Stock Tiger Stalking Stocks™

For Monday April 2, 2007  

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Dow +5.60 at 12354.35, Nasdaq +3.76 at 2421.64, S&P -1.67 at 1420.86

(the image server has a problem today so there may be some charts that do not show at this moment.)

The month and quarter ended about flat as did Friday. For the first 3 months the Dow declined 0.87%, the Nasdaq and S&P 500 had gains of 0.26% and 0.18%, respectively.

Many things this week may have influenced it up or down but seems these or are only little gyrations as the consolidation uses time to do the correction as markets can correct that way in place of price declines.

The economy is still doing well and the personal outlays rose 0.6% in February following a 0.5% increase in January. The personal spending growth was larger than the 0.3% increase expected by economists. Meanwhile, personal income rose by 0.6% in February so this matched the personal outlays. The inflation measure increased 2.4% from the year-ago period, after increasing at a 2.2% rate in January. This seems to suggest a continued neutral for the Fed and does not point to a lowering of rates.

 Sectors gainers and losers for the week. We will show charts of the strongest sectors below.

Of the indexes only Gold and the AMEX gained this week. Have noticed quite often the the AMEX is stronger than the Naz or Dow.

This week was another one of slower activity for our watch list but still there were 15 stocks that hit the buy point and only one closed lower than the buy. After so many months of almost continuous break outs we are patient with this correction.

Last week we suggested that our long term hold NUCON-RF NNRF may act like FRPT long term and in the short term also and make a little dip and it did just that for two days then moved up again. The company released news of the signing of a letter of intent to acquire shares in two more plants in Russia to strengthen their nuclear power plant production capabilities. The final acquisition is expected in the third quarter but the news alone is very positive.

The world nuclear sector is undergoing a renaissance so a good sector to be invested in as many countries are now increasing the number of nuclear power plants they have or are intending to do so. At the same time there is much activity in cleaning up sites that have radioactive contamination.

Russia wants to provide a global challenge to the major nuclear infrastructure providers on the market, such as Siemens of Germany, Japan's Toshiba and the US engineering giant Bechtel. It is now forming a giant holding company Atomprom for the Russian civil nuclear industry. Atomprom will absorb the civilian units of  Rosatom, including TVEL, the nuclear fuel producer and supplier, Tekhsnabexport (Tenex), the state-owned uranium trader, and Atomstroiexport, Russia's leading organization implementing intergovernmental agreements on the construction of nuclear facilities abroad with whom NUCON-RF has a strategic alliance and Rosenergoatom with whom NUCON-RF also has a strategic alliance.

With the government wanting to own shares in so many companies this is a great time for any private company to do strategic acquisitions and that is exactly what NUCON-RF is doing. They are the only stock in the USA which one can at the moment invest in this area in regards to the huge Russian expansion in the field. They have mentioned many times about listing on the Russian market and registered a Russian subsidiary so it looks like they will make a listing that way or possibly as the first US company to be listed on the Russian Trading System in a similar fashion as an ADR in the USA. In either case this will be an historic event and significant for the company.

From the press release of March 26 there were additions to the closing paragraph about the company.

Nucon-RF has a highly experienced, proven and high profile management team whose capabilities include extensive in-house expertise in all aspects of radiological protection and radiological waste management. NUCON-RF is currently involved in providing nuclear power plant equipment in Russia and China and intends to expand to India, European Union and North American markets in 2007-08. Current projects for 2007-2010 include multiple international nuclear waste remediation projects in northwestern Russia that are multilaterally funded by G-8 member countries for the decommissioning and disposal of nuclear powered naval vessels of the former Soviet Union. The Company is currently engaged, through its' 50% owned subsidiary, ATOLL, in further acquisitions in 2007-2008 which are intended to substantially increase its asset and revenue base.

This pick is up 200% in the last couple of weeks but not many yet know of the company. As the months pass this will change and we expect the stock price to make very substantial gains. If you have any questions give me a call as my number is on the special situations page. The number is in the USA but it rings in Moscow which is 8 hours ahead of New York time.

Another long term pick SDVC has filed for the official name change to Sibling Entertainment and I have been told that this usually happens within 10 days. Their musical  HATS will open in Chicago and will attract much attention in April. To accumulate under $0.80 seems a good price. Check the Special Situations page for more information or call me.

We also hope to have more information on GRSR this week.