ANEN - Anaren Microwave Inc $103.25 -5.12 (-0.75)

Microwave, Inc designs, develops, manufactures, and sells complex microwave signal distribution networks and components for the wireless communications, satellite communications and defense electronics markets. The Company's space and defense products include passive beamforming networks for communications satellite multi-beam antennas, digital frequency discriminators and other radar discriminators, as well as a wide range of standard component products for defense electronics, such as mixers, couplers, power dividers and correlators. The Company operates in two business segments: wireless communications and space and defense. Dropped on 4/13 after ANEN hit our stop, we now resume coverage of ANEN ahead of their 3:2 split scheduled for a pay date of 6/9. On 4/14 in the face of the severe market correction, ANEN beat earnings estimates by .09 cents coming in at .36 cents vs. estimate for .27 cents. Tuesday the stock closed back over the century mark on low volume. We see this as a point from which more upside potential now exists. Support is now at this level of $100 the 20-dma. The last three trading sessions the stock had traded between 99-108. A bounce off the $100 mark on a volume burst would make a good place to open a position. Conversely, the $108-110 level is near term resistance. Plan your plays in conjunction with the overall market direction. Place stops under support to limit losses.

Picked on May 2nd @ $103.25 Change since picked 0.00

EBAY - eBay Incorporated $143.38 -12.25 (-15.81)

As the first Internet auction site to reach critical mass, EBAY continues to dominate the online person-to-person auction community. This leadership role is expected to generate an increase of 76% in sales for the company this year. EBAY is currently targeting international markets to help sustain these impressive numbers. EBAY currently has 130.2 million shares outstanding with 900.0 million shares authorized. On 4/25, the company announced a 2:1 stock split with a payable date of 5/24. Currently, the stock has formed a consolidation range ($164-$132), which provides us with good potential breakout points. If the stock can mount an advance above resistance at $164, traders could send prices higher until they meet further opposition near the $175 level, bolstered by both the 30 and 50-dma's ($173.49 and $173.52). As for support, look for the stock to gain a foothold along the $140 mark. Further support should be granted at the bottom of the consolidation range ($134). Look to open new positions if prices give hard bounces off support or break sharply through resistance. The light volume that has accompanied the recent decline over the last few days particularly encourages us. This indicates that selling is continuing to dry up, as fewer sellers are willing to exit at lower prices. The short trigger on the payable date may provide us with quick profits, provided we get a good entry. Exits should be initiated ahead of the payable date of 5/24, per our policy.

Picked on May 2nd @ $143.38 Change since picked 0.00

GE - General Electric $161.06 +1.69 (+3.63)

Friday's pending 3:1 stock split seems to have buffeted GE from today's broad based selling. GE is such a widely diversified industrial and financial giant that it is hard to focus in on any one specific reason for the recent strength. The most bullish story for GE probably lies in the fact that that they are literally a proxy for our economy. Strong earnings and a booming economy have resulted in a very strong stock for GE. Another contributory factor is because GE is a core holding for so many investors. When the markets get shaky, investors are unlikely to start dumping solid companies with real earnings and a long-term history of providing outstanding investment returns. GE is basically a stock most people believe that they can buy and hold and bequeath to their heirs. There is another factor that could help GE rally for the rest of the week on top of the late stage split move. The Time-Warner squabble with ABC will supposedly help GE's subsidiary, NBC, during the May sweeps period. You can place a new position at current levels and be sure to exit before the split. $160, which is just below the 10-DMA, provides some support and may be a good place to go long if we open lower tomorrow. First resistance is found at $162 followed by the all-time high of $167 15/16.

