Caterpillar (32.65)

CAT's upside volume never materialized, no position taken and now the stock is falling apart down $3.00 in pre-market action putting it at $32 and retesting its October 2008 lows.  At some point, regardless of technical merit, fundamentally the stock is going to offer a reasonable risk/reward tradeoff.

The company announced record revenues and profit per share for 2008 but falls short in Q4 and expects a very challenging 2009.  CAT plans 20,000 job cuts and forecast sales to plunge 25%.