Editor's Note:

MSFT has joined the active trade list.

I remain cautious on the market. Readers will want to double check their stop loss placement.


Closed Plays


EPD, MCD, and XOM were stopped out.


Play Updates


Archer-Daniels-Midland Company - ADM - close: 30.92

Comments:
06/02/12 update: ADM had been holding up relatively well during the market's recent drop. Shares finally broke down on Friday with a -3.0% plunge. ADM has now closed under its 50-dma and 100-dma. The stock should have some support near $30.00. If not we have a stop loss at $29.45, which is just under the simple 200-dma.

Believe it or not ADM has not yet broken the bullish trend of higher lows on its weekly chart but a close under its 200-dma would definitely change that.

I am not suggesting new positions at this time.

Earlier Comments:
We want to keep our new position size small to limit our exposure here. Start with half your normal position size or less.

- Suggested (small) Positions -
Feb 21, 2011 - entry price on ADM @ 31.31, option @ 1.74
symbol: ADM1319A35 2013 JAN $35 call - current bid/ask $ 1.39/ 1.45

05/12/12 new stop loss @ 29.45
05/01/12 ADM beat estimates by 18 cents.
04/28/12 ADM is scheduled to report earnings on May 1st.
02/21/12 trade opened on Tuesday @ 31.31
02/18/12 start with small positions to limit our exposure.
02/17/12 ADM meets our entry point requirements with a close over $31.25. Open positions the next day (Feb. 21st).
02/11/12 adjust entry trigger to wait for close over $31.25
FYI: 2014 calls are also available.

Current Target: $37.75
Current Stop loss: 29.45
Play Entered on: 02/21/12
Originally listed on the Watch List: 01/28/12


Allergan Inc. - AGN - close: 88.09

Comments:
06/02/12 update: AGN closed at new three month lows with Friday's -2.3% decline. Shares look poised to test their 200-dma near $87.00 soon. If that fails then AGN will likely test round-number support at $85.00. The stock's long-term up trend is in jeopardy here and a close under $85 will break it. I am not suggesting new positions at this time.

FYI: Yet again the option spreads for our 2013 Jan $100 calls is getting worse. Actually it's getting ridiculous. We will most likely avoid trading AGN in the future until the option spreads improve.

Earlier Comments:
Option spreads are wide for these LEAPS. We want to keep our position size pretty small to limit our risk.

- Suggested Positions -
OCT 17, 2011 - entry price on AGN @ 85.46, option @ 5.10
symbol: AGN1319A100 2013 JAN $100 call - current bid/ask $ 0.70/ 3.80

05/02/12 AGN missed earnings estimates by a penny, guided lower
04/28/12 Exit strategy adjustment! We are not selling half at $99.00. Instead we'll aim for $109.00 to exit positions. See tonight's note for details on alternative exits
03/31/12 adjusted exit strategy. Sell half at $99.00 and sell the remainder at $109.00
03/10/12 new stop loss at $84.50
02/02/12 earnings in-line but guided lower for 2012
01/28/12 earnings are due on Feb. 2nd. Readers might want to raise their stop or consider some sort of hedge prior to the report.
12/24/11 new stop loss @ 81.60
12/10/11 spreads on our 2013 calls are getting wider!
11/19/11 Taking an aggressive stance on our stop loss and moving it down to $77.45
10/22/11 Earnings are coming up. Readers might want to consider raising their stop loss. We are keeping ours at $79.45.

Current Target:$109.00
Current Stop loss: 84.50
Play Entered on: 10/17/11
Originally listed on the Watch List: 09/24/11


American Intl. Group - AIG - close: 27.21

Comments:
06/02/12 update: Ouch! AIG was crushed on Friday. Shares had been consolidating sideways between resistance at $30 and support at its exponential 200-dma. Yet the market's sharp decline, led in party by the financial sector, helped push shares of AIG to a -6.7% drop.

