The markets are continuing to struggle today, after 2 long weeks of declines. Technically, a double bottom pattern is forming on the daily DJIA chart.

I am still of the conviction that the long term bottom is in on the Dow and that the market will not dip below the 7777 level for quite some time in the future. However, there will be sharp declines and rallies prior to the bull market coming back in earnest. Remember, markets never go straight up.

Several new and interesting names have hit our Long Term PowerRating screeners today. For those of you unfamiliar with this critical tool for long term investors, here is a brief synopsis: Long term PowerRatings locate stocks expected outperform across the 3 major indexes.

Our studies clearly indicate that stocks with a 9 rating have a 79.1% chance of being higher one year later. Those with a 10 rating have proven to have an 81% chance of trading higher one year later. On the flip side, those stocks that receive only a 2 or 3 rating have proven to be simply too volatile and risky for longer term investment purposes. The statistically valid studies span 12 years in most market conditions making them something every trader should look at prior to choosing stocks for investment. Let's drill down into several names from each of the major stock indexes.

The DJIA

Johnson & Johnson (JNJ | Quote | Chart | News | PowerRating) - This drug company is the number one ranked stock in the DJIA with a 6 Long Term PowerRating. They just reported 3rd quarter results with sales up 6.4% and EPS increasing by 10.4% . Technically, a 50 and 200 day Simple Moving Average Cross Over has just occurred and price has built what looks like a triple bottom at 58 on the chart. However, price is still well below the major simple moving averages.

Kraft Foods (KFT | Quote | Chart | News | PowerRating) - Another 6 rated stock that had a great 3rd quarter. Net Revenues increased 19.4% and diluted EPS more than doubled from last year. They reaffirmed guidance for the rest of the year with positive words about the future. Technically, price has been trading in a rough channel between $26.00 and $30.00/share. Interestingly, the 200-day simple moving average is acting as clear resistance to price at $30.47/share.

The Nasdaq

Cephalon (CEPH | Quote | Chart | News | PowerRating) - This drug company remains the number one Long Term PowerRated stock in the Nasdaq index. Their TREANDA drug is thriving and they just reported record sales in the 3rd quarter. Technically, price has just broke above the 50-day simple moving average at $72.23/share and appears to be pushing toward the near term highs.

Genzyme (GENZ | Quote | Chart | News | PowerRating) - This biotech company has earned a 5 rating and is the second highest ranked stock in the Nasdaq index. They reported very positive 3rd quarter results with revenue climbing 21% and just received a $100 million licensing fee for a genetic disease drug still in late stage testing. Technically, support appears at the $67.50/share level and a 50/200-day simple moving average crossover has just occurred.

S&P 500

Abbott Labs (ABT | Quote | Chart | News | PowerRating) - The number one ranked stock in the S&P 500 with a 6 Long Term PowerRating. They just reported a 17.6 increase in sales for the 3rd quarter and raised the EPS outlook for 2008. The stock has been very steady over the last several weeks in this extremely volatile environment. Price is above the 200-day simple moving average and just broke above the 50-day. This stock looks like a strong candidate to consider for your long term portfolio

Campbell Soup (CPB | Quote | Chart | News | PowerRating) - This popular food company has recently announced full fiscal year results. Sales are up 8% with earnings per share up 7% on the year. It has earned a 6 rating. Technically, the stock has just broken above its 50-day simple moving average and has been in a tight channel between $36 and $39/share.

Learn what you need to know as an active investor looking to invest in companies with a history of financial strength and a track record for growth. Click the link above or call us at 888-484-8220 extension 1 to get your copy of the "5 Secrets to Successful Stock Investing" today!

David Goodboy is Vice President of Business Development for a New York City based multi-strategy fund.

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