Weekly Market Overview

The U.S. stock market rallied today after the Treasury announced a $1 trillion program to reduce the number of toxic assets contaminating U.S. banks. The financial sector led the rally as any reduction in toxic assets could lead to an increase in lending and improved balance sheets for banks and financial institutions. Meanwhile, oil and commodity prices opened higher due to increased inflationary concerns before moving down marginally on profit-taking.

Top 10 Stocks to Watch this Week

Fundamental Analysis

1. Wilshire Enterprises Inc. (AMEX: WOC) shareholders have been presented with two conflicting stories throughout this lengthy proxy battle. Management believes that Full Value’s fire-sale of assets would not fetch a fair premium in today’s markets. Meanwhile, Full Value believes that management simply wants to entrench itself for another year and continue draining the company’s capital. (Read More)
2. Target Corporation (NYSE: TGT) shares opened sharply higher amid a broad market rally on the Treasury’s new plan to buy up toxic assets. However, investors have another good reason to be happy after looking at a Form 4 filing with the SEC. Executive Officer Gregg Steinhafel purchased 150,000 shares on March 18th at an average price of $30.35 per share. However, is this a real sign of confidence or something else entirely? (Read More)
3. Capital One Financial Corporation (NYSE: COF) has been hit hard by the economic downturn as higher defaults caused significant deterioration in their credit card portfolio. The stock fell from a high of around $65 per share to a low of around $8 per share before rebounding. However, many investors now believe that the tide may be turning for the credit card issuer. (Read More)
4. Image Entertainment, Inc. (NASDAQ: DISK) shares fell sharply after the company announced the departure of President and Chief Operating Officer David Borshell in an 8-K filing with the SEC. The executive will be replaced by Jeff Framer, who has served as Chief Financial Officer since April 1993. The announcement comes just a year after the retirement of Marty Greenwald who Borshell replaced. (Read More)
5. DayStar Technologies Inc. (NASDAQ: DSTI) shares opened lower after the company’s auditors expressed doubt about its ability to continue as a going concern in its latest 10-K filing with the SEC. These comments are typically reserved for companies that do not have adequate capital, and may not be able to raise adequate capital, to fund their operations. (Read More)
   

Technical Analysis

1. Dreyfus Strategic Muni (DSM) - Intermediate-term bullish bottom triangle.
2. VisionChina Media Inc. (VISN) - Intermediate-term bullish bottom triangle.
3. United States Gasoline (UGA) - Intermediate-term bullish head and shoulders bottom.
4. Take Two Interactive (TTWO) - Intermediate-term bullish megaphone bottom.
5. Cal-Maine Foods Inc. (CALM) - Long-term bullish continuation wedge.
   

Stocks of the Week : Wilshire Enterprises (WOC)

Wilshire Enterprises Inc. (AMEX: WOC) shareholders have been presented with two conflicting stories throughout this lengthy proxy battle. Management believes that Full Value’s fire-sale of assets would not fetch a fair premium in today’s markets. Meanwhile, Full Value believes that management simply wants to entrench itself for another year and continue draining the company’s capital. (Read More)

Article of the Week : Understanding Market Makers

Market makers play a big role in over the counter markets like the OTC-BB and Pinksheets. Often times, there is not a lot of liquidity and trading volume in these markets, which creates a need for market makers to step in and create a trading environment. This article will explore how market makers function, especially in the OTC markets where they play a vital role. (Read More)

Final Words

The future of the U.S. economy remains uncertain as inflation continues to rise. Overall, the economy seems to be healing, but consumers may lag a bit behind as weakness in spending is seen for at least a couple more quarters.