STOCK MARKET LEADERS

Two market leaders today are DAL and TIVO. We are not adding to either position today but we have added another airline to our portfolio

We have purchased shares in AWA for $5.43 per share and are declaring it a Stock of The Week selection. AWA, the symbol for America West Airlines, has entered an agreement to purchase USAir. Airline traffic is back to levels reached in 2000. Load factors have reached long-term peaks; fares are rising; full seats at higher prices will increase revenues significantly.

Our stock of the week selections already include two half positions in airline stocks. A full position in AWA gives us a total of two positions. Given the size of the portfolio, it is reasonable to purchase additional shares in this industry. In our aggressive family account, we now own 5 airlines. In order of position size they are CAL, AMR, NWAC, AWA and DAL. CAL is our largest holding--Google is making a good run for the honors but has a ways to go.

TIVO is a volatile position with tremendous potential. We tripled up our position a month or so ago and are enjoying the recent sharp jump in price.

Airlines are probably the most hated stock group. The market is warming quickly. This means the stocks are approaching an over-bought position which means they may need to suffer through another correction phase. I would not bet on this possibility. The long-term up-side potential is too strong; one should not play games and miss the big move.

BUY THE BIG BULL MARKET! FROGS HAVE BEEN FEELING THE STEAM! MANY ARE JUMPING OUT OF THE POT! STOCK AFTER STOCK IS BREAKING TO THE UP-SIDE!