Picked on May 2nd @ $161.06 Change since picked 0.00

NEW SPLIT CANDIDATE PLAYS

GM - General Motors Corporation $93.38 +0.69 (-0.25)

Please forgive us for not going into great detail about what GM does, we are sure that you know. One aspect of GM's business that is less known is their huge stake in GM Hughes (GMH), a leading provider of satellite subscription services under the Direct TV brand name. GMH has had a spectacular run and it is only getting better with the recent feuding between ABC and Time-Warner. By virtue of being a huge cable provider, TWX is a major competitor with GMH. GM's core business of selling cars is also doing great. On April 13th, GM released a solid earnings report that saw the Company beat the Street's estimates by $0.14, coming in at $2.80 per share. Adding to Investor's renewed interest in the shares of GM is the fact that GM offers a relative value by trading at a PE in single digits, giving people the feeling that they own something concrete and valuable. GM has not rewarded its shareholders with a split in 11 years, but the stock's recent advance into all-time high ground may be the perfect opportunity for a split announcement. The Annual Meeting is scheduled for June 6th which may be a good time for a split announcement. In the meantime we will concentrate on the solid technicals. After building a base in late February and early March just under $80, GM has enjoyed a nice steady climb. Throughout the rally, the 10-DMA has provided excellent support and that level held today at $90 11/16. Buy orders can be placed immediately and we will stay long until either the uptrend is broken or a split is announced.

Picked on May 2nd @ $93.38 Change since picked 0.00

SPLIT RUN PLAY UPDATES

JNPR - Juniper Networks Inc $197.88 -21.06 (-14.81)

Meet me at 2:00. Today Juniper Networks, Inc., the provider of high-performance IP Networking systems that enables service providers to meet the demands of the Internet; had a cost reduction meeting. The meeting I am referring to was the meeting between it and the NASDAQ, which began its sell off at 2:00 PM. Having made huge gains since April 14th, it was no surprise that some profit taking was due. The good news technically is that the stock hit and stayed at a trend line that began back on 4/21. Today's selling came on lower than normal volume of 2.9 million shares with the stock closing just above its 10-dma at $197. Just below is the 100-dma at $187. A bounce off this level accompanied with good volume would be a good entry point. Upstairs resistance is at the double century mark, then $205. Few Internet related stocks were spared today as the FED meeting fears began to loom on the street. Investors who crossed their arms as profits slid away in March and April were eager to exit with a profit today. Exercise caution before establishing new plays, use trailing stop orders to save profits and limit losses.

Picked on April 27th @ $208.94 Change since picked -11.06

ZOMX - Zomax Incorporated $44.75 -0.25 (-2.56)

Offering a one stop shop for software publishers, Zomax is a leading outsource service provider that does it all. For example, if a large software developer needs its latest product line on the shelves in one week, ZOMX will design the cover, package the product, deliver it on time and handle all fulfillment needs that may follow. The money that ZOMX has made in their unique outsourcing abilities has been nothing short of impressive. Touting a P/E multiple of 24, shares could almost be considered a good value play in the technology market. Currently, the stock has consolidated this week and looks to be showing near-term support along the 10-dma of $43.98. Stronger support should follow at the 200-dma of $39.67, which has been confirmed on several occasions in the last 2 weeks. For upside advances, we're initially targeting the half-century mark, bolstered by the 100-dma ($49.64) to offer resistance. Beyond this level, look for the 50-dma ($53.07) to show secondary resistance. Due to the quick trigger on this play, look to lock in profits by devising trailing stops. Also, look to take profits as prices advance to resistance levels or drop through support. We'll plan on exiting ahead of Monday's payable date of May 8th.

Picked on April 23rd @ $42.94 Change since picked +1.81

SPLIT CANDIDATE PLAY UPDATES

AMAT - Applied Materials $96.13 -3.81 (-5.69)

Applied Materials announced a joint development arrangement with Lucent Technologies (LU) on Tuesday. The deal is designed to evaluate AMAT's single-wafer front-end technology for potential use in Lucent's next-generation process flow. The news lifted the stock early in the session but the selling on the NASDAQ was too great and the stock took a hit, closing below its 5-dma. This could be another consolidation move before the start of an earnings run or something worse. The Company is expected to announce earnings on 5/10 after the bell and we are looking for a split announcement to come with the earnings release. Going forward, there is light support at $95 with stronger support just below the 4/27 low, at $88. Set hard stops at $88 as protection. Resistance is now the century mark and then $5 increments up from there. Initiate new plays on a bounce off of $95 or a move above $100 on heavy volume. Confirm market sentiment and sector direction before opening new positions. Look for an exit in front of earnings on 5/10 or on a dip below $88, as we will drop this play if the stock trades under strong support.

