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Additional MCM January 2008 WATCH list 12-29-07

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We are recommending the following issues to our JANUARY recommended list

We are recommending credit spreads in the following issues:

AXP - American Express Company, together with its subsidiaries, operates as a payments, network, and travel company worldwide. It offers individual consumer charge cards, revolving credit cards, and cobrand cards; and merchant acquisition and processing, and proprietary payments services. The company also issues travelers checks; various prepaid products, including reloadable and nonreloadable prepaid cards; incentive prepaid products, such as gift cheques, points-based incentive cards, and incentive funds card; and prepaid gift cards. In addition, American Express provides expense management services to approximately 100,000 firms through its corporate card program, corporate purchasing solutions, electronic invoicing and payment services, and business travel services

DKS - Dick's Sporting Goods is a leading full-line sporting goods retailer in the United States.

WFMI - Whole Foods Market is the largest purveyor of natural foods in the world. They own and operate the country's largest chain of natural food supermarkets. They are like an old-fashioned neighborhood grocery store, an organic farmer's market, a European bakery, a New York deli, and a modern supermarket all rolled into one!

We are recommending the following specific credit spreads

Call Credit Spreads ( bearish call spreads )

AXP $50.84

BUY AXP-AY AXP JAN $57.50 CALL DEBIT = $0.15
SELL AXP-AK AXP JAN $55.00 CALL CREDIT= $0.30
NET CREDIT = $0.15
 

INITIAL "NET- CREDIT TARGET= $0.15 or $15.00
POTENTIAL PROFIT (x 10 CONTRACTS @ $0.15 = $150.00
MARGIN REQUIRE. (x 10 CONTRACTS $2,350.00
RETURN ON INVESTMENT= 6.38%

EXIT STRATEGY = 1. WATCH LIST 2. MAXIMUM LOSS SPREAD PRICE DIFFERENCE
1. STOCK WILL BE PLACED ON WATCH LIST IF STOCK PRICE RISES TO:$52.50
2. ON SPREADS WITH 2.50 or less difference in STRIKE PRICES
THOSE POSITIONS. THEY WILL GO ON THE WATCH LIST AND BE FOLLOWED WITH INSTRUCTIONS AS TO HOW TO PROCEED OR/WHAT EXIT POINT NEEDS TO BE ESTABLISHED

DKS $27.67

BUY DKS-AZ DKS JAN $32.50 CALL DEBIT = $0.10
SELL DKS-AF DKS JAN $30.00 CALL CREDIT= $0.25
NET CREDIT = $0.15
 

INITIAL "NET- CREDIT TARGET= $0.15 or $15.00
POTENTIAL PROFIT (x 10 CONTRACTS @ $0.15 = $150.00
MARGIN REQUIRE. (x 10 CONTRACTS $2,350.00
RETURN ON INVESTMENT= 6.38%

EXIT STRATEGY = 1. WATCH LIST 2. MAXIMUM LOSS SPREAD PRICE DIFFERENCE
1. STOCK WILL BE PLACED ON WATCH LIST IF STOCK PRICE RISES TO: $28.50
2. ON SPREADS WITH 2.50 or less difference in STRIKE PRICES
THOSE POSITIONS. THEY WILL GO ON THE WATCH LIST AND BE FOLLOWED WITH INSTRUCTIONS AS TO HOW TO PROCEED OR/WHAT EXIT POINT NEEDS TO BE ESTABLISHED

WFMI $41.60

BUY FMQ-AC WFMI JAN $47.50 CALL DEBIT = $0.07
SELL FMQ-AI WFMI JAN $45.00 CALL CREDIT= $0.23
NET CREDIT = $0.16
 

INITIAL "NET- CREDIT TARGET= $0.16 or $16.00
POTENTIAL PROFIT (x 10 CONTRACTS @ $0.16 = $160.00
MARGIN REQUIRE. (x 10 CONTRACTS $2,340.00
RETURN ON INVESTMENT= 6.84%

EXIT STRATEGY = 1. WATCH LIST 2. MAXIMUM LOSS SPREAD PRICE DIFFERENCE
1. STOCK WILL BE PLACED ON WATCH LIST IF STOCK PRICE RISES TO: $42.50
2. ON SPREADS WITH 2.50 or less difference in STRIKE PRICES
THOSE POSITIONS. THEY WILL GO ON THE WATCH LIST AND BE FOLLOWED WITH INSTRUCTIONS AS TO HOW TO PROCEED OR/WHAT EXIT POINT NEEDS TO BE ESTABLISHED



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