The builder downgrade triggered our watch list entry on Ryland but we did not get close on Toll Brothers. I am leaving it in the list with the $79 target just in case we get another dip.
I am adding EBAY to the list and kicking myself for not adding it as a play last week ahead of its analyst meeting. When I look back at last Friday's chart it was still in decline and Monday showed no buying. Once it started on Tuesday it was steady the rest of the week. I would add it to the regular plays this week but it has a 2:1 split coming next Friday.
I keep looking for the oil stocks to turn down in anticipation of weakness in March but every day is a new high. Nothing but frustration there.
With the Nasdaq the weakest link there is not much to speculate on for leaps. Until we move out of this trading range and pick a direction we are better off not adding any new plays.
I plan on adding Apple next week as a LEAP Put given their massive gains and no significant future news.
TOL - Tol Brothers $82.98 (Target $79.00)
Buy 2006 $85.00 LEAP Call YKW-AQ currently $10.50
EBAY - $82.07
No targets yet. 2:1 split next Friday and we will pick an entry once the split passes. Leaps will be cheaper once the split passes.
AAPL - $81.25
Apple announced a 2:1 split on Friday with a record date of Feb-18th. We will be looking to add some LEAP puts on AAPL once the record date passes.