Indices
Dow + 135.23 at 10,540.93  I   Nasdaq + 31.79 at 2,005.67  I  S&P 500 + 16.05 at 1,181.41 

Market Wrap
(Briefing):

Bulls rallied behind falling oil prices, encouraging economic data, technology leadership, oversold conditions and an improving overall sentiment to lock in gains of more than 1.0% across the board... The Dow (+1.3%), aided by upticks in 29 of its 30 components, recorded its first triple-digit gain in nearly a month while the Nasdaq (+1.6%) closed above the psychological 2000 mark for the first time in more than a week... Falling crude oil prices ($53.99 /bbl -$0.24), in the wake of strong inventories data, eased inflationary pressures ahead of tomorrow's Feb Personal Income and Spending report and Friday's March employment report... Crude oil inventories rose 5.4 mln barrels (consensus +2.5 mln) and distillates fell only 1.1 mln barrels (consensus -1.5 mln), offsetting a larger than expected 2.9 mln barrel decline in gasoline inventories (consensus -1.8 mln)... At their lowest levels of the day, oil prices were off as much as 3.2% (or down 9.5% from highs of $57.60/bbl reached just two weeks ago), before losses were pared in the last half hour of trading... Also contributing to the bullish bias was a final read on the Commerce Dept.'s Q4 GDP report, which checked in at 3.8%... While the figure was left unchanged versus economists' higher expectations of 4.0%, the data signaled a pace of economic growth that was not too strong to warrant more aggressive Fed tightening at the FOMC's next meeting (May 3)... With the market arguably being oversold following three weeks of declines and a day that saw the Dow and S&P hit two-month lows and the Nasdaq mimic weakness not seen since last October, renewed buying interest and end of the quarter window dressing created bargain hunting opportunities in virtually every sector... Information Technology (+1.6%) led the charge in the wake of better than expected Q2 earnings from Micron Technology (MU 10.48 +0.36), as all 10 economic sectors enjoyed gains of more than 1.0%... Strength in Computer Storage (+3.2%), after Morgan Stanley initiated coverage of EMC Corp (EMC 12.39 +0.41) with an Overweight rating, coupled with strong gains in Hardware (+2.5%), Software (+2.1%) and Networking (+2.1), also helped technology advance... Internet Retail (+4.4%) and IT Consulting & Services (+6.8%) - two of this year's Top Ten worst performing groups - were the best performers, while Airlines (+2.6%) - another poor performer in 2005 - surged amid falling oil prices and a Merrill Lynch upgrade on AMR Corp (AMR 11.03 +1.10)... Financial (+1.1%), which got a boost amid a management shake-up at Morgan Stanley (MWD 55.28 +1.67), along with Health Care (+1.4%), Materials (+1.4%) and Energy (+1.5%), despite lower oil, were also influential leaders to the upside... Even Treasurys climbed, shrugging off modest selling pressure early on following the unrevised GDP figure, as the benchmark 10-year note finished up 4 ticks to yield 4.55%... The only notable group that sold off was Multi-Line Insurance (-1.4%), led by weakness in American International Group (AIG 57.16 -1.04), which admitted to improper accounting practices and delayed its 10-K filing again... Meanwhile, the dollar inched lower against the euro (1.2923) and weakened against the yen (107.48) for the first time in nine sessions after Q4 GDP grew less than anticipated, lifting gold futures $429.50/oz. (+0.2%) toward their highest levels in a week...NYSE Adv/Dec 2475/808...NASDAQ Adv/Dec 2128/945.

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Trade system guidelines (edited):
Only available to Newsletter Subscribers.

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Today's Picks - March 31, 2005

1.   AET- Aetna Inc

Entry Date	Exit Date	Position	Entry Price	Target Price	Stop Price	Max P/L
03-31		Long	Above 15 high	Sell 1/2 once risk covered	Below LOD at time of setup
	* Please Note: If the stock gaps down at the open do not enter the trade unless it trades above 75.57

2.   PPDI - Pharmaceutical Product Development

Entry Date	Exit Date	Position	Entry Price	Target Price	Stop Price	Max P/L
03-31		Long	Above 15 high	Sell 1/2 once risk covered	Below LOD at time of setup
	* Please Note: If the stock gaps down at the open do not enter the trade unless it trades above 48.29

3.   UNH - UnitedHealth Group

Entry Date	Exit Date	Position	Entry Price	Target Price	Stop Price	Max P/L
03-31		Long	Above 15 high	Sell 1/2 once risk covered	Below LOD at time of setup
	* Please Note: If the stock gaps down at the open do not enter the trade unless it trades above 95.79

4.   LMT - Lockheed Martin

Entry Date	Exit Date	Position	Entry Price	Target Price	Stop Price	Max P/L
03-31		Long	Above 15 high	Sell 1/2 once risk covered	Below LOD at time of setup
	* Please Note: If the stock gaps down at the open do not enter the trade unless it trades above 61.47

5.   CHS - Chico's FAS

Entry Date	Exit Date	Position	Entry Price	Target Price	Stop Price	Max P/L
03-31		Long	Above 15 high	Sell 1/2 once risk covered	Below LOD at time of setup
	* Please Note: If the stock gaps down at the open do not enter the trade unless it trades above 28.46

6.   GE - General Electric

Entry Date	Exit Date	Position	Entry Price	Target Price	Stop Price	Max P/L
03-31		Long	Above 15 high	Sell 1/2 once risk covered	Below LOD at time of setup
	* Please Note: If the stock gaps down at the open do not enter the trade unless it trades above 36.22

7.   JBL - Jabil Circuit

Entry Date	Exit Date	Position	Entry Price	Target Price	Stop Price	Max P/L
03-31		Long	Above 15 high	Sell 1/2 once risk covered	Below LOD at time of setup
	* Please Note: If the stock gaps down at the open do not enter the trade unless it trades above 28.36

8.   CRK - Comstock

Entry Date	Exit Date	Position	Entry Price	Target Price	Stop Price	Max P/L
03-31		Short	Below 15 min low	Cover 1/2 once risk covered	Above HOD at time of setup
	* Please Note: If the stock gaps up at the open do not enter the trade unless it trades below 26.99

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EOD = End of day.
LOD = Low of day.
PDC = Previous Day's Close.
S/R = Support/Resistance.
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