NEW BULLISH Plays

Autodesk Inc. - ADSK - close: 44.88 change: +0.53

Stop Loss: 41.90
Target(s): 48.50
Current Gain/Loss: unopened
Time Frame: 3 to 4 weeks
New Positions: Yes, see trigger

Company Description

Why We Like It:
ADSK rallied to new two-year highs last week. The close over short-term resistance near $44.50 is bullish but the $45.00 level still looks like resistance. I would prefer to launch positions on a dip so I'm suggesting a trigger at $43.75. If triggered we'll use a stop loss under the 50-dma at $41.90. Our target is $48.50 but we'll plan on exiting ahead of the mid May earnings report.

Trigger @ $43.75

Suggested Position: buy ADSK stock @ $43.75

- or -

Buy the May $45 calls (ADSK1121E45) current ask $1.60

Annotated chart:

Entry on April x at $xx.xx
Earnings Date 05/19/11 (unconfirmed)
Average Daily Volume: 2.1 million
Listed on April 23rd, 2011


Oracle Corp. - ORCL - close: 34.75 change: +0.64

Stop Loss: 32.95
Target(s): 38.00
Current Gain/Loss: unopened
Time Frame: 6 to 8 weeks
New Positions: Yes, see below

Company Description

Why We Like It:
Technology stocks have started showing relative strength again and ORCL is breaking out to new multi-year highs. Friday's close over $34.50, after two weeks of consolidation, looks like a new entry point to buy the stock (or calls). I am suggesting positions now. Patient traders could choose to wait for a dip near $34.25-34.00 instead.

Suggested Position: buy ORCL stock @ current levels

- or -

Buy the June $35 call (ORCL1118F35) current ask $1.03

Annotated chart:

Entry on April 25 at $xx.xx
Earnings Date 06/23/11 (unconfirmed)
Average Daily Volume: 25.1 million
Listed on April 23rd, 2011