Editor's Note:

I want to urge traders to use caution. I am hesitant to add new candidates with the market flashing mixed signals. The rally off the November lows has not seen much volume, which is somewhat bearish. Yet stocks did not sell-off on Friday's unemployment number, which is bullish. The better trade might be to take a step back and wait a day or two for a little more clarity on market direction.


NEW BULLISH Plays

Polaris Industries - PII - close: 44.51 change: +0.61 stop: 41.80

Why We Like It:
You would normally think that rising unemployment is bad for retailers. Yet the retail stocks have been performing relatively well. Thursday's data showed an increase in same-store sales for a lot of stores. PII offers high-end motor sport toys and the stock has been able to maintain its bullish trajectory. The recent correction found support at the 50-dma.

I am suggesting readers look for a little more confirmation and use a trigger at $45.15 to buy the stock. If triggered our target to exit is $49.65. I consider this an aggressive play and suggest smaller position sizes.

Annotated chart:

Entry on  November xx at $xx.xx <-- TRIGGER @ $45.15 (small pos)
Change since picked:     + 0.00   			
Earnings Date          01/28/10 (unconfirmed)    
Average Daily Volume:       516 thousand
Listed on  November 07, 2009    


Travelers Companies - TRV - close: 51.90 change: +1.26 stop: 49.40

Why We Like It:
TRV's recent consolidation above resistance at $50.00 is a good sign. Shares were upgraded on Friday, which powered the 2.4% rally. I'm suggesting readers buy TRV on a dip at $51.00. If triggered our target to exit is $54.90. The Point & Figure chart is bullish with a $60 target.

Annotated chart:

Entry on  November xx at $xx.xx <-- TRIGGER @ 51.00
Change since picked:     + 0.00   			
Earnings Date          01/27/10 (unconfirmed)    
Average Daily Volume:       5.3 million 
Listed on  November 07, 2009    


Yanzhou Coal Mining - YZC - close: 17.27 change: +0.60 stop: 14.95

Why We Like It:
YZC is a Chinese coal mining company that has broken out to new 2009 highs. The trend is up and we want to jump on board but we don't want to chase it here. I'm suggesting traders use a trigger to buy a dip at $16.35. We'll use a stop under the 50-dma and the recent lows. Our target is $19.95. Our time frame is several weeks.

Annotated chart:

Entry on  November xx at $xx.xx <-- TRIGGER @ 16.35
Change since picked:     + 0.00   			
Earnings Date          04/10/10 (unconfirmed)    
Average Daily Volume:       418 thousand
Listed on  November 07, 2009