Another week has passed and the bears were unable to take the market lower. The jobs report on Friday could have gone either way. Investors could have chosen to focus on unemployment jumping to 9.7% instead of the drop in job losses. This seems like a return to the days when the market only responded to good news and ignored bad news, which is bullish.
Volume should return this week and we should quickly find out if fund managers are going to keep chasing performance or sell this rally. Until the trend changes my bias is bullish.
Currently we have ten stocks on our watch list.
BEAV - BE Aerospace Inc., trigger: $15.00
BG - Bunge Limited, trigger $61.00
Cost - Costco Wholesale, trigger 51.50
EMR - Emerson Electric Co. , trigger 38.00
ERJ - EMBRAER - Empresa Brasileira de AeronÃ¡utica, trigger $18.50
IGT - Intl. Game Tech., trigger $17.50
MEE - Massey Energy Corp., trigger $23.50
MICC - Millicom Cellular, trigger: $62.50
TEX - Terex Corp., trigger 15.00 or 18.25
X - United States Steel Corp., trigger 37.50
Disclaimer: At any given time the author may have positions in any or all of any companies mentioned in the Leaps Newsletter.
--Position Summary Table--
Table lists Directional CALL or PUT/LEAPS only.
Insurance puts, if applicable, are not shown.
Red symbol/name represents a dropped play this week.
Jim's portfolio and updates has been included in the normal play updates section.