Stocks On Fire (2001)


Active member
These are a selection from my 'STOCKS ON FIRE' sub list on AIQ. I obviously cannot provide TA for all of them but since they represent part of my research over Christmas I thought I would share them with fellow members. I do not own any of them yet but I am seriously considering buying some, subject to this lousy market and the worsening position over the pond. Here they are:

Aurion Energy (AUY) 38p +3p, rising again after retracement.

Balfour Beatty (BBY) £1.24 +4p - this is widely tipped to rise and a very hot stock at this moment

Coats Viyella (CVY) 42.5p +4p - restructuring of the board, likely to result in new strategy going forward. One to watch.

Digital Animations Group (DAG) 72p +5p For DAG lovers this is a good time to buy. It tends to trade in a range and is rising from its lows. This company recently reported its first profit, also has a new contract in America and shares are widely tipped to rise this year. Keep an eye on it.

Environmental Polymers (EVP)32.5p - 2.5p , retracement after continuous rise since 21/12 (date of float) The market like this company. It has a new concept of bio degradeable plastic chips. Company has few competitors. Previously listed on Ofex circa 50p but priced for float on AIM at realistic entry level. This might retrace but worth keeping an eye on.

Rotork (ROR) £2.72 U/C today. Beginning of an uptrend? Interesting and one to watch.

First Choice Holidays (FCD) £1.27 +2p This share should fly after 40% increase in recently reported profits. The increase was achieved after aqcuisitions but the market now like this company. I suspect its share will enjoy a re-rating after outstanding results.

London Forfaiting Company (LFC) 36.75p + 0.75p. Start of rise after retracement. Again, the market like this company. In recent years fell on hard times. The company acts as a middle man for purchase of goods, usually overseas and LFC provide a form of credit. Returned to profit of £272.000 last time, hence the rise in share price. This could be a good bet.

L. Gardner (LGD) £1.49 +4p - Appears to be trading in a range and this is a stock where you could make money buying on lows and selling highs. However, the market like this stock and I would not be suprised to see it break out of its trading range. Keep an eye on this one.

Magnum Power (MGP) 17.15p U/C keep an eye on this stock. I think its going north.

Tadpole Technolgy (TAD) 49.5p off 2.25p. Massive expectations for TAD, again it is difficult to see how it can advance in this market but put it on your watch list.

Stagecoach (SGC) 70p +4p A stock that was previously savaged by the market. Also due to concerns over aqcuisition on US Bus Co. Seems to have begun an uptrend. There has been talk of late that Brian Souter might take this company back into private ownership, although this has been denied by the company. It might explain the start of an uptrend. Watch for wipsaws. This is a heavilly traded stock and the sellers can return in an instant.

Please note, I am not qualified to give recommendations and these posts do not constitute a recommendation to buy or to sell. The intention is generate debate. If anybody would like to start a seperate topic for any one of these stock then please do and I will provide a technical analysis if requested. You will notice that I am now looking SERIOUSLY at small cap 'penny' stocks. This is part of my new strategy. I stongly believe there is massive upside in a lot of penny stocks that have been ignored by the market. I just have a feeling that the market will begin to look for value in small caps at some stage. It is often possible to make healthy returns with minimum outlay.


Stocks were picked using all manner of methods including EDS, Reports on AIQ, scanning systems to find stocks with strong RSI and E-mail alerts from Citywire. I now have my AIQ sub indexes organised into ONFIRE, HOTSTOCK, WATCHER, RANGE, NEWFLOATS, RECOVERY, MACDUP and SPIKE. That will give you some idea of the strategy I am working on for 2001. Tonight is a typical day when I have run about 15 EDS routines, printed all e-mail alerts and checked my AIQ lists to identify stocks which look promising.

The following look interesting from my work tonight but be careful, some of these penny shares have a tendency to re-trace then your locked into a bull trap. Needs some careful refinement which can only be done with the eye, OBV, MF, RSI, NEGMF etc, etc.


These are just some more ideas and do not amount to financial advice. Be careful, its a jungle out there!