Picked on April 30th @ $101.81 Change since picked -5.69

AMD - Advanced Micro Devices $89.50 +1.12 (+2.19)

AMD joins the dynamic dozen! Monday, after the close, the California semiconductor company announced a new joint venture in Internet exchange. AMD, along with heavy hitters Gateway, Hitachi, Compaq, and Hewlett-Packard to name a few, are forming a yet to be named company. The combined capital of 100 million will enable these companies to offer both retail and wholesale channels for the computer and technology industries. The goal is "to master the complexity of our supply chains, and to reduce the time and to reduce the cost in our supply chains"' according to Hewlett-Packard Chief Carly Fiorina. Tuesday, the stock again hit a new 52-week intra-day high of $92.37, before closing down at $90. Both Monday and Tuesday saw better than average volume at 6 million shares. Support is at the 5-dma at $86 and resistance is the new high at $92. Confirm new positions by positive market momentum. Use stops to protect profits, we suggest at $82.

Picked on April 16th @ $66.00 Change since picked +23.50

BRCD - Brocade Communication Systems $126.88 -6.06 (+2.88)

Scoring another huge contract today, Brocade announced that the leader in electronic business solutions, Unisys, would now use BRCD SilkWorm for their storage interconnection solutions. "Unisys selected the BROCADE SilkWorm 2400 and 2800 fabric switches after a complete evaluation of available connectivity solutions. These industry-leading Fibre Channel switches are crucial to delivering networked storage solutions to our customers," said Jeff Bell, vice president and general manager, Storage Program Office, Unisys. Although the new contract will create more income potential for BRCD, the stock ran into technology-related selling pressure that pushed prices to close down 4.56% on the day. After gaining 8.94 points on Monday, shares lost most of their ground on an opening gap down to $128.13. On an intra-day basis, the stock did manage to run as high as $133, before confirming resistance along the 30-dma ($133.36). With an advance through this near-term support, we expect shares to run up to the 50-dma ($140.08) prior to finding more resistance. However, if we see more selling, then expect support (previously resistance) along the $120 mark to be weighty, bolstered by the 5-dma of $121.75. Secondary resistance should follow near the $110 mark, propped up by the 100-dma of $112.60. A bounce off the 5-dma or an advance through the 30-dma would be a good point to open plays. Lock in profits by using trailing stops. We'll look to exit before the earnings date of May 17th.

Picked on April 27th @ $115.00 Change since picked +11.88

BRCM - Broadcom $182.00 +7.75 (+9.63)

On Tuesday, Broadcom Corp. officially entered the optical networking market. The Company launched its new product, the world's first single-chip 10-gigabit per second Ethernet transceiver. It is capable of simultaneously transmitting and receiving Ethernet data at 10 gigabits per second over 50 kilometers of the existing single mode fiber at up to 10 times the rate currently possible over the same media and distance. Shares of BRCM jumped on the news, trading to an intra-day high of $187.25 before pulling back late in the day. We are still waiting for a split announcement; however, we may be waiting until their earnings release in July. For now, BRCM has minor support at $180 with additional support at $174. Place hard stops under $174 to lock in profits. Resistance is now up to $190 with psychological resistance at $200. Use a bounce off of $180 or a move above $190 to open new positions. Start new plays on heavy volume, only in a rising market. Plan to exit in the session following a split announcement or on a dip below $174.

