Position Trades - MATK, BCR, ADTN, UPS

Good morning! Our watch list from Sept. 10th has panned out quite nicely over the past two weeks (9/10/2007 Short: CAKE, ADP, and IRF. Long: NEM, GG, SYY, ALTR, SLAB, EBAY and PAY)!

There are fewer setups this week than earlier this month now that the market is again heading back into the previous highs and hence decent price resistance, but I have a couple of things that have caught my eye. The main one is Martek Biosciences Corp. (MATK). Martek Biosciences Corporation engages in the development, manufacture, and sale of natural products derived from microalgae, fungi, and other microbes primarily in the United States. It's been in a downtrend since peaking in 2004, but has begun to round off at the monthly lows. These lows were smack into price support from the pre-2003 breakout and rally.

In May MATK took off, shooting higher throughout June and into mid-July. Since then it has fallen into a period of congestion. It had two waves of correction within that trading range and on Friday it busted through a third test of the highs of the range.

MATK is a stock which I feel can keep running throughout the remainder of the year and easily into the next. This might correct a bit on the weekly and lacks a decent daily setup now since the daily trigger was on Wednesday before it had popped up in my scans, so I'll be looking to build a position on correction intraday and on the daily time frame. August lows will serve as support. This pattern on the monthly time frame is very similar to these ones which took place in OSTK and NWRE earlier this year.

Other stocks to watch in coming months for buying ops include BCR and then on the larger time frames I am watching the base developments in ADTN and UPS.