Position Statement: In our Prime Recommendation Letter we attempt to identify the recommendation with the highest probability of moving higher.  We recommend that stop orders be placed at the time of purchase,  and once the position has moved profitable we recommend a stop be placed a minimum of $0.25 above the purchase price and moved higher as the position moves higher.

Today’s Comments: The overall market finished Monday slightly higher in a move with moderate strength that saw a good portion of the sector indices I track move higher. The strongest sectors on the day were the Gold/Silver, Oil & Gas, Natural Gas, Commodities, Airlines, Interactive, Utilities, Semiconductors, Insurance, High Tech, Pharmaceuticals, and Retailers. There was weakness in the Banking, Healthcare Providers, Chemicals, Computers, Cyclicals, Biotech, and Consumer indices. I have just completed my review of the charts from yesterday's trading and I just don't see a major market rally in the works. The various sector indices either look weak or to be moving sideways; not to mention that the individual stocks with the heaviest trading volume all appear to be weak as well. The Bottom Line: The overall market should continue to move lower.

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Sterling Calendar for September 27th, 2005

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Recommendation: Sell/Short Amgen, Inc. 'AMGN'
Company: Amgen, Inc.		Symbol: 'AMGN'	Closing Price: $82.05
YH: $86.92 YL: $52.00		EPS: $2.19 P/E: 38	Forecasted EPS: $3.19
Shares Outstanding: 1.23 Billion		Float: N/A	Market Cap.: $101 Billion
Dividend: $0.00	Yield: N/A	Average Daily Trading Volume: 10.1 Million
Price Targets:  $78.68, and then $70.52			Upside Stop:  $84.23/share
Options Rec.: October 80 Puts @ $1.55/contract			Options Symbol: YAAVP

Company Description: Amgen, Inc., a biotechnology company, engages in the discovery, development, manufacture, and marketing of human therapeutics based on advances in cellular and molecular biology. The company markets human therapeutic products in the areas of nephrology, supportive cancer care, and inflammatory disease. Its products primarily include EPOGEN, Aranesp, Neulasta, NEUPOGEN, and ENBREL, which is marketed under a co-promotion agreement with Wyeth in the United States and Canada. EPOGEN and Aranesp stimulate the production of red blood cells to treat anemia. Neulasta and NEUPOGEN selectively stimulate the production of neutrophils, a type of white blood cell that helps the body fight infections. ENBREL blocks the biologic activity of tumor necrosis factor (TNF) by inhibiting TNF, a substance induced in response to inflammatory and immunological responses, such as rheumatoid arthritis and psoriasis. It sells its products to healthcare providers, including clinics, hospitals, and pharmacies primarily in the United States, Europe, Canada, and Australia. Amgen was established by Bill Bowes, Franklin Johnson, Sam Wohlsteadter, and Raymond Baddour in 1980. The company is headquartered in Thousand Oaks, California.

Recent News:	9/25 People To Watch: The Week Ahead at Forbes.com (Sat, Sep 24)
	9/21 Vertex: 2 drugs may have multibillion dollar sales at Reuters (Wed, Sep 21)
	9/15 Amgen upgraded by Deutsche Securities Briefing.com (Thu, Sep 15)

Our Analysis: The shares of 'AGMN' are a component of the Amex Biotech Index 'BTK' which I have rated as moving lower from its current level. The shares of Amgen moved sharply lower on heavier than normal trading volume. This is a bearish trading signal, additionally the shares of 'AMGN' appear to have reached their short term trading peak in mid-September and have been trending lower since. The shares of 'AGMN' should continue to move lower and test $78.68/share, a point of downside support established on August 26th of this year. If the shares of 'AMGN' close below that level, then I expect them to continue to move lower and test $70.52/share, the point from which they gapped higher on the open of trading on July 20th. I see upside resistance on the shares of 'AMGN' at $84.00/share, and have set my stops accordingly at $84.23/share.

Dow Jones Industrial Average (INDU): Closed @ 10,443.63 Last Signal: Called lower on September 14th with the close of 10,544.90 Current Expectations: I am expecting the Dow Jones Industrial Average to move lower and test 10,397.29 on a closing basis.

S&P 500 (SPX): Closed @ 1,215.63 Last Signal: Called lower on September 14th with the close of 1,227.16 Current Expectation: I am expecting the S&P 500 to move lower and test 1,205.10 on a closing basis.

NASDAQ 100 (NDX): Closed @ 1,572.86 Last Signal: Called lower on September 14th with the close of 1,589.63 Current Expectations: I am expecting the NDX move lower and test 1,558.84 on a closing basis.

CBOE Ten Yr Treasury Index (TNX): Closed @ 4.294% Last Signal: Called higher after the close of trading on September 12th at 4.169% Current Expectations: This index should continue to move higher and test then 4.419%

UNH, ACL, SUPX, IRM, TU, BRO, FCX, HOLX, AGII, LEH, AAPL, EBAY, QCOM

ORCL, MSFT, INTC, PFE, AA, XOM, SYMC, BAC, DIS, DNA, JNJ, AMGN, COP, WAG, KLAC, MXIM, FRE.

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