Afternoon Update

Dow Jones Industrial Average (INDU)
Right now the INDU is trading slightly under resistance at 10982.85. It has taken 4 days to take out the resistance line of the diamond pattern by any type of significance. However, it is a clear breakout, and this confirms that higher prices are ahead. On the Daily chart, we have a bullish Aroon cross, and the PPO is just breaking its downtrend line and turning upwards above 00. In addition, Dow futures leading the way higher along with a massive rally in the TRAN index which is up percentage wise more than the INDU.

J.P. Morgan (JPM) and UPS
I still like JPM and UPS as per the weekend update, and they have triggered entry. I think they break out. However, I have not put them in the portfolio because I prefer higher beta momentum stocks. Nevertheless, if you like large caps then please feel free to buy them.

Apple Computer, INC (AAPL) and SanDisk Corp. (SNDK)
Today I have issued buy alerts on AAPL (@$ 66.00) and SNDK (@ $59.00) respectively because they are fast movers and today looks like a good entry point. I have set a 5% stop loss on these stocks. AAPL is holding its pullback channel nicely and SNDK is at the bottom of its falling wedge and holding.