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CSCO None
KO  

New Long Plays

Cicso Systems - CSCO - cls: 29.28 chg: -0.43 stop: 27.49

Company Description:
Cisco is the worldwide leader in networking that transforms how people connect, communicate and collaborate. (source: company press release or website)

Why We Like It:
We suspect that most of the "bad" news is probably been priced into shares of CSCO if you can call CSCO's cautious comments "bad". The stock could be one of the market leaders if the markets turn higher again. Shares appear to have significant support near $28.00 and its rising 200-dma. We are suggesting that readers buy a dip near support. More aggressive traders may want to jump in right now. We are suggesting that traders wait for a dip into the $28.75-28.00 range. We'll use a stop loss at $27.49 but you could get more conservative with a stop closer to $28.00. Our official "entry" will be $28.75. Our target is the $31.85-32.00. Our time frame is six to eight weeks. FYI: In spite of the big sell-off in CSCO recently the P&F chart is not bearish.

Picked on November xx at $xx.xx <-- see TRIGGER
Change since picked: + 0.00
Earnings Date 02/06/08 (unconfirmed)
Average Daily Volume: 50.7 million

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Coca-Cola - KO - close: 61.95 change: +0.59 stop: 59.59

Company Description:
The Coca-Cola Company is the world's largest beverage company. Along with Coca-Cola, recognized as the world's most valuable brand, the Company markets four of the world's top five nonalcoholic sparkling brands, including Diet Coke, Fanta and Sprite, and a wide range of other beverages, including diet and light beverages, waters, juices and juice drinks, teas, coffees, energy and sports drinks. (source: company press release or website)

Why We Like It:
Investors are worried about the U.S. economy and that seems to be driving money into more defensive names like KO. The stock has a bullish trend and traders have been buying the dips near $60.00. KO managed a new multi-year high today on above average volume. We're suggesting long positions now although readers certainly have a choice. You could wait for a new relative high to confirm the breakout from its $59.70-62.00 trading range or you could try and jump in on a dip into the $61.00-60.00 zone. Our end of year target is the $66.00-67.00 range. The bullish P&F chart suggests a $69 target.

Picked on November 15 at $61.95
Change since picked: + 0.00
Earnings Date 01/15/08 (unconfirmed)
Average Daily Volume: 8.3 million
 

New Short Plays

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