6 Great Small Caps

Last week I added 6 new stocks to the Barchart Van Meerten Speculative portfolio for superior price momentum. The portfolio is for stocks selling less than $10 a share that hit new highs in at least 50% of the trading sessions in the last month.

This weeks list includes Hooper Holmes (HH), American Lorain (ALN), Relms Wireless (RWC), Curis (CRIS), Forcefield Energy (FNRG) and ECA Marcellus Trust (ECT):

Hooper Holmes (HH)

Barchart technical indicators:

• 72% Barchart technical buy signals
• Trend Spotter buy signal
• Above its 20, 50 and 100 day moving averages
• 18 new highs and up 22.92% in the last month
• Relative Strength Index 69.61%
• Barchart computes a technical support level at .55
• Recently traded at .59 with a 50 day moving average of .51

American Lorain (ALN)

Barchart technical indicators:

• 96% Barchart technical buy signals
• Trend Spotter buy signal
• Above its 20, 50 and 100 day moving averages
• 21 new highs and up 26.92% in the last month
• Relative Strength Index 76.88%
• Barchart computes a technical support level at 1.26
• Recently traded at 1.32 with a 50 day moving average of 1.09

Relms Wireless (RWC)

Barchart technical indicators:

• 96% Barchart technical buy signals
• Trend Spotter buy signal
• Above its 20, 50 and 100 day moving averages
• 15 new highs and up 21.29% in the last month
• Relative Strength Index 77.25%
• Barchart computes a technical support level at 6.00
• Recently traded at 6.21 with a 50 day moving average of 5.20

Curis (CRIS)

Barchart technical indicators:

• 64% Barchart technical buy signals
• Trend Spotter buy signal
• Above its 20, 50 and 100 day moving averages
• 15 new highs and up 69.71% in the last month
• Relative Strength Index 63.56%
• Barchart computes a technical support level at 2.89%
• Recently traded at 3.08 with a 50 day moving average of 1.96

Forcefield Energy (FNRG)

Barchart technical indicators:

• 96% Barchart technical buy signals
• Trend Spotter buy signal
• Above its 20, 50 and 100 day moving averages
• 15 new highs and up 15.25% in the last month
• Relative Strength Index 94.24%
• Barchart computes a technical support level at 7.41
• Recently traded at 7.48 with a 50 day moving average of 6.76

ECA Marcellus Trust (ECT)

Barchart technical indicators:

• 40% Barchart technical buy signals
• Trend Spotter buy signal
• Above its 20, 50 and 100 day moving averages
• 10 new highs and up 29.22% in the last month
• Relative Strength Index 60.39%
• Barchart computes a technical support level at 4.08
• Recently traded at 4.29 with a 50 day moving average of 3.55

The 5 Hottest Micro Caps

I love the Barchart screening tools.  Today I wanted to find the hottest micro cap stocks so I set my screener for the stocks under $2 billion market cap and under $10 per share.  Next I sorted the results to find the stocks that hit the most frequent new highs in the last month.

My list includes American Lorain (ALN), Hooper Holmes (HH), Liberator Medical Holdings (LBMH), North American Palladium (PAL) and Relm Wireless (RWC):

American Lorain (ALN)

Barchart technical indicators:

• 100% Barchart technical buy signals
• Trend Spotter buy signal
• Above its 20, 50 and 100 day moving averages
• 21 new highs and up 27.62% in the last month
• Relative Strength Index 86.85%
• Barchart computes a technical support level at 1.19
• Recently traded at 1.30 with a 50 day moving average of 1.07

Hooper Holmes (HH)

Barchart technical indicators:

• 64% Barchart technical buy signals
• Trend Spotter buy signal
• Above its 20, 50 and 100 day moving averages
• 18 new highs and up 18.75% in the last month
• Relative Strength Index 65.13%
• Barchart computes a technical support level at .50
• Recently traded at .57 with a 50 day moving average of .51

Liberator Medical Holdings (LBMH)

Barchart technical indicators:

• 96% Barchart technical buy signals
• Trend Spotter buy signal
• Above its 20, 50 and 100 day moving averages
• 17 new highs and up 24.52% in the last month
• Relative Strength Index 68.29%
• Barchart computes a technical support level at 3.73
• Recently traded at 3.85 with a 50 day moving average of 3.21

