New Watch List Entries
None, no new watch list candidates
Active Watch List Candidates
CY - Cypress Semiconductor
EL - The Estee Lauder Cos
Dropped Watch List Entries
BBBY and M have graduated to the play list.
TIF has been removed.
New Watch List Candidates:
The S&P 500 index is just below its all-time highs. Will it breakout or reverse?
Please see my comments on the new plays section.
Active Watch List Candidates:
Cypress Semiconductor - CY - close: 11.08
Weakness in the semiconductor sector put the brakes on CY's rally. Shares are consolidating sideways between technical resistance at its exponential 200-dma near $11.50 and short-term support at the $11.00 mark. Overall I don't see any changes from my prior comments.
More aggressive traders might want to consider bullish positions on a breakout past the $11.50 mark. I am suggesting we wait for CY to close above $12.00 and then buy calls the next day. If triggered our target is $16.00.
Breakout trigger: Wait for CY to close above $12.00,
then buy calls the next day, stop loss @ 10.45
BUY the 2014 Jan $13 call (CY1418a13)
BUY the 2015 Jan $15 call (CY1517a15)
Originally listed on the Watch List: 03/16/13
The Estee Lauder Companies - EL - close: 63.89
Traders bought the dip on Tuesday and EL has continued to rebound. There is no change from my prior comments.
We are waiting for a breakout to new highs.
I am suggesting we wait for EL to close above $66.55 and then buy calls the next day. I am suggesting that we start with small positions (half your normal trade size) to limit our risk. Our long-term target is $74.50.
Breakout trigger: Wait for EL to close above $66.55,
then buy calls the next day, stop loss @ 61.90
BUY the 2014 Jan $70 call (EL1418a70)
03/09/13 keep positions small to start!
Originally listed on the Watch List: 03/09/13
Tiffany & Co. - TIF - close: 69.23
TIF is down less than a quarter for the week. Yet the stock has been volatile following its earnings report on March 22nd. Wall Street was expecting a profit of $1.36 a share on revenues of $1.25 billion. TIF delivered $1.40 a share but revenues were a miss at $1.24 billion. Gross margins contracted a bit. Management issued lackluster guidance.
I am removing TIF as a candidate. More aggressive traders might want to consider buying calls if the stock can close above $71.00. I still suspect TIF will retrace lower and retest the $66-65 zone. Tonight I'd rather remove TIF and make room for a new watch list candidate.
Our trade did not open.
03/23/13 removed from the watch list.
03/09/13 adjust buy-the-dip trigger to $66.50
Originally listed on the Watch List: 03/02/13