Extremely Overbought Rating for Merck From DonHarrold.net


SHREVEPORT, La., Aug. 3, 2006 (PRIMEZONE) -- DonHarrold.net (IARD No. 119079, http://www.donharrold.net), rates Sun Microsystems Inc. (Nasdaq:SUNW), Merck & Co. (NYSE:MRK), Alcoa Inc. (NYSE:AA) and Xilinx Inc. (Nasdaq:XLNX).

DonHarrold.net provides unbiased stock ratings from registered investment advisors. DonHarrold.net issues daily market commentary and features a member's area with detailed information on widely held stocks.

Important stock rating changes:

Merck & Co. (NYSE:MRK)

DonHarrold.Net Rating: Extremely Overbought

http://www.donharrold.net/ratings/US/MRK.php

Sun Microsystems Inc. (Nasdaq:SUNW)

DonHarrold.Net Rating: Overbought

http://www.donharrold.net/ratings/US/SUNW.php

Alcoa Inc. (NYSE:AA)

DonHarrold.Net Rating: Extremely Oversold

http://www.donharrold.net/ratings/US/AA.php

Xilinx Inc. (Nasdaq:XLNX)

DonHarrold.Net Rating: Overbought

http://www.donharrold.net/ratings/US/XLNX.php

Merck and Co. (NYSE:MRK) closed recently at $41.03 with a volume of 88078 X 100 . My current rating on MRK is, "Extremely Overbought".

My "Extremely Overbought" rating is reserved for stocks that meet a specific set of criteria. These are stocks that are -- on a technical basis -- "rolling over". To qualify as "Extremely Overbought", a stock's Stochastics and Relative Strength indicators must be in classic "overbought" positions. There are more proprietary factors I consider, such as how moving averages are crossing and more.

If a stock is rated "Extremely Overbought", I believe the stock is significantly poised for either a move lower or a cessation of any recent price increases. I like the term "exit point".

A "Extremely Overbought" stock represents a time to sell based on my reading of technical indicators.

About DonHarrold.net: DonHarrold.net is a stock research firm. Their daily commentary is regular and distributed worldwide. They are Registered Investment Advisors. They do not accept third-party compensation to make stock suggestions.



            

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