North American Palladium (PAL)

Barchart technical indicators:

• 100% Barchart technical buy signals
• Trend Spotter buy signal
• Above its 20, 50 and 100 day moving averages
• 17 new highs and up 125.00% in the last month
• Relative Strength Index 86.69%
• Barchart computes a technical support level at .28
• Recently traded at .36 with a 50 day moving average of .18

Relm Wireless (RWC)

Barchart technical indicators:

• 96% Barchart technical buy signals
• Trend Spotter buy signal
• Above its 20, 50 and 100 day moving averages
• 16 new highs and up 30.61% in the last month
• Relative Strength Index 79.22%
• Barchart computes a technical support level at 5.99
• Recently traded at 6.25 with a 50 day moving average of 5.14

Relm Wireless - Barchart's Chart of the Day

Relm Wireless (RWC) is the Barchart Chart of the Day.  The communications equipment stock has a Trend Spotter buy signal, a Weighted Alpha of 57.90+ and gained 50.36% in the last month.

The Chart of the Day is Relm Wireless (RWC).  I found the stock by sorting the New High list for new high frequency in the last month, then used the Flipchart feature to review the charts.  Since the Trend Spotter signaled another buy on 7/23 the stock is up 5.85%.

RWC manufactures and markets two-way FM business band as well as high spec public safety mobile, portable and base radios, repeaters and accessories, base station components and subsystems. Products are manufactured and distributed worldwide under the RELM Communications, Uniden PRC and BK Radio brand names.

Barchart's Opinion trading systems are listed below. Please note that the Barchart Opinion indicators are updated live during the session every 10 minutes and can therefore change during the day as the market fluctuates. The indicator numbers shown below therefore may not match what you see live on the Barchart.com web site when you read this report.

Barchart technical indicators:

• 88% Barchart technical buy signals
• Trend Spotter buy signal
• Above its 20, 50 and 100 day moving averages
• 16 new highs and up 12.97% in the last month
• Relative Strength Index 62.05%
• Barchart computes a technical support level at 3.92
• Recently traded at 4.08 with a 50 day moving average of 3.94

Fundamental factors:

• Market Cap $51.25 million
• P/E 51.25
• The analyst following the stock has not made a recommendation but forecasts the earnings will grow 22.50% annually for at least the next 5 years
• Over on Motley Fool their readers voted 27 to 0 that the stock will beat the market

Small Cap stocks like this one should be treated on a purely technical basis.  Exit at the 100 day moving average.