Picked on April 23rd @ $152.50 Change since picked +29.50

CHKP - Check Point Software Technologies $182.56 +1.31 (+9.56)

We are very impressed by CHKP's performance today. CHKP definitely appears to be a strong performer for the immediate future. The story remains the same. CHKP is a leader in a very important and fast growing sector. Internet companies will come and go but all of them, including ones that have not even been conceived of yet, will need to protect their systems from piracy. A lack of consumer confidence in the security of a Web site is the death knell for any young enterprise looking to make its fortune on the Internet. Contributing to today's relative strength was the announcement that CHKP has released Check Point Provider-1 2000, the latest version of the Company's management software solution for ISP's and enterprise networks. CHKP should continue to grow and post ever increasing profits. The only worry is if CHKP gets caught up in another NASDAQ downdraft. Over the past two days, CHKP has avoided our stop at $165 as well as failed to take out resistance at $185. We continue to recommend picking up shares in the bottom third of this range in the hopes that the stock will break out and test $200 soon. If the stock fails to climb above $200, you may wish to take profits. We will be dropping this play if we get a split announcement.

Picked on April 27th @ $179.00 Change since picked +3.56

CMGI - CMGI Inc. $62.38 -7.13 (-8.87)

Market participants bailed on the comeback stocks today. Despite this fact, we believe that CMGI still has a little life left in it and it should find support soon and head back up. If you want to invest in the Internet, CMGI is one of the best ways to go, due to the fact that the Company has an extensive and impressive portfolio of Internet participants. One news item that should help CMGI was the announcement that AltaVista will be launching a new and improved version of their popular search engine in an attempt to increase traffic at its site. CMGI has a huge stake in this very fast growing ISP and portal site. The new search engine may be introduced later this week. In other news, SpotLife, a subsidiary of CMGI's venture capital group, became the first company to enable individuals to easily conduct Internet broadcasting. CMGI closed just under support at the 10-DMA sitting at 62 9/16 today. If this support fails you may wish to wait for the stock to test last week's low of $55 before considering going long. If support holds on the open tomorrow you can buy this very aggressive play. Be very careful if CMGI begins to roll over. Volume is drying up in this market and if people continue to stand on the sidelines, bids will drop. We will be dropping this play if we get a split announcement, which seems unlikely at this point, so we will probably let the market take us out either through a stop or a realized target.

Picked on April 27th @ $66.19 Change since picked -3.81

INKT - Inktomi Corporation $145.75 -18.88 (-8.19)

Robust growth in e-commerce is forcing portal-based companies to respond to a new and highly competitive B2B environment. By developing advanced infrastructure solutions for portals and destination sites, Inktomi is helping e-commerce businesses to gain this competitive advantage. Adding to this list, INKT announced today that they will be providing advanced e-commerce solutions to 2 more companies, Escalate and Vcommerce corporation. "Inktomi is working with Escalate and Vcommerce to redefine the retail supply chain, ultimately making commerce more profitable and powerful for destination sites. We believe these innovations have broad implications for the evolution of our economy, and their users will be the early beneficiaries," said Stuart Spiegel, vice president and general manager of Inktomi's Commerce group. As for the stock, shares encountered some sizeable selling on the day, closing down 11.46%. This decline, which was probably linked to weakness in the NASDAQ, managed to break through the $150 support level in the last 30 minutes of trading. If this level can be regained in the morning, then look for further support at $150 mark throughout the day. Otherwise, prices should find their next level of support at $140, reinforced by the 10-dma ($139.84). As for the upside, if the stock can advance through $150, then look to $160 (50-dma) as a key level of resistance. Look to take profits at resistance or drops through support. Also, watch for guidance from the NASDAQ Composite before entering a new play.

Picked on April 25th @ $141.94 Change since picked +3.81

LSCC - Lattice Semiconductor $64.50 -3.63 (-2.88)

Lattice Semiconductor could not break through resistance on Monday. The stock hit an intra-day high of $69.81, but profit taking late in the session killed the rally. On Tuesday, LSCC traded lower as weakness in the chip sector pushed the stock lower on average volume. The Company held their Annual Shareholder Meeting on Tuesday and we are looking for a split announcement in the near future. However, because of the recent market swings, the Board may wait until July, when the Company releases its quarterly earnings results. In the meantime, support is now the 20-dma at $63 with stronger support at $57. Set hard stops under $57 to minimize losses. Resistance remains at $70 and then $74. Initiate new positions on a bounce off of $63 or a move above $70 on heavy volume. Confirm market momentum and sector direction before starting new plays. We recommend an exit in the session following a split announcement or before the earnings release in July.