Unfortunately the situation in Europe is like a quickly spreading cancer for the financial stocks. If Greece votes for the anti-austerity party in their upcoming elections (in two weeks) the financial sector could plunge again. At the moment I would expect AIG to dip toward its 200-dma and the $26.00 level. Nimble traders can look for a bounce near $26 as a new entry point.

Our plan was to keep our initial position size small to limit our risk.

- Suggested Positions - (small positions @ first)
May 18, 2012 - entry price on AIG @ 28.25, option @ 3.40
symbol: AIG1319A30 2013 JAN $30 call - current bid/ask $ 2.80/ 2.92

- or -

May 18, 2012 - entry price on AIG @ 28.25, option @ 4.20
symbol: AIG1418A35 2014 JAN $35 call - current bid/ask $ 3.50/ 3.80

05/18/12 triggered at $28.25
05/05/12 The U.S. government is planning to sell 164 million shares at $30.50 and AIG will probably gap down on this news.
Move the trigger down to $28.25, and move the stop loss to $25.75.
04/28/12 adjust buy-the-dip trigger to $30.00 and stop to $27.40

Current Target:$ 39.00
Current Stop loss: 25.75
Play Entered on: 05/18/12
Originally listed on the Watch List: 04/07/12


Bank of America - BAC - close: 7.02

Comments:
06/02/12 update: This past week was starting to look like a potential bottom in BAC. The stock has broken out past its two-month trend of lower highs. Yet now the multi-day bounce is starting to look like a bear-flag consolidation pattern. The precarious situation in Europe and the potential for the Eurozone to fracture does not bode well for financial stocks. BAC could easily drop to new relative lows, especially if the upcoming Greek elections don't go well for the pro-euro crowd.

I am not suggesting new positions at this time.

Earlier Comments:
Currently we do not have a specific exit target. The plan has been to exit in the $12.00-15.00 zone.

- Suggested Positions -

AUG 29, 2011 - entry price on BAC @ 8.10, option @ 1.50
symbol: BAC1319A10 2013 JAN $10 call - current bid/ask $ 0.29/ 0.30
(No stop loss on this position)

(2nd Position, bought the dip at $5.15)

NOV 23, 2011 - entry price on BAC @ 5.15, option @ 0.35
symbol: BAC1319A10 2013 JAN $10 call - current bid/ask $ 0.29/ 0.30
(no stop loss on this position)

05/19/12 BAC has pulled back to the 61.8% retracement
03/17/12 BAC has broken out from its multi-week trading range. Broken resistance near $8.30 should be new support.
01/28/12 financials seem a bit overbought here.
01/21/12 2012 Jan. $10 calls have expired (-100%)
01/14/12 earnings are due out on Jan. 19th
01/07/12 BAC broke out past its 50-dma and the $6.00 this past week
12/17/11 expect BAC to retest the $5.10-5.00 zone.
11/23/11 BAC hits new trigger @ 5.15 to buy calls.
11/19/11 New trigger to buy calls @ $5.15 (see 2nd position)
10/03/11 Sept. 26th position stopped out at $5.75.
2012 Jan. $7.50 call @ 0.48 (-27.2%)
2013 Jan. $10 call @ 0.74 (-26%)
10/01 raising our stop loss on the Sep. 26th position to $5.75
09/24 adding 2nd position, stop loss at $5.40
09/03 no stop loss on this trade at this time.

Current Target: $12.00-to-$15.00
Current Stop loss: see details above
Play Entered on: 08/29/11
Originally listed in the New Plays 08/27/11


Bristol Meyers Squibb - BMY - close: 33.33

Comments:
06/02/12 update: BMY actually posted a gain for the week. The stock may have gotten a boost from headlines that one of its experimental drugs appears to be making progress against cancer. BMY is current developing a drug that helps unlock the body's own immune system to shrink cancer tumors. There is still a lot of testing to be done.

