NEW BULLISH Plays

Wyndham Worldwide - WYN - close: 44.85 change: -0.70

Stop Loss: 43.49
Target(s): 49.50
Current Gain/Loss: unopened
Time Frame: 6 to 8 weeks
New Positions: Yes, see below

Company Description

Why We Like It:
WYN is in the hospitality business and business must be good. The stock is trading at all-time highs. Shares are on the verge of a breakout past the $45.00 level. The intraday high today was $45.17. I am suggesting we bullish positions at $45.25 with a stop loss at $43.49. Our multi-week target is $49.50.
FYI: The Point & Figure chart for WYN is bullish with a long-term $82.00 target.

Trigger @ 45.25

Suggested Position: buy WYN stock @ (trigger)

- or -

buy the Apr $45 call (WYN1221D45) current ask $1.55

Annotated chart:

Entry on March xx at $ xx.xx
Earnings Date 04/26/12 (unconfirmed)
Average Daily Volume = 1.7 million
Listed on March 12, 2011


NEW BEARISH Plays

Greenbrier Companies - GBX - close: 22.26 change: -1.39

Stop Loss: 23.25
Target(s): 18.50
Current Gain/Loss: unopened
Time Frame: 4 to 6 weeks
New Positions: Yes, see below

Company Description

Why We Like It:
GBX makes railroad cars and freight equipment. Shares broke down from a consolidation pattern about five days ago. The oversold bounce failed at resistance near $24 and its 10 and 50-dma with today's bearish reversal. Readers might want to launch bearish positions now but we want to see confirmation of the new trend lower first.

I am suggesting a trigger to open bearish positions at $21.50. Traders should be aware that the $20.00 level, with the 200-dma, could be short-term support but we are aiming for a drop to $18.50.

Bearish Trigger @ $21.50

Suggested Position: short GBX stock @ (trigger)

- or -

(note: the option spreads are a little wide, making these more aggressive)
buy the Apr $22.50 PUT (GBX1221P22.5) current bid/ask: $1.40/1.75

Annotated chart:

Entry on March xx at $ xx.xx
Earnings Date 04/09/12 (unconfirmed)
Average Daily Volume = 468 thousand
Listed on March 12, 2011