Picked on April 23rd @ $62.94 Change since picked +1.56

LVLT - Level 3 Communications $88.25 -3.00 (-0.75)

Level 3 Communications announced a $43 million network services agreement with Telseon Inc. in which Level 3 will provide Telseon dark (unused) fiber that will help accelerate Telseon's delivery of managed gigabit service to customers in 23 major markets across the United States. The news did little for the stock as shares of LVLT fell $3 on strong volume. The Company is holding its Annual Shareholder Meeting on 5/22 and we are hoping for a split announcement out of the meeting. Until then, LVLT has support at the 10-dma at $85 (bolstered by the 10 and 20-dma's at $84) with stronger support at $80. Set stops under $80 to limit losses. Resistance remains at $90 and then $95. Look for a bounce off of $85 or a move above $90 on heavy volume to start new plays. Confirm market sentiment and sector momentum before opening new positions. Plan to exit in the session following a split announcement.

Picked on April 18th @ $82.50 Change since picked +5.75

PMCS - PMC Sierra Inc. $175.06 -12.94 (-16.81)

The market giveth and the market taketh away. Tuesday PMC Sierra started the day as though things were off to a good start, trading as high as $192 in the first hour. As many investors have learned, the first hour, often-coined "amateur hour" is not an accurate representation of the trading day. So it was today with PMCS which provides customers with Internetworking systems solutions for high-speed transmission and networking systems. Despite being spoken about today in New York at Merrill Lynch's Hardware Heaven technology conference, PMCS chose the path of least NASDAQ resistance and sold off on normal volume with the broader market. The semiconductor sector has been leading the market lately, but today lead the market in the opposite direction, with many other chip stocks getting spanked as well. The stock has support at $170 and below that at the 20-dma at $165. Overhead is resistance at the 50-dma at $188. We are encouraged that volume fell to 4 million shares 20% below average. A bounce off $165 or a strong move back through the 50-dma on 5 million shares or better would be good entry points. Watch the market for confirmation before entering any new plays.

Picked on April 27th @ $182.62 Change since picked -7.56

TER - Teradyne $108.00 -1.31 (-2.00)

Teradyne continues to establish itself as a must own technology stock. Confirmation of this assessment was made when the stock was able to establish a new high on Monday when all of the major averages remain well off of their highs. Unfortunately, the overall selling in the market dragged TER down. On the plus side, TER presented a very bullish outlook at the Merrill Lynch technology conference today. The Company stated that they would continue to be a leader in offering new innovative testing products and software to the Semiconductor and Communications industries. TER further added that they see a continuation of their solid relationship with Intel. If the market had been neutral to strong today, TER would probably be at $120. We were considering dropping this play because TER dropped below Monday's low today, which could indicate a little more short-term weakness. Go ahead and take profits here if you want to. If you stay in this play, place a stop just under $100. If the market continues lower, you may wish to add to your position at $100-$101, just below the 10-DMA. A move higher tomorrow would indicate that the 5-DMA has held at $107.50 and a retest of the high at $115 could be imminent. Those of you that have already placed a trailing stop at $105 should probably keep it in there to protect profits. We will be exiting this position if there is a split announcement.

Picked on April 25th @ $103.38 Change since picked +4.62

XLNX - Xilinx $67.19 -4.44 (-6.06)

What an ugly little late day collapse for XLNX today. We had a suggested stop in there at $67. In all likelihood, very few of you were nimble enough to sell out at that price because the stock only dropped below the stop by 1/16 and that lasted all of 20 seconds. We do see some support right here for this semiconductor leader and major component of the SOX Index. Yesterday saw a relative poor performance for XLNX as the stock failed to take out $75 yet again, despite a strong overall market. In the early going, XLNX was looking pretty strong but it got hammered in the last half hour as bids got weak and people went home. The SOX was hit hard today when it dropped below the 50-DMA at 1151. We see support at the round number of 1100 and we expect a bounce later in the week. Although XLNX closed below the 5 and 10-DMA's today, it did find support near its uptrend line. Allow a little leeway on the open, but you should probably exit this position if XLNX drops below $64. We will exit this play if we get a split announcement.