Recent action in the stock is encouraging I remain cautious here. You could argue that BMY has been building a bearish head-and-shoulders pattern over the last three months. I am not suggesting new positions at this time.

- Suggested Positions -
SEP 19, 2011 - entry price on BMY @ 30.53, option @ 1.20
symbol: BMY1319A35 2013 JAN $35 call - current bid/ask $ 1.17/ 1.23

05/26/12 new stop loss @ 31.45
02/11/12 adjust stop loss to $30.90
01/03/12 planned exit, sell half, bid on 2013 Jan $35 call @ 2.58 (+115%)
12/31/11 new stop loss @ 31.45.
12/31/11 Prepare to lock in gains and sell half of our position on Tuesday morning (Jan 3rd, 2012). The 2013 Jan $35 call currently has a bid at $2.60 (a +116.6% gain).
12/16/11 BMY hit our previous exit target at $34.50, more conservative traders may want to take profits now and exit early.
12/10/11 adjust exit target to $37.50
12/03/11 reduce our two exit targets to just one at $34.50
10/22/11 BMY is due to report earnings this week on Oct. 27th. Readers may want to take profits now or prior to the report.
10/08/11 new stop loss @ 29.40
09/16 Friday's close at $30.53 is our trigger to buy calls. Our entry will be Monday morning.

Current Target: $37.50
Current Stop loss: 31.45
Play Entered on: 09/19/11
Originally listed on the Watch List: 09/10/11


CH Robinson Worldwide - CHRW - close: 56.89

This is a bearish PUT option trade.

Comments:
06/02/12 update: Normally plunging oil prices would be bullish for the transports. Oil has fallen sharply in recent weeks and that should help lower fuel costs for the transportation companies. Yet one of the reasons that oil is falling are expectations that demand is shrinking due to slowing economic growth around the world. An economic slowdown means less demand for transporting goods.

Shares of CHRW have broken down to new 18-month lows. The next level of potential support is the $55 area. Look for an oversold bounce there.

I am lowering our stop loss down to $62.25.

Our multi-month target is a drop to $50.50. We want to keep our position size small to limit our risk.

- Suggested (small) Positions -
May 07, 2012 - entry price on CHRW @ 60.61, option @ 3.00
symbol:CHRW1319M55 2013 JAN $55 PUT - current bid/ask $ 4.40/ 4.60

06/02/12 new stop loss @ 62.25

Current Target: $50.50
Current Stop loss: 62.25
Play Entered on: 05/07/12
Originally listed in the New Plays 05/05/12


Colgate-Palmolive Co. - CL - close: 96.48

Comments:
06/02/12 update: Thus far CL continues to trade as expected. We warned readers that CL looked poised to correct lower and I suggested the stock would dip into the $96-94 area. It's almost there with Friday's -1.8% drop and the recent breakdown under the 50-dma.

Investors can use a dip near $94 as a new bullish entry point but I'm suggest readers wait for a bounce near $94 before launching new positions.

- Suggested Positions -
MAR 16, 2012 - entry price on CL @ 95.48, option @ 2.92
symbol: CL1319A100 2013 JAN $100 call - current bid/ask $3.90/4.20

- or -

MAR 16, 2012 - entry price on CL @ 95.48, option @ 5.57
symbol: CL1418A100 2014 JAN $100 call - current bid/ask $6.80/8.60

06/02/12 correction continues. look for a dip toward $94
05/26/12 Still expecting a correction into the 96-94 zone.
05/19/12 CL looks poised to see a correction toward $96-94
05/05/12 new stop loss @ 91.75
04/26/12 CL reports earnings that are in-line with estimates.
03/31/12 CL is performing well but expect resistance at the $100 level and a possible pullback.

