The MTG Stalk Sheet
April 9, 2008

The MTG Stalk Sheet presents you with the best individual stocks that Morpheus Trading Group is stalking for potential trade entry each day, all in a concise and easy to understand format. Please be sure to read the MTG Stalk Sheet User Guide in order to understand the terminology below and to receive the maximum benefit from your subscription. Enjoy!


"FULL-SERVE" STALK LIST




CHD - Church & Dwight Co.

  • Industry - Consumer/Non-Cyclical
  • Side - Long
  • Shares - 325
  • Stalking since - April 9
  • Timeframe - 5 - 20 days
  • Trigger - 57.01
  • Target - new highs (will trail stop)
  • Stop - 55.49
  • Notes -
      • CHD broke a three month downtrend line on very heavy volume.
      • Has pulled back on relatively lighter volume.
      • Retraced about 38% of the move up (from 3/31 to 4/3).
      • The buy entry is over the downtrend line of the pullback, but we are going over the whole number just to be safe.
      • The stop is placed beneath the low of the 4/8.
      • Trade expectations - Given the strong volume on the move up, we expect CHD to resume the uptrend and establish new highs shortly thereafter.
    "SELF-SERVE" STALK LIST - UPDATED EVERY MONDAY (Click here to view the "Self-Serve" Stalk List section of the user guide.)

      LONG WATCHLIST AND TRIGGER PRICES - (changes to trigger prices are highlighted in red)

      Pullback entries - (2-5 day pullback in a strong uptrend, example - Walmart (WMT) pullback from 3/25 to 3/28)

      New setups

    • CHD - 57.01
    • AMX - 65.01
      ------------------------------
    • NUE - 71.61 (triggered 4/8)

      Breakout entries (from cup and handles, bull flags, flat bases,and downtrends)

      New setups

    • RIG - 147.01
    • CF - 133.11
    • POT - 178.15
      ------------------------------
    • KSU - 41.91
    • KBH - 29.12
    • LEN - 22.86
    • GWR - 36.26
    • BEN - 105.51
    • V - 66.41 (65.26 entry triggered 4/7)
    • ITRI - 98.76 (false breakout 4/7)
    • CRK - 41.33 (triggered 4/7)
    • MOS - 116.11 (gapped 3 pts. above entry)
    • SID - 40.13 (triggered 4/7)
    • SII - 71.15 (triggered 4/7)
    • ICE - 151.11 (triggered 4/7)
    • UPL - 79.51 (triggered 4/7)
    • FMX - 44.12 (false triggered 4/7)
    • STT - 85.31 (false triggered 4/7)
    • AG - 66.35 (triggered 4/7)
    • QMAR - 24.26 (triggered 4/7)

      SHORT WATCHLIST AND TRIGGER PRICES (stocks consolidating at/near their 52-week lows in a tight range)

    • PTRY - 21.97
    • DLX - 19.09
    • AET - 41.42
    • FFIV - 17.89 (triggered on 4/7)
    • FMD - 7.29 (gapped well below entry)


    Daily Stalk Summary

    Below is an overview of all "full-serve" open positions, as well as a performance report on all "full-serve" positions that were closed only since the previous day's newsletter. Net P/L figures are based on the $100,000 Stalk Sheet model account size. Changes to open positions since the previous report are listed in red text below:

      Open positions (coming into today):

        RRC long (250 shares from April 2) - bought 65.16, stop 62.94, target new highs (will trail stop), unrealized points = + 3.50, unrealized P/L = + $873

        ISRG long (50 shares from Arpil 1) - bought 332.35, stop 326.89, target new highs (will trail stop), unrealized points = + 14.75, unrealized P/L = + $737

        V long (100 shares from April 7) - bought 65.91(avg), stop 64.49, target (new highs), unrealized points = + 2.18, unrealized P/L = + $434

        BRKR long (350 shares from March 26) - bought 16.04, stop 14.69, target (new highs), unrealized points = + 0.05, unrealized P/L = + $14

      Closed positions (since last report):

        FLR long (125 shares from April 1) - bought 146.55, sold 152.11, points = + 5.56, net P/L = + $693

        SIAL long (200 shares from March 28) - bought 57.49, sold 61.26, points = + 3.77, net P/L = + $750

      Current equity exposure ($200,000 max. buying power):

        $77,340


      Notes:

      • Per intraday email alerts we:
        • Sold SIAL to protect gains after a weak bounce from Monday's pullback.
        • Sold FLR on a bounce off the lows to lock in a solid gain.
        • Added 100 shares to our position in V.


      Market Conditions / Gameplan:

    • The major averages are pulling back on lighter volume and ignoring all kinds of bad news. This is bullish price action. Strong stocks continue to lead the market higher. The price action of leading stocks will gauge how strong this rally is. We are looking to establish new long positions on breakouts or pullbacks from new highs.



      Market Leaders:

        Monitoring the price action of leading stocks is the best way to gauge the health of the market (when the market is trending higher). This list of leaders is updated every Monday.

          Leaders - AKS ANR APA CLF CMP FDG FST GGB GILD HP ILMN LNN MEE PDC SCHN SIAL SQM SYT WFT WLT X XEC

          Strong stocks at/near the 50-day MA (a key institutional support level) - AEM BMRN GG PAAS

          Leading stocks breaking the 50-day (last week) - none


        Notes on leaders:

      • This rally is just starting out, but so far we like the action. Leading stocks are breaking out to new highs and new chart patterns/setups are emerging.

      Open Position Detail:

      • BRKR - Holding above the 20-day EMA, still range bound. No change in stop.
      • ISRG - Finding support at hourly uptrend line. No change in stop.
      • RRC - Found support at 20-EMA/60-minute. If the hourly swing low of 67 cant't hold, then we will trail a very tight stop top preserve some of the gain.
      • V - Strong price and volume action yesterday. No change in stop.


      Click here for a free trial to Morpheus Trading Group's other newsletter services.

      Please check out the MTG Stalk Sheet Subscriber Guide to learn how to get the most from your subscription.

      Edited by Deron Wagner,
      MTG Founder and Head Trader

      DISCLAIMER: There is a risk for substantial losses trading securities and commodities. This material is for information purposes only and should not be construed as an offer or solicitation of an offer to buy or sell any securities. The Company and/or its affiliates, officers, directors and employees may or may not buy, sell or have a position in the securities discussed in The MTG Stalk Sheet and may profit in the event the shares of the companies discussed in The MTG Stalk Sheet rise or fall in value. Morpheus Trading, LLC (hereinafter "The Company") is not a licensed broker, broker-dealer, market maker, investment banker, investment advisor, analyst or underwriter. This discussion contains forward-looking statements that involve risks and uncertainties. A stock's actual results could differ materially from descriptions given. The companies discussed in this report have not approved any statements made by The Company. Please consult a broker or financial planner before purchasing or selling any securities discussed in The MTG Stalk Sheet. The Company has not been compensated by any of the companies listed herein, or by their affiliates, agents, officers or employees for the preparation and distribution of any materials in The MTG Stalk Sheet. Past performance never guarantees future results.

      Copyright © 2002 - 2007 - Morpheus Trading, LLC
      All Rights Reserved