Picked on April 25th @ $70.38 Change since picked -3.19

YHOO - Yahoo! $122.56 -8.31 (-7.69)

Yahoo! is struggling as the smaller dot-coms fight to stay alive. Unfortunately, YHOO is the sector leader and trades on sector momentum. Shares of YHOO fell $8.31 on Tuesday to close below its 10-dma on light volume. The Company is holding its Annual Shareholders Meeting on 5/12 when the shareholders will vote on an increase in the number of authorized shares. We are looking for a split announcement following the Annual Meeting. Going forward, support has come down to $120 with stronger support at $113. Place stops under $113 to prevent further losses. Resistance continues to hold at the 20-dma at $133 and then $140. Start new plays on a bounce off of $120 or a break above $133. Initiate new positions on heavy volume, only in a rising market. Look for an exit shortly after the Annual Meeting.

Picked on April 18th @ $126.69 Change since picked -4.13

SPLIT RUN PLAY DROPS

NEWP - Newport Corporation $122.00 -19.63 (+0.69)

Taking it on the chin, NEWP shares dropped a substantial 19.63 points today after hitting swift opposition along our mentioned resistance level of $150 on Monday. The $150 level provided us an excellent opportunity to lock in profits and finish with a solid gain. In this highly volatile sector, it's momentum that gets us into the optical issues, and consequently its momentum that also gets us out. Currently, we feel that momentum may be starting to switch directions and so we've chosen to drop the play for now. We'll keep you updated on further plays as they develop.

Picked on April 27th @ $116.25 Profit/Loss = +5.75 (+5%) Best Profit = +41.75 (+36%)

PAYX - Paychex $47.31 -2.94 (-5.31)

Our stop was executed at $50 today. It seems strange that PAYX could not follow through and make a new high. Resistance was just too strong. PAYX did finish the day right on support, at the bottom end of its narrow trading range. Long term investors may want to take a look at this stock because it has been a steady market performer for years.

Picked on April 25th @ $55.31 Profit/Loss -5.31 (-10%) (Stopped out Tuesday at $50.00) Best Profit -0.31 (-1%)

RMBS - Rambus Incorporated $209.50 -23.44 (-20.50)

The highly volatile shares of RMBS have already declined $38.5 points from Monday's high. This volatility can be very profitable when you're on the right side, as was the case when we originally picked up the stock. The RMBS play did provide us with gains as the use of trailing stops was advised. RMBS will make you a believer that trailing stops work and are an excellent way to lock in profits. Momentum is the key with this stock and is the reason we are recommending the close of positions.

Picked on April 27th @ $211.75 Profit/Loss = -2.25 (-1%) Best Profit = +36.25 (+17%)

TFS - Three-Five Systems $88.50 -0.50 (+2.00)

Time to lock in some profits on TFS as this solid performer seems to be losing a bit of its momentum even though the 3:2 split is not until May 12th. The primary reason for exiting this position is the secondary offering announced last week. Secondaries tend to slow down stocks due to the pending increase in the float. The secondary is scheduled to occur after the split. We may revisit this play after the secondary because these events tend to create a solid level of support.

Picked on April 25th @ $81.88 Profit/Loss = +6.62 (+8%) Best Profit +17.12 (+21%)

TXN - TEXAS INSTRUMENTS, INC. $155.50 -4.50 (-7.38)

Dad-gum-it! Today we were stopped out of TXN when the stock violated our stop set on Sunday at $159. Since closing above the 50-dma last Friday, TXN has been struggling to gain any positive ground. Today we are walking away with a little jingle in our pocket and will look for better opportunities. The split is still 3 weeks away on May 23rd and we have the Fed meeting and option expiration before then. We will keep our eye on this semiconductor company from the Lone Star State, and will advise you of any opportunities as we find them. Protect your profits with trailing stops if you are staying in for the split.

