Weekly Market Overview

Stocks rose moderatley today as investors await data on the manufacturing sectors and details of a government plan to overhaul the way Wall Street is regulated. Volume was also light as many institutional investors had closed their books for the quarter that ended with this session. The quarter itself was disappointing as financial conmpanies continue to experience credit market losses while the poor economy wiped out any appetite for individual investors. There were a few up days, but the overall market still trended down. Whether or not it improves during the next week and quarter depends largely on an economic recovery.

Top 10 Stocks to Watch this Week

Fundamental Analysis

1. Gannett Company (GCI) - The newspaper industry is making the news, but not in a good way. The Newspaper Association of America reported that ad revenues in the industry have fallen by 9.5 percent in the biggest drop in any year since 1950. The decline comes at the heels of an economic slowdown and an increase in online advertising that together have put a damper on the fourth quarter - a peak period for ad sales. (Read More)
2. Citigroup Inc. (C) - Investors are looking for change and new chief executive Vikram Pandit is ready to act. The bank announced a broad restructuring move after the banking giant loss half of its market value in six months thanks to the sub-prime crisis. The new additions to the larger restructuring plan involve breaking up the consumer banking group into regional divisions and separating its credit card division. (Read More)
3. Take-Two Interactive (TTWO) - As reported here Wednesday, Take-Two Interactive Software's board rejected Electronic Art's most recent buyout offer, saying that it was not in the best interest of shareholders. Instead, the company also confirmed that it would explore strategic alternatives to maximize shareholder value in other ways that could deliver a higher value than the current $2 billion EA offer. (Read More)
4. Captaris Inc. (CAPA) - Captaris may be able to efficiently manage business data, but a strategic review of its own company is another story. Private equity firm Vector Capital offered to acquire the software company for $4.75 per share just last week, but the deal fell through after the company failed to take any decisive action. Now many shareholders are left wondering whether any deal will be done at all. (Read More)
5. Motorola Inc. (MOT) - Motorola Inc. may have agreed to Carl Icahn's proposed spin-off, but they are not out of the woods yet. The billionaire activist investor sent another letter to the board (via a Schedule 13D/A filing) earlier this week bringing up several concerns about the speed and manner in which a new management team is selected for the mobile devices division. (Read More)
   

Technical Analysis

1. Sohu.Com Inc. (SOHU) - Intermediate-Term Bullish Symmetrical Continuation Triangle.
2. Novartis Ag Ads (NVS) - Intermediate-Term Bullish Megaphone Bottom.
3. Energy Conversion Devices Inc. (ENER) - Long-Term Bullish Diamond Bottom.
4. Fuel Systems Solutions Inc. (FSYS) - Intermediate-Term Bullish Head and Shoulders Bottom.
5. Dealertrack Holdings Inc. (TRAK) - Intermediate-Term Bullish Continuation Wedge.
   

Stock of the Week : Google Inc. (GOOG)

New research data shows that online advertising is beginning to run out of steam at what could become a turning point for the industry. Many analysts have been concerned that such trends would continue as the industry began to mature, but the decline in consumer spending could expedite the process as fewer consumers click on ads while more publishers are looking to fill ad inventory. The big question is whether or not this trend will be permanent. (Read More)

Article of the Week : Predict Stock Momentum with the MACD

Moving Average Convergence/Divergence (MACD) is one of the most common tools used by traders to determine the direction and momentum of a given stock. The standard MACD formula involves subtracting a stock's 26-day exponential moving average (EMA) from its 12-day EMA to create a single line that fluxuates above and below zero. The theory is that the movements of this line can be used to make accurate predictions. This article will take a look at what exactly the MACD is and how you can use it to profit! (Read More)

Final Words

The future of the U.S. economy remains uncertain desite an improvement in the financial sector. Overall, the economy seems to be heeling, but consumers may lag a bit behind as weakness in spending is seen for at least a couple more quarters.