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New Plays
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New Long Plays

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New Short Plays

Saul Centers - BFS - cls: 43.76 change: -0.16 stop: 45.31

Company Description:
Saul Centers is a self-managed, self-administered REIT headquartered in Bethesda, Maryland. Saul Centers currently operates and manages a real estate portfolio of 48 community and neighborhood shopping center and office properties totaling approximately 8.0 million square feet of leasable area. Over 80% of the Company's cash flow is generated from properties in the metropolitan Washington, DC/Baltimore area. (source: company press release or website)

Why We Like It:
Real estate and REIT-related stocks have really been weak lately and the sector still looks poised for more weakness ahead. Shares of BFS have a steady trend of lower highs and just produced another failed rally under the $45.00 level. Volume has been rising on the sell-off lately, which is usually a bearish signal. We are suggesting shorts with BFS under $45.00 (preferably under $44.50). Our target is the $40.15-40.00 range. FYI: Readers should note that the latest June data put short interest at 4.8% of the company's 10.7 million-share float. That is relatively high short interest and a very small float, which could be a recipe for a short squeeze. Trade carefully!

Picked on July 25 at $43.76
Change since picked: + 0.00
Earnings Date 08/08/07 (unconfirmed)
Average Daily Volume: 78 thousand


Steel Dynamics - STLD - cls: 44.93 change: -1.66 stop: 48.15

Company Description:
Steel Dynamics, Inc. (SDI) is the nations fifth largest producer of carbon steel products with 2006 annual revenues of $3.2 billion and annual shipments of 4.7 million tons. SDI operates five electric-furnace mini-mills and employs about 3,500. (source: company press release or website)

Why We Like It:
STLD recently reported earnings and the company missed estimates and missed the revenue numbers. The stock responded with a big failed rally under the $50.00 level. This created what appears to be a bearish double top pattern. Volume has been huge on the recent sell-off, which is normally negative. The MACD has produced a new sell signal. We're suggesting shorts with STLD under $46.00. Our target is the $40.25-40.00 range, where STLD should find support near $40.00 and its rising 200-dma.

Picked on July 25 at $44.93
Change since picked: + 0.00
Earnings Date 07/25/07 (unconfirmed)
Average Daily Volume: 1.9 million

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