The Daily Workshop Report
by Robert Sheard (TMF Sheard)

LEXINGTON, KY. (Feb. 18, 1997)

Today's afternoon rally was pretty much a blue-chip affair. The Dow jumped more than 75 points on the day, yet the Nasdaq, which is dominated by technology issues, sat like a lump.

For all the market wizards, this can be interpreted in two ways. Since the rally was limited to the Dow stocks, it's a bad sign that the Dow's new highs aren't being confirmed by the smaller stocks. Yet on the other hand, it's a good sign because bull-market cycles are supposed to conclude when the emphasis switches from blue chips to speculation in smaller-cap stocks.

So it's good news. And bad news. Or more likely the case, no news at all! Go figure.

In Workshop stock news, C-CUBE MICROSYSTEMS <% if gsSubBrand = "aolsnapshot" then Response.Write("(Nasdaq: CUBE)") else Response.Write("(Nasdaq: CUBE)") end if %> continues to get thrashed, losing another 7% today, even after announcing that Acer Computer is going to use C-Cube's technology in its new video CD players.

But there were a number of big winners today. OREGON METALLURGICAL <% if gsSubBrand = "aolsnapshot" then Response.Write("(Nasdaq: OREM)") else Response.Write("(Nasdaq: OREM)") end if %> has been volatile of late and kept the pattern going today. Perhaps the stock is being driven up by all of us frustrated golfers, waiting for warm weather and buying new titanium drivers. Also up big were DELL COMPUTERS <% if gsSubBrand = "aolsnapshot" then Response.Write("(Nasdaq: DELL)") else Response.Write("(Nasdaq: DELL)") end if %>, ROBERT HALF INT'L <% if gsSubBrand = "aolsnapshot" then Response.Write("(NYSE: RHI)") else Response.Write("(NYSE: RHI)") end if %>, and TOTAL SYSTEMS SERVICES <% if gsSubBrand = "aolsnapshot" then Response.Write("(NYSE: TSS)") else Response.Write("(NYSE: TSS)") end if %>.

For those of you asking about the Formula90 approach, my apologies about not adding it yet to the Workshop. It's on my "to-do" list. Promise. In the meantime, the details for the approach are in my February 3 Workshop Report. I'll have it ready to include soon.

Monthly Growth Screens
     (Jan. 3 to present)
 26.16%  Relative Strength  
 20.60%  YPEG Potential  
 10.66%  Low Price/Sales  
  9.12%  S&P 500 Index  
  4.96%  Investing for Growth  
 -5.49%  EPS Plus RS  
 -7.83%  Unemotional Growth  

Annual Value Screens
     (Jan. 1 to present)
  9.60%  Dow Jones Ind Avg  
  9.25%  Dogs of the Dow  
  6.92%  Beating the S&P  
  5.50%  Dow Combo  
  3.70%  Unemotional Value  
  3.70%  Beating the Dow  
  1.75%  Foolish Four