Barchart Morning Call 8/2

Barchart Morning Call BC - 1 hr 8 mins ago Overnight Developments Sep E-mini S&Ps this morning are up by +0.40% and European stocks are up with the Euro Stoxx 50 up 0.52%. EUR/USD is up +0.29% and the dollar index weakened -0.25% before this morning's policy statement from the ECB. Commodity prices are mixed with crude oil up +0.29% and copper down -0.50%. Agricultural prices are lower on with Dec corn down -0.59% and Nov soybeans down -0.74%. Sep T-notes are up +5.5 ticks. Asian stocks today closed mixed: Japan +0.13%, Hong Kong -0.66%, China -1.01%, Australia +0.16%, South Korea -0.68%, India -0.19%. As expected, the BOE maintained its benchmark rate at 0.50% and held its asset purchase plan at 375 billion pounds. Spanish 10-year bond yields fell -9 bp to 6.56% after the government sold 3.13 billion euros of 10-year debt, which exceeded its target sale of 3 billion euros. Euro-Zone producer price inflation slowed after the Euro-Zone June PPI fell -0.5% m/m and rose +1.8% y/y, weaker than expectations of -0.4% m/m and +1.9% y/y with the +1.8% y/y gain the smallest annual increase in 2-1/4 years. U.K. July construction PMI climbed +2.7 to 50.9, stronger than expectations of +0.5 to 48.7. China's Securities Regulatory Commission cut transaction fees on yuan-denominated stocks traded in Shanghai and Shenzhen for a third time this year in an attempt to bolster investor sentiment amid sagging stock prices. Market Comments Sep E-mini S&Ps this morning are . The U.S. stock market Wednesday traded higher into early afternoon and then moved lower after the FOMC announcement and finished with moderate losses on disappointment the Fed refrained from more stimulus: S&P 500 -0.29%, Dow Jones -0.25%, Nasdaq 100 -0.28%. An unexpected contraction in the July ISM manufacturing index for a second month and an unexpected decline in the July China PMI manufacturing index fueled global growth concerns and were negative for stocks along with disappointment that the Fed failed to signal additional stimulus measures in its post-FOMC statement. Sep 10-year T-notes this morning are . Sep 10-year T-note prices on Wednesday traded lower until the early afternoon post-FOMC statement when they whipsawed up to unchanged and then sold-off into the close on disappointment the Fed failed to provide additional stimulus measures: TYU2 -16, FVU2 -7.5. Losses in T-note prices were limited on global growth concerns after July China and U.S. manufacturing activity rose less than expected. The dollar index this morning is with EUR/USD % and USD/JPY %. The dollar index on Wednesday shook off early losses and closed higher after the Fed refrained from further steps to stimulate economic growth: Dollar index +0.423 (+0.51%), EUR/USD +0.00018 (+0.01%), USD/JPY -0.011 (-0.01%). Sep WTI crude oil prices this morning are a barrel . Sep gasoline is cents per gallon. Crude oil and gasoline prices Wednesday closed higher after weekly U.S. crude inventories fell -6.52 million bbl to a 3-month low, more than expectations of -1.0 million bbl, and as weekly gasoline supplies unexpectedly contracted -2.17 million bbl, weaker than expectations of a +500,000 bbl build: CLU2 +0.59 (+0.67%), RBU2 +0.0599 (+2.16%). Limiting gains in energy prices were the weaker-than-expected July manufacturing data from China and the U.S., the world's two biggest crude consumers, which suggests uneven economic strength that may crimp energy demand. For the complete subscription version of this daily report (plus a 13-page big-picture weekly report), along with the earliest possible delivery in the morning, please visit http://www.barchart.com/register/crbfms_usmc.php Today's U.S. Earnings Reports Earnings reports (ranked by market cap): KFT-Kraft Foods (Consensus $0.66), AIG-American International Group (0.60), DUK-Duke Energy (0.97), APA-Apache (2.54), DTV-DirecTV (1.14), GM-General Motors (0.75), PSA-Public Storage (0.95), TWC-Time Warner Cable (1.38), CBS-CBS Corp. (0.59), SE-Spectra Energy (0.36), K-Kellog (0.84), SRE-Sempra Energy (0.82), BDX-Becton Dickinson (1.53), CAH-Cardinal Health (0.72), XEL-Xcel Energy (0.36), CI-Cigna (1.42). Global Financial Calendar Thursday 8/2/12 United States 0730 ET July Challenger job cuts, June -9.4% y/y. 0830 ET Weekly initial unemployment claims expected +17,000 to 370,000, previous -35,000 to 353,000. Weekly continuing claims expected -2,000 to 3.285 mln, previous -30,000 to 3.287 mln. 0830 ET USDA weekly exports. 0945 ET July ISM New York manufacturing index, June 49.7. 1000 ET June factory orders expected +0.5% m/m, May +0.7% m/m. n/a July ICSC chain store sales, June +0.2% y/y. 1030 ET DOE natural gas storage. 1100 ET Kansas City Fed July manufacturing index, June 3. 1630 ET Weekly money supply report and Fed balance sheet. United Kingdom 0430 ET UK July construction PMI expected +0.5 to 48.7, June 48.2. 0700 ET BOE policy meeting outcome; base rate expected unchanged at 0.50%, asset purchase target expected unchanged at 375 bln pounds. Euro-Zone 0500 ET Eurozone June PPI expected -0.4% m/m and +1.9% y/y, May -0.5% m/m and +2.3% y/y. 0745 ET ECB policy meeting outcome; refinancing rate expected unchanged at 0.75%. CHI 2100 ET China July non-manufacturing PMI (China Federation of Logistics and Purchasing), June +1.5 to 56.7. 2230 ET China July HSBC services PMI, June -2.4 to 52.3. Barchart.com provides Financial Quotes, Charts and Technical Analysis for Stock and Commodity Traders.