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:


Editor's Note:

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

Comments:
03/23/13: 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.

Earlier 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

Comments:
03/23/13: 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

Comments:
03/23/13: 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