OMNOVA Solutions (OMN)

Company

"OMNOVA Solutions designs, develops, produces and markets emulsion polymers, specialty chemicals, and decorative and functional surfaces for a variety of commercial, industrial and residential end uses. Our solutions provide distinctive performance and aesthetic attributes to products that touch people’s lives every day. Formed as a spin-off of GenCorp Inc. in 1999, OMNOVA enjoys leadership positions in key markets served by our three business units: Performance Chemicals, Decorative Products and Building Products." (company website)

Buy

5-Jul-06. Just after I bought a lot of OMN it got slammed. However, it immediately recovered to the 50-day moving average. When it tumbled again, but recovered, in today's sour market, I bought another lot, averaging the cost per share down to just over $6. I've had a lot of painful experiences doing that, but in this case I believe I may have better luck: both the averages are rising, and the tumble stopped short of the 200-day average.

• Price momentum (PPO) — took a hit during tumble
• Trend (ADX) — selling pressure (-DI) is falling off after big tumble
• Money flow (CMF) — improving again after big outflow
• Relative strength (RSI) — held at neutral
• Volume — long decline has stabilized

Sell

6-Jul-06. Wrong! When OMN went down today, I decided to bail out.