Stock of the Day – Updated
New Oriental Education & Technology Group Inc.
Monday’s Closing Price: EDU – $47.90

Sector: Consumer Discretionary
Industry: Education Services

The stock is still trending from my original analysis areas and has performed better than most of the Chinese stocks I have covered. It is now up about 30% from the February coverage and seems to be trending higher with a steady angled pattern.

Both the 50-d moving average and the trendline I have provided can offer additional areas of accumulation. A new position should be established near the trendline and not the 50-d m.a. (it provides a more favorable risk to reward ratio).

Institutional Numbers (February Numbers):
Shares Bought last Period: 6,313,271
Shares Sold last Period: 22,600

Value of Shares Bought: $227,073,203
Value of Shares Sold: $770,637

Previous Posts on EDU:

• February 6, 2007: Learning about New Oriental Education (EDU)
• February 7, 2007: EDU Breakout on Huge Volume!
• February 21, 2007: Intercontinental Education – The 20% Rule?
• March 23, 2007: Top 10 Stocks to Watch: Trend Buys

If you haven’t already noticed, BIDU ended after hours trading near $134. I posted the buying opportunity two days ago above $103 and then posted detailed analysis when it was trading above $104 later the same day:

• BIDU Stock Analysis
• Baidu.com (BIDU) Buy Opportunity

The bulls are on the run:

• BIDU: Not bad for my first trade back from Hawaii!
• My NMX options are up
• I sold my shares in Calpine but that may have been premature (190% gain)
• I will buy back into Calpine if it corrects and will let you know.

Stock of the Day
Baidu.com Inc.
Wednesday’s Intra-day Price: BIDU – $103.50

As many of you already know; I have bought, researched and screened multiple Chinese related companies over the past 4-6 months and this company is the leading provider of Chinese language online search services. Its search engine is the most frequently used search service in China. According to web site traffic ranking company Alexa.com, the company’s flagship web site was the most visited in China and the fifth most trafficked in the world during early 2007.

Aside from BIDU, I have also done extensive analysis on this blog for EDU, MR, and PTR in 2007. EDU is now up about 30% since my original analysis in February: Learning about New Oriental Education (EDU)

Looking at the charts, I see a golden opportunity for a buy right here near the 200-d moving average with a confirmation above the 50-d moving average (which we got yesterday). The stock was posted to the blog in March as it started the current four week basing pattern near the long term moving average.

I mentioned a short term target of $118 earlier today based on Fibonacci retracement levels and the triple top breakout on the point and figure chart. A full 100% retracement and complete cup formation would take the stock back into the $130’s.

Next Earnings Date: 4/27/07
Sector: Information Technology
Industry: Internet Software & Services
52-week Range: $134.10 – $57.00

Institutional Statistics:
Held by Institutions: 62%
Money Market: 116
Mutual Fund: 135
Other: 4

[Read more…]

I wanted to get these charts up before the market opened and will follow up later this morning with a full text analysis. Still getting back into the swing of things. By the way, I grabbed NMX options yesterday for Jan 08.

Short term target for BIDU is $118 area based on point and figure chart and fibonacci retracements.