Current Target: $109.00
Current Stop loss: 91.75
Play Entered on: 03/16/12
Originally listed on the Watch List: 03/10/12


eBay Inc. - EBAY - close: 38.82

Comments:
06/02/12 update: EBAY came close to testing both sides of its $38-42 trading range last week. Now the stock sits on support near $38 after breaking down under its 50-dma. I suspect EBAY will continue to slip lower and shares are likely to test the $36.50-36.00 area before finding a bottom again.

Investors can use a dip near $36.00 or its 100-dma as a new entry point to launch positions.

We have previously closed our 2013 position. We still have the 2014 calls. I am not suggesting new positions at this time.

- Suggested Positions -
(previously closed 2013 position)
Mar 12, 2012 - entry price on EBAY @ 36.36, option @ 2.85
symbol: EBAY1319A40 2013 JAN $40 call - exit @ $4.80 (+68.4%)

- or -

Mar 12, 2012 - entry price on EBAY @ 36.36, option @ 5.11
symbol: EBAY1418A40 2014 JAN $40 call - current bid/ask $ 7.40/ 7.55

05/14/12 closed 2013 Jan $40 calls with a bid at $4.80 (+68.4%)
05/12/12 exit the 2013 Jan $40 calls at the open on Monday. Currently the bid is $4.90
04/28/12 EBAY closed near its highs. Readers may want to take profits now. The bid on the 2013 call is at $5.10 (+78.9%), and the bid on the 2014 call is at $7.95 (+55.5%)
04/21/12 new stop loss at $34.90
04/18/12 EBAY reports better than expected earnings and provides stronger 2012 earnings guidance. The stock spikes higher.
04/07/12 EBAY could see a dip toward $34.00
03/31/12 action this past week looks short-term bearish. Look for a pullback

Current Target: $44.50
Current Stop loss: 34.90
Play Entered on: 03/12/12
Originally listed in the New Plays 03/10/12


Intel Corp. - INTC - close: 25.14

Comments:
06/02/12 update: The situation is looking grim for our INTC trade. Semiconductor stocks were crushed for another -5% loss on the week. The loss in the SOX index is worse if you count from Tuesday's high. The oversold bounce in INTC has reversed. Now the stock is testing support near $25.00 and its simple 200-dma again.

Odds are pretty high that INTC will see another spike lower and hit our stop loss at $24.75. I am not suggesting new positions at this time.

- Suggested (small, half-sized) Positions -
Feb 21, 2011 - entry price on INTC @ 27.34, option @ 1.30
symbol: INTC1319A30 2013 JAN $30 call - current bid/ask $ 0.53/ 0.56

- or -

Feb 21, 2011 - entry price on INTC @ 27.34, option @ 2.11
symbol: INTC1418a30 2014 JAN $30 call - current bid/ask $ 1.53/ 1.62

06/02/12 INTC is testing support near $25 and its 200-dma again
05/23/12 INTC dipped to $24.92 intraday before rebounding
02/21/12 INTC opened at $27.34.
02/18/12 start with small positions to limit our exposure.

Current Target: $34.00
Current Stop loss: 24.75
Play Entered on: 02/21/12

Originally listed on the Watch List: 02/11/12


Coca-Cola Company - KO - close: 73.09

Comments:
06/02/12 update: When investors start dumping defensive stocks like KO it could be a signal we're getting close to a market bottom. Shares had been consolidating sideways until Friday's market plunge helped push KO to a -2.1% drop. Friday also markets a technical breakdown under its 50-dma. Of course it didn't help that last week saw a lot of headlines about New York's proposed sugar-drink ban, which is terribly mislabeled. Mayor Bloomberg is not banning sugary drinks but is suggesting that businesses who sell them limit them to 16 ounces. Research proves that if you are given a larger serving then you'll consume it and the current trend of super-sized soda servings is adding to the country's obesity epidemic.

Looking at KO's stock price we can look for support near $72.00 or near the $70.00 level.

I am not suggesting new positions at this time.

Earlier Comments:
We will plan to exit positions prior to KO's proposed 2-for-1 split scheduled for August.

