Asia Time Corporation, a Chinese timepiece manufacturer, was featured in a trade alert issued today by Beacon Equity. The stock has traded from $4.50 to over $5.00 in just a few sessions, with indicators pointing toward a continuation of momentum.

The company’s first quarter financial results were impressive, showing a marked improvement across the board, as compared to those of a year ago. Revenues hit $36.8 million, with a net income of $2.4 million, greatly superseding last year’s Q1 revenues of $21.1 million, and net loss of $193,000.

With a market cap of a mere $126.8 million, Asia Time Corporation is a subject of intrigue for many investors, and appears to be building strength as a company at an alarming rate. According to the Beacon Equity report, “The company attributes the increases to a portfolio of diversified products with higher selling prices, flexible and extended credit terms, and a targeted

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Although not of immediate concern, some of the bullish percents are about to enter bear market (but not bull market) top territory. If January lows represent the start of a bear market then these breadth indicators should top soon. If the current rally is a continuation of the cyclical bull market then there is room for another 15-20% of gain (perhaps as much as 50% for the Nasdaq Bullish Percents). How this impacts on the market remains to be seen, but the likely outcome would be a negative divergence between breadth indicators and the market; indices make new highs as bullish percents fall. Time will tell. I'm traveling to D.C. so there will be no update tomorrow. INS appointment Friday. Get the Fallond Newsletter

With the continuation yesterday of Friday’s market weakness, the last of our April 3 calendar-spread bonus trades hit its minimum profit target. Here’s a summary of the three positions: EEM May/June 140 - Reached 20% profit on April 15, less than two weeks into the trade. XLE May/June 77 - Even if entered at the less-than-optimal price of $1.20, this position achieved our 20% minimum profit target on the sell-off in energy that occurred May 1, which was within 4 weeks of entering. IYR May/June 69 - The iShares real-estate ETF proved stronger than we expected, but a week ago the spread was trading near a 20% gain. It would’ve been hard to get an order filled at the target price of $1.50 last week, but today the mid price rose as high as $1.575, ...