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New Plays
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New Plays
Long Plays
Short Plays
DXD EMC
  EXPE
  EXPD
  INFY

Play Editor's Note: The stock market looks poised for a painful sell-off now that the FRE/FNM takeover rally is dead. Investor fear is rising if you follow the VIX. The next two or three days could see a sharp move lower. All of our new plays are bearish even the bullish one! Check it out...

FYI: KLAC, a semiconductor stock looks like a bearish candidate here. Plus, the SSG might be a way to play the drop in semiconductors. The SSG is the double-inverse ETF for the sector. Readers might also want to check out SRCL, a waste management stock, that looks like a bearish candidate right now.


New Long Plays

UltraShort Dow30 - DXD - cls: 63.62 chg: +2.56 stop: 59.90

Company Description:
The UltraShort Dow 30 ProShares is an exchange traded fund (ETF) that moves twice the inverse performance of the Dow Jones Industrial Average.

Why We Like It:
The market looks very vulnerable here and the Dow could see some sharp moves lower. We want to try and capture those moves with the DXD. We would buy the DXD here or on a dip near $62.00. Our short-term target is the $69.75-70.00 zone.

Picked on September 09 at $63.62
Change since picked: + 0.00
Earnings Date 00/00/00
Average Daily Volume: 7.7 million
 

New Short Plays

EMC Corp. - EMC - close: 13.67 change: -0.63 stop: 14.51

Company Description:
EMC Corporation is the world's leading developer and provider of information infrastructure technology and solutions that enable organizations of all sizes to transform the way they compete and create value from their information. (source: company press release or website)

Why We Like It:
It's been a while since we've had EMC on the play list. Shares are in a bearish trend and the bounce just failed for the second day in a row near its 40 and 50-dma. Today's drop to a new relative low looks like a new bearish entry point for shorts. We're suggesting shorts now with a stop above today's high. Our target is the July lows at $12.15. The Point & Figure chart is bearish with a $6.00 target.

Picked on September 09 at $13.67
Change since picked: + 0.00
Earnings Date 10/22/08 (unconfirmed)
Average Daily Volume: 30.7 million

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Expedia - EXPE - close: 17.10 change: -0.74 stop: 18.41

Our bearish short play on EXPE hit our stop loss at $18.35 this morning and then promptly went into free fall. We think the trend in EXPE remains bearish and shares look poised to begin a new leg lower. The July 2008 low was $16.85. We are suggesting that readers open new bearish positions at $16.75 with a stop above today's high. We have two targets. Our first target is $15.00. Our second target is $13.50. The Point & Figure chart is bearish and forecasts a $9.00 target.

Picked on September xx at $xx.xx <-- see trigger
Change since picked: + 0.00
Earnings Date 11/06/08 (unconfirmed)
Average Daily Volume: 4.2 million

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Expeditors Intl. - EXPD - close: 33.66 chg: -0.79 stop: 35.05

Company Description:
Expeditors is much more than getting a piece of freight from one point to another. The Council of Logistics Management defines logistics as that part of the supply chain process that plans, implements, and controls the efficient, effective flow and storage of goods, services, and related information from the point of origin to the point of consumption in order to meet customers' requirements. (source: company press release or website)

Why We Like It:
Transportation index is rolling over just like the rest of the market. Shares of EXPD just recently broke down from a bear flag pattern. The oversold bounce failed right where it should near $35.00. This looks like a great entry point for shorts with a stop loss above today's high. The MACD on the daily chart has produced a new sell signal. Our target is the $30.15 mark. More aggressive traders may want to aim for support near $29.00. FYI: The P&F chart is bearish with a $22 target.

Picked on September 09 at $33.66
Change since picked: + 0.00
Earnings Date 11/04/08 (unconfirmed)
Average Daily Volume: 3.1 million

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Infosys Tech. - INFY - cls: 38.45 chg: -1.00 stop: 40.75

Company Description:
Infosys defines, designs and delivers IT-enabled business solutions that help Global 2000 companies win in a Flat World. (source: company press release or website)

Why We Like It:
Tech stocks are rolling over and INFY has a pretty clear bearish pattern. The trend of lower highs is starting to roll over into new relative lows. We're suggesting shorts here with a stop loss above Monday's high. We are listing two targets. Our first target is $35.05. Our second target is $33.00.

Picked on September 09 at $38.45
Change since picked: + 0.00
Earnings Date 10/09/08 (unconfirmed)
Average Daily Volume: 3.0 million
 

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