Picked on April 25th @ $152.00 Profit/loss = +7.00 (+5%) (Stopped out Tuesday at $159.00) Best profit = +16.75 (+11%)

SPLIT CANDIDATE PLAY DROPS

ADI - Analog Devices $71.31 -6.38 (-5.50)

Analog Devices ran into resistance on Monday. Shares of ADI hit $79.75 but could not breach the $80 mark. On Tuesday, the stock traded up to $79.25 but resistance came in again, pushing ADI back to close the day with a $6.38 loss. ADI closed below the 5-dma and on its intra-day low on Tuesday. Due to the recent reversal in the chip sector and the NASDAQ, we are dropping this play tonight. We recommend placing tight stops under $70 and looking for an exit on Wednesday.

Picked on April 30th @ $76.81 Profit/Loss = -5.50 (-7%) Best Profit = +2.94 (+4%)

ALTR - Altera $96.44 -7.56 (-5.81)

Altera was pounded on Tuesday, falling below the 5 and 10-dma's by the closing bell. The stock closed on its intra-day low as the NASDAQ tanked late in the day. The chip sector has run into some selling pressure and we have decided to drop this play as protection from further weakness in the group. Set tight stops under $95 and plan to exit on strength Wednesday.

Picked on April 25th @ $98.88 Profit/Loss = -2.44 (-2%) Best Profit = +9.13 (+9%)

CIEN - Ciena Corporation Inc. $128.31 -11.75 (+4.69) When in doubt, take your profits. Today we are dropping Ciena Corporation as a split candidate. Sometimes it is best to quit while you are ahead. Today's selling in the NASDAQ marked by 2636 declining issues versus 1502 advancing issues gives us reason for concern. With the stock up $22 since we picked it, we feel that to lock in our profit would be best. We will continue to watch the stock as the May 18th earnings date approaches. That week also marks the very important Fed meeting and will undoubtedly be quite volatile. We will advise you of any new opportunities with CIEN as they develop. Consider taking profits on Wednesday.

Picked on April 25th @ $105.88 Profit/Loss = +22.43 (+21%) Best Profit = +37.48 (+35%)

MERQ - Mercury Interactive $84.44 -4.31 (-5.56)

This play did not last very long and our 20-20 hindsight tells us we caught what looks to be the tail end of this bounce play. The winds of sentiment change very quickly in this market and we do not want to be long this aggressive play if it decides to retest its lows. We were particularly discouraged by the fact that MERQ could not follow through after closing above the 50-DMA. If you wish to keep following this stock you may find a bounce at $72 a good opportunity for a trade.

Picked on April 30th @ $90.00 Profit/Loss = -5.56 (-6%) Best Profit = +4.50 (+5%)

ORCL - Oracle Corporation $77.81 -1.88 (-2.13)

Experiencing some of the NASDAQ's selling pressure on the day, OCRL shares remained perilously close to bucking the 50-dma ($76.84). Although shares were initiated by First Security Van Kasper with a strong buy rating, prices were once again unable to overtake the $80 mark. The tight range between the $80 resistance level and support at the 50-dma, could present problems if the NASDAQ resumes with more selling. Though the stock did provide us with many opportunities to capture profits along the $80 mark, we feel that further declines in the NASDAQ may weigh heavy on ORCL shares.

Picked on April 16th @ $63.50 Profit/Loss = +14.29 (+22%) Best Profit = +18.36 (+29%)

VRSN - VERISIGN, INC $126.50 -9.50 (-12.88)

Signing off of Verisign. Capital preservation is a vital element of trading stocks and with that thought in mind we are exiting VRSN with a profit in hand. The Internet trust company has fallen prey to profit taking this week and since resistance at $140 could not be conquered, we see more of a retreat as a real possibility. The date for the upcoming shareholders meeting was announced tonight and set for June 8th. If the slide in the NASDAQ continues, stocks making big advances of late will likely be targeted for profit taking.

Picked on April 25th @ $111.00 Profit/loss = +15.50 (+14%) Best Profit = +36.00 (+32%)