Growth Stocks

EAC @ $39.46 (Encore Acquisition) is engaged in the exploration and production of crude oil and natural gas from onshore fields in the United States. Earnings are expected to increase 93% this year to $3.28 a share. Volume has steadily increased as the stock emerges from its recent consolidation. We are establishing half a position here and enter the remaining half on a pull back to $35. Our stop loss will be set at $34. 

Momentum Stocks

COIN @ $11.22 (Converted Organics) is a development stage company seeking to manufacture fertilizers from organic food waste for the agribusiness market. We originally featured this stock on 1/3/08 at $5.74 and have been in and out a couple times over the last couple of months. We are establishing half a position here and will enter the remaining half around $9.75. We will set our stop loss at a close below $9. 

IPO's and New Issues

RMG @ $17.01 (Riskmetrics Group) provides risk management and corporate governance products and services to institutional investors and corporations. We originally recommended this stock two weeks ago at $21.98, but were stopped out for a .50 cent loss. RMG came public in January at $18 and is now trading below its IPO price after gapping 33% higher on its first day of trading. We like this stock long term and will start to accumulate a small position here. We don't want to fight the recent selling, so establish just 25% of your position here. We will add another 25% on a move back above $18 or continued weakness that allows us to get in at $15.

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