Editor's Note:

In addition to tonight's new candidates, consider these stocks as possible trading ideas and watch list candidates:

(bearish ideas) VLO, KSS, SIRO, IPGP, GPN, ATI, A, PCAR, FCX, BRCM, NFX, SCCO, SYY, PFG, LAZ, LUK, GNTX, TDS, GM, IPI, FHN


NEW BEARISH Plays

Acme Packet, Inc. - APKT - close: 24.41 change: -0.72

Stop Loss: 26.25
Target(s): 20.25
Current Gain/Loss: unopened
Time Frame: 4 to 6 weeks
New Positions: Yes, see below

Company Description

Why We Like It:
APKT is a communications technology company delivering voice, video and data over IP networks. Unfortunately for shareholders, after a rocket-like ride higher in 2010 the stock peaked in early 2011 and it's been a rocky, rollercoaster ride lower ever since.

Shares have been stuck in the $25-30 range for several weeks. Just recently APKT spiked higher on its earnings report but the rally failed at resistance near $30 earlier this month. Now APKT has closed under support near $25.00. We can use this breakdown as a new sell signal to launch positions.

I am suggesting small bearish positions at the open on Monday. Our target is $20.25. We'll try and limit our risk with a stop at $26.25. We also want to keep our position size small because the most recent data listed short interest at 17% of the 58.2 million-share float, which does raise the risk of a short squeeze. FYI: The Point & Figure chart for APKT is bearish with a $13.00 target.

(small positions at the open)

Suggested Position: short APKT stock @ (the open)

- or -

buy the Jun $25 PUT (APKT1216R25) current ask $1.90

Annotated chart:

Entry on May xx at $ xx.xx
Earnings Date 07/19/12 (unconfirmed)
Average Daily Volume = 2.3 million
Listed on May 12, 2011


DeVry Inc. - DV - close: 29.95 change: -0.72

Stop Loss: 31.55
Target(s): 26.25
Current Gain/Loss: unopened
Time Frame: 3 to 6 weeks
New Positions: Yes, see below

Company Description

Why We Like It:
DV is a large secondary education company. The stock has been stuck in a bearish channel for months. Friday saw DV breakdown and close under potential round-number support at $30.00. I am suggesting we use this as a new entry point for bearish positions. Our multi-week target is $26.25. FYI: The Point & Figure chart for DV is bearish with a $19.00 target.

Suggested Position: short DV stock @ (the open)

- or -

buy the Jun $30 PUT (DV1216R30) current ask $1.30

Annotated chart:

Entry on May xx at $ xx.xx
Earnings Date 08/09/12 (unconfirmed)
Average Daily Volume = 1.0 million
Listed on May 12, 2011