ADBE - Adobe Systems $163.44 +0.44 (+8.19)

Adobe Systems, Inc. is a leading provider of graphic design, publishing and imaging software. Their software is used to create, distribute and manage information across the Internet and corporate networks. Shares of ADBE have performed well over the past two years. The stock was trading in the $15-$20 range in early October 1998. On Tuesday, ADBE traded to an all-time high of $170.19 before the Federal Reserve announced at their FOMC meeting that it was holding pat on interest rates. Soon after, though, the NASDAQ sold-off and took ADBE back to $163.44 on two-times average daily volume (ADV) of 3.2 million shares. We believe that the stock could be ready to make more new highs as we move closer to the 2:1 split, payable on 10/24. Going forward, support is the 5-dma at $158.13 with stronger support at the 10-dma of $155.38. There is resistance at Monday's high of $167.06 and then the all-time high of $170.19. We are looking for entry points on a bounce off of $158 or a move above $167 on volume greater than 1 million shares by midday. We have placed stops at $153.50 as protection.

Picked on Oct 3rd @ $163.44 Change since picked +0.00