Entering Earnings Season

The first quarter of 2007 has closed which means only one thing...Its Earnings Season. The auditors are or will be performing the SAS 100 reviews and companies will be gearing up to release first quarter numbers. That also means Mr. Market may turn to his old manic ways of over reacting to both good and bad news, which means for those of us who don't let Mr. Market dictate our decisions we may just be able to profit from his manic behavior. The website TradingMarkets.com has detailed 7 stocks you need to know for Wednesday:

Alcoa (NYSE:AA - News) beat earnings on Tuesday afternoon with $0.79 EPS over an expected $0.77 EPS. AA's PowerRating is 5.

Acergy (NasdaqGS:ACGY - News) announces earnings Wednesday before the open; watch for $0.33 EPS. ACGY's PowerRating is 5.

When Jos. A. Bank (NasdaqGS:JOSB - News) reports quarterly earnings before the bell Wednesday, look for $1.25 EPS. JOSB's PowerRating is 6.

Analysts are watching for Progressive (NYSE:PGR - News) to announce $0.46 EPS before the open on Wednesday. PGR's PowerRating is 4.

Genentech (NYSE:DNA - News), Research In Motion (NasdaqGS:RIMM - News) and Ruby

Tuesday (NYSE:RI - News) all announce earnings after the bell on Wednesday; watch for heightened price action and volume ahead of the close. DNA's PowerRating is 6, RIMM's PowerRating is 4 and RI's PowerRating is 7.

TradingMarkets has also identified the following trading ideas for today:

Bullish
5+ Consecutive Down Days: These are stocks that have closed down for five or more consecutive days and are trading above their 200-day moving average. Our research shows that stocks trading above their 200-day moving average that close down for five or more days have shown positive returns, on average, 1-day, 2-days and 1-week later. Historically, these stocks have provided traders with a significant edge.

LSI Logic (NYSE:LSI - News). LSI's PowerRating is 7.

Vanda Pharmaceuticals (NasdaqGM:VNDA - News). VNDA's PowerRating is 8.

2-Period RSI Below 2: These are stocks that have a 2-period RSI reading below 2 and are trading above their 200-day moving average. Our research shows that stocks trading above their 200-day moving with a 2-period RSI reading below 2 have shown positive returns, on average, 1-day, 2-days and 1-week later. Historically, these stocks have provided traders with a significant edge.

United Industrial (NYSE:UIC - News) & Life Time Fitness (NYSE:LTM - News). UIC's PowerRating is 7, and LTM's PowerRating is 6.

Stocks Down 10% or More: These are stocks that have lost 10% or more over the past five days and are trading above their 200-day moving average. Our research shows that stocks trading above their 200-day moving average that have lost 10% or more over the past five days have shown positive returns, on average, 1-day, 2-days and 1-week later. Historically, these stocks have provided traders with a significant edge.

Radvision (NasdaqGS:RVSN - News). RVSN's PowerRating is 7.

Bearish
5+ Consecutive Up Days: These are stocks that have closed up for five or more consecutive days and are trading below their 200-day moving average. Our research shows that stocks trading below their 200-day moving average that close up for five or more days have shown negative returns, on average, 1-week later. Historically, these stocks have provided traders with a significant edge. Historically, these stocks have provided traders with a significant edge.

Pfizer (NYSE:PFE - News). PFE's PowerRating is 4.

2-Period RSI Above 98: These are stocks that have a 2-period RSI reading above 98 and are trading below their 200-day moving average. Our research shows that stocks trading below their 200-day moving with a 2-period RSI reading above 98 have shown negative returns, on average, 1-day and 1-week later. Historically, these stocks have provided traders with a significant edge.

Molina Healthcare (NYSE:MOH - News). MOH's PowerRating is 3.


At SmartTrades we are still bullish on Mama.Com (Mama), and Universal Travel Group (UTVG.OB). With positive results expected an investor should be able to expect nice appreciation in the stock value...barring some unforseen Mr. Market manic attack.




Reminder: We are in no way recommending the purchase or sale of these stocks. This article is intended for education purposes only. Trading should be based on your own understanding of market conditions, price patterns and risk; our information is designed to contribute to your understanding.