- Suggested Positions (start with small positions) -
Mar 29, 2012 - entry price on KO @ 72.35, option @ 3.60
symbol: KO1418A75 2014 JAN $75 call - current bid/ask $ 4.65/ 4.80

05/14/12 sold half of our 2014 Jan $75 calls on Monday at the open
the bid opened at $6.20 (+72.2%)
05/12/12 prepare to sell half at the open on Monday morning to take some money off the table. Current bid is $6.55.
04/28/12 new stop loss @ 69.75
More conservative traders may want to take profits now, bid @ $5.90
04/25/12 KO's BoD has recommended a 2-for-1 split subject to shareholder approval in July. Split to occur in August.

Current Target: $87.00
Current Stop loss: 69.75
Play Entered on: 03/29/12
Originally listed on the Watch List: 03/17/12


Eli Lilly - LLY - close: 40.16

Comments:
06/02/12 update: LLY, another defensive name, had been holding up relatively well until Friday's market decline pushed LLY to a -1.9% drop. If the market correction continues we can look for LLY to drop toward the $39 area and its rising 200-dma. I am not suggesting new positions at this time.

FYI: Suddenly the option spreads on our 2014 calls just got a lot wider!

- Suggested (SMALL) Positions -
Jan 05, 2012 - entry price on LLY @ 39.50, option @ 1.19
symbol: LLY1319A45 2013 JAN $45 call - current bid/ask $ 1.42/ 1.49

- or -

Jan 05, 2012 - entry price on LLY @ 39.50, option @ 2.75
symbol: LLY1418A45 2014 JAN $45 call - current bid/ask $ 1.69/ 2.40

04/25/12 LLY beat earnings estimates by 12c and raised guidance
03/17/12 LLY's close over $40.00 looks like a new bullish entry point
01/28/12 new stop loss @ 37.75

Current Target: $44.75 & 48.00
Current Stop loss: 37.75
Play Entered on: 01/05/12

Originally listed on the Watch List: 12/17/11


Limited Brands, Inc. - LTD - close: 42.89

Comments:
06/02/12 update: Ouch! The sell-off in LTD this past week was painful with a -7.5% plunge. LTD reported better than expected May same-store sales of +6% but that failed to stop the sell-off in the share price. LTD has broke down under potential support at $45.00 and now its simple 200-dma. This stock has not closed under its simple 200-dma in months and the last couple of times it did, shares quickly reversed higher. I'm not so convinced we're going to see LTD bounce soon and if this drop continues we'll see LTD hit our stop loss at $41.50 soon. More aggressive trades will want to move their stop so it's under $41.00 or the $40.00 level to give LTD more room to maneuver.

I am not suggesting new positions at this time.

- Suggested Positions -
May 18, 2012 - entry price on LTD @ 45.50, option @ 5.10
symbol: LTD1319A45 2013 JAN $45 call - current bid/ask $ 3.50/ 3.80

05/18/12 triggered on a dip at $45.50
04/28/12 adjust entry point to buy a dip at $45.50, stop $41.50
03/24/12 adjusted buy-the-dip trigger to $44.00 with a stop at $39.75

Current Target: $59.00
Current Stop loss: 41.50
Play Entered on: 05/18/12
Originally listed on the Watch List: 03/10/12


Microsoft - MSFT - close: 28.45

Comments:
06/02/12 update: MSFT is a watch list candidate that has graduated to the play list. We have been expecting shares to correct toward their 200-dma, which the stock hit on Friday. Our plan was to buy calls when shares hit $28.50 with an initial stop loss at $26.45. More conservative traders may want to wait for MSFT to close above its simple 10-dma before they consider new bullish positions.

- Suggested Positions -
Jun 01, 2012 - entry price on MSFT @ 28.50, option @ 1.69
symbol:MSFT1319A30 2013 JAN $30 call - current bid/ask $ 1.66/ 1.69

- or -

Jun 01, 2012 - entry price on MSFT @ 28.50, option @ 3.05
symbol:MSFT1418A30 2014 JAN $30 call - current bid/ask $ 3.00/ 3.05

06/01/12 triggered at $28.50
05/19/12 adjust the trigger to $28.50, stop to $26.45
05/05/12 adjust the trigger to $29.00
04/28/12 adjust buy-the-dip trigger to $29.50, stop to $26.75

Chart of MSFT:

Current Target: $32.75 & 34.75
Current Stop loss: 26.45
Play Entered on: 06/01/12
Originally listed on the Watch List: 04/14/12


Motorola Solutions, Inc. - MSI - close: 46.96

Comments:
06/02/12 update: MSI managed to hold support near $47 and its exponential 200-dma. While shares did not breakdown to new relative lows, which is encouraging, the short-term trend still looks bearish. There is a chance that MSI will bounce near $46 and its 300-dma but I would expect this stock to hit our stop loss at $45.75 if the market doesn't rebound soon. I am not suggesting new positions at this time.

- Suggested Positions -
Feb 17, 2012 - entry price on MSI @ 49.35, option @ 2.27
symbol: MSI1319A55 2013 JAN $55 call - current bid/ask $ 1.12/ 1.30

02/18/12 new stop loss @ 45.75
02/17/12 trades opens on Friday morning at $49.35
02/16/12 MSI meets our requirement to open positions
02/04/12 if triggered, use a stop loss at $43.95
01/28/12 MSI underperformed as investors sold the stock following its earnings report. If MSI doesn't improve this week we'll drop it as a candidate.

Current Target: $64.50
Current Stop loss: 45.75
Play Entered on: 02/17/12

Originally listed on the Watch List: 12/10/11


NetEase.com - NTES - close: 60.04

Comments:
06/02/12 update: NTES gave up -3.7% on Friday but shares still posted a gain for the week. The stock managed to rally toward its 2012 highs near $62.50 before profit taking hit on Friday. The relative strength is encouraging but I am not suggesting new positions at this time.

Readers may want to take profits now with the option bid at $8.30 (+76%).

Earlier Comments:
Our long-term target is $64.00. Currently the Point & Figure chart is bullish with a $68 target. I want to remind readers that NTES can be volatile so we want to start with small positions (at least half your normal trade or smaller).

- Suggested (Small) Positions -
Feb 29, 2012 - entry price on NTES @ 52.74, option @ 4.70
symbol:NTES1319A60 2013 JAN $60 call - current bid/ask $ 8.30/ 9.50

05/26/12 new stop loss @ 54.90. Cautious investors may want to exit early now!
05/16/12 NTES reports better than expected earnings
05/05/12 readers may want to take profits now or raise their stop loss prior to the earnings report on May 16th. Option bid @ 7.20 (+53.1%)
03/24/12 new stop loss @ 49.40
Nimble traders may want to take profits now (current bid $7.80, +66%) and they re-enter positions on a correction.

Current Target: $ 64.50
Current Stop loss: 54.90
Play Entered on: 02/29/12

Originally listed on the Watch List: 02/25/12


Reynolds American Inc. - RAI - close: 41.06

Comments:
06/02/12 update: RAI spent most of the week consolidating sideways near $42 before succumbing to profit taking on Friday with a -1.8% decline. The $42.00-42.80 zone remains overhead resistance for RAI. If the market sell-off accelerates we'll probably see shares dip back toward round-number support at $40.00 and technical support at its 200-dma (also near $40).

I am not suggesting new positions at this time.

- Suggested Positions -
Nov 18, 2011 - entry price on RAI @ 40.02, option @ 2.00
symbol: RAI1319A42.5 2013 JAN $42.50 call - current bid/ask $ 1.25/ 1.35

05/26/12 new stop loss @ 39.35
05/05/12 the oversold bounce is reversing. readers may want to exit lower
04/24/12 RAI reports earnings and misses. Shares spike lower!
03/10/12 another close over $42.50 could be used as a bullish entry point.
01/28/12 RAI and the rest of the tobacco stocks are underperforming. Readers might want to exit early now given RAI's relative weakness.

Current Target: $49.00
Current Stop loss: 39.35
Play Entered on: 11/18/11
Originally listed on the Watch List: 10/22/11


UnitedHealth Group - UNH - close: 55.04

Comments:
06/02/12 update: UNH has been churning sideways the last few weeks. Investors are waiting on the U.S. Supreme Court's decision on the constitutionality of the Affordable Health Care Act (a.k.a. Obamacare). The results of this ruling could have a profound impact on the healthcare stocks. We don't have a firm date for the Court's decision but it's expected soon (some time during the month of June).

I would be tempted to buy calls again if we see UNH close over $57.00.

- Suggested Positions -
Feb 15, 2012 - entry price on UNH @ 54.53, option @ 3.25
symbol: UNH1319A60 2013 JAN $60 call - current bid/ask $ 3.15/ 3.30

- or -

Feb 15, 2012 - entry price on UNH @ 54.53, option @ 5.00
symbol: UNH1418A60 2014 JAN $60 call - current bid/ask $ 6.30/ 6.65

05/26/12 Don't forget - the Supreme Court ruling on Obamacare is in June
04/19/12 UNH reported earnings that beat estimates and raised guidance
03/31/12 new stop loss @ 52.75. Adjust exit to $64.00
03/24/12 action this past week has turned bearish. expecting a correction toward the $50 area.

Current Target: $64.00
Current Stop loss: 52.75
Play Entered on: 02/15/12

Originally listed on the Watch List: 02/11/12


Verizon Communications - VZ - close: 41.03

Comments:
06/02/12 update: VZ remains resilient in the face of a widespread market decline. The stock actually flirted with new multi-year highs this past week but shares were unable to breakout past resistance near $42.00. On a short-term basis the $40.00 level should be support.

I don't see any changes from my prior comments. More conservative investors may want to raise their stop loss. I am not suggesting new positions at this time.

- Suggested Positions -
Dec 23, 2011 - entry price on VZ @ 39.42, option @ 2.17
symbol: VZ1319A40 2013 JAN $40 call - current bid/ask $ 2.77/ 2.82

- or -

Dec 23, 2011 - entry price on VZ @ 39.42, option @ 2.87
symbol: VZ1418A40 2014 JAN $40 call - current bid/ask $ 3.75/ 3.85

05/12/12 new stop loss @ 37.75
04/05/12 VZ began trading ex-div for its upcoming April 30th dividend
03/10/12 VZ is starting to see some positive momentum higher
01/28/12 readers may want to consider an early exit immediately
01/24/12 VZ reported earnings and missed by a penny. Shares broke down on this news.

Current Target: $45.00
Current Stop loss: 37.75
Play Entered on: 12/23/11

Originally listed on the Watch List: 12/17/11


CLOSED Plays


Enterprise Products Partners - EPD - close: 47.53

Comments:
06/02/12 update: The sell-off in EPD has been pretty rough the last there days. Shares have fallen from $50 to $46.38 on Friday morning. The stock sliced through potential support near $48.00, its exponential 200-dma and its simple 200-dma. Our stop loss was hit at $46.75.

Thankfully, we did take some money off the table back in April.

- Suggested Positions -
Nov 21, 2011 - entry price on EPD @ 45.17, option @ 1.45
symbol: EPD1319A50 2013 JAN $50 call - exit $1.20 (-17.2%)

06/01/12 stopped out at $46.75
05/26/12 I am repeating my suggestion that cautious traders exit early now!
05/02/12 EPD beat earnings and revenue estimates
04/30/12 sold half on Monday at the open. option bid @ 2.85 (+96.5%)
04/28/12 plan to sell half of our position on Monday morning. Current option bid is $2.95 (+103%)
04/21/12 readers may want to take profits now. The bid on our call option is at $3.10 (+113%)
02/18/12 new stop loss @ 46.75
02/04/12 new stop loss @ 44.75
01/28/12 new stop loss @ 43.75
01/21/12 new stop loss @ 43.40
01/06/12 EPD (and PAA) both see sharp intraday dips (-5% or more)
12/31/11 2013 Jan $50 call spreads have improved significant.
12/24/11 spreads on the 2013 Jan $50 calls have widened significantly.
12/08/11 EPD gapped down on news of a 9 million share secondary price at $44.68.

Chart of EPD:

Current Target: $59.00
Current Stop loss: 46.75
Play Entered on: 11/21/11
Originally listed in the New Plays 11/19/11


McDonald's Corp. - MCD - close: 91.05

Comments:
06/02/12 update: A week ago MCD was sitting at $91 and had just completed a -10% correction off its highs. Unfortunately the correction wasn't over yet because shares just lost another -4.7% last week. The breakdown under support near $90 and its 300-dma is definitely bearish but MCD is looking pretty oversold at this point. This past week does mark a breakdown under MCD's long-term trend of higher lows.

Our trade was stopped out on Friday at $86.75. I would keep MCD on your watch list for a correction toward the $80.00 level and reconsider potential positions there.

- Suggested Positions -
May 17, 2012 - entry price on MCD @ 90.25, option @ 3.20
symbol: MCD1319A95 2013 JAN $95 call - exit $2.03 (-36.5%)

- or -

May 17, 2012 - entry price on MCD @ 90.25, option @ 4.75
symbol: MCD1418A100 2014 JAN $100 call - exit $3.65 (-23.1%)

06/01/12 stopped out at $86.75
05/19/12 new stop loss at $86.75
05/17/12 triggered on a dip at $90.25
05/12/12 move the trigger to $90.25, stop loss to $87.75
05/05/12 another adjustment. move the trigger to $91.00, stop to $88.40, adjusted the option strikes.
04/28/12 adjust the buy-the-dip trigger to $95.00
04/14/12 adjust buy-the-dip trigger to $94.00.

Chart of MCD:

Current Target: $109.00
Current Stop loss: 86.75
Play Entered on: 05/17/12
Originally listed on the Watch List: 11/05/11


Exxon Mobil - XOM - close: 77.92

Comments:
06/02/12 update: A huge five-week plunge in the price of crude oil is finally starting to have its affect on shares of XOM. This stock had been holding above support near its 200-dma and the $80 level. Yet XOM finally broke down and plunged to new six-month lows this past week. Our stop loss at $79.40 was hit on Thursday.

- Suggested Positions -
Dec 22, 2011 - entry price on XOM @ 83.56, option @ 4.63
symbol: XOM1319A90 2013 JAN $90 call - exit $1.20 (-74.0%)

- or -

Dec 22, 2011 - entry price on XOM @ 83.56, option @ 6.25
symbol: XOM1418A95 2014 JAN $95 call - exit $2.45 (-60.8%)

05/31/12 stopped out at $79.40
04/26/12 XOM missed earnings estimates by 9 cents
04/14/12 XOM has broken down from its 3-month trading range.
03/17/12 XOM has bounced off the bottom of its bullish channel.
03/03/12 bears could argue that XOM is forming a potential double top pattern with the peak in late January and late February
02/11/12 recent action looks like a bearish H&S pattern with an $80 target.
01/28/12 readers may want to raise their stop prior to earnings
01/21/12 new stop loss at $79.40
01/07/12 new stop loss @ 77.90

Chart of MCD:

Current Target: $94.00
Current Stop loss: 79.40
Play Entered on: 12/22/11

Originally listed on the Watch List: 12/03/11