BJ was able to establish another new high today. In addition, the stock only closed $0.11 below the new high. Therefore, there is very little overhead resistance. A better day tomorrow for the overall market could encourage momentum traders to drive the shares of BJ into uncharted territory. A new high, accompanied by midday volume exceeding 375,000 shares, might prove to be a good opportunity to go long. One should probably be cautious about entering a new position if BJ gaps up $1.50 or more on the opening because a gap up might result in a pullback in the early going. Several of BJ's technical indicators are quite strong and point towards continued gains for the stock. The MACD is breaking out and the Money Flow is outstanding. OBV is also getting stronger and the only real concern is the fact that is approaching a level that would suggest an overbought condition.

Picked on May 27th @ $48.31 Change since picked +0.25 Stop Loss @ $45.10

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