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The magnetocrystalline anisotropy of thin magnetic wires of iron and cobalt is quite different from the bulk phases. The spin moment of monatomic Fe wire may be as high as 3.4 μB, while the orbital moment as high as 0.5 μB. The magnetocrystalline anisotropy energy (MAE) was calculated for wires up to 0.6 nm in diameter starting from monatomic wire and adding consecutive shells for thicker wires. I observe that Fe wires exhibit the change sign with the stress applied along the wire. It means that easy axis may change from the direction along the wire to perpendicular to the wire. We find that ballistic conductance of the wire depends on the direction of the applied magnetic field, i.e. shows anisotropic ballistic magnetoresistance. This effect occurs due to the symmetry dependence of the splitting of degenerate bands in the applied field which changes the number of bands crossing the Fermi level. We find that the ballistic conductance changes with applied stress. Even for thicker wires the ballistic conductance changes by factor 2 on moderate tensile stain in our 5×4 model wire. Thus, the ballistic conductance of magnetic wires changes in the applied field due to the magnetostriction. This effect can be observed as large anisotropic